Agribusiness Giant Boosts Demand Accuracy 8%, Efficiency 96% with AI

A global agribusiness giant streamlined supply chain operations with C3 AI solutions, enhancing demand forecasting accuracy (8%), scheduling efficiency (96% ), and gross margin by $30M annually.

Client:

The client is a global agro-industry and food production leader with a broad product portfolio. The company grows, supplies, and sells grains, poultry, food ingredients, and other agricultural products, operating in more than 120 countries worldwide. Their top priority is to ensure efficient manufacturing operations by accurately forecasting demand to inform production plans and schedules.

Problem Statement:

● Inaccurate demand forecasting and inefficient production scheduling led to unfulfilled orders, excess production, and wasted resources.
● Limited supply chain visibility and time-consuming manual processes hindered informed decision-making and agility.
● Suboptimal resource utilization increased costs and potentially impacted product quality.

Results:

☑️ 8% demand accuracy boost improves customer satisfaction and reduces fulfillment costs.
☑️ 96% faster scheduling saves $1.5M annually, with a 2% OTIF improvement.
☑️ Reduced costs: 3% on transitions, 2% on overtime (saving ~$0.05M per plant).
☑️ $30M annual gross margin improvement across all manufacturing sites.

AI Solution:

Seeking to overcome demand forecasting inaccuracies and inefficient production scheduling, the global agribusiness and food manufacturer implemented two AI applications by C3 AI: C3 AI Demand Forecasting and C3 AI Production Schedule Optimization.

C3 AI Demand Forecasting:
● Machine learning algorithms analyze internal and external factors, historical data, and market trends.
● Generates highly accurate demand forecasts for various products, regions, and time periods.
● Enables the company to anticipate demand fluctuations and proactively adjust production plans to meet customer needs.
C3 AI Production Schedule Optimization:
● Optimizes production schedules based on real-time data, demand forecasts, and production constraints.
● Minimizes production costs by considering resource utilization, energy consumption, and material availability.
● Generates flexible and adaptable schedules that can be adjusted to accommodate unexpected events or changes in demand.

Implementation:
● Integrated C3 AI solutions with existing enterprise systems to create a unified data platform.
● Trained machine learning models on historical data and market trends to ensure accurate forecasting and optimization.
● Empowered employees with user-friendly interfaces and decision support tools to leverage AI insights effectively.
The combination of C3 AI Demand Forecasting and C3 AI Production Schedule Optimization has transformed the company’s supply chain operations, enabling significant improvements in efficiency, cost savings, and customer satisfaction.

References:

1. Enterprise AI for Demand Forecasting and Production Scheduling

Industry: Agribusiness and Food Manufacturing
Vendor: C3 AI
Client: Global Agribusiness and Food Manufacturer