Nissin Foods is implementing an artificial intelligence-powered demand and supply planning tool from technology vendor Blue Yonder as part of a larger digital transformation effort, according to a July 22 press release.
Through the platform, the company behind the Cup Noodles and Top Ramen brands aims to improve inventory management and forecasting accuracy, per the release. The food manufacturer will also seek to reduce operational costs as it can shift from capital-intensive investments to more predictable expenses.
The supply and demand planning tool also will allow Nissin to increase fill rates and reduce inventory levels, according to the release. Additionally, the system provides automated forecasting using AI and machine learning to improve accuracy.
Nissin’s latest technology implementation, while aimed at improving internal operations and planning, is also expected to better support customers, according to Yukio Yokoyama, chief representative for the Americas and president and CEO of Nissin Foods.
“This transformation will strengthen our partnerships with customers by helping us better serve their needs, anticipate changing demand, and adapt to evolving consumer preferences,” the executive said in the release.
Aside from Nissin, numerous other food manufacturers are also experimenting with and employing AI tools across their supply chains.
Hormel Foods last year implemented o9 Solutions’ integrated demand and supply planning capabilities with an eye toward sharpening forecasting and strengthening supply chain operations. Meanwhile, Mondelēz International is planning to install automation and AI systems within five distribution centers as it continues a $1.2 billion, multi-year overhaul of its supply chain and ERP system.
