ComActivity’s co-founder, Jason Levick has an incredible depth of knowledge about ERP. As a key visionary in our business, he always has an eye on the future. We recently had the pleasure of spending some time with Jason, to discuss his thoughts on the future of ERP and enterprise systems for supply chain organisations. Here’s what he had to say:

What do you see as the next major developments for supply chain organisations using enterprise systems?

Jason: In an era where enterprise systems are mature and cloud computing is becoming the norm, supply chain organisations are looking for the next step change that will lead to reducing costs and driving value out of their enterprise systems. The future of enterprise systems, like ERP, is on a steep change curve, driven by the acceleration of three critical technologies: artificial intelligence (AI), the Internet of Things (IoT), and improvements in system integration.

We hear so much about AI these days – how do you envision AI transforming enterprise systems within supply chain organisations?

Jason: AI will bring significant changes, much like what we’ve seen with robots in warehousing. For instance, AI can optimise robots to navigate warehouses efficiently, avoiding each other while performing tasks such as picking and replenishment. Similarly, AI can take over processes within the enterprise system itself. Take procurement planning as an example: AI can manage the general process by analysing demand forecasts, stock levels, average usage, capital constraints, supplier minimum order quantities, and lead times. With the appropriate rules and governance, the system could remove the user from this activity, fundamentally changing ERP software. Less energy would be required on the user interface and more on ensuring the AI is fed the right data from the system.

AI is everywhere! Can you give another example of how AI might be utilised?

Jason: Yes, sure. Another example that comes quickly to mind, is the management of outbound shipments for organisations. This involves calculating the available capacity of transport, the actual amount of product to be shipped, and the required routes. There’s no reason why the system can’t handle this, given it has all the necessary data to plan outbound activities for the day. These examples illustrate that we’re not far from seeing significant automation in managing processes within organisations, which will change how they operate. It will also lower the bar for smaller organisations to be more efficient without needing a large workforce to manage micro-processes within their supply chains.

Let’s talk about integration – how that evolve in this new landscape?

Jason: Integration has never been more important, and in the future, we see it extending to a “business enablement platform”, moving from the enterprise into more event-based synchronous activities managed by microservices. These integrations will be handled by standard connections managed as a service. The platform will monitor services across all applications, highlight data issues, and accommodate special applications within the organisation. This business enablement platform will be ideal for delivering AI-related solutions, as it will provide a comprehensive view of processes and data across multiple applications without being tied to a single enterprise system.

How important is integration to AI initiatives?

Jason: Integration is absolutely critical for AI initiatives to be successful in supply chain organisations. AI thrives on data, and without seamless integration between systems, the necessary data flow can be severely hindered. Effective integration ensures that all relevant data from various sources—be it sensors, enterprise systems, or external databases—can be aggregated and analysed in real time. This holistic view is essential for AI to make accurate predictions, optimise processes, and automate tasks efficiently. Moreover, a well-integrated system reduces data silos, ensuring that the AI can access comprehensive and up-to-date information, ultimately leading to smarter decision-making and more agile supply chain operations. Integration acts as the backbone that supports and amplifies the capabilities of AI, making it indispensable for any forward-thinking supply chain organisation.

And finally, you spoke about IoT – what role will that play in the future?

Jason: It’s huge. With advancements in devices and sensors communicating through Wi-Fi, telecommunications networks, peer-to-peer, and low-power technologies, the acceleration of data points and the types of data captured will increase exponentially. For example, sensors on bins of food products can capture GPS, temperature, vibration, and other data, communicating in real-time or when events occur. Applications include machines on the shop floor notifying maintenance teams of scheduled maintenance, detecting when products are added to production, monitoring the exact locations of pallets and storage containers, and tracking farms through ear tags or tree-picking sensors. Embedding AI in these sensors will further enhance their value for supply chain organisations.

To wrap up, how do you see these advancements in AI, Integration and IoT impact supply chain organisations?

Jason: These technologies will allow for greater automation within enterprise systems, big data and machine learning, adding new types of data for analytics and business optimisation. It’s an exciting future as we begin to see the potential of these new technologies. There will be a race to the top in terms of delivering value propositions. Stay tuned!