Nissin Foods USA has adopted artificial intelligence (AI) technology in its supply chain, in what the company said “marks a significant step forward” in its digital transformation.
Nissin Foods USA uses Blue Yonder, an AI company for supply chain services, for demand and supply planning. Blue Yonder has partnered with Highspring, which describes itself as a professional services organization focusing in part on managed services. Highspring offers a supply chain-as-a-service feature.
The Blue Yonder and Highspring partnership has led the companies to implement what they call Blue Yonder Demand and Supply Planning. Nissin Foods USA uses that offering, which features both AI and machine learning (ML) technologies.
Nissin Foods began in 1958 and is known for inventing the first instant ramen noodle in Japan. It launched “Cup Noodle” in Japan in 1971, and then debuted as “Cup Noodles” in the U.S. in 1973.
Nissin Foods’ AI-powered supply chain transformation
In using the technology, Nissin Foods is transitioning “from legacy planning tools to a fully integrated AI-powered supply chain solution,” the companies announced in late July.
“Nissin Foods gains access to a comprehensive approach that replaces traditional manual processes and sales-driven forecasting with accurate, unbiased, and data-driven planning capabilities,” the companies announced.
It said the collaboration helps Nissin Foods to:
- Streamline inventory management.
- Improve forecasting accuracy.
- Reduce operational costs.
Yukio Yokoyama, chief representative for the Americas and CEO of Nissin Foods, said in a statement that the digital transformation empowers the company. He said the partnership enables enhanced visibility, agility and collaboration across Nissin Foods’ supply chain, finance and operations teams.
“By leveraging advanced planning capabilities, we will be able to make smarter decisions, respond more quickly to market changes, and operate more efficiently across our business,” Yokoyama said. “Just as importantly, this transformation will strengthen our partnerships with customers by helping us better serve their needs, anticipate changing demand, and adapt to evolving consumer preferences, ensuring we continue to deliver the quality, reliability, and value they expect from Nissin Foods.”
How the AI fits into the supply chain technology
Blue Yonder and Highspring said the Demand and Supply Planning tool features “an intelligent optimization solver.” They said that will enable Nissin Foods “to increase fill rates while reducing existing inventory levels and maximizing re
They said their offering also provides:
- Automated forecasting. The solution uses AI and ML to improve forecast accuracy, reduce working capital and build supply chain resiliency.
- Accurate, real-time insights. That provides greater agility for finance and operations teams.
- A flexible managed services model.
“With AI- and ML-driven innovation from Blue Yonder and Highspring’s deep domain experience coupled with unique supply chain-as-a-service, we look forward to serving Nissin Foods in its vision to improve its operational efficiency, improve forecast accuracy, and make better planning decisions, allowing Nissin to focus on its core competency by offering an innovative variety of products at a faster pace,” said Bob Patel, managing partner and practice leader for retail planning and supply chain management at Highspring.
