Blog Post
We recently presented at the Applied AI for Distributors Conference, organized by the Distribution Strategy Group, to share what we’ve learned developing leading AI solutions for leading distributors. The presentation, delivered by Hyunzoo Chai, Chief Data Scientist, and Alex Witcpalek, VP of Sales and Business Development, focuses on the practical applications of AI in optimizing order-to-cash processes and maximizing perfect orders and profitability in the realm of order fulfillment.
The Digital Future and AI Strategy: the session emphasized that our digital future is already here and rapidly evolving. Distributors need to carefully select the right AI strategy for their order-to-cash processes. By leveraging machine learning and large language models, AI can revolutionize order processing, reducing costs and improving efficiency. One of the interesting facts highlighted during the presentation was that in a recent survey run by MDM, suggested that over 50% of AI or automation tools provide a return on investment in under 6 months (see chart below)
During the technical demo lead by Hyunzoo, showcased the application of AI in extracting data from emailed purchase orders and seamlessly transferring it to ERP systems.
Maximizing Perfect Orders and Profitability: during the session, one of the key highlights was the importance of AI in maximizing perfect orders and profitability in order fulfillment. Manual processes are prone to errors, which can be costly to fix and lead to customer dissatisfaction. AI-driven order processing can significantly reduce reliance on unreliable labor pools, alleviate the direct and extended costs of errors, and give staff more time to add value to customer interactions. Moreover, AI can improve cash flow management, scale businesses without scaling headcount, and increase customer loyalty and share of wallet.
Selecting the Right AI Strategy: in the dynamic world of distribution, the need to choose the right AI strategy for your order-to-cash processes has never been more crucial. AI-powered solutions have come a long way, from rudimentary manual processes to rule-based systems and OCR algorithms. However, the game-changer is the advent of Large Language Models (LLMs), exemplified by Google’s transformative breakthrough. These LLMs have ushered in a new era of AI-driven document processing, revolutionizing the way we handle orders. They promise not just speed but also unmatched accuracy and scalability in order processing. It’s a game-changing leap that can redefine how distribution companies operate.
During the session, Hyunzoo Chai, our Chief Data Scientist, delved into the fascinating evolution of AI-driven order processing and the transformative journey that many distribution companies are embarking on as part of their digital transformation. AI and Machine Learning (ML) are at the forefront of the automation tools available today, and understanding how to harness their potential is the key to staying ahead in the competitive distribution landscape.
The Conexiom team had a great time presenting at the Applied AI for Distributors Conference. By harnessing AI, distributors can maximize perfect orders and profitability, improve customer satisfaction, and navigate the challenges of the digital age. The presentation highlighted the importance of selecting the right AI strategy and showcased the potential of LLMs in revolutionizing order processing. As the digital future continues to unfold, embracing AI-driven solutions will be crucial for distributors to stay competitive and thrive in the evolving landscape.