SAP UK News Center

SAP Unveils AI-Driven Supply Chain Innovations to Transform Manufacturing

840412560

LONDON — April 23, 2024 — SAP SE (NYSE: SAP) today announced AI advancements in its supply chain solutions that will unleash a transformative wave of productivity, efficiency and precision in manufacturing. AI-driven insights from real-time data will help companies optimise decisions across their supply chains, streamline product development and improve manufacturing efficiency.

Accurate and relevant real-time information helps mitigate the disruption that most suppliers, manufacturers and distributors worldwide are currently experiencing. Businesses already have high expectations for the use of AI in improving their supply chains, with the main benefit perceived as cost savings (60%), logistics improvement (56%), contingency planning (53%), and enhanced inventory management (50%) according to new research from SAP UKI. However, this latest research highlights that businesses are now recognising AI’s potential to transform their entire supply chain operations and drive efficiency by plugging skills gaps, amongst other things.

“Traditional supply chain management processes are not fit for purpose to address the volume and variety of disruption that exists today. Future AI innovation, especially generative AI, will change this and is the greatest opportunity since the rise of cloud”, said Ryan Poggi, Managing Director of SAP UKI.

“The benefits are so big that it this has triggered a race for executives to quickly develop plans to create AI-enabled value across their organisation. But, as leaders, we have a responsibility to ensure our businesses use AI responsibly to help transform companies faster than ever. Supply chains are generally low risk, so are a great place to start. Now is the time to embrace AI ethically and leverage company data to make your business much more resilient now and in the future.”

Demand for supply chain resiliency has surged following a series of disruptions to global trade, and due to highly publicised shortages of goods, from microchips to vegetable oil —supply chain issues continue to take centre stage in boardroom discussions. Steps have been taken to address supply chain challenges facing the UK, but disruptions continue to have a significant impact, leading to 59% of organisations facing production delays, 55% suffering decreased revenues and nearly half (46%) losing customers (according to new research from SAP).

SMA Solar Technology AG and other customers have already witnessed the benefits of SAP’s solutions, including an approximately 15% increase in supply chain workforce productivity, a 10% decrease in overall supply chain planning costs and a 10% reduction in inventory carrying costs and stock turnover rate.

“SMA Solar modernises its manufacturing execution systems to support sustainable, risk-resilient manufacturing operations with the power of AI-enabled visual inspection in the SAP Digital Manufacturing solution,” said Heiko Kehm, SMA Solar head of IT Order to Cash.

Key improvements to SAP’s supply chain solutions supporting an AI-centric strategy include:

More details about SAP’s latest innovations being shown at Hannover Messe can be found here.

Visit the SAP News Center. Follow SAP at @SAPNews.

About SAP As a global leader in enterprise applications and business AI, SAP (NYSE: SAP) stands at the nexus of business and technology. For over 50 years, organizations have trusted SAP to bring out their best by uniting business-critical operations spanning finance, procurement, HR, supply chain, and customer experience. For more information, visit www.sap.com.

 

# # #

 

This document contains forward-looking statements, which are predictions, projections, or other statements about future events. These statements are based on current expectations, forecasts, and assumptions that are subject to risks and uncertainties that could cause actual results and outcomes to materially differ. Additional information regarding these risks and uncertainties may be found in our filings with the Securities and Exchange Commission, including but not limited to the risk factors section of SAP’s 2023 Annual Report on Form 20-F.
© 2024 SAP SE. All rights reserved. SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE in Germany and other countries. Please see https://www.sap.com/copyright for additional trademark information and notices.
Note to editors: To preview and download broadcast-standard stock footage and press photos digitally, please visit www.sap.com/photos. On this platform, you can find high resolution material for your media channels.
For customers interested in learning more about SAP products: Global Customer Center: +49 180 534-34-24 United States Only: 1 (800) 872-1SAP (1-800-872-1727)
For more information, press only: Lawrie Benfield, +44 (0)7776 515259, Lawrie.benfield@sap.com SAP Press Room
Please consider our privacy policy. If you received this press release in your e-mail and you wish to unsubscribe to our mailing list please contact press@sap.com and write Unsubscribe in the subject line.
Exit mobile version