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In 1983, I, like thousands of children, was desperate for a Cabbage Patch Kid. The problem: Supply couldn’t keep up with demand, so toy stores created waiting lists, and covenants were made among close-friend parents to “buy an extra or two,” if, by chance, any of Xavier Roberts’ offspring were seen on store shelves. (This was a likelihood tantamount to catching Santa Clause.)
After speaking with Ryan Reinhardt, Johnson & Johnson’s head of Supply Chain Management for this “Industry insights” Q&A, I couldn’t help but think, “If only artificial intelligence (AI) were available in the early 1980s. This way, the company (Coleco Industries) that produced Cabbage Patch Kids could have better met the demand.”
Here, Reinhardt discusses Johnson & Johnson’s recent use of AI in enhancing its product supply chain.
Q: Regarding Johnson & Johnson, how is AI optimizing the supply chain logistics and enhancing the reliability of delivering eye health solutions?
A: It’s allowing us to make quicker decisions with the data we have. We have tens of thousands of data points coming out of our supply chain per minute. By combining the power of AI with our supply chain expertise, we find answers to some of the most pressing healthcare challenges. It gives us the ability to accelerate breakthroughs.
Q: How does that translate into enhancing the private practice OD’s way of operating business?
A: We have thousands of SKUs in our supply chain and customers all over the world. What AI does is allow us to deliver smarter, more personalized health care for patients and offer efficiency and precision for optometrists by connecting our standard operating procedures with integrated business planning.
Q: Is there a certain area where AI has been particularly beneficial to Johnson & Johnson and the vision supply chain?
A: Definitely. AI has played a starring role in revolutionizing how we work, think, and solve problems. For the manufacturing shop floor, what this means is that we’re able to provide faster insights to guide decision-making and optimize our supply chain processes. OM