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AI-based supply chain innovations in production

  • By sujay
  • 20/08/2025
  • 107 Views

Hanover, Germany – April 22, 2024 The SAP SE (NYSE: SAP) Today announces new AI functionalities in their supply chain solutions that can fundamentally change productivity, efficiency and precision in production. AI-based information from real-time data will help companies to make better decisions in the entire supply chain with their own data, optimize product development and to increase efficiency in production.

“Today, companies are confronted with challenges that range from interrupted supply chains to shortage of workers to geopolitical uncertainties,” says Muhammad Alam, member of the SAP SE, SAP Product Engineering. “SAP sees the growing need and high flexibility and insights into the company and therefore drives innovations with AI-based solutions to optimize supply chain and manufacturing processes. Companies can increase their operational efficiency and minimize risks, while delight their customers with first-class service and thus pave the way for sustainable growth and competitiveness.”

Exact and relevant information in real time helps to minimize the effects of disturbed supply chains on suppliers, manufacturers and retailers worldwide. SMA Solar Technology AG and other customers have already benefited from the advantages of SAP solutions. The productivity of the employees in the supply chain could be increased by about 15 percent, the total costs for planning the supply chain were reduced by 10 percent and the costs for warehousing and warehouse handling frequency reduced by 10 percent.

SAP data and analyzes: Use the potential of current innovations

“SMA Solar modernizes his manufacturing execution systems to support sustainable, risk-resistant production processes with the possibilities of AI-based visual inspection in SAP Digital Manufacturing,” says Heiko Kehm, Head of IT Order to Cash at SMA Solar.

According to the study “The Importance of Ai in Supply Chain and Operations”A global IDC info letter* for 2024, which was sponsored by SAP. Fifty percent of the 2,000 respondents integrate AI into the business processes of supply chain planning and into important applications for decision -making in real time. Another 58 percent use AI to increase operational efficiency and employee productivity.

To the most important Improvements in the SAP supply chain solutionsthat support the customer’s AI-centered strategy belong:

  • Optimization of decisions in the entire supply chain through AI-controlled information: Companies can now use larger quantities of machine data and integrate AI-controlled visual inspections into their production processes by computer, which enables a remarkable increase in quality through automation.
  • Rationalization of product development: Product developers can now use SAP’s AI copilot joules to quickly and effectively record and improve new product ideas via naturally language queries. Joule also helps to link product designs with business data so that you visually contextualize business -critical information.
  • Recognizing plant anomalies: With the help of AI, system operators on the basis of sensor data collected by intelligent devices and Edge gateways can react proactively to potential failures. This new function uses the state-of-the-art IoT platform Cumulocity of Software AG, which is to be integrated into the SAP Asset Performance Management application in the third quarter.
  • Improved reaction ability on site: With integrated real-time traffic data and models trained through mechanical learning, customers can optimize their driving routes and assign orders efficiently so that the right field service technicians achieve their goals on time.

*IDC InfoBrief, sponsored by SAP, the Importance of Ai in Supply Chain and Operations, Document #Us5204224, April 2024.

Information on SAP

As the world’s leading provider of corporate applications and business AI, SAP (NYSE: SAP) is at the interface between companies and technology. For over 50 years, companies have been trusting SAP to exploit their full potential by standardizing business -critical processes such as finance, procurement, human resources, supply chains and customer experience. You can find more information at www.sap.com.

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This document contains forward -looking statements, that is, predictions, forecasts or other statements about future events. These statements are based on current expectations, predictions and assumptions that are subject to risks and uncertainties, which can lead to the fact that the actual results and results may differ significantly. Additional information on these risks and uncertainties can be found in the documents submitted by us at the US “Securities and Exchange Commission” (SEC), including but not limited to the section on the risk factors of the SAP Year’s Report 2023 on the Form 20-F.

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