Artificial intelligence and machine learning technologies are quickly becoming “the new normal.” Despite alarmist sci-fi predictions about AI from Elon Musk and Stephen Hawking, these innovations are set to transform the way wholesale distributors do business.
A new level of insight
Machines, computer software, and algorithms can now understand written and spoken words at a deep level. Some are refined enough to determine the meaning of images and video media. They can even extrapolate possible futures. Analytics and data intelligence are enhancing business processes and facilitating more intuitive customer service practices.
Artificial intelligence and machine learning technologies have enabled computers to compete with and, in many cases, surpass human ability. They are making their way into many domains that were previously reserved for humans, and this frees up human resources for more value-added tasks.
In addition to automating mundane tasks, machines are taking over increasingly complex functions in all lines of business. Machines with the ability to take on more intricate work tasks enable a new level of automation across all areas of business. These innovations are particularly valuable for wholesale distributors.
Automation frees up assets for strategic advances
Just as in the retail space, clients in the wholesale distribution industry have higher expectations as well as heightened influence. Increased efficiency, being easy to do business with and reducing errors is paramount.
Wholesale distributors are now able to create smarter, more intuitive and more efficient processes than ever before. With the supply chain process streamlined, resources are freed up for more strategic activities.
Digital transformation embodies making full use of machine learning as well as the internet of things, data intelligence, more refined analytics, big data, block chain, the cloud, design thinking and related innovative technologies.
Wholesalers of all sizes can benefit
The IoT (Internet of Things) is a dynamic “network of networks” connecting components and endpoints in the business world. This facilitates communication without the need for human interaction. This advance is foundational to the efficacy of artificial intelligence and machine learning in business.
Wholesalers operate almost exclusively in a B2B environment. While there is a bit less urgency for transformation in this realm than in the consumer space, IoT adoption is still robust. The digital revolution has already transformed the wholesale business in the past decade, and machine learning and artificial intelligence are set to take the industry into new realms altogether.
Giant online wholesalers like Alibaba and Amazon are setting the stage for what’s to come. Wholesalers of all sizes will be pursuing new initiatives that make the most of the IoT and technologies like 3D printing. These additions will enable new service capabilities and product offerings for business customers.
A more intuitive way of doing business
These revolutionary changes raise the bar for all companies in the wholesale industry. Sitting on the sidelines is simply not an option; businesses are becoming accustomed to the increased innovation these changes facilitate, and they will quickly lose patience with wholesalers who are not making the most of these technologies.
Keeping track of inventory at all times is crucial to success as a wholesaler. One of the most robust aspects of this evolution for wholesale companies is the capacity for highly accurate real-time reporting.
Some of the key benefits of these innovations include:
Better customer service: Artificial intelligence and machine learning will allow wholesale distributors to anticipate and intuit future customer needs based upon past and present activity. (Delete the word “your” before wholesale distributors)
Reduced costs: In addition to always having enough product to meet customer demand, fluctuations in demand can be better anticipated. This information will inform purchasing decisions for higher accuracy than ever before. This in turn will reduce overages and inventory surpluses that can cause a high number of “unsaleable” and wasted expenditures on these products.
Predictive maintenance: Sensors on key equipment and processes within factories and warehouses that are plugged into the IoT will allow components to be serviced and replaced before they become a problem. Remotely installed commerce assets such as vending machines, refrigerators and coolers can also be accurately monitored. This increases uptime and further enhances customer service.
Overall, a digital transformation in the wholesale industry using these technologies will help to improve internal visibility across all lines of business. This will allow exponentially better customer service while reducing both waste and overages.
A new world of innovation
As you can see, artificial intelligence and machine learning technologies will facilitate a range of innovations for the wholesale industry. Better process automation, improved customer engagement, more effective assets and even new revenue models are now possible. Real-time data will be taken to new levels with the ability of these technologies to anticipate customer needs and extrapolate futures.
Artificial intelligence, machine learning, and the digital revolution are transforming the world. Is your business ready?
Learn how to bring new technologies and services together to power digital transformation: The IoT Imperative for Consumer Industries. Explore how to bring Industry 4.0 insights into your business today: Industry 4.0: What’s Next?