Intel

Intel

Mani Janakiram, PhD, Senior Director, Supply Chain Intelligence and Analytics
Intel
Industry: Technology

Business Challenge

As Intel transitions from a personal computer-centric business to a data-centric business, its product portfolio diversifies and expands. Consequently, the supply chain supply chain faces growing volumes (while integrating mergers and acquisitions as needed), increasing complexity across all supply chain functions, and expanding its customer base and affiliated ecosystems to support Intel’s $70 billion revenue.

Intel’s vast global supply network comprises thousands of suppliers. The high technology sector sees supplier consolidations, often influencing the quality, availability and pricing of products and services. Intel strives to minimize cost, to improve velocity, and to mitigate supply disruptions, which could harm its business and impact customers’ success.

Analytics Solution

Big data (in both structured and unstructured forms) is a lifeblood for the future of technology innovation and actionable insights. Intel is on a digital transformation journey and has been developing artificial intelligence (AI)/machine learning, cognitive computing methods, along with advanced analytics, to aid in making sense of the vast quantities of unstructured data (particularly external to the company). Supply chain decision makers now have targeted/proactive information to support more complex data-based decisions, to identify new options and opportunities, and to alert potential supply disruptions, sustainability issues and SC risks.

Sourcing intelligence proceeds more efficiently and expeditiously through augmented and automated analysis. More accurate/proactive sourcing decisions are made possible through supplier similarity and targeted research results. Furthermore, sourcing decision makers are kept up-to-date on situations that may require doing things differently.

Impact

Targeted Intel AI-based sourcing intelligence pilots in 2017 resulted in more than $30 million in savings, with substantially more opportunity as a platform solution within Intel in 2018+. Many intangible savings also resulted from early identification of mergers and acquisitions, sustainability and intelligence insights that mitigated SC risk. This “Intel AI/Cognitive Computing Based Sourcing Intelligence” solution won the 2018 CSCMP Innovation Award and is leading the way to digital supply chain at Intel.