Generative artificial intelligence (AI) platforms like ChatGPT are becoming a popular investment among retailers and suppliers. Retail giants Walmart and Amazon have already started implementing chatbots to their business relationships. Walmart began deploying the Pactum AI in 2021, which is a generative AI chatbot designed to close deals with its suppliers. The chatbot successfully negotiated with 64% of the participating suppliers – three times the expected target. Walmart was able to obtain 1.5% in cost savings and an extended payment terms to 35 days.
Other enterprises have also started using chatbots in various aspects of their business. Text-to-shop service was rolled out in December, which allowed customers to text the items they wanted into the Walmart app. The service has resonated well with 50 million customers so far. Walmart also uses chatbots internally to help employees answer work-related queries. Named “Ask Sam”, the chatbot has answered 1.3 billion questions in 2020.
Apart from Walmart, other retailers and suppliers can use ChatGPT for several applications which include predictive analytics software to predict future demands, monitoring inventory levels in real-time, generating content for blogs and sales & marketing based on data provided, and many more.
According to Justin Richie, the VP of data at Bentonville-based RevUnit, chatbots provide enterprises with more time to handle repetitive tasks, and in the future, they could also become change managers that will help businesses maximize efficiency. As more companies start turning to chatbot technology, Richie advises them to ensure that they take the necessary precautionary measures to protect sensitive information from hackers.
As the technology continues to evolve, it is evident that it has several benefits that can boost business efficiency. By implementing ChatGPT and other chatbot systems, companies can free up valuable time while handling tasks that they are best suited for handling. In all, ChatGPT is a great product for the supply chain, and the benefits are far-reaching.
