Food and beverage giants such as Unilever and Mondelēz have eagerly adopted artificial intelligence (AI) technologies to enhance their operations. From reducing costs to creating new products tailored to consumer demand, the potential of AI in the industry is widely recognized. However, experts warn that without a clear, strategic approach, many companies are not yet realizing the benefits of their AI investments.
A recent study by software developer IFS, surveying over 1,700 C-suite executives in manufacturing, revealed a gap between the optimism surrounding AI and the actual results it delivers. While there’s strong enthusiasm for AI’s potential, many manufacturers are struggling to see tangible benefits in their supply chains, including cost reductions and innovation.
Kevin Miller, Chief Technology Officer at IFS, emphasized that companies often rush to adopt AI without fully understanding how it can solve specific problems within their operations. “AI is still in its early stages, and it can sometimes provide inaccurate results,” Miller cautioned. He urged companies to focus on identifying the precise challenges they aim to solve with AI.
Interestingly, over 55% of manufacturers reported that a lack of a clear strategy for AI is holding them back, with 43% citing limited expertise as the primary issue slowing progress. Yet, there’s huge potential! AI can automate processes, enhance decision-making, and optimize supply chains—if implemented thoughtfully.
For example, an IFS client in the snack food industry used AI-powered sensors to detect temperature fluctuations in their facility. Automated fans would kick in to regulate the temperature, significantly improving product quality. While these tasks could be done manually, AI helped the company collect data faster and more efficiently, spotting problems before they could escalate.
The key takeaway here? Companies should first ask, “What problem are we trying to solve?” and build from there. With the right focus, AI can truly transform the food and beverage industry. Embrace this journey—it’s an exciting time for innovation!