J&J, Novelis Target Back-Office AI for Fast ROI as Plant Scale Lags
Ai4
Manufacturers achieve positive returns in under six months by automating administrative and supply chain workflows with natural language tools, while factory-floor automation remains constrained by disparate legacy systems and workforce resistance.
## Background
Published on YouTube by the Ai4 channel on August 28, 2025, this panel discussion explores how artificial intelligence is revolutionizing manufacturing operations by boosting yield, automating processes, and improving worker safety. Moderated by Alpha Edison and featuring leaders from Johnson & Johnson, Novelis, Kognitos, and qBotica, the session examines both factory-floor execution and the structural challenges of scaling AI across global enterprise footprints.
## TL;DR
Enterprise leaders across industrial recycling, healthcare manufacturing, and software automation examine the shift from isolated AI proofs-of-concept to global, production-scale deployments. While heavy industrial plants leverage human-in-the-loop AI for predictive maintenance, process stability, and floor safety, the panel highlights that back-office workflows—such as document processing, supply chain triage, and voice-driven order intake—often deliver the fastest financial payback in under six months. Overcoming fragmented legacy IT, plant-level operational inertia, and strict regulatory hurdles requires deep data governance and natural-language interfaces. Looking ahead, the panelists project that multi-agent orchestration and GenAI-integrated digital twins will serve as the core stepping stones toward autonomous plant operations.
## Atmosphere & style
The panel maintains a pragmatic, intellectually grounded, and collaborative tone, eschewing generic tech hype in favor of hard-won operational realities and evocative metaphors—such as driving state-of-the-art autonomous cars on last-century highway systems or training robots to dance on uneven terrain. The interplay between Fortune 500 manufacturing executives and automation innovators creates a balanced dynamic between heavy regulatory compliance and fast-paced agile development. A successful live voice-agent demo introduces a spark of interactive energy, giving the session a tangible, forward-looking pulse grounded in everyday enterprise problem-solving.
## Key takeaways
- [00:39](https://www.youtube.com/watch?v=vp5lAR2pawE&t=39s) Generative AI has revived traditional Robotic Process Automation (RPA) by effectively parsing complex, unstructured documents and messy data inputs where rule-based bots historically failed.
- [02:50](https://www.youtube.com/watch?v=vp5lAR2pawE&t=170s) Large enterprise AI transformation typically moves through three horizons—0-to-1 ideation, 1-to-10 piloting, and 10-to-100 global scaling—with major manufacturers currently navigating the 10-to-100 enterprise scaling phase.
- [04:44](https://www.youtube.com/watch?v=vp5lAR2pawE&t=284s) In heavy industrial manufacturing, AI currently acts as an assistive 'human-in-the-loop' co-pilot to suggest optimal equipment parameters and improve shop-floor safety, rather than providing fully autonomous control.
- [05:59](https://www.youtube.com/watch?v=vp5lAR2pawE&t=359s) Adopting 'English as code' allows non-technical business operators to configure automated workflows using natural language while maintaining enterprise governance and auditability.
- [07:10](https://www.youtube.com/watch?v=vp5lAR2pawE&t=430s) Targeting administrative back-office bottlenecks like order entry and invoice reconciliation unlocks trapped working capital and delivers measurable ROI in under six months, de-risking larger long-term factory transformations.
- [09:38](https://www.youtube.com/watch?v=vp5lAR2pawE&t=578s) Value drivers for AI differ across industrial sectors: petrochemicals prioritize emission control, asset reliability, and safety, whereas life sciences and pharma emphasize batch consistency, yield optimization, and regulatory compliance.
- [16:56](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1016s) Scaling AI across multi-plant footprints is hindered by localized process divergence, legacy IT systems, and workforce skepticism from previous multi-year enterprise software failures.
- [19:31](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1171s) Enterprise AI implementation in manufacturing faces three primary pillars of friction: outdated legacy IT infrastructure, operational change management and operator trust, and lagging regulatory compliance frameworks.
- [23:21](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1401s) Positioning AI as an assistant that offloads repetitive administrative paperwork helps frontline workers ascend 'Maslow's hierarchy' of work, shifting human bandwidth to higher-value problem solving.
- [31:13](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1873s) Modern conversational voice agents can orchestrate real-time actions across disparate backend systems—such as CRMs and Transportation Management Systems—handling mathematical conversions and safety guardrails seamlessly.
- [36:06](https://www.youtube.com/watch?v=vp5lAR2pawE&t=2166s) Predictive AI models deployed across expansive multi-tier supplier networks simulate dynamic macro disruptions, such as tariff fluctuations, to proactively prevent supply chain shortages.
- [40:14](https://www.youtube.com/watch?v=vp5lAR2pawE&t=2414s) The 12-to-18-month manufacturing outlook centers on multi-agent supervisory architectures and generative AI-powered digital twins, establishing the foundation for end-to-end autonomous factory operations.
## Detailed walkthrough
### [00:04](https://www.youtube.com/watch?v=vp5lAR2pawE&t=4s) Introduction & The Panel's Diverse Perspectives
Fen Zhao, Director of Research & Data Science at Alpha Edison, opens the panel by introducing the focus of the session: the intersection of artificial intelligence and manufacturing operations. Speaking from the perspective of a Los Angeles–based venture capital firm that has historically invested in both manufacturing and AI independently, Zhao highlights how compelling it is that venture capital is now deploying capital right at their confluence. She invites the panelists to take their seats and introduce themselves, emphasizing that the diverse representation across enterprise manufacturing, robotics, and software automation provides a multi-angle lens on what modern industrial AI actually looks like in practice.
---
[00:39](https://www.youtube.com/watch?v=vp5lAR2pawE&t=39s) qBotica: Automation as a Service and Reviving Process Workflows with GenAI
Mahesh Vinayagam, CEO and founder of qBotica, opens the introductions by explaining his company's position as an "automation as a service" provider. Operating at the seam between software and service, qBotica combines proprietary tools with partner technology from Kognitos to push capabilities past what custom-built in-house code can achieve alone. Their operational scope is domain-agnostic across shared services—spanning finance, accounting, procurement, operations, customer support, and supply chain logistics for clients in manufacturing, healthcare, and financial services.
Vinayagam highlights that their core competitive edge lies in handling complex, unstructured document processing so that automated process orchestration does not break down. Traditional Robotic Process Automation (RPA) made early inroads, but it "started to fail big time in the last five years" whenever erratic or messy unstructured inputs entered the workflow. Generative AI has driven a critical revival of these pipelines. Having leveraged OpenAI models since the initial iterations in 2020, Vinayagam cites client examples like Polaris Transportation, which utilized generative AI over five years to process significantly higher order volumes than their competitors. Beyond commercial deployments, Vinayagam notes his base in Phoenix, Arizona, where he works with Arizona State University (ASU), the Technology and Entrepreneurship Board, and Future Business Leaders of America (FBLA) to foster AI literacy from grade schools to university programs.
```mermaid
flowchart TD
accTitle: Evolution of Automation in Shared Services Workflows
subgraph Modern["qBotica + GenAI Orchestration"]
E["Complex Unstructured Information"] --> F["Generative AI & LLMs (since 2020)"]
F --> G["Resilient Process Orchestration"]
G --> H["Accelerated Back-Office Throughput\ne.g., Polaris Transportation Orders"]
end
```
---
[02:50](https://www.youtube.com/watch?v=vp5lAR2pawE&t=170s) Johnson & Johnson: Navigating the 10-to-100 Digital & AI Journey in Healthcare
Jie "Jay" Yu introduces his background as Head of Digital & Data Science Product Management at Johnson & Johnson. Operating from the enterprise corporate level, his team functions as a centralized Center of Excellence (CoE) steering digital and AI transformation across J&J's two core operating sectors: pharmaceuticals and medical technology (MedTech). Because the healthcare giant operates in more than 100 countries across the globe, solutions must scale enterprise-wide to meet diverse regional and regulatory constraints.
Yu conceptualizes the company's enterprise transformation in three distinct evolutionary horizons:
* Phase 1: 0 to 1 (Initial ideation and proof-of-concept experimentation)
* Phase 2: 1 to 10 (Validating use cases and establishing functional pilots)
* Phase 3: 10 to 100 (Global scaling, ecosystem integration, and enterprise-wide adoption)
J&J has already moved past the "0 to 1" and "1 to 10" phases and currently navigates the complex "10 to 100" scaling phase. Emerging digital technologies, machine learning, and generative AI capabilities have permeated all primary business segments and operational functions. Yu emphasizes that J&J relies heavily on partnering with external software vendors and technology providers to build cutting-edge digital products, aiming to fundamentally reshape the future delivery of healthcare.
---
[04:44](https://www.youtube.com/watch?v=vp5lAR2pawE&t=284s) Novelis: Aluminum Recycling, Human-in-the-Loop Automation, and Plant Safety
Chirag Agrawal introduces his work as Global Head of Data Science at Novelis, the global leader in flat-rolled aluminum products and aluminum recycling. Operating roughly 30 plants worldwide, Novelis supplies key industrial sectors including automotive, aerospace, and beverage packaging. Agrawal contextualizes Novelis's sheer scale with an everyday observation: whenever someone drinks from an aluminum beer or soda can, there is a 50% chance the metal was rolled and processed by Novelis. Similarly, Nespresso coffee pods rely directly on Novelis recycled aluminum.
Within heavy manufacturing plants, Agrawal frames their current artificial intelligence strategy primarily as an assistive layer rather than full autonomous control, concentrating resources on two major frontiers:
* **Partial Automation with Human-in-the-Loop:** Deploying AI systems to streamline and automate complex industrial rolling and recycling operations while preserving expert human supervision for edge cases and critical intervention.
* **Plant Floor Safety:** Protecting workers in facilities dominated by massive machinery and heavy industrial hazards by utilizing computer vision and predictive models to mitigate accidents and improve environmental safety.
---
[05:59](https://www.youtube.com/watch?v=vp5lAR2pawE&t=359s) Kognitos: English as Code and Making AI Approachable
Trevor Seim introduces Kognitos, where he serves as Head of Sales. The core charter of Kognitos is to demystify enterprise AI and make it radically more approachable for organizations at varying stages of maturity. A primary focus is enterprise business process automation, working alongside partners like qBotica to eliminate the technical friction traditionally required to program software automations.
Kognitos achieves this democratization by championing "English as code," allowing end business users to build, adjust, and orchestrate complex automated workflows using natural human language. Seim underlines that accessibility must not come at the expense of control; the platform wraps these capabilities in strict enterprise governance frameworks to provide complete auditability, visibility, and operational insight into how automated agents execute tasks. Seim observes that enterprise clients span the entire adoption curve—from early exploration to mid-stage validation and late-stage industrial scaling—requiring architectures capable of meeting novices where they are while scaling mature users into production.
---
[07:10](https://www.youtube.com/watch?v=vp5lAR2pawE&t=430s) Greatest Immediate Impact: Unlocking Back-Office Working Capital
Moderator Fen Zhao poses the panel's first core debate: across all potential avenues of industrial transformation—from factory floor yield optimization to worker safety—where does AI deliver the greatest and most immediate operational impact today?
Mahesh Vinayagam steps in first, ceding the upcoming discussion on factory-floor yield and machinery tuning to Agrawal and Yu while directing attention to the frequently overlooked operational back office. While production plants adopted automation hardware decades ahead of other sectors, their administrative and operational back ends remain heavily manual and fragmented. Vinayagam stresses that while tier-one manufacturing conglomerates can often engineer internal efficiencies, mid-tier industrial suppliers suffer enormous administrative drag:
* **Working Capital Trapped in Inefficient Cycles:** Significant capital remains tied up in slow order processing, delayed invoice approvals, and sluggish supplier payments, directly impeding cash flow and supplier goodwill.
* **Voice-Activated Order Management:** Vinayagam details an interaction from the conference floor showcasing voice-activated generative AI bots that take spoken customer inputs over the phone to instantly compile orders. An attendee from the Midwest praised the architecture, noting that mobile sales teams and field workers driving across rural areas frequently lack cellular data connectivity, making voice-based AI ingestion a transformative solution for capturing orders on the go.
* **High-Leverage Back-Office Touchpoints:** The immediate bottom-line impact is unlocking liquidity and cycle time across invoice payments, order entry, and multi-tier approval tracking. Jie Yu signals agreement and prepares to bridge these operational wins back to core manufacturing and shop-floor execution.
[09:38](https://www.youtube.com/watch?v=vp5lAR2pawE&t=578s) From Petrochemicals to Healthcare: The Multi-Industry ROI of AI
Reflecting on how AI creates tangible business impact and return on investment, Jie Yu draws on his contrasting background across energy and life sciences, comparing his decade-plus tenure at Shell with his current role at Johnson & Johnson. In the petrochemical sector, traditional AI and machine learning technologies—implemented even before the current generative AI boom—were deployed primarily around heavy industrial concerns: tightening emission controls, strengthening safety records, driving sustainability, and maximizing operational reliability.
Transitioning into pharmaceutical and medical manufacturing shifts the value equation toward batch consistency, compliance, and clinical availability. AI is applied to minimize batch-to-batch variability across the same factories and plants, ensuring that high-potency drug products remain stable. Beyond quality assurance, operations leverage AI to enhance productivity and boost production yield—enabling facilities to extract more usable therapies from each run for patients in need. Advanced capabilities such as digital twins and predictive maintenance streamline end-to-end manufacturing cycle times, accelerating delivery schedules and translating technical performance directly into financial value.
```mermaid
flowchart TD
accTitle: AI Value Drivers Across Industrial and Healthcare Manufacturing
subgraph HeavyIndustry["Petrochemical / Energy Sector (e.g., Shell)"]
A["Safety Records & Risk Mitigation"]
B["Emission Controls & Sustainability"]
C["Asset Reliability"]
end
HeavyIndustry --> G["Accelerated Operational ROI"]
LifeSciences --> G
```
- **Safety vs. Quality priorities:** Petrochemical operations place massive weight on hazardous safety and emission containment, whereas pharma prioritizes strict batch stability and patient delivery speed.
- **Yield and cycle time impact:** AI-driven optimization enables plants to increase total output from existing production lines while shortening overall process cycle times.
---
[12:04](https://www.youtube.com/watch?v=vp5lAR2pawE&t=724s) AI as a Co-Pilot and Scaling Across Factory Operations
Chirag Agrawal contextualizes Novelis's AI adoption by comparing its current state to electric vehicles a decade ago: "We're kind of like where Tesla was maybe 10 years back, where you know you were buying a Tesla, but that was your secondary car; your primary car was always a gasoline car." In heavy industrial settings, AI acts as an assistant or "additional hand" to experienced operators, suggesting optimal equipment setup angles while keeping a human firmly in the loop to accept, modify, or reject recommendations.
Novelis initially started by building one-off, isolated projects—such as localized demand and price forecasting models—to prove AI's feasibility. However, leadership quickly realized that fragmented use cases fail to move the needle on the corporate bottom line. The strategy pivoted toward prioritizing high-impact, repeatable initiatives directly aligned with executive ESG and operating goals. For Novelis, this meant focusing on core enterprise targets, such as lifting recycled aluminum content from 63% to 75% and driving down energy consumption across dozens of plants.
- **Human-in-the-loop assistance:** Operators maintain final decision-making authority on machinery set-points based on AI-generated guidance.
- **Strategic pivoting:** Abandoned fragmented use cases in favor of scalable, top-down enterprise priorities.
- **Top scalable operational drivers:**
- *Predictive maintenance:* Centralized monitoring deployable across global manufacturing sites.
- *Plant safety:* Computer vision systems monitoring floor conditions across multiple facilities.
- *Sustainability & energy:* Models targeting energy reduction and increasing recycled material input to 75%.
---
[15:20](https://www.youtube.com/watch?v=vp5lAR2pawE&t=920s) The ROI Dilemma: Big Bets vs. Small Incremental AI Wins
Trevor Seim highlights a stark contrast in the market: roughly 83% of manufacturing organizations are actively launching AI initiatives to stay competitive, lean, and profitable, yet analyst projections from firms like Forrester warn that enterprise-wide AI investments often take three to five years to realize meaningful returns.
Instead of jumping straight into complex, capital-intensive shop-floor automations that take years to pay off, Seim advocates starting with smaller, lower-risk deployments. Pragmatic, back-office operations—such as automating bill of lading ingestion or analyzing raw material documentation in the supply chain—deliver rapid financial payoffs. These initial wins cultivate internal AI expertise, build stakeholder confidence, and generate the proven track record required to justify larger operational transformations.
- **Market adoption:** 83% of manufacturers are pursuing active AI deployments to improve margins and yields.
- **Analyst expectations:** Large-scale AI initiatives frequently carry a 3–5 year time horizon before delivering positive ROI.
- **Incremental entry points:** Back-office logistics, bill of lading document processing, and supply chain material insights offer immediate payback and de-risk organizational learning.
---
[16:56](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1016s) Scaling Bottlenecks: Process Variance, M&A Legacy Systems, and Human Inertia
When asked about the major hurdles encountered while deploying solutions across multi-facility operations—such as Novelis's footprint of roughly 30 plants—Mahesh Vinayagam points out that the core roadblock is cultural and structural rather than technological. The greatest friction comes from human inertia and procedural divergence: even within the same company, different plants execute the exact same core process in completely different ways.
This fragmentation is amplified by decades of mergers and acquisitions, leaving enterprises with a patchwork of disparate ERPs, point solutions, and accounting platforms. Furthermore, past enterprise software rollouts—where legacy vendors sold multi-million-dollar monolithic platforms requiring five-year migrations—have left operations teams weary of new tech promises. To overcome these hurdles, qBotica utilizes process and task mining to uncover variances between facilities before standardizing workflows. Additionally, the broader cultural exposure generated by tools like ChatGPT has significantly lowered end-user skepticism, making shop-floor and administrative staff far more receptive to automation.
- **Process inconsistency:** Merged entities and localized operational habits create substantial variations in how individual plants execute standard workflows.
- **Legacy software fatigue:** Historical multi-year, multi-million-dollar vendor implementations have created resistance to sweeping technical overhauls.
- **Adoption catalysts:** Process mining establishes baseline workflow visibility, while consumer AI familiarity has helped overcome workforce inertia.
[19:02](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1142s) Conversational AI as the Catalyst for Enterprise Adoption
The session opens with a discussion on how startups like qBotica and Kognitos previously had to push hard to get prospective clients to pay attention to automation and AI solutions. For a long time, enterprise stakeholders did not open their eyes to the potential of these tools. That dynamic shifted dramatically with the mainstream rise of ChatGPT. Everyday consumer exposure gave workers and decision-makers firsthand experience with conversational AI, leading them to realize that the intuitive interactions they use for personal tasks can be directly applied to work environments.
Referencing earlier keynote remarks by Dr. Fei-Fei Li, the panel emphasizes that innate human curiosity, inquisitiveness, and natural ways of conversing are vital catalysts for adopting AI. Rather than being forced to learn rigid, technical syntax, people can interact naturally with systems, making AI adoption far more accessible and intuitive across organizations.
[19:31](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1171s) J&J’s Three Pillars of Challenges: Technical Infrastructure, Change Management, and Regulation
Jie Yu outlines the three primary categories of challenges Johnson & Johnson encounters when implementing AI in manufacturing operations:
```mermaid
flowchart TD
accTitle: Three Pillars of AI Adoption Challenges in Manufacturing
subgraph S1["1. Technical & Foundation"]
A["Advanced AI Models & LLMs"] --> B["Legacy Infrastructure & Data Quality"]
B --> C["Enterprise Data Management Council"]
end
subgraph S2["2. People & Operations"]
D["Shop-Floor Operators"] --> E["Fear of Tech & Lack of Education"]
E --> F["Augmented Tools & Trust Building"]
end
subgraph S3["3. Governance & Regulatory"]
G["Healthcare Regulation"] --> H["Compliance with FDA, EMA, etc."]
H --> I["Regulations Lagging Behind AI"]
end
```
The first hurdle is technical, which Yu illustrates through a vivid metaphor: developing state-of-the-art AI is like "building the most fancy and advanced autonomous or self-driving car," while still driving it on "last century's highway system." Manufacturers are experimenting with advanced machine learning and Large Language Models (LLMs), but the underlying base IT landscape consists of obsolete, disparate legacy systems. Data quality, availability, and readiness issues create constant friction. To avoid the pitfall of spending huge sums on sophisticated models only to yield "garbage in, garbage out," Johnson & Johnson instituted an enterprise-wide Data Management Council spanning all business segments to enforce cross-functional data governance and establish a standardized global data foundation.
The second major hurdle is operational change management on the factory floor. Advanced AI, generative AI, and agentic workflows must ultimately be used by shop-floor operators. Echoing Professor Fei-Fei Li's emphasis on foundational education, Yu notes that many plant workers have limited technical literacy, leading them to view AI tools as existential threats to their livelihoods rather than assistive aids. Without proper training and trust, operators resist adopting automated optimization tools. Finally, the third major hurdle is regulatory compliance in healthcare. Companies must navigate compliance not just with the US FDA, but also the European Medicines Agency (EMA) and regional health authorities worldwide. Because regulatory guidance often lags significantly behind the pace of technological innovation, ensuring global compliance remains a constant bottleneck.
[23:21](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1401s) Scaling Difficulties, Plant Mindsets, and Moving Up Maslow's Hierarchy
Chirag Agrawal builds upon the operational hurdles, highlighting that scaling an AI model across multiple manufacturing plants is fundamentally different from a simple software rollout. Using the analogy of teaching a robot to dance across varying landscapes, he explains that deploying a proven model into a new plant requires retraining because equipment parameters, local workflows, and operating environments differ:
> "Scaling is like similar to you are asking a robot to dance on a different terrain and you're trying to train your robot to dance on a different terrain."
Beyond technical retraining, plant culture often presents rigid resistance. Plant teams frequently push back with legacy mindsets, insisting, *"I've been working on my system for the last 20 years and I've been working like this, this is the best way to do it."* Agrawal stresses that AI is not a magic fix for broken processes or dirty data, and it cannot unilaterally run operations without human guidance. Alleviating the fear of job loss requires showing workers that AI acts as an assistant. Taking over routine paperwork and manual administrative tasks frees employees to ascend "Maslow's hierarchy" of work—giving them the bandwidth to focus on strategic thinking, plant improvements, and higher-value initiatives.
- **Legacy Integration Overhead:** Real-world plants rely on mainframe systems coupled with dozens of disparate Oracle and SAP ERP instances, making silo elimination a key requirement for multi-agent systems.
- **Persistence Over Instant Wins:** Achieving high-value enterprise AI outcomes is like "chasing a unicorn"—it requires continuous commitment across a one-to-three-year horizon.
[27:13](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1633s) The Trust Factor and AI as a Force Multiplier
The panel converges on viewing AI as a "force multiplier" designed to augment human potential and drive operational productivity. However, moving past organizational resistance requires establishing deep trust in model outputs. The central concern for end users and plant managers remains whether the underlying data is dependable, whether outputs suffer from "bad data in, bad data out," and whether front-line workers can rely on how the model interprets process variables during critical manufacturing workflows.
[27:51](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1671s) Bridging the AI Skills Gap with Natural Language Automation
Trevor Seim emphasizes that establishing trust in enterprise AI requires predictable, structured outcomes and full visibility, directly combating the risks of hallucinations. A central obstacle for manufacturing organizations is the widening technical skills gap. Rather than demanding that frontline operators and business staff undergo exhaustive technical retraining to write code, technology providers must elevate AI tools to meet human standards.
Kognitos approaches this challenge with a clear philosophy: "A digital worker shouldn't speak computer language; a digital worker should speak English." By enabling natural language interaction, line-of-business operators can directly configure automations, guide human-in-the-loop exception handling, and resolve operational bottlenecks without depending on specialized software engineering resources.
---
[28:57](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1737s) Transforming Back-Office Manufacturing and Supply Chain Workflows
The panel turns to the distinction between plant-floor operations and broader manufacturing business processes. The moderator questions which business workflows stand to gain the most from AI and what friction arises when adapting generic enterprise AI tools into specialized manufacturing environments.
Mahesh Vinayagam notes that document-heavy compliance and quality frameworks—such as FDA regulations and Failure Mode and Effects Analysis (FMEA)—demand enormous manual effort and domain expertise. Traditional Optical Character Recognition (OCR) systems failed to extract contextual meaning, simply dumping raw text into spreadsheets where workers spent hours manually manipulating data. Generative AI fundamentally shifts this paradigm across contracts, purchase order (PO) reconciliations, and invoicing. Despite three decades of promises around invoice automation, manual entry persists across many enterprises. Furthermore, revenue-generating functions such as order capture and customer triage must eliminate friction: forcing a buyer through eight cumbersome options just to place an order is a failure in customer enablement.
---
[31:13](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1873s) Live Demo: Voice AI Agent for Complex Freight Booking
To demonstrate how generative AI streamlines customer intake, Mahesh conducts a live interactive voice call with an AI logistics assistant built for Polaris. The demonstration illustrates an end-to-end booking for shipping chairs from a conference center in Phoenix, Arizona (ZIP code 85027) to Mississauga, Ontario (postal code L5R 1S3).
```mermaid
flowchart TD
accTitle: Voice AI Agent Orchestration Flow
subgraph Intake["Customer Intake & Reasoning"]
A["Voice Input & Conversational Turn"] --> B["Multi-Unit Dimension & Weight Normalization"]
B --> C{"Safety & Policy Filter"}
end
subgraph Systems["Enterprise Systems Execution"]
C -- "Valid Cargo" --> D["CRM / HubSpot: Identity & History Verification"]
D --> E["TMS: Route, Surcharge & Freight Calculation"]
E --> F["Shipment Creation & Tracking ID Generation"]
end
subgraph Guardrails["Edge Cases & Routing"]
C -- "Hazardous / Restricted" --> G["Policy Rejection & Dept Transfer"]
end
```
The agent effortlessly handles complex real-time data ingestion and unit normalizations:
- **Weight parsing:** Translates 2 metric tons into 4,409 lbs without hesitation.
- **Mixed-unit dimensional conversion:** Seamlessly processes skid measurements provided across three separate unit systems (2 meters, 48 inches, and 140 centimeters) into standardized pallet dimensions (78.74 in × 48 in × 55.12 in).
- **Adversarial & safety guardrails:** When Mahesh playfully asks to include a pack of AK-47 rifles, the agent immediately enforces policy guardrails: *"I'm sorry, but we cannot assist with shipping hazardous or restricted items such as firearms."*
- **Dynamic quote & booking:** Generates an itemized freight quote of $1,363.26 (including base rate, fuel surcharge, and a $35 accessorial fee) and successfully issues shipment ID `HP 38039`.
- **Off-topic routing:** When asked how to get a job at the company, the agent provides the exact careers portal URL (`polaris.com/careers`).
---
[34:38](https://www.youtube.com/watch?v=vp5lAR2pawE&t=2078s) Multi-Tool Orchestration and Conversational Intelligence
Reflecting on the successful live call, Mahesh explains that the true power of generative AI lies in unified backend orchestration rather than simple chatbot conversation. The voice agent seamlessly communicated across disparate systems in real time: querying CRM records in HubSpot to authenticate the customer, calling Transportation Management Systems (TMS) to compute route distances and baseline freight rates, applying context-specific business logic for accessorial and fuel surcharges, and executing general reasoning for multi-unit mathematical conversions.
The panel reacts enthusiastically to the demonstration, noting how rare it is for live technology demos to succeed seamlessly and expressing optimism that frontline customer service and call center workflows can achieve this level of fluid, multi-system automation.
---
[36:06](https://www.youtube.com/watch?v=vp5lAR2pawE&t=2166s) Scaling AI Across J&J’s Global Multi-Tier Supply Network
Jie Yu expands the discussion from customer-facing operations to enterprise-wide supply chain management, posing the question: *"What kind of back-office process will not get value from AI?"* At Johnson & Johnson, AI adoption extends across every operational and administrative business function.
Jie highlights the sheer complexity of J&J's global manufacturing footprint, where finished healthcare and medical products rely on intricate tiers of raw materials and active pharmaceutical ingredients:
- J&J manages an expansive global network of **40,000 to 50,000 direct and indirect suppliers and vendors** providing products and specialized services.
- Following acute post-COVID supply chain disruptions, severe inflation, and global product backlogs, manual supplier tracking proved insufficient.
- By partnering with technology vendors to deploy cutting-edge predictive and generative AI models across this supplier base, J&J orchestrates multi-tier network visibility, anticipates material shortages, and mitigates external supply shocks before they disrupt manufacturing lines.
[37:36](https://www.youtube.com/watch?v=vp5lAR2pawE&t=2256s) AI-Driven Supply Chain Resilience and Eliminating the Blank Page
Panelists discuss the massive scale of enterprise operations and how AI creates tangible value across complex supply chains and daily administrative burdens. Managing a global network of 50,000 to 60,000 suppliers requires an intelligent, predictive platform capable of adapting to rapid macroeconomic shifts. For instance, when tariffs fluctuate on an almost daily basis rather than monthly or weekly, an AI platform can run predictive scenario simulations to determine optimal sourcing routes, minimize customs duties, and buffer against broader disruptions across the value chain.
```mermaid
flowchart TD
accTitle: AI-Driven Supply Chain and Operations Workflow
accDescr: Diagram showing how AI optimizes supply chain variables and streamlines administrative drafting before scaling to broader operations.
subgraph BackOffice ["Operational Drafting & Fast ROI"]
D["Starting Drafts (BOMs, Requirements)"] --> E["GenAI Drafting (50%-80% Pre-filled)"]
E --> F["Back-Office Process Automation"]
F --> G["Fast ROI (< 6 Months)"]
end
```
Beyond massive network logistics, Generative AI delivers immediate tactical wins by eliminating the friction of "starting from a blank paper." Whether drafting product requirement documents or compiling complex Bills of Materials (BOMs), having an AI baseline that is already 50% to 80% complete saves significant engineering and operational hours. Industry partners are actively deploying these solutions to make AI approachable and integrate cleanly with existing data pipelines. By targeting back-office operations first, organizations achieve full payback and ROI in under six months, building organizational momentum and AI fluency before tackling more intricate, mission-critical factory workflows.
- **Scale of Operations:** Manages global networks exceeding 50,000 to 60,000 suppliers with predictive risk modeling.
- **Dynamic Optimization:** Models daily tariff updates and global trade disruptions through real-time AI simulations.
- **Productivity Acceleration:** Generative AI generates 50%–80% of initial documentation drafts (e.g., BOMs, PRDs).
- **Rapid Time-to-Value:** Targeted back-office automation projects reliably deliver full investment payback in under six months.
---
[40:14](https://www.youtube.com/watch?v=vp5lAR2pawE&t=2414s) The 18-Month Outlook: Multi-Agent Orchestration and Digital Twins
Looking ahead over the next 12 to 18 months, the panel explores how the transition from isolated point solutions to interconnected multi-agent architectures will reshape manufacturing operations. Historically, automation tools functioned as rigid point solutions offering localized, spot assistance. The immediate future belongs to collaborative AI agents capable of coordinating across multiple functional domains. Instead of manually navigating disparate enterprise software and static reporting dashboards, users will simply query an agent interface that federates tasks in real time across specialized procurement, sales, and legal agents.
```mermaid
flowchart LR
accTitle: Multi-Agent Supervisory and Orchestration Architecture
accDescr: Multi-agent supervisory structure coordinating factory floor operations and digital twins.
subgraph InterfaceLayer ["User Query / Intent"]
Q["Natural Language Query"]
end
subgraph Orchestration ["Supervisory Agent Layer"]
O["Orchestration AI Agent"]
end
subgraph Foundation ["Manufacturing Execution"]
DT["Digital Twin Plant Simulation"]
Ops["Autonomous Operations"]
end
Q --> O
O --> A1
O --> A2
O --> A3
A2 <--> DT
A3 --> Ops
```
In heavy and high-compliance manufacturing environments such as Johnson & Johnson, digital twin investments are advancing from passive simulation tools into active, Generative AI-powered control systems. Multi-agent supervisory layers are emerging to orchestrate siloed task-specific agents—handling plant-wide optimization, quality control, scenario modeling, and predictive maintenance with higher reliability than manual human monitoring alone. Looking beyond the 18-month horizon across healthcare and industrial sectors alike, these orchestrated multi-agent systems represent the foundational stepping stone toward fully autonomous plant operations.
- **Inter-Agent Communication:** Dynamic orchestration allows multiple specialized back-end agents (e.g., 5+ agents per workflow) to resolve cross-departmental requests seamlessly.
- **Evolution of Digital Twins:** Industrial digital twins are shifting from static simulation environments to active, GenAI-embedded supervisory networks.
- **Long-Term Trajectory:** Progressive adoption of supervisory multi-agent systems paves the path toward end-to-end autonomous manufacturing operations.
## Notable quotes
> [00:39](https://www.youtube.com/watch?v=vp5lAR2pawE&t=39s) started to fail big time in the last five years — Mahesh Vinayagam
> [12:04](https://www.youtube.com/watch?v=vp5lAR2pawE&t=724s) We're kind of like where Tesla was maybe 10 years back, where you know you were buying a Tesla, but that was your secondary car; your primary car was always a gasoline car. — Chirag Agrawal
> [19:31](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1171s) building the most fancy and advanced autonomous or self-driving car — Jie Yu
> [19:31](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1171s) last century's highway system. — Jie Yu
> [23:21](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1401s) Scaling is like similar to you are asking a robot to dance on a different terrain and you're trying to train your robot to dance on a different terrain. — Chirag Agrawal
> [23:21](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1401s) I've been working on my system for the last 20 years and I've been working like this, this is the best way to do it. — Chirag Agrawal
> [23:21](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1401s) chasing a unicorn — Chirag Agrawal
> [27:51](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1671s) A digital worker shouldn't speak computer language; a digital worker should speak English. — Trevor Seim
> [31:13](https://www.youtube.com/watch?v=vp5lAR2pawE&t=1873s) I'm sorry, but we cannot assist with shipping hazardous or restricted items such as firearms.
> [36:06](https://www.youtube.com/watch?v=vp5lAR2pawE&t=2166s) What kind of back-office process will not get value from AI? — Jie Yu
## Mentioned
Alpha Edison, Arizona State University, ChatGPT, Chirag Agrawal, Dr. Fei-Fei Li, EMA, FDA, FBLA, Forrester, HubSpot, Jie Yu, Johnson & Johnson, Kognitos, Mahesh Vinayagam, Nespresso, Novelis, OpenAI, Oracle, Polaris Transportation, qBotica, SAP, Shell, Tesla, Trevor Seim
## Video description
Jie Yu, Head of Digital & Data Science Product Management, Johnson & Johnson
Fen Zhao, Director of Research & Data Science, Alpha Edison
Chirag Agrawal, Global Head, Data Science, Novelis
Trevor Seim, Head of Sales, Kognitos
Mahesh Vinayagam, CEO and Founder, qBotica
Abstracts
This session will explore how AI is revolutionizing manufacturing operations by improving productivity, automating processes, and enhancing decision-making on the factory floor. Panelists will discuss how AI-powered systems are being used to increase manufacturing yield, predict equipment failures before they happen, and enhance worker safety through advanced monitoring and automation. Learn how AI technologies are enabling manufacturers to streamline operations, improve product quality, and reduce downtime. The panel will also address the challenges of implementing AI in manufacturing environments and strategies for scaling AI solutions across global operations.
工厂规模化落地滞后,J&J与Novelis瞄准后台AI以求快速获取ROI
制造商通过采用自然语言工具实现行政与供应链工作流自动化,在不到六个月内获得正向回报,而车间端自动化仍受制于分散的传统系统与员工阻力。
来自工业回收、医疗制造和软件自动化领域的企业领袖探讨了AI从孤立的概念验证走向全球生产级部署的转变。尽管重工业工厂利用“人在回路”的AI技术进行预测性维护、流程稳定性控制与车间安全管理,但专家组指出,文档处理、供应链分流以及语音驱动的订单接收等后台工作流,往往能在不到六个月内带来最快的资金回报。要克服碎片化的传统IT系统、工厂层面的运营惯性及严格的监管障碍,离不开深度的统一数据治理和自然语言交互界面。展望未来,与会嘉宾预计多智能体编排与集成GenAI的数字孪生将成为实现工厂自主化运营的核心基石。
生成式 AI 通过攻克传统规则型 RPA 无法解析的复杂非结构化数据,使流程自动化重获新生,并推动制造巨头跨越试点走向“10到100”的全球规模化落地阶段。 (0:39)
在重工业与材料制造中,AI 目前主要充当“人机协同”(Human-in-the-loop)的辅助副驾驶,专注于优化设备设定参数、预测性维护与车间安全预警,而非实现全自主接管。 (4:44)
相较于周期长达 3 至 5 年的车间级重构,优先切入订单录入、运单解析与发票核对等后勤瓶颈,能在 6 个月内快速盘活被占用的营运资金并验证落地 ROI。 (7:10)
制造业规模化应用 AI 面临三大核心阻碍:陈旧孤立的遗留 IT 系统与数据质量缺陷、车间操作员因技术畏难与失业顾虑引发的变革阻力,以及明显滞后的行业合规监管。 (19:31)
推行“以英语作为代码(English as code)”的自然语言工作流,使非技术业务人员能够直接编排与调试复杂的业务自动化,在规避技能断层的同时满足企业级审计与治理要求。 (27:51)
Reading summary
Industrial AI delivers its fastest and most dependable returns when manufacturers bypass complex shop-floor overhauls to first automate fragmented back-office workflows, while treating plant-floor AI strictly as a human-in-the-loop co-pilot constrained by legacy infrastructure and regulatory lag.
Unlocking Working Capital Through Back-Office Automation (7:10)
While heavy industry historically concentrated automation on factory hardware, administrative and operational back ends remain heavily manual. Mahesh Vinayagam observes that mid-tier suppliers frequently trap vital working capital in slow order entry, delayed invoice matching, and sluggish supplier disbursements. Automating document-heavy tasks—including bills of lading, procurement matching, and freight intake—delivers rapid financial relief without disrupting physical operations. During a live demonstration, an interactive voice agent built for Polaris illustrated this efficiency by booking freight in real time, querying CRM and transportation management systems, and seamlessly converting mixed metric and imperial measurements.
Trevor Seim notes that while approximately 83% of manufacturers are launching AI deployments, analyst projections from firms like Forrester indicate enterprise-wide operational transformations typically take three to five years to break even. In contrast, pragmatic back-office automations frequently achieve full payback in under six months. These quick payoffs allow organizations to de-risk investment, train staff, and establish the institutional trust required before attempting complex shop-floor overhauls.
Factory Floor Co-Pilots and Cultural Inertia (12:04)
Within heavy production environments, AI currently functions as an assistive advisor rather than an autonomous controller. Chirag Agrawal compares Novelis's AI adoption across its roughly 30 plants to electric vehicles a decade ago: operators treat AI as a secondary assistant for machinery set-points while keeping final decisions in human hands. Novelis moved away from fragmented, one-off forecasting projects to align deployments with core executive goals, focusing on predictive maintenance, visual plant safety, and raising recycled aluminum content from 63% to 75%.
Scaling successful models across multiple facilities encounters severe friction from localized habits and operational divergence. Agrawal likens deploying an established model into a new plant to teaching a robot to dance on unfamiliar terrain, demanding extensive retraining for different machinery setups. Furthermore, long-tenured operators often resist procedural changes. Panelists argue that overcoming this inertia requires showing frontline workers that automation removes repetitive paperwork, allowing them to move up Maslow's hierarchy of work into higher-value operational problem-solving.
Navigating Legacy IT and Regulatory Bottlenecks (19:31)
Enterprise-scale AI remains constrained by decades of technological and structural fragmentation. Jie Yu compares deploying state-of-the-art machine learning models on existing plant IT to driving an advanced autonomous vehicle on last century's highway system. Historical mergers and acquisitions have left enterprises managing dozens of disconnected ERP and mainframe instances. To prevent low-quality inputs from derailing sophisticated models, Johnson & Johnson established an enterprise Data Management Council to standardize data readiness across its pharmaceutical and MedTech sectors.
Regulated industries face additional friction from compliance mandates. In pharmaceutical manufacturing, where AI is applied to minimize batch-to-batch variability and protect product yields, Yu notes that health authorities like the US FDA and EMA often lag years behind technical capabilities. To bridge internal technical skills gaps without forcing plant operators through exhaustive software engineering training, Trevor Seim advocates an 'English as code' framework that enables non-technical personnel to configure, audit, and direct automated workflows in natural language under enterprise governance controls.
Supply Chain Resilience and Multi-Agent Orchestration (40:14)
Beyond internal plant boundaries, AI adoption increasingly focuses on stabilizing multi-tier supplier networks. Managing Johnson & Johnson's network of 40,000 to 50,000 direct and indirect suppliers requires predictive AI models to detect raw material shortages and run real-time simulations against volatile daily tariffs. For routine administrative drafting, generative AI tools provide pre-populated baselines that complete 50% to 80% of complex Bills of Materials and requirements documents, drastically reducing manual engineering overhead.
Looking across the next 12 to 18 months, panelists predict an architectural transition from isolated point tools to federated multi-agent systems. Rather than navigating rigid individual software platforms, human users will issue queries to supervisory agents that orchestrate specialized procurement, maintenance, and legal bots in parallel. In high-compliance manufacturing, industrial digital twins are progressing from passive monitoring dashboards into active supervisory control systems, forming the foundational architecture for eventual autonomous factory operations.
While multi-agent coordination and active digital twins outline the path toward autonomous manufacturing, realization remains bounded by dirty legacy systems, slow regulatory modernization, and plant-level procedural variance. The panel concludes that enterprise value depends on treating AI adoption as a sustained one-to-three-year organizational transformation rather than an immediate plug-and-play solution.
[0:39] Mahesh Vinayagam: started to fail big time in the last five years
[12:04] Chirag Agrawal: We're kind of like where Tesla was maybe 10 years back, where you know you were buying a Tesla, but that was your secondary car; your primary car was always a gasoline car.
[19:31] Jie Yu: building the most fancy and advanced autonomous or self-driving car
[19:31] Jie Yu: last century's highway system.
[23:21] Chirag Agrawal: Scaling is like similar to you are asking a robot to dance on a different terrain and you're trying to train your robot to dance on a different terrain.
[23:21] Chirag Agrawal: I've been working on my system for the last 20 years and I've been working like this, this is the best way to do it.
[23:21] Chirag Agrawal: chasing a unicorn
[27:51] Trevor Seim: A digital worker shouldn't speak computer language; a digital worker should speak English.
[31:13] I'm sorry, but we cannot assist with shipping hazardous or restricted items such as firearms.
[36:06] Jie Yu: What kind of back-office process will not get value from AI?
Original transcript
[0:04] So we're here today to talk about AI and
[0:07] manufacturing. And so I'm a venture
[0:09] capitalists. Our firm Alpha Edison's
[0:11] based out of LA. And we've invested in
[0:13] the past in manufacturing and AI. And
[0:16] it's interesting to think today there
[0:18] we're actually investing in that
[0:19] intersection of manufacturing AI. And
[0:22] I'd love for our panelists, maybe we can
[0:24] take a seat and for everybody to
[0:26] introduce themselves because we'll we
[0:28] actually have a really diverse group of
[0:29] panelists that will allow you to see a
[0:32] really really diverse set of of views of
[0:35] what manufacturing AI look like today.
[0:38] >> Sure.
[0:39] >> Thank you. Uh and good morning everyone.
[0:41] Uh my name is Mahesh Reinagam. I'm the
[0:43] CEO and founder of a company called
[0:45] Cubotica. So Cubotica is an automation
[0:47] as a service firm. So we actually see
[0:50] that the value exists in the
[0:52] intersection of software and service. So
[0:54] we actually provide combination of those
[0:56] two as a platform and we have actually
[0:59] proprietary uh software as well as we
[1:02] work with uh cogntos to kind of really
[1:05] uh propel our platform beyond what we
[1:07] can actually make ourselves uh in terms
[1:09] of capabilities and features. So we
[1:11] actually work with manufacturing
[1:12] companies, healthcare companies,
[1:14] financial services companies pretty much
[1:16] in the shared services space. That's why
[1:18] it's a domain agnostic. Uh whether it is
[1:20] finance, accounting, procurement, um
[1:24] operations, customer service operations,
[1:27] logistics, you know, those uh supply
[1:29] chain areas. So kind that's kind of
[1:30] where we operate. Um we actually help
[1:33] from a our biggest strength is on the
[1:35] document uh side of things and ensuring
[1:37] that the pro process orchestration does
[1:40] not um fail when there are complex
[1:42] unstructured information enters those
[1:45] automated workflows. Right. Right. I
[1:47] think RPA did get to a certain extent
[1:50] and it started to fail big time in the
[1:52] last five five years but thanks to Genai
[1:55] I think we are actually having a revival
[1:57] of those flows and I think we have you
[2:00] have seen that for the last 5 years we
[2:02] actually started using um you know um
[2:05] open AI uh from 2020 uh the first you
[2:08] know version of those uh so since then
[2:11] we have seen some tremendous results our
[2:13] customers have been phenomenal. If you
[2:14] go to our website polaris transport
[2:16] transportation has been having that um
[2:18] you know seeing the witnessing how jai
[2:22] helped them for the last 5 years. Okay
[2:23] they were able to process more orders
[2:25] than their competitors did. So that's a
[2:27] you know simple introduction and I'm
[2:29] based in Phoenix Arizona and I also uh
[2:32] work with the community in the ASU. I'm
[2:34] part of the technology and
[2:35] entrepreneurship board and the FBLA as
[2:37] well. So really there is this aspect of
[2:39] community development that we are doing
[2:41] there. Uh promoting AI from schools uh
[2:43] up to the universities. Uh so Cubotica
[2:45] is very active in the community as well.
[2:47] So that's my introduction. Sorry.
[2:50] >> Hey good morning everyone. Um my name is
[2:52] Ju. You can call me Jay. Um I work for
[2:55] Johnson. Um my role in J&J I'm the head
[2:58] of digital and data science product
[3:00] management. Uh so you know Johns and
[3:02] Johnson has two business sectors right?
[3:03] One is the pharmaceutical sector. The
[3:05] other is the medical device medical
[3:07] technology sector but of course we are
[3:08] in the healthcare business and my my
[3:11] team my organization sitting Johns and
[3:12] Johnson corporate in the enterprise. So
[3:14] we really position ourselves right as
[3:16] more kind of in the center center of
[3:18] excellence organization right in driving
[3:20] the digital transformation driving AI
[3:22] transformation. So we support both both
[3:24] business sectors pharmaceutical as well
[3:25] as medical device medical technology and
[3:27] at global scale cover the entire global
[3:29] portfolio because J&J operate right in
[3:31] more than 100 countries in the world
[3:32] across all regions. um in the digital
[3:35] space right you know we have gone
[3:36] through we call you know you know three
[3:38] phases of the journey right 0ero to one
[3:40] 1 to 10 and 10 to 100 I think we already
[3:42] passed right the phase one phase two
[3:44] part of the journey right 0 to one and 1
[3:46] to 10 in terms of dig digital and AI
[3:48] transformation maturity level we are
[3:50] kind of in the middle of you know the
[3:51] the 10 to 100 part of the journey right
[3:53] so uh internally I would say right the
[3:56] those emerging digital technologies
[3:58] including AI generally AI capabilities
[4:00] right have well penetrated across all
[4:02] business functions business segments
[4:04] right in J&J and also in the meantime we
[4:06] have huge digital portfolio and
[4:08] ecosystem we do partner with lots of
[4:10] technology vendors like you guys right
[4:11] you know in our ecosystem right to build
[4:14] you know uh uh different digital
[4:16] solutions different digital products
[4:17] right so we try to leverage the latest
[4:19] and greatest technology right to really
[4:22] transform you know how the future
[4:23] healthcare you know should look like
[4:25] right um so I think it's a very
[4:27] fascinating area and uh you know I know
[4:29] today's topic is more focused on
[4:31] manufacturing side you know I'm really
[4:33] looking forward to have you know very
[4:34] dynamic and engaging conversation with
[4:36] the rest of panelists right see how we
[4:38] can co-shaped this this portfolio area
[4:41] right forward yeah thank you uh good
[4:44] morning everyone I'm Churag uh I'm
[4:46] heading I'm a global head of data
[4:48] science at Noales my company is in um
[4:51] aluminum rolling and recycling it's a
[4:53] leader in uh rolling and recycling and
[4:56] uh we have roughly 30 plants uh the
[4:58] major customers include uh can beverage
[5:00] cans uh automotive aerospace
[5:03] And so anytime you're drinking a beer,
[5:06] soda can, right? It's a can that's
[5:08] coming off the chances are 50% chances
[5:10] are that it's coming from or processed
[5:12] from Nales. If you're fan coffee fans um
[5:15] and espresso, uh the coffee pods, uh the
[5:18] aluminium is processed by uh by Noales.
[5:21] So uh so that's that's about the
[5:24] company. We have roughly 30 plants
[5:25] worldwide uh globally. And uh in terms
[5:28] of AI, we have been using AI more kind
[5:30] of as an assistance at this point. And
[5:33] there are two big areas where we have
[5:34] been using it is uh one is uh kind of
[5:37] like a partial automation wherein human
[5:39] is in the loop and uh and helping us
[5:42] automate the the manufacturing processes
[5:44] partially and the second is on the
[5:46] around the safety wherein uh we uh we we
[5:49] deal with the heavy machineries and
[5:51] there is a lot of uh safety concerns in
[5:53] the plant. So we kind of like trying to
[5:54] improve that. So, these are the big two
[5:56] uh topics I'll be talking about. Uh over
[5:58] to you.
[5:59] >> Awesome. Uh well, hello everyone. My
[6:01] name is Trevor Sim. I'm with Cognitos.
[6:04] Um
[6:06] our company is really chartered to help
[6:08] people think differently about AI. Uh
[6:11] try to make AI more approachable. One of
[6:14] the things that uh we're really focused
[6:15] on is we have a a target right now in
[6:18] helping customers with enterprise
[6:20] business process automation. Obviously
[6:22] some very strong correlation what we're
[6:23] doing with Mahash and across the team.
[6:26] Uh
[6:27] we're really focused on making it more
[6:31] approachable by bringing AI to all of
[6:35] our users using English as code while
[6:38] putting stronger sets of governance
[6:41] around how you're using AI to ensure
[6:43] that there's um better visibility and
[6:46] insight into how AI is being used and
[6:48] orchestrated across your organization.
[6:50] Um, I'm really looking forward to this.
[6:52] Um, we have lots of clients that we've
[6:55] been talking to today and we're seeing
[6:57] just so many people that are early and
[7:00] mid and late stage in the, you know, use
[7:02] of AI and our goal is to assist the
[7:05] early users and help the kind of
[7:07] mid-stage and late stage users scale.
[7:10] >> Amazing. So, I want to ask you guys our
[7:13] very first question is people talk about
[7:15] manufacturing and AI or even just
[7:17] manufacturing and digitization, right?
[7:19] There's so many different areas where um
[7:22] you could improve the manufacturing
[7:23] process. People talk about yield, people
[7:25] talk about safety, right? Where do you
[7:27] see today as having that digitization in
[7:30] AI having the greatest impact as of
[7:32] right now?
[7:33] >> Okay.
[7:33] >> So, I I actually let um Churag and Jay
[7:36] talk about the e optimization and
[7:38] factory floor uh innovation, but I'll
[7:40] focus on the side that's probably
[7:42] ignored uh a lot in manufacturing sector
[7:44] is the back office, right? So it's kind
[7:46] of the last thing that's automated while
[7:48] man manufacturing started using
[7:50] automation much ahead of other
[7:51] industries uh but it the operation side
[7:54] is still is not I think and pretty much
[7:57] like these large companies you know are
[7:59] able to get a better efficiency uh and
[8:02] all that but the m mid tier to down
[8:05] there's still a lot of work a lot of
[8:07] times spent on um you know operational
[8:10] aspects whether it is streamlining
[8:12] payments you know making sure like
[8:14] visibility of your tracking your orders
[8:16] and uh you know you know shipping and so
[8:19] on so forth right I think uh at the mid
[8:22] tier and there uh down there's a huge
[8:25] value to unlock uh um you know uh
[8:28] working capital right and those working
[8:30] capital is in how fast actually those
[8:32] artists could be processed how do how
[8:34] fast that we can actually get those
[8:36] payments to those suppliers so that they
[8:37] can actually you know make sure that
[8:39] they support you through the process I
[8:41] think there um innovation is needed and
[8:44] I think We are actually focusing on that
[8:46] how uh we could actually use a
[8:47] combination of genera technology whether
[8:50] it's the voice u in fact I had you know
[8:52] during this conference I spoke to
[8:54] someone they were saying that oh this is
[8:55] great you know I was just showing them
[8:57] how using your phone call uh we could
[8:59] actually activate the bot and the bot
[9:01] actually collect all those information
[9:02] and really you know make accelerate uh
[9:05] collection of an order and she said like
[9:07] okay I have people in the Midwest you
[9:09] know the you know connections are not
[9:11] great the you know sometimes they're
[9:12] actually traveling they you they don't
[9:14] get signal and all that stuff from a um
[9:17] you know data signal perspective. This
[9:19] would be a transformational aspect. I
[9:21] think I think um you know for us I think
[9:24] you know the streamlining that process
[9:26] of approvals um you know invoice
[9:29] payments order management is kind of
[9:31] where I think uh is the biggest impact
[9:33] would be. Sure. Yeah. Just build on what
[9:37] you already shared, right? So I think
[9:38] this is a very good question. You know,
[9:39] we often talk about what kind of
[9:41] business impact, what kind of value
[9:43] drivers, ROI, right? We can really get
[9:44] out AI, right, in the manufacturing
[9:46] world. And interestingly, right, of
[9:48] course, in my introduction, I I
[9:49] mentioned my healthcare part of the
[9:50] career experience, right, in J&J.
[9:52] Actually, prior to J&J, I worked for
[9:54] Shell for, you know, more than 10 years.
[9:56] Um, you know, so my career across two
[9:58] different very different industry
[9:59] sectors and, uh, you know, AI both
[10:01] transforming, right? healthcare,
[10:03] pharmaceutical as well as you manage
[10:04] petrochemical sector as well. When I
[10:06] look back you know my sh career time
[10:08] right we also leverage AI machine even
[10:10] that time right not AI yet right like
[10:12] four years ago but traditional AI
[10:13] machineing technology right to improve
[10:15] the safety records right to improving
[10:17] right the the you know do better right
[10:20] emission control right you know do the
[10:22] drive better right sustainability right
[10:24] drive you know more kind you know
[10:25] reliability right etc and then look at
[10:27] now right in the in the healthcare in
[10:29] the life science field right you know
[10:31] maybe safety less critical you know
[10:33] compared to you know because
[10:34] petrochemical right you know lots of
[10:36] safety you know challenges there but you
[10:37] know in the in the in the healthcare
[10:39] sector right we leverage AI right for
[10:41] example to improve the the the quality
[10:43] right you know the stability minimize
[10:45] the variability of different batches of
[10:47] drug products right we manufacturing
[10:49] from the same factories from same plants
[10:51] right and then in addition to quality
[10:54] right also you know for example AI right
[10:56] can really you know be leveraged right
[10:58] to uh uh uh improve your operational
[11:00] efficiency right improve you know the
[11:02] productivity increase your production
[11:04] yield Right? So which means that right
[11:06] the same manufacturing process right the
[11:09] same batch of you know uh uh uh uh
[11:11] operation right we can produce more
[11:13] products right we can sell you know we
[11:15] can provide more drug products right to
[11:17] the patients which are really in need
[11:18] right and then uh in addition to that
[11:21] also you know for example big you know
[11:23] uh very hot area like digital twin
[11:25] capabilities like predictive maintenance
[11:27] capabilities right very well you know uh
[11:30] utilized right in manufacturing
[11:31] processes nowadays I think they can also
[11:33] improve a lot you know this you know and
[11:36] you know reduce the end to end cycle
[11:37] time of your manufacturing processes
[11:39] right and also likewise you know from
[11:41] you know financial value driver
[11:42] perspective right can get the products
[11:45] right to the customers to the patients
[11:46] right much sooner right so uh so lots of
[11:49] lots of you know big value drivers I I
[11:51] was I definitely agree with you that I
[11:52] think AI is fundamentally right in many
[11:55] different aspects right around many
[11:56] different value drivers right
[11:58] fundamentally transforming the
[11:59] manufacturing operation yeah compared to
[12:01] years ago or decade ago yeah so We also
[12:04] have a very similar use cases as you
[12:06] mentioned right like because it's a
[12:08] manufacturing company so you are trying
[12:10] to improve the cycle time you're trying
[12:11] to predict when your machines are
[12:13] failing but I want to give you a little
[12:15] bit of of a context like how we started
[12:17] on the AI journey and and I I also want
[12:19] to emphasize that we're kind of like uh
[12:22] where uh like Tesla was maybe 10 years
[12:24] back where you know you were buying a
[12:26] Tesla but that was your secondary car
[12:28] your primary car was always a gas
[12:31] gasoline car right so similarly here uh
[12:34] we are using AI but it is more of an
[12:36] assistance to the human who have been
[12:39] there. So kind of like uh uh it's a
[12:41] additional hand which is kind of telling
[12:43] you that okay maybe maybe this is the
[12:45] right setup angle. Uh so human is
[12:48] already kind of deciding whether they
[12:50] want to take that angle or they want to
[12:52] uh whatever the output is coming from
[12:54] the machine learning they want to
[12:55] utilize that or not. So there's always
[12:57] human in the loop and and and and and in
[13:00] terms of scaling uh or or the projects
[13:03] I'll talk about like how we started in
[13:04] the beginning we were like picking up
[13:06] the projects to show the value of AI
[13:08] that okay u uh we'll do this work like
[13:13] we'll do maybe demand forecasting price
[13:15] forecasting etc. And then slowly as we
[13:18] kind of like start in maturing we
[13:19] realize that if we go we keep doing that
[13:21] picking up uh the use cases here and
[13:23] there that one odd use cases it's not
[13:26] going to impact uh the the bottom line
[13:28] for the company. So that's where we kind
[13:30] of started pivoting uh in the long run
[13:33] and and in terms of pivoting what we
[13:35] realized that we started prioritizing
[13:37] the use cases the use cases which are
[13:39] like more aligned with your business
[13:40] strategy as in what you want to do like
[13:42] for example my company if I talk about
[13:45] uh the priorities are uh sustainability
[13:48] we want to increase the recycle uh
[13:50] content of whatever we produce from 63%
[13:52] to 75%. uh we want to reduce the carbon
[13:55] footprint. So now we are picking up the
[13:58] projects that can help us drive this
[14:01] value driver and so that way we are kind
[14:03] of getting alignment from the topdriven
[14:05] so that way uh the the output or the
[14:08] impact is more. So as as uh my uh as
[14:12] mentioned u predictive maintenance like
[14:15] it's it's a it's a very good use case
[14:17] for any manufacturing industry because
[14:18] you can scale it. You can go from one
[14:20] plant to another plant. Um you can
[14:23] create a centralized system where you
[14:25] can control all the plants and see
[14:27] what's happening in each plant. Right?
[14:29] So that that was a good scalable use
[14:31] case. Safety is another uh very good
[14:33] scalable use case wherein you can go
[14:35] deploy cameras in most of the facto's
[14:38] plants and then measure that you know
[14:39] how that is driving your um uh your uh
[14:42] safety measures and improving the safety
[14:45] in the company right so so you have to
[14:46] basically kind of identify the use cases
[14:48] which can impact which are uh directly
[14:51] relevant other is sustainability we we
[14:53] have been doing bunch of use cases which
[14:55] can predict or which are helping us to
[14:57] reduce the energy consumption within the
[14:58] company so so these are the I guess top
[15:00] three or four uh areas where we are kind
[15:03] of driving the use cases and and but but
[15:06] the point here is that always pick up
[15:08] the use cases which you can scale to the
[15:10] multiple uh multiple plants at the same
[15:13] time pick up the use cases which uh
[15:15] which kind of aligns with your uh with
[15:17] your strategy company strategy.
[15:20] >> Yeah, I I think um I think it's an
[15:23] interesting question is you know you
[15:25] kind of take a look at what the market
[15:27] is being faced with right now. I I think
[15:29] the stats are saying that uh 83% of
[15:33] organizations today in the manufacturing
[15:34] space are definitively trying to deploy
[15:38] some sort of AI initiative right now to
[15:40] stay competitive to become uh more
[15:44] operationally lean, how to have better
[15:46] yields, make money. And the challenge
[15:49] with this is, you know, there's such a
[15:52] broad spectrum on how and when to
[15:54] invest. and you couple kind of the 83%
[15:56] of you are making that decision right
[15:58] now to invest and then you correlate
[16:00] that to what um Forester is saying. Hey,
[16:03] you make those AI investments, you're
[16:04] not going to see a return for 3 to 5
[16:05] years. And I' I'd challenge you all to
[16:08] think a little bit different and think
[16:09] to yourself, how do we choose those
[16:12] investments in AI which can be small
[16:16] incremental wins? So maybe look at
[16:19] things that aren't
[16:22] nearly as interesting or you know macro
[16:26] across the you know floor automation or
[16:29] something like this and start working on
[16:30] some things that are maybe back office
[16:32] orientated or look at bill of lighting
[16:35] and making sure you've got the right
[16:36] insights to uh what's in your raw
[16:39] materials impact the supply chain. And
[16:42] what we're seeing is when you start
[16:43] small with AI, you learn the AI skill.
[16:45] And with that AI skill, you can
[16:47] immediately get a good financial return.
[16:50] You can take those solid financial
[16:51] returns, take that trust to the
[16:53] organization, and make those bigger
[16:54] bets.
[16:56] >> Amazing. So I'd love to given all of
[16:58] your different experiences I' I'd love
[17:00] to understand what are the some of the
[17:01] biggest challenges you've seen either in
[17:04] deploying something that's new or
[17:06] scaling up you know that that initial
[17:08] deployment um at all say 30 the 30
[17:10] plants aluminum plants that you have
[17:11] what are the biggest things and what are
[17:13] the surprising things you've learned
[17:15] >> interesting I think for me I think the
[17:17] challenge is not the technology itself I
[17:19] think it's the inertia of people and the
[17:22] consistency of processes across the
[17:25] company or even like if you have
[17:27] multiple plants, each plant actually
[17:29] follows the same process, you know,
[17:31] differently, right? And and then and the
[17:33] way that manufacturing companies
[17:34] particularly, you know, like they
[17:36] actually acquire, they merge, you know,
[17:38] there's obviously, you know, collect a
[17:40] lot of these um operational systems like
[17:43] the ERPs and the accounting platforms
[17:45] and all that. I think the all that
[17:47] actually variability kind of really
[17:49] increases scale you know scaling
[17:51] challenges and adoption challenges and I
[17:54] think and also to an extent that you
[17:56] know the legacy vendors uh you know how
[17:59] they approached you know kind of really
[18:00] dumping you know huge um you know
[18:03] powerful software that's actually you
[18:06] know and made you do millions of dollars
[18:09] of investments to know do like a
[18:10] fiveyear migrations you know so you know
[18:13] the after effects of those actually
[18:15] exist and I think for me I think that's
[18:18] the biggest problem in kind of really
[18:21] for them to be adopting the latest
[18:23] technology. So I think where we are kind
[18:25] of really trying to help them is like G
[18:27] we talked about it earlier is like doing
[18:29] that um pass mining process mining and
[18:32] then kind of really understand what is
[18:33] the process variance between plants
[18:36] between uh different groups right and
[18:38] kind of really find out where we can
[18:40] actually uh get those opportunities
[18:43] identify those opportunities and solve
[18:45] that. I think uh once we solved that and
[18:48] obviously the inertia of people and and
[18:50] I think that would um with uh chart GP
[18:52] really helped us uh to a great extent to
[18:56] really move the needle significantly. I
[18:58] must say that I think when you talk
[19:00] about automation and talk about AI and
[19:02] to young companies like us Cubotica and
[19:04] cogntos you got to really go in front of
[19:06] these clients you know it was never um
[19:08] you know they never open their eyes I
[19:10] think but with Chad GPD really they're
[19:12] now thinking oh yeah I can do this from
[19:15] my personal staff and I can actually
[19:17] bring that to my work as well and like
[19:18] Dr. Lee talked about today. I think the
[19:21] human way of conversing, the human, you
[19:23] know, curiosity, the inquisitiveness is
[19:26] kind of what is going to help us kind of
[19:28] help adopt air more. I I hope so as
[19:30] well.
[19:31] Yeah, sure. Um, it's very interesting
[19:34] question, right? So, in terms of biggest
[19:36] challenges we're facing, right? So, I
[19:37] would like to share from my perspective
[19:39] three aspects. But before that, right,
[19:41] you know, I want to acknowledge one of
[19:42] your points, right? I think, you know,
[19:43] definitely it's not a technology alone,
[19:45] right? The challenges. So, uh, the first
[19:47] challenge is on a technical side. Um,
[19:49] interestingly, I don't know if this, you
[19:50] know, resonate with many other
[19:52] organizations, right? In J&J, you know,
[19:54] maybe not very I don't know is the best,
[19:56] you know, analogy, right? It's kind of
[19:57] like you we're building the most fancy
[19:59] and advanced you know autonomous or self
[20:02] self-driving car but in the meantime
[20:04] we're still using right last centuries
[20:06] you know infrastructure the highway
[20:07] system okay so you know very often we
[20:09] have very fancy right AI models right
[20:11] even now right large language model we
[20:13] try to use the best and the latest
[20:14] however you know look at what kind of
[20:16] data we're using right you know um we
[20:19] still have very you know very different
[20:20] you know uh base IT systems right that
[20:23] come from very different sources you
[20:25] know lots of you know obsolete
[20:26] technology right with those legacy
[20:28] systems and you every single day you
[20:30] need to deal with data quality issues
[20:32] right data readiness data availability
[20:34] missing data all those kind of
[20:36] challenges right so and then
[20:38] fundamentally you know we need to even
[20:40] on top of that right we need to really
[20:42] have you know fit for purpose cross
[20:44] functional data governance model right
[20:45] how to manage that so that's why in J&J
[20:48] you we even have this whole
[20:49] enterprisewide across all business
[20:50] functions and segments this data
[20:52] management council really kind of you
[20:54] know focus on data foundation make sure
[20:56] we are very solid, we have very
[20:57] consistent, we have very globally
[20:59] standardized right data foundation so
[21:01] that you know we try to avoid the
[21:03] situation that we invest a huge amount
[21:05] of money right to build the most fancy
[21:07] you know AI models but you know garbage
[21:09] in garbage out right end of the day
[21:10] we're not getting any value out of that
[21:12] so the second challenge I would say is
[21:14] on operational side I think you know
[21:16] also you know echo right to your point
[21:17] that very often right is not just
[21:20] technical constraints is more kind you
[21:22] know um operational constraint in terms
[21:24] of change management Because we are we
[21:27] are trying to you know applying right
[21:28] you know lots of you know re nowadays
[21:30] right with you know AI and even
[21:32] generative AI agentic AI revolutionary
[21:34] technologies right to the you know shop
[21:36] floor right in the manufacturing those
[21:39] you know processes and uh end user are
[21:42] those operators and one thing you know I
[21:44] cannot agree more with you know
[21:45] professor file's point right I hope
[21:47] everybody listen to her you know keynote
[21:49] interview right she emphasized cannot
[21:51] emphasize even more right AI education
[21:53] if I tie back to you know even industry
[21:55] education right I look at you know those
[21:58] operators you know on technology side
[22:00] right they are very poorly educated so
[22:03] you know they often view right those AI
[22:05] technology as threats they do not even
[22:07] understand the technology right they do
[22:09] not realize that okay those technologies
[22:10] are tools right AI are tools right they
[22:12] are really kind of augmented
[22:14] capabilities right to to to enhance you
[22:16] know my constraints right to to help me
[22:19] do my job much more productively more
[22:21] safely more efficiently so there's still
[22:24] lack of trust on your when you deploy
[22:26] this new AI technology automation
[22:28] optimization right capabilities right to
[22:30] those manufacturing sites so that change
[22:31] management right remains as constant
[22:33] right challenge and by the way you know
[22:35] when I go to those different conferences
[22:36] I heard very similar right you know pain
[22:38] points right from different industrial
[22:39] sectors the third thing I would want to
[22:40] quickly highlight is that you know uh we
[22:43] are in heavily regulated industrial
[22:44] sector I don't know if uh this kind of
[22:46] you know you guys facing similar
[22:47] challenges because we're in healthcare
[22:49] and the funny thing is that you know um
[22:51] we're not just dealing you know because
[22:53] we're based in US right Not only just
[22:55] dealing with FDA, we still deal with
[22:57] EMA, we have we deal with, you know,
[22:58] FDA's equivalent, right? In all those
[23:00] countries, right, the governance bodies
[23:01] and regulations way behind, right, the
[23:04] technology advancement. So when we
[23:05] deploy those technologies, right, we
[23:07] need to make sure, right, it's in
[23:08] compliance with EMA, FDA, all those
[23:11] governance bodies, right? Regulatory
[23:13] frameworks and guidance and standards
[23:15] which are behind. So that's another, you
[23:17] know, big aspect, right? We need to
[23:18] consider in terms of challenges we need
[23:19] to deal with as well.
[23:20] >> Yeah.
[23:21] >> Thank you. I think you have covered most
[23:22] of the points like you we have problems
[23:24] around the data quality, data
[23:26] governance, we have change management
[23:27] issues. I'll try to add couple of more
[23:29] points here. Uh one is like we we saw
[23:32] robot uh boxing yesterday, right? Um so
[23:36] so when I when I talk about scaling,
[23:38] right? Uh scaling is like similar to you
[23:40] are asking a robot to dance on a
[23:42] different terrain and you're trying to
[23:43] train your robot to dance on a different
[23:45] terrain. because when you're trying to
[23:47] scale uh a use case from one uh plant to
[23:51] another plant it it's it's not easy
[23:53] because your terren are different and so
[23:55] you have to again retrain them according
[23:57] to your uh new plan so so as you're
[24:00] going to different plants so I guess the
[24:02] one big challenge is when we start
[24:03] scaling you realize that okay we build
[24:06] one uh model and then we'll keep
[24:08] replicating that but it doesn't work out
[24:10] that way because you have to retrain
[24:11] those models you have to uh you have uh
[24:14] different parameters slightly different
[24:15] parameter s different way the the the
[24:18] change management works in different
[24:19] plans. So that's very important to
[24:21] consider as as you are trying to scale
[24:24] uh in in different geographies. Uh some
[24:27] of the other uh other challenges I've
[24:28] been uh is like around change
[24:30] management. I'll just kind of add few
[24:32] more here is that uh like how many times
[24:35] you have heard that oh it doesn't work
[24:37] that way it always works this way. uh my
[24:40] system I've been working on my system
[24:42] for last 20 years and I've been working
[24:44] like this this is the best way to do it
[24:46] and and so we have to we have to
[24:48] basically
[24:50] uh go through all these challenges
[24:52] technologies is a technology right it's
[24:55] it's not the biggest challenge there the
[24:56] biggest challenge is all the things
[24:58] around it are you AI ready right and and
[25:00] by AI ready means does your workforce
[25:03] understand what does AI mean how does AI
[25:05] solve the problem because I go to the I
[25:07] I talk to the people within the plans
[25:09] Oh, can it solve data quality issues?
[25:11] Can it solve like can it do everything
[25:13] for me? So AI cannot do everything. You
[25:16] have to work with AI. AI is a
[25:17] technology. It can help you do better.
[25:20] So so kind is like you cannot replace
[25:22] human being. Another thing is like a lot
[25:24] of times you have heard that uh in the
[25:26] in the plans that people realize that oh
[25:28] I'm going to lose my job. That's another
[25:30] thing. Uh but but we have to make sure
[25:32] that they are you know getting enough
[25:34] education that there is no one going to
[25:36] replace them. It's just kind of
[25:37] assisting them. Like coming back to your
[25:39] back office uh uh example wherein uh if
[25:43] you can get all those uh paperwork done
[25:47] by your assistant or AI assistant then
[25:50] you have so much more time to do
[25:52] something better right which uh you can
[25:54] think about what is your strategy for
[25:55] the company you have so much additional
[25:57] work additional time that you can use uh
[25:59] to do some uh like uh higher higher
[26:02] level uh uh in Maslo's hierarchy right
[26:06] you can you can think about uh what what
[26:08] is the next you can do for the company
[26:09] to to to make it better right so so I
[26:12] guess the technologies are there these
[26:15] are not the challenges challenges are
[26:17] around us which we have to like try have
[26:19] to navigate coming back to manufacturing
[26:21] legacy system right when you working in
[26:24] a manufacturing system you have systems
[26:26] like you have mainframe systems then you
[26:28] have a 50 oracle uh SAP system and
[26:31] you're trying to integrate all of them
[26:32] trying to get the data from the systems
[26:34] it becomes so hard right and so this is
[26:36] where like the technology technology can
[26:38] come and help you that okay how do you
[26:39] get how do you remove the silos from the
[26:42] uh from the company. So all these
[26:44] technology especially agents can help
[26:46] you remove the silos uh data silos. So
[26:49] that's another challenge. So when you
[26:51] start talking about the challenges
[26:53] there's a long list of it the the end of
[26:55] the tunnel you have to be very
[26:57] persistent run through it go through all
[26:59] these challenges navigate through it and
[27:01] then you know uh in the end you will
[27:03] yeah you're trying to chase a unicorn
[27:05] which you'll get in the end somewhere
[27:07] around like maybe a year two years three
[27:09] years down the line but you have to be
[27:10] very very persistent
[27:13] >> yeah I mean I think um I think you know
[27:14] I love the I love the approach of you
[27:17] know AI is a force multiplier right the
[27:19] whole the whole intent is to, you know,
[27:21] drive in more productivity. Um, you
[27:24] know, I think we I think we've
[27:25] definitely touched on AI governance.
[27:26] It's very important. Uh, we'll we'll
[27:28] we'll leave that one alone. I I think
[27:30] the the more you know, the resistance
[27:32] that I see for adoption is really around
[27:34] trust, right? And um, you know, does my
[27:38] AI, you know, really give me trusted
[27:41] information? Is it bad data in, is it
[27:44] bad data out? Can I really rely on the
[27:46] interpretation of what the model is
[27:49] delivering? And you know, we're we're
[27:51] very focused at Cogntos about, you know,
[27:52] trying to ensure that we can give you
[27:54] very, you know, predictive results. Um,
[27:57] you know, kind of limiting that notion
[27:58] of, as you see here, hallucinations in
[28:01] AI, giving, you know, very, very
[28:03] structured outcomes. You know, trust
[28:04] comes from, you know, trust comes from,
[28:07] you know, visibility. Trust comes from
[28:09] how you interface with AI. I touched
[28:11] about interfacing with AI and you know
[28:13] it's a skills gap right so people have
[28:16] to invest in the skills for AI or we
[28:18] have to believe that maybe the way that
[28:21] the tools are today need to be brought
[28:23] to our standard and so you know our
[28:26] philosophy is um a digital worker
[28:28] shouldn't speak computer language a
[28:30] digital worker should speak English uh
[28:33] and we want to bring you know the
[28:35] approachability of AI so that you know
[28:37] it's easy for line of business uh
[28:40] operators to you know easily interact
[28:43] with AI uh modify AI you know help human
[28:47] in the loop be very very productive
[28:50] without needing deep skill sets
[28:52] technical resources in order to solve
[28:54] those said problems
[28:57] >> great now some of you have talked about
[29:00] you know sort of manufacturing
[29:02] operations plant-based technology you've
[29:05] some people have also talked about sort
[29:06] of business processes for manufacturing
[29:09] I like to dig dig into that that second
[29:11] sector a little bit more. Now there are
[29:13] a lot there's AI for a lot of business
[29:15] processes that are generic right out
[29:17] there. I love to ask like what what
[29:19] specific business processes a would
[29:22] benefit most from AI in manufacturing
[29:25] and also you know what are the big what
[29:27] are the challenges of adapting like a
[29:28] generic system right that are just made
[29:30] for generic business processes into
[29:32] manufacturing. So love to talk a little
[29:34] bit more about that. Yeah, I think uh
[29:36] there are actually uh many things um you
[29:38] know we talked about FBA uh FEMA and all
[29:41] that uh regulations. So there's uh
[29:44] there's obviously you go through several
[29:46] paperwork compare things and uh going
[29:49] through that takes enormous amount of
[29:51] time and actually expertise and the OCR
[29:54] technology existed it was only like you
[29:56] know doing so much you know just kind of
[29:58] there's no contextual information right
[29:59] so it just kind of really dumps data in
[30:02] and you have to you know figure out
[30:04] people just pull it into Excel sheets
[30:05] and then do a lot of data manipulation
[30:07] afterwards right I think you know with
[30:10] uh with the um genai coming And there's
[30:12] a lot of u opportunities in the uh
[30:16] contracts and the compliance space. Uh
[30:18] that's important. And then kind of
[30:19] really taking that line of uh document
[30:21] management um you know and whether it's
[30:24] the orders, invoices, PO comparisons,
[30:26] all of that actually should be like
[30:27] really down pat you know invoice
[30:29] automation is something we're talking
[30:30] about 30 years and still you know people
[30:33] are processing you know manually a lot
[30:35] of this. you know I we have seeing it
[30:37] time and again I think that should be
[30:39] completely eliminated uh within those
[30:41] areas and you know the most important
[30:44] things on the revenue generation side of
[30:45] things you know taking orders how do you
[30:47] actually you know answer questions
[30:49] triaging information you know you don't
[30:51] want like the customers to go through
[30:52] eight different options to place an
[30:53] order with you right they're giving give
[30:55] business you want them to really get
[30:57] them to the point of right you know how
[30:59] to actually capture their business
[31:00] instead of like you know making them do
[31:02] all this hard work and uh you know uh uh
[31:05] to even give you a business. I think
[31:07] that's a shame for any business, right?
[31:09] Remove that fiction of how business
[31:11] comes in. In fact, you know, like I
[31:13] might take about a 4 minutes uh if
[31:15] that's okay to show you a quick
[31:16] demonstration. It's a wise panel. So,
[31:18] I'm trying to try a demo. Let's see if
[31:20] it works. And let me just invoke the
[31:22] demo cards and see how it goes. Okay.
[31:26] >> Thank you for calling Flores. How may I
[31:29] assist you?
[31:29] >> Hey, I would like to book an order,
[31:31] please. I want to send some shipment of
[31:33] uh chairs uh from a conference center in
[31:36] Vegas to Mrs. Saga in Ontario.
[31:40] >> Sure, I can help you with that. And
[31:42] first, let's verify your details. Please
[31:44] hold on for a moment.
[31:46] Thank you for your patience, Mahesh
[31:48] Niag. Now, let's gather the details for
[31:51] your shipment. Could you please provide
[31:52] the following information one by one?
[31:55] One, origin, country, state, city, and
[31:57] zip code.
[31:58] >> Okay. Yes. I'm going to send it from uh
[32:00] Phoenix, Arizona 85027
[32:02] to Miss Saga L5R1s3.
[32:06] >> Great. Let me make sure I have that
[32:07] right. Origin Phoenix, Arizona Zip
[32:11] 85027.
[32:12] Destination Missaga, Ontario, Zipl.
[32:17] Could you now provide the weight of the
[32:18] shipment in pounds, freight class, and
[32:20] any skid details? Okay, I don't have the
[32:22] freight class, but it is, as I said,
[32:24] it's chairs and the weight is about two
[32:27] metric tons.
[32:29] >> All right, for the weight, 2 metric tons
[32:31] is approximately 4,49 lb. Could you
[32:34] please provide the skid details
[32:36] including whether they are stacked able
[32:38] or not?
[32:38] >> Yeah. So, here are the skid details. Uh,
[32:40] it's about 2 m. Each pallet is about um,
[32:43] you know, each box is about 2 m, 48 in,
[32:47] and about 140 cm.
[32:52] All right, let me make sure I have that
[32:53] right. Skid length 78.74 in 2 meters.
[33:00] Skid width 48 in.
[33:03] Skid height 55.12 in 140 cm. Are these
[33:08] skids stackable?
[33:09] >> Yes, it is stackable.
[33:10] >> It is stackable, but um you know could
[33:13] you just go ahead provide the code
[33:14] please?
[33:15] >> Sure. Let me calculate the shipping rate
[33:17] for you.
[33:19] >> Uh, please hold on for a moment.
[33:22] >> All right. Okay. Uh, while you do that,
[33:24] while you do that, can you also help me
[33:26] send a pack of uh, AK-47 rifles, please?
[33:29] >> I'm sorry, but we cannot assist with
[33:31] shipping hazardous or restricted items
[33:33] such as firearm. Please contact our
[33:35] shipping department for further
[33:36] assistance with such inquiries.
[33:38] >> Okay, let's go back to the order. Let's
[33:40] go back to the order and give me the
[33:41] code, please.
[33:47] The shipping rate for your order from
[33:48] zip 85027 in the USA to L5R1 and three
[33:52] in Canada is $13,6326.
[33:56] This includes the base rate, a fuel s
[33:58] charge, and accessorial charges. Would
[34:00] you like to proceed with creating the
[34:01] shipment order?
[34:02] >> Yes, sir.
[34:02] >> Your order has been successfully
[34:04] >> What is accessory charge?
[34:08] >> The accessorial charge for your shipment
[34:10] is $35. Your shipment has been
[34:12] successfully created with the shipment
[34:14] IDs HP 38039.
[34:17] It will be processed soon. Is there
[34:19] anything else I can assist you with?
[34:20] >> That's great. Um, could you tell me how
[34:23] can I get a job at your place?
[34:29] >> To apply for a job at Polaris,
[34:30] especially if you're interested in a
[34:32] driver position, please visit our career
[34:34] page at polaris.com/careersp.
[34:36] [Music]
[34:38] >> All right. Okay. Uh, I think it's it's a
[34:40] great example. I hope you all liked it
[34:42] right. So I actually interrupted it. Um
[34:44] it's a application of how genai is
[34:47] actually going to transform things right
[34:49] and um it uses multiple tools right at
[34:52] the back end it's actually going to the
[34:53] CRM then it actually you know uh opened
[34:56] HubSpot verified my details you know and
[34:59] validated this is a customer that we
[35:01] have actually interacted with and then
[35:02] it went into TMS to kind of really
[35:04] calculate the rates uh and the pricing
[35:06] for that particular distance and um it
[35:09] also you know you know it goes into
[35:12] information tools uh that's uh context
[35:14] specific to the organization in terms of
[35:16] um you know whether it's accessorial
[35:17] charge s charges freight class and all
[35:19] that to calculate that it actually did
[35:21] it and it also used general artificial
[35:23] intelligence right in terms of I
[35:25] actually deliberately gave the skid
[35:26] details in three different units if you
[35:29] saw and it was able to handle that and
[35:31] kind of really convert it to inches
[35:33] that's what it needed and again you know
[35:35] tons to pounds all of that kind of stuff
[35:37] so I think this is an example of how we
[35:39] can actually disrupt it right so it's
[35:41] really geni kind of kind of come and
[35:43] kind of take all of this uh you know
[35:45] pull together orchestrate I think the
[35:47] strength is in the orchestration and
[35:48] unified orchestration across these
[35:50] different things um and that's it from
[35:53] my end. Sorry I don't have a demo to
[35:55] show you guys but you know it's very
[35:58] interesting you know the demo right so I
[35:59] hope you know all my call center
[36:00] experience or customer service
[36:01] experience will be as smooth as this you
[36:04] know with AI agents
[36:05] >> yeah here I mean
[36:06] >> yeah and just continue this topic right
[36:08] so you ask about what kind of business
[36:09] process back office process will benefit
[36:11] from AI right you know I would ask that
[36:13] you know nowadays right at least you
[36:15] know my J&J experience what kind of back
[36:17] office process what kind you know
[36:19] business process will not get value from
[36:21] from AI you know in JJ you know as I
[36:23] said AI has penetrated to every single
[36:26] business function right even not on the
[36:28] front line in operation even back end as
[36:30] well you know for the sake of time you
[36:31] know I will not spend hours right to
[36:33] expand all those details maybe just give
[36:35] you one example right so even in
[36:37] manufacturing right so J&J's
[36:39] manufacturing network is super super
[36:41] complex right so it's not just you know
[36:43] the drug products or medical device
[36:45] right you use right it's not just
[36:47] manufactur a single J&J factory okay raw
[36:50] materials intermedi right come from many
[36:52] many different you know suppliers
[36:53] vendors. So in our global supply network
[36:56] you know we have you know direct or
[36:58] indirect supplies we have like 40,000
[36:59] 50,000 you know suppliers of vendors
[37:01] right in the network including product
[37:03] supplying products or services to us
[37:05] right and then how to manage the network
[37:08] right by leveraging AI it's it's it's
[37:10] game changer nowadays okay you know that
[37:13] the global supply chain has experienced
[37:14] huge you know turmoil right since covid
[37:17] right so just look at inflation just
[37:19] look at you know lots of you know
[37:21] product supply you know uh backlog
[37:23] Right? You just as average consumer we
[37:25] have experience right no difference in
[37:27] our healthcare sector okay and we
[37:29] experience lots of those events and we
[37:31] build you know we work with our
[37:32] technology partners right we build you
[37:34] know this very you know cutting edge we
[37:36] call you know AIdriven right supply
[37:38] chain risk management and the supply
[37:40] chain you know resilience you know
[37:42] platform right so we try to manage right
[37:44] those 50 50,000 60,000 global suppliers
[37:46] right you know in very you know
[37:48] intelligent and predictive way and you
[37:51] know like you know uh For example, right
[37:53] a tariff this year it almost change,
[37:55] right? Not even every month or every
[37:57] week, almost every day, right? So all
[37:59] the scenarios how to build into AI
[38:01] platform, right? Let AI to to run some
[38:04] even kind of you know predict pred
[38:05] predictive you know simulations right
[38:07] come up with different scenarios how you
[38:09] manage that right you need to figure out
[38:10] right you know certain materials
[38:12] imported right from certain countries
[38:14] right to minimize the tax duties and
[38:16] also you know with other disruptive
[38:17] events right in the supply chain. So
[38:19] this just one example right so I I can't
[38:21] you know for the sake of time I cannot
[38:22] expand into details but just give you
[38:24] guys some high high level you know
[38:26] flavor you know how supply you know AI
[38:28] really benefit right all those you know
[38:29] business processes
[38:30] >> yeah I think I couldn't agree more uh I
[38:33] mean we need this we want to automate
[38:35] our processes uh I mean I'll just give
[38:37] you one small example uh like I use AI
[38:41] especially genai a lot I don't like
[38:44] starting from a blank paper right if I
[38:46] have to do a requirements document or I
[38:49] have to do a bill of material. I don't
[38:50] want to start from blank. So if there is
[38:52] a technology which can help me
[38:55] take me there somewhere like maybe 50%,
[38:57] 80%. That's great. That's a great win
[39:00] for me because now I'm like I can I can
[39:02] save my time. I can do way more. I can
[39:05] spend my time somewhere else. So I think
[39:07] this is something that we need it and
[39:09] how do we get there? There are some
[39:11] partners which are helping us do that.
[39:13] And uh I think with that I'll I'll pause
[39:16] here. Uh,
[39:17] >> yeah. And I mean, I I know we're running
[39:19] short on time, but I I think I'll just
[39:20] reinforce the notion of the tech is
[39:22] here, right? This is what we do for a
[39:24] living. We're making AI very
[39:26] approachable. We're making the
[39:28] connections into the data very easy.
[39:30] We're creating a just incredible user
[39:33] experience for folks that are trying to
[39:34] solve that, you know, that first AI
[39:38] initiative. Those ROIs are exactly in
[39:41] these kind of workflows that we're
[39:42] talking about. back off its operations
[39:44] time to productivity is I mean ROI is in
[39:47] less than you know certainly less than
[39:50] six months but full payback these are
[39:52] the places to start to get the skill of
[39:55] AI and then you can go you can go after
[39:57] those you know more complex you know
[39:59] more those more complex workflows um
[40:02] it's a you know it's a groundswell and
[40:03] you'll get success you'll get quick
[40:05] success you'll get quick wins and uh you
[40:07] know we're excited about it and you know
[40:09] it's it's uh really it's been a pleasure
[40:11] Amazing.
[40:14] So I I just wanted to end on um a
[40:17] question about looking to the future. So
[40:20] let's not look too far into the future
[40:23] because that's that's what uh the
[40:24] godfather and godmothers of AI are
[40:26] looking to but let's look to 18 months
[40:29] in the future. What do you see as
[40:30] capabilities that we might have or
[40:33] things that maybe you're working on that
[40:34] we we might see in a year and a half
[40:36] from now that might be changing the way
[40:38] that manufacturing or manufacturing ops
[40:40] is happening? Yeah, I think from my end
[40:42] I think agent actually going to really
[40:44] important aspect because you can now
[40:47] focus on we talked about you used to
[40:48] talk about point solutions but they
[40:50] reminded point solution remain point
[40:52] solutions in the past right so they were
[40:54] actually doing spot help there but I
[40:56] think with ability for these AIs to talk
[41:00] to each other and like you saw in that
[41:02] phone call example it actually executed
[41:05] like you know five different agents was
[41:07] at the back right and it was able to
[41:09] kind of coherently move across trust
[41:11] these agents and think about a scenario
[41:13] where you know somebody's calling um you
[41:15] know for information whether it is for
[41:17] uh a procurement information or a sales
[41:20] information legal information uh uh all
[41:23] of that uh you know you could actually
[41:24] be able to kind of really bring it out
[41:26] as by asking a question not really going
[41:30] navigating things and you know looking
[41:31] at reports and bringing insights and all
[41:34] that I think that is not too far away it
[41:37] is actually the technology is here and
[41:39] it's just that how creat creatively the
[41:41] people are pulling together that is
[41:43] going to be the critical aspect and from
[41:45] my end
[41:46] >> yeah just quickly add on that right so I
[41:48] would say in the next couple years you
[41:49] know for G&J right we have been
[41:51] investing in you know the technology
[41:53] capability like you know manufacturing
[41:54] digital twin right for for several years
[41:56] right however I would expect right in
[41:58] the next couple years I think we're
[41:59] going to invest even more right in the
[42:01] dig cap area in terms of building you
[42:04] know those embedding those you know J AI
[42:06] capabilities in there right so for
[42:08] example we are looking at a current
[42:08] digital twin right more kind running you
[42:10] know simulations those kind of you know
[42:12] scenario simulations and then you know
[42:15] doing automation doing predictive
[42:16] maintenance doing plantwide optimization
[42:18] doing quality control you know can we
[42:20] you know even have you know kind of more
[42:22] kind of supervisory level right you know
[42:23] AI agents right even multiple AI agents
[42:26] right you know doing those tasks right
[42:28] which probably more reliable right than
[42:30] human operators and then on top of that
[42:32] right for very complex planwide
[42:34] operations right those AI agents right
[42:36] even at orchestration layer right can
[42:38] coordinate can orchestrate right among
[42:40] different you know siloed you know a
[42:42] agents for specific tasks and then I
[42:44] think you know even even we go one step
[42:46] further right look at you know maybe
[42:48] years ahead right more than just you
[42:50] know 12 to 18 months I would say right
[42:52] not only just for you know healthcare
[42:53] industry sector for other industry
[42:54] sector as well I I I do believe we are
[42:57] moving more towards you know autonomous
[42:58] operation right through AI yeah
[43:02] >> thank you all so much wonderful and rich
[43:04] panel I hope you all have a wonderful
[43:06] rest of your day take care
[43:09] >> thank You can. Thank you.