FuturMaster launches AI forecasting
From Logistics Manager Magazine,
Published Friday 7 June 2019 12:41 pm
FuturMaster, the supply chain planning specialist, has
launched forecasting software that uses artificial intelligence to aid
in the launch of new products.
It said that a recent trial with a Chinese textiles firm found that
the software was more accurate in over three-quarters of forecasting
scenarios and twice as fast at unravelling data when compared to using
teams of trained forecasters and manual methods.
The machine learning software works by using algorithms to group
products based on the sales history and behaviour of products with
similar characteristics (a process known as clustering). The autonomous
system then applies a set of rules to automatically calculate volume
requirements over a variable period, adjusting and constantly adapting
FuturMaster said that trials showed that rival solutions were often
too quick to replenish products and that the resulting, spiralling costs
of unsold stock could be reduced using AI-assisted tools.
“Launching new products is a complicated process that involves numerous teams collaborating together and requires close monitoring of sales and demand, not to mention harvesting accurate, clean data,” said product manager Gilles Lefebvre. “Decisions – which can make or break a company – have to be taken early on and it’s an area ripe for the benefits of AI technology.”