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Overview
Artificial intelligence (AI) is hot. Billions of dollars in venture capital have been invested in AI firms, including firms that focus on solving supply chain problems. Machine learning (ML), a subset of AI, is particularly hot. Interestingly, while AI is not a new technology in supply chain management, so much more data is becoming available for analysis, that we’re seeing a new focus on using these techniques to improve supply chain applications, including warehouse technologies.
What Is Artificial Intelligence?
Any device that perceives its environment and takes actions that maximize its chance of success toward some goal is using artificial intelligence in some manner. This includes a vast range of technologies – like traditional logic and rules-based systems – that enable computers to solve problems in ways that at least superficially resemble human thinking.
But most operations researchers would not consider heuristics and commonly used forms of statistics to be AI. In short, the scope of AI is disputed. As machines become increasingly capable, many tasks that were once seen as requiring intelligence, have now become routine and these tasks (and the math that powers them) are no longer considered to be AI.
In this report, we will refer to AI-based applications as the set of techniques that use advanced computational techniques in relatively new ways to improve supply chain processes in general and warehousing in particular.
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Keywords: Artificial Intelligence (AI), Machine Learning (ML), Warehouse Management, Autonomous Mobile Robots, Warehouse Technologies, ARC Advisory Group.