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How AI is Becoming the Brain of the Supply Chain

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How AI is becoming the brain of the supply chain

Traditional supply chain systems (WMS, TMS, ERP, LMS) are great at managing what they are told to manage. The WMS knows where inventory is; the TMS knows the location and movement of truck assets, and the LMS knows who is assigned to each task. But they lack the intelligence to interpret changing conditions in real-time. Artificial intelligence is stepping in to fill that gap, acting as the “brain” that connects planning with execution.

Agentic AI ingests demand plans, production plans, labor plans, inventory targets and transportation commitments. It doesn’t just respond to commands; it perceives, decides, and acts independently to navigate complexity, adapt in real time, and optimize operations across shifting constraints. In the warehouse, this represents a significant shift from rule-based automation to intelligent orchestration, aligning labor, inventory, and throughput with business goals.

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