As the world grapples with the endless cycle of hype surrounding Artificial Intelligence (AI) it is all too easy for businesses to miscalculate what is actually needed to take the first step on their AI journey. This is why it is essential that organizations understand their capabilities and limitations firstbefore AI is implemented.
This hot topic was openly discussed during AI In Manufacturing – Tales from the Edge, a panel discussion at the recent SAP Conference for Process and Natural Resource Industries held in Vienna, Austria.
AI panelists from left: Kay Kretschmer, Business Development Manager, SAP Business AI; Mounir El Idrissi, Managing Director of Consulting and Intelligent Platform Services for the Chemicals and Natural Resources Industry with Accenture; Patrick Thompson, Enterprise Transformation Officer at DXC Technology.
SAP
What does Gen AI mean in the context of business processes? What are the key use cases in supply chain and manufacturing? These questions and more were posed to panelists of AI experts from accentuation, DXC technology AND SAP.
Here are some key recommendations from the panel to help you get started on your AI journey.
Start small for big gains
According to Patrick Thompson, Enterprise Transformation Officer at DXC Technology, the transformative effects of AI on business processes are undeniable. But Thompson was quick to point out the importance of understanding an organization’s capabilities and limitations before implementing AI, choosing the right use cases, starting small, keeping data security and authenticity at the forefront, and embracing of AI as a complement to human ingenuity.
“Focusing on digital transformation and each of the pillars: customer excellence, supply chain, back office, operational excellence or operational/manufacturing excellence,” said Thompson.
Thompson acknowledges that AI and machine learning have long been instrumental in optimizing manufacturing plants and mining operations. However, the integration of Generative AI (GenAI) with existing technologies represents a transformative step. GenAI introduces a new dimension of continuous learning from data, enabling predictive automation that can prevent failures and drive unprecedented levels of efficiency with deeper insights.
Equally critical is the emphasis on data security and governance as businesses embed GenAI capabilities into their daily operations. This is a pivotal moment in the industry, where human-machine collaboration is evolving in unprecedented ways. The key is not only to harness the power of AI and drive innovation, but also to ensure that these advances are implemented ethically and responsibly.
“At DXC, we have brought a deliberate focus on five key SAP industries—Financial Services, Automotive and Manufacturing, Healthcare and Life Sciences, Airlines and Public Sector. Our engineering and industry experts bring deep domain expertise, guiding customers as they embrace GenAI to unlock opportunities and manage risks effectively.”
Our DXC SAP team completed a SAP Digital Transformation & AI project in Australia within six months for Whitehaven Coal, a major coal producer supplying metallurgical coal for steelmaking in developed and developing Asian economies. We implemented systems at two newly acquired Whitehaven coal mine sites that allowed Whitehaven to double in size in record time.
DXC rolled out SAP S/4HANA at the new mine sites to modernize HR, finance, procurement and payroll functions within six months. In partnership with SAP, DXC managed the full implementation, including AI, business analytics, organizational change management and security services. We transitioned a workforce of more than 2,000 and systems running over 150 applications to the new platform, with minimal production disruption.
Build a supply chain nerve center
At Accenture, starting with a solid AI strategy involves surfacing quality data that helps predict disruptions so the business can pivot when needed.
“Especially post-Covid, we need to have the skills to predict what you normally can’t,” said Mounir El Idrissi, Managing Director of Consulting and Intelligent Platform Services for the Chemicals and Natural Resources Industry with Accenture.
In the past, Accenture would look to its clients’ “traditional” supply chains to optimize costs, increase revenue and stay compliant.
“Today, we need to bring it to the next level, using AI and applications that allow you to create an integrated value chain,” said El Idrissi. “It’s about creating visibility and collaboration with the entire supply chain; your customer, your vendors, your operations, to make sure you get the visibility and collaboration to help make those decisions.”
This supply chain “nerve center” solution, a collaboration between SAP and Accenture has been implemented in many different companies post-Covid.
“It’s about helping some companies move from a traditional supply chain to an integrated supply chain,” El Idrissi said. “It’s something that we’ve developed — really strategically developed — with people who close the business.”
Avoid the fear of missing out
Kay Kretschmer, Business Development Manager, SAP Business AI said it’s important to do what’s right for the business and not get caught up in the AI hype cycle.
“Don’t follow the fear of losing,” Kretschmer said. “Take your time. Find your relevant use case, define what success would be for you. Only then can you see and understand the true impact and areas of improvement for your AI implementations.”
Kretschmer said it’s also important for AI leaders to take their employees along for the ride.
“If they think they’re going to be replaced by AI, they’re going to get in over their heads and make everything fail. But if they understand that they are not being replaced, that AI is complementing their work and making their work easier, there should be no problem. And always keep in mind: Business AI is a journey of continuous evolution – not a one-off project.”