**London**: The shift towards Service-as-Software signifies a major transformation in enterprise IT, particularly impacting the supply chain sector with the introduction of AI digital workers like Tracy and Sam, which enhance efficiency and redefine workforce dynamics.
Enterprise IT is undergoing a significant transformation, with a shift towards what is increasingly referred to as “Service-as-Software.” This evolution, likened to the previous move towards Software-as-a-Service (SaaS), is poised to have a profound impact on industries and their workforces. The transformation is already evident in the supply chain sector, where organisations are embracing digital workers capable of autonomously managing complex workflows.
SaaS fundamentally changed business operations by transitioning IT from on-premises solutions to cloud-based platforms. This shift not only democratized access to sophisticated tools but also significantly reduced infrastructure costs and maintenance. However, SaaS still relies on human interaction, requiring staff to enter data, analyse outputs, and take proactive measures.
In contrast, Service-as-Software leverages advanced artificial intelligence (AI) to perform workflows without the need for human intervention. This radical approach could lead to substantial efficiency gains, especially in supply chain operations, where the need to manage vast amounts of data and coordination becomes increasingly complex.
FourKites, a logistics and supply chain technology company, recently announced the launch of two digital workers—Tracy and Sam—designed to optimise supply chain workflows. Tracy specializes in “track-and-trace,” monitoring and documenting shipments from origin to destination, while Sam is an expert in supplier collaboration, automating documentation, updating records, and managing supplier communication. According to FourKites, these digital workers can help supply chain teams manage up to 40% more shipments and reduce manual coordination tasks by up to 80%.
Although Tracy and Sam are often referred to as digital workers, they are highly advanced AI agents rather than merely sophisticated chatbots. Unlike generic AI tools, these digital workers are tailored for specific applications, bringing deep domain expertise and contextual understanding to intricate tasks previously managed by humans. They can address exceptions in real time by collaborating with carriers, suppliers, and customers, thus streamlining processes that could lead to potential disruptions.
The capabilities of these digital workers extend to risk mitigation, data centralization, and self-learning. They can proactively identify risks, collect relevant data from partners, and continuously improve their effectiveness over time, ultimately leading to enhanced business outcomes.
However, the integration of digital workers raises important questions regarding the implications for human employees. It is anticipated that these digital agents will reduce the need for manual labour in certain areas, potentially leading companies to reconsider their hiring strategies. Nonetheless, as digital workers take on routine tasks, they cannot replicate the intricate knowledge and judgement that human employees provide, which suggests a shift in workforce dynamics rather than outright replacement.
Matt Elenjickal, Founder and CEO of FourKites, emphasizes the need for organisations to adapt to this technological shift by prioritising automation opportunities and selecting integrated systems of agents. He advocates for a redesign of workforce roles to emphasise strategic activities and effective exception handling while promoting cultural shifts within organisations to embrace AI tools positively. By repositioning human oversight as a value-add to operations and allowing digital workers to handle repetitive tasks, companies can navigate this evolving landscape successfully.
As the movement towards digital transformation continues, it appears that supply chain operators who recognise and adapt to the advent of digital workers are positioning themselves to lead in an increasingly complex industry landscape.
Source: Noah Wire Services