How late is too late to adopt AI?

Blog

How late is too late to adopt AI?

  • How late is too late to adopt AI?
1 minute read

How long is too long to wait? 

Adopting AI, like any technology, is a balance. Integrating AI capabilities first can give companies an advantage over their competitors. At the same time, new technology also introduces organizational changes that can be costly. Because of the complexity in supply chains, businesses need to ensure the transitional period is worth the investment. 
So, they wait until the right moment to invest.

There are good reasons to avoid rushing into new solutions without a plan. But there is also a cost to inaction. And as AI technology evolves, that cost gets steeper for supply chain leaders. Costs that may become insurmountable before we know it. Let’s talk about why that is and how to prevent them through strategic action. 

 

Wait-and-see is for simple business models 

Simple business models, those companies that can use solutions out of the box, can afford to wait and see. Supply chains require solutions that can flex to their complexities while also leading them toward agility and efficiency. 

While powerful AI systems will adapt to the nuances of the supply chain, the sooner a company invests in the technologies, the faster it will start to see the ROI. The benefits don’t only show up in the bottom line, either. Everything from warehouse operations to recruiting top-tier talent will be affected by a company’s attitude toward AI and other emerging technologies. 

In a global, competitive market, companies need as many advantages as possible. In the best conditions, without disruptions or economic uncertainty, employees feel like they’re playing catch-up with much of their daily work. If that is the baseline everyone is working from, a wait-and-see approach is much more detrimental than helpful. 

 

Knowledge gaps are easier to address earlier

Despite a growing interest in AI capabilities, leadership teams hesitate to invest without someone in their organization who can be considered an expert in AI. Typically, this philosophy would be prudent and wise. However, when it comes to AI solutions, experience is the easiest way to gain expertise. 

Using the tools, experimenting with different use cases, and working alongside partners in technology is the best way to close the knowledge gap and feel confident that a company is getting the most out of their investments. 

What’s more, when employees see that their company is investing in tools that will build their skill set and prepare them for a successful future, they are more likely to stick around. Historical and tacit knowledge from long-time employees means better, more relevant data from which the AI can learn. 

Of course, no company needs an expert to make AI tools work for them. But investing in current employees to become experts is never a bad investment. 

Is your business ready for AI? 

90% of supply chain leaders are currently executing a reorganization or will do so in the next 12 months. Many are preparing their teams for AI-driven supply chain technology, but how should they adapt, and what considerations should leaders keep in mind as they reorganize for an AI-first future?

Read Our Spotlight Paper

AI solutions reveal your blind spots

Optimizing what already works in your supply chain is one piece of what it takes to be successful. The other piece is discovering what you don’t know or aren’t measuring, and finding ways to improve those blind spots. The issue is very few employees, no matter where they work on the supply chain, have the time to proactively look for blind spots. Everyone is focused on what they know they have to do. 

AI can work in the background to evaluate what improvements can be made to operations to reach each goal faster. An AI agent can suggest new processes or task assignments that aren’t obvious to busy employees. 

Taking action on those suggestions will remain in the power of the people. But the small improvements each team needs to make to stay competitive can be highlighted with AI. Every company reaches a point of diminishing returns as they improve their processes and products. Popular soda companies, for example, often get pushback when they try to tweak their popular formulas. But rarely are there negative consequences for improving challenges of which you weren’t even aware. Particularly, because our customers usually can see those blind spots much clearer. And they will appreciate a proactive approach. 


Agile innovations and faster decisions are critical to success

The most important reason to make the switch to AI solutions, even if you don’t feel quite ready, is that slow decision-making is hurting your business. Whether it’s because data changes too quickly or because there is simply too much data to sort through, decisions aren’t being made in a timely manner. 

But the answer is not to make rushed or incomplete decisions. The answer is to use the tools available to ensure leadership always has a comprehensive view of all the relevant data. AI technology, and specifically AI agents, not only provide that transparency, but they also provide suggestions for what to do with that information based on the goals of your company. 

Whether a team is chasing internal goals or the competition, not investing in tools to help make everyone more efficient and accurate is making every milestone harder to reach. The cost to adopt AI technology may look expensive, but not investing is an even more expensive mistake. 

Blue Yonder AI brings machine speed and precision to your supply chain

Let AI handle the data and details while you focus on the decisions that count. Our agentic, predictive and generative AI is built on decades of supply chain experience.
Learn More