Supply Chain KPI

Planning –

Sourcing
Production
Warehouse
Distribution/Logistics

Cloud Computing
It is on-demand access via the internet to computing resources – server(hardware or
software), data storage hosted at a remote data center managed by cloud services provider

Benefits
- Lower IT Cost – cost related to purchasing, installing and managing on – premises
infrastructure
- Agility – Companies can scale up or down based on their need
- Protection from Data Loss

Risks
- Cyber Attack
- If Internet access goes down then data might be loss
- Switching between different cloud companies is difficult for consumers

Types of Cloud Computing Services

1)SaaS (Software as a Service)
Saas is application software on cloud that can be accessed by users via web browsers
the provider is responsible for everything & the service provider delivers the entire
application stack.
Examples – Zoom, Netflix
2) PaaS (Platform-as-a-Service)
The service provider delivers and manages the backend infrastructure & development tools
needed for application development
Examples – Google App Engine that supports Java, Python
3) IaaS (Infrastructure-as-a-Service)
Its access to computing resources such as servers, storage
Examples – Cloud Storage
Public Vs Private Cloud

Robotic Process Automation – RPA

RPA is a software program also known as bots that can log into applications, enter data,
calculate and complete tasks, copy data across platforms. It frees up human resources to
prioritize more complex tasks rather than repetitive task

You can think of RPA as “doing” tasks, while AI and ML encompass more of the “thinking”
and "learning," respectively

RPA does not simulate human intelligence, it just replicate human-directed tasks.

Examples -many major banks use RPA automation solutions to automate tasks, such as
customer research, account opening, inquiry processing and anti-money laundering.

Generative AI

It is a type of artificial intelligence that can create various types of content including text,
audio, and image. Generative AI is built on existing technologies like large language model
LLM which are trained on large datasets and once trained, they can be used to generate new
content

Why Buzz Now?

Driven by the simplicity of new user interfaces for generating high-quality content

Advantages
- New Unique content creation, For example, it works by using existing content to
generate new content.
Applications
1. Data Interpretation
For examples – converting satellite images into human-readable maps, transforming
medical images into photo-realistic images, generating marketing data based on
collected data about the target market i.e. that is actionable insights
2. Content Creation
Specific models allow the creation of new and original content such as texts, images,
and music.
Ex - ChatGPT application from OpenAI has the capability to write long-form texts
Dall-E create original and realistic images and art from text descriptions
Canva has integrated an AI-based functionality for editing and creating images
3. Time-Efficiency
it facilitates and expedites data generation and data analysis without the need for
human involvement. Organizations can benefit from using the technology to trim
down marketing-related or sales-involved expenses
Disadvantages/challenges of Gen AI
1. Need for Quality Control
 One of the main disadvantages of Generative AI is that the data a particular model
generates still needs to be inspected
Ex - Google Bard was criticized for an advertisement with a wrong claim that the
James Webb Space Telescope was used to take the very first pictures of a planet
outside the Solar System.

According to NASA, however, the first image showing an exoplanet — or any planet
beyond our solar system — was actually taken by the European Southern
Observatory’s Very Large Telescope nearly two decades ago, in 2004.
2. Ethical and Legal Issues
Generative AI models are trained using large datasets. Issues about infringement
of intellectual property rights such as copyrights have also emerged.
3. Scale of compute infrastructure:
AI practitioners must be able to procure and leverage hundreds of GPUs to train their
models. Significant capital investment, and technical expertise required

How does Generative AI work?

1. the model is given a prompt, such as a sentence
2. Then Vector form generation takes place which is the process of converting data into
a numerical representation that can be processed by machine learning models
3. Model Selection takes place. There are 2 types of machine learning models GANs and
RNNs
GANs, or generative adversarial networks, are a type of model that can be used to
generate new data, such as images, text, and music
RNNs, or recurrent neural networks, are a type of model that is well-suited for
processing sequential data, such as text and audio.

GANs work by training two models simultaneously: a generator and a discriminator.

The generator is trained to generate new data, while the discriminator is trained to
distinguish between real data and generated data. The two models compete against
each other in a zero-sum game, where the generator tries to fool the discriminator
into thinking that its generated data is real.

RNNs work by processing sequential data one element at a time. The RNN maintains
an internal state that represents the information that it has seen so far. When the
RNN processes a new element of data, it updates its internal state and produces an
output. RNNs are well-suited for processing sequential data because they can take
into account the context of the data that they have already seen.
4. Once the model has been trained, it can be used to generate new data.
5. Evaluating the results

Chat GPT – full form -Generative Pre-trained Transformer

what is the latest version of Chatgpt – ChatGPT 4 can now understand and process even
images, and it accepts both text and image prompts, is only capable of accepting image
inputs at the moment.
Industry 4.0

1)History of industrial revolution ?

1. Around 1800, mechanisation through water and steam power for production
2. Happened, Around 1900 Electricity and assembly lines
3. Started in 1960s, with introduction of computers and semi conductors, IT
4. 4rth industrial revolution,
Concept of Cyber physical system -it connects material world with virtual
digital world where computers connected with each other and make decision
without/less human intervention
Lot of powerful new technologies are emerging that are transforming our
society such as AI, IOT, 5G

Use Cases
1. Logistics ASSET TRACKING - Asset tracking refers to the ability to locate and track
equipment, tools, and Work in Progress (WIP) inventory
use of Quick Response (QR) codes, Radio Frequency Identification (RFID)

2. Production -Augmented Reality in Supply Chain

Adds digital information to the world around us. For ex:- imagine if you have a pair of
glass that would project information, eliminating the need to move back and forth
between a manual and the equipment

Virtual Reality – is about immersing us into a completely digital world. This digital
world is called the metaverse. Easiest way to experience VR is to use a set of googles that
project 3Dimensional images making your brain thinks that you are somewhere else

VR Cave – is a room in which all the walls are project screens, making it seems like
that you are immersed into a virtual world.

AR uses a real-world setting while VR is completely virtual

Application in Supply Chain

Use Cases of AR
What if a associate look at a truck at the loading dock and instantly see information
about the shipment it is carrying & where it was headed
What if a customer look at one of our product and could look at all the available
accessories

Use Cases of VR
Simulation modelling
Can create an VR version of an assembly line and walk through the entire facility virtually
before investing in building out the physical infrastructure.

Use in Training
Pilots have been using VR flight simulators for years but now this tech is being used to train
other people who operate other kinds of vehicles like semitrucks, forklifts and cranes

3. Production -Preventive Maintaince

predictive maintenance applications remotely keep tabs on the status of connected
assets (temperature, vibration, pressure, etc.), so that maintenance is performed
proactively, on a just-in-time basis.

4. Warehouse - Automonous Mobile Robots

AMRs typically use a variety of sensors to perceive their environment, including:

 Lidar (light detection and ranging): Lidar sensors emit lasers and measure the time it
takes for the light to reflect back to the sensor. This allows the AMR to create a 3D
map of its surroundings.
 Cameras: Cameras can be used to identify objects and features in the environment,
such as walls, doors, and people.
 Ultrasonic sensors: Ultrasonic sensors emit and detect high-frequency sound waves.
This allows the AMR to detect objects that are close to it.

5. Plant -Digital Twins

Digital twins create a virtual copy of the facility which allows

technicians to change operations, plan scenarios and test new
environments without physically changing anything.

6. Admin -Data Entry Using RPA

Internet of things
It is a network of interconnected devices/things(physical or virtual) embedded with
sensors, and software that helps them to collect and exchange data over the internet

Advantages
1. Real-time data collection - For example, if there is a power outage, then we won’t
know until the next day whether our appliances were affected or not. With IoT, this
problem gets solved instantly.
2. Better customer service - If something goes wrong with your car you no longer need
to ask anyone because they will automatically inform you through their mobile app
3. Predictive Maintenance
4. Quality. Control

Disadvantages
1. Privacy concerns
2. Inadequate data storage capacity - The data generated by the sensors are huge in
size, which makes it difficult to store them on a single device or server. This problem
can be solved using cloud computing

Use Cases
 1. Mfg - : Predictive Maintenance - IoT sensors are integrated into
machinery to monitor performance, reduce downtime, and
optimize production processes
2. Mfg – Quality Control
3. Supply Chain - IoT devices are used to track shipments, monitor
inventory levels, track fleet operations

Challenges in implementation
1. ROI challenges – determining the impact of your initiatives
90% of executives struggle to accurately measure the return on investment (ROI)
of their IoT initiatives
Focus on what actual business value IoT should bring to them
2. Change Management challenges
failure rate for IoT projects remains high – between 60% and 85%
Focus on communication, leadership, team configuration and ongoing training –
have to be adapted to the digital environment.
Identify digital role model inside the company who can drive these projects
3. Cybersecurity challenges
With more and more devices and assets connected and networked, executives
are becoming more wary of an increased digital attack surface and greater
vulnerability.
4. Asset management challenges
how to actually realize the connection especially for aging, proprietary
manufacturing assets?

Block Chain
Block Chain is a database system which allows multiple organisations or people to share data
in real time & mitigate concerns of data security
Each transaction is stored in a block and the block are linked together hence forming a chain.

Many challenges in business require storing information securely and exchanging

information with our customers and suppliers

Practically, blockchain is basically a database that can be shared by lots of different people
Its like a shared electronic log book. Blockchains are sometimes called distributed ledger
technology (DLT)

1) Eliminating Discrepancies and Improving Data Security

Buyer creates Purchase order - has PO number & transportation instructions
At the same time Supplier creates sales orders – and tracks information like lot numbers
and serial numbers of the products, along with prices and scheduled shipment dates.

Buyer and seller are both tracking information about the same order, but they are doing it in
completely different systems.
So they have to duplicate efforts and pass information back and forth which oftens leads to
delay and discrepencies

With a Blockchain, they could each be entering their own information into the same
database, that could speed up the transaction and eliminate any discripencies.
If both companies maintain copies of blockchain then there is less risk of data loss due to
cyber attack

2) Auditing and compliance/dispute resolution – information can be easily accessed for

finding out the root cause of a problem

3)Smart Contracts/Automation- when a shipment reaches a particular location, payment of

an invoice can be initiated, thus the process can be automated

4)Blockchain could also be used to store digital property like pictures and music or they can
store the digital twin of a physical object that can be accessed from anywhere. These are
called Non-Fungible Tokens (NFTs)

Advantages
1. Decentralized and distributed storage
2. Transparency
3. Very difficult to tamper

Disadvantages/ Challenges in Implimentation

1. Data modification- Blockchain technology does not allow easy modification of data
once recorded, requires rewriting the codes in all of the block
2. Scalability: it cannot be scaled due to the fixed size of the block for storing
information. The block size is 1 MB due to which it can hold only a couple of
transactions on a single block.
3. Storage: The amount of data that can be stored on a personal computer is limited,
and as the volume of transactions rises, so does the size of the database
4. Lack of Adoption: blockchain ecosystem, for example, would not only need users to
join the network but also its supplier
5. The rising cost of blockchain implementation

Digital Twin

A digital twin is a digital representation of a physical object, person, or process, is updated

from real-time data. The virtual model can be used to run simulations, study performance
issues and generate possible improvements, all with the goal of generating valuable insights
—which can then be applied back to the original physical object.
The difference between digital twin and simulation is largely a matter of scale: While a
simulation typically studies one particular process, a digital twin can itself run any number of
useful simulations in order to study multiple processes.

simulations usually don’t benefit from having real-time data

performance issues could be downtime, energy consumption, maintenance

improvement could be identifying bottlenecks

Use Cases
- GE Predix Jet Engines:
 GE created a digital twin of their jet engine called Predix to help optimize engine
performance.
 Sensors on the physical jet engines send real-time operational data to the digital twin
in the cloud.
 The digital twin simulations then analyze all this data on temperature, pressure,
vibration, etc. using AI algorithms.
 Insights from the twin model help identify anomalies and predict maintenance needs
to reduce downtime.
 Engineers can also use the digital twin to virtually test modifications to improve
engine design and fuel efficiency.
 This has resulted in significant savings on fuel costs and aircraft downtime for airline
customers.
Tesla Digital Prototyping:
 Tesla utilizes digital twins in their design and prototyping process for new car models.
 They create extremely detailed virtual models of the car using CAD software.
 The digital twin then goes through rigorous physics-based testing - crash,
acceleration, aerodynamics etc.
 This virtual development process accelerates the traditionally long, physical
prototype build process.
 Engineers instantly get feedback on virtual designs and can optimize the twins
before building physical versions.
 Tesla can test the limits of new features like battery range, crash safety, and self-
driving capabilities virtually.
 This allows Tesla to innovate faster and bring designs to market quicker than
traditional automakers.
Singapore Digital Twin City:
- torrential rain caused a series of nine damaging floods throughout 2011, causing the
nation to look at ways to tackle the problem.
 Singapore created a dynamic 3D digital twin model of the entire city-state.
 It integrates real-time data from sensors across buildings, infrastructure, traffic
systems, and utilities.
 The virtual model is information to help inform and improve urban planning and
design
 Helps government asset management and decision-making, including detailed tree
and green space management
  assist emergency services with disaster planning and enable them to simulate
evacuation scenarios and the impact of crowd dispersion.

Disadvantages of Digital Twin

- High upfront costs - Creating and implementing a complex digital twin model
requires significant upfront investment in software, IT infrastructure, and technical
skills.
- Maintenance costs - Sustaining a digital twin with real-time data and updating the
model also requires ongoing operational costs.
- Security risks - Transmitting physical asset data to the cloud for the digital twin
introduces potential cybersecurity vulnerabilities.

Control Tower

- It is a centralized management platform/dashboard of data that provides end-to-end

visibility, real-time insights into the supply chain through analytics. It leverage tech
like IoT, RFID, etc data analytics to collect data from different sources within the
supply chain and consolidate data into a single platform

Key Features
- This provides Real-time visibility -ex movement of goods, inventory levels
- Teams can quickly identify constraints and resolve problems.
- Integrate data from multiple sources including suppliers, transporters,
manufacturing, distributors, and retailers.

In essence, a control tower breaks down IT silos and gives unified visibility.
Key points to focus on:
Therefore, it improves collaboration across teams and it increases operational agility and
efficiency

Use Case

Walmart:
 Implemented a control tower solution to manage their massive, complex IT
infrastructure running stores, websites, and supply chain.
 The control tower consolidated data from over 200 different management systems
into a single source of truth.
 This provides Walmart with real-time visibility into outages, performance issues,
infrastructure health, application dependencies, etc.
 Leverages machine learning to baseline normal operations, detect anomalies, analyze
root cause, and take corrective actions.
 Helped Walmart transform from reactive firefighting to proactive optimization and
service reliability improvements.

ERP
SAP stands for Systems Applications and Products in Data Processing

An ERP is a type of software that organizations use to manage day-to-day business activities
such as
 Financial management - manage accounting, cash flow, invoicing, taxation etc.
 HR management - track employees, payroll, benefits, attendance etc.
 Supply chain management - manage procurement, inventory, product planning,
order fulfillment etc.
 Customer relationship management - track sales, marketing, customer service
interactions.
 Manufacturing management - monitor production planning, schedules, quality etc

Benefits/advantages
 Integrated applications - ERP consolidates various business processes into a single
system.
 Real-time reporting - Provides reports and dashboards for insights into operations
 Access control - Manages user access and permissions across modules.

In Dabur SAP S/4HANA was being used

Real-time analytics - By running on an in-memory database, S/4HANA can perform live

analytics on transactional data rather than having to rely on batched reporting. This enables
faster insights.
In SAP S/4HANA, we have two kinds of ML capabilities: Embedded ML and Side by Side ML.
Embedded ML is used for simple ML scenario using classic algorithms like regression, clustering,
classification, and time-series that requires low CPU & RAM and no external data is required. It is based
on the SAP Analytics cloud.
While Side-by-Side ML is used for Complex ML scenarios using deep learning like image or language
processing that requires high CPU & RAM and external data is required. It is based on the SAP Business
Technology Platform.