The following is a quick recap of an engaging panel discussion from our recent event: Connect 2024.
What if you could onboard new products in hours instead of weeks? That's the power of AI-driven data management, and it's just one of the ways companies are using this technology to transform their businesses.
All companies see the obvious potential, but it’s still early days and there are many ways to get it right – and even more ways to get it wrong. Read on, be inspired and see what you can implement in your business.
Meet the participants:
- Jeff Sutton is CTO / Head of Transformation at OfficeMax New Zealand – a leading provider of office supplies and solutions, serving over 40,000 customers.
- Howard Blumenthal is Senior Director, eCommerce & PIM at Motion Industries, a leading distributor of factory parts in North America, with over 3.5 million products in its catalog – and more being added every month.
- Jeff and Howard were joined on stage by me: Nils E. Pedersen, Stibo Systems’ SVP of Product Strategy, for what turned out to be an insightful look into how both companies approach AI.
Using AI for your MDM to improve your internal processes
We all know that artificial intelligence (AI) is making waves in the MDM world. So let’s look at how these two leading companies are actually using AI to simplify their internal processes and work smarter, not harder.
OfficeMax New Zealand onboards in hours instead of weeks
The company has seen a boost in efficiency with AI. Imagine slashing product onboarding time from six weeks to just a few hours – that's exactly what they did.
OfficeMax New Zealand does it with an AI-powered solution that automatically generates engaging product descriptions, even throwing in some Kiwi slang terminology. This clever bot takes supplier data and gets it into shape, freeing up the team from a tedious task that used to take days.
The takeaway: Don't be afraid to get specific with your AI solutions.
"From an organizational perspective, one AI tool is not going to save the world. You need to understand your use cases very, very, very tightly. We value streamed out the whole process with the time and motion. Then we tried to figure out where it was taking the most time for people – and that was writing copy."Jeff Sutton, CTO/Head of Transformation, OfficeMax New Zealand
By targeting a key pain point, OfficeMax New Zealand has not only sped things up but also allowed its team to focus on more strategic work, like making sure its online content is top-notch.
Motion Industries enjoys intelligent product classification
Categorizing millions of products can be a real headache. Motion Industries tackled this head-on.
Howard Blumenthal, who leads Motion Industries’ PIM strategy and supplier marketing, explained how they use a combo of AI and machine learning to automate product classification. These smart models analyze product data and accurately categorize new items with minimal human intervention.
“The ability to put products into the right categories has cut our onboarding time pretty much in half compared to where we were, and we continue to improve that.”Howard Blumenthal, Senior Director, eCommerce & PIM, Motion Industries
The result: Onboarding time has been cut in half.
The team takes a continuous improvement approach, using human feedback to make its AI models even smarter over time. This shows how AI and human expertise can work hand-in-hand.
Key learnings from the speakers
- Start with small, well-defined use cases to demonstrate value and gain buy-in
- Prioritize data accuracy and have clear processes for validating AI-generated content
- Develop an AI policy to address ethical concerns, data privacy, and security
- Invest in training and change management to help staff adapt to new AI-powered workflows
- View AI as a continuous improvement process, incorporating human feedback to refine models over time
Using MDM for your AI to create greater customer experiences
We've seen how AI can boost your internal processes. But let’s flip it around and look at how MDM serves AI. Let’s see how using well-managed data can create even more powerful customer experiences. That's where things get really interesting.
OfficeMax New Zealand’s friendly AI assistant
OfficeMax New Zealand isn't just using AI behind the scenes – it is putting it front and center with its customers. The company has created an AI-powered chatbot on its website that acts as a helpful product guru.
Need to find the most eco-friendly paper? Ask the bot. It analyzes Stibo Systems Platform data (which, by the way, is way more detailed than what's on the website) to provide spot-on product recommendations.
The company has also built a "product guru" bot for its staff, helping them quickly find the perfect product for any customer need.
They even have a bot that analyzes competitor quotes! That’s next level.
Motion Industries enjoys the ripple of good data
While Motion Industries isn't using chatbots (yet), Howard emphasized how their focus on high-quality data has a ripple effect on the customer experience.
Accurate product data leads to better website experiences, improved search results and ultimately, happier customers.
And it all starts with that solid foundation of MDM.
So, even without flashy AI tools on the front end, Motion Industries shows us that good data is the key to creating a great customer journey. A couple of things to keep in mind:
- You need high-quality data for AI to deliver accurate and reliable results
- Consider how AI can enhance both customer-facing and internal applications
- Don't overlook the importance of data governance and security in AI
- Think beyond chatbots and explore how AI can personalize product recommendations and optimize search
- Remember that by unlocking new insights and efficiencies, AI can amplify the impact of your MDM investment
AI challenges and considerations to keep in mind
Implementing AI isn’t a walk in the park. There are plenty of things to look out for. As they say: “Forewarned is forearmed,” so let’s go through the challenges and considerations the speakers emphasized.
Data accuracy is key
AI hallucinates. Large language models can sometimes generate inaccurate results or nonsensical output. That makes it even more necessary to start with a solid foundation of accurate data. Garbage in, garbage out, as they say.
Don't underestimate the costs
AI isn't free. Howard pointed out that you need to budget for implementation, ongoing training of your models and regular maintenance. It's an investment, but with the right planning, the returns can be spectacular.
Proceed with caution (and legal counsel)
Jeff highlighted the importance of having clear AI policies in place, especially when dealing with sensitive data. It's always a good idea to involve your legal team early on to ensure you're compliant.
The human touch still matters
While AI can automate many tasks, it's not a magic bullet. Both presenters emphasized the importance of human oversight and continuous improvement. Remember that AI models need to be trained, monitored and refined over time – with human feedback.
Let’s wrap it up
As we've seen from these real-world examples, AI is no longer a futuristic concept for MDM – it's a powerful tool that's already delivering tangible results.
Whether it's dramatically accelerating onboarding processes, improving data accuracy or creating more engaging customer experiences, AI is transforming the way businesses manage and use their data.
A big thank you to Jeff and Howard for sharing their valuable insights at Stibo Systems Connect. Their experiences provide a roadmap for any organization looking to get the most out of AI in their MDM strategy.
Stibo Systems Platform is AI’s best friend
Throughout this post, we've explored how AI can revolutionize data management. But AI needs a solid foundation to truly shine, and that's where the Stibo Systems Platform comes in.
High-quality data
Cleanse, enrich and govern your data so your AI models are fed accurate and reliable information.
Centralized platform
With all your data in one place, you can make sure your AI can easily access and analyze the information it needs to generate insights and automate tasks.
Scalability and flexibility
As your AI initiatives grow, with Stibo Systems Platform you can handle the increasing volume and complexity of your data.
Data governance and security
Stibo Systems Platform supports you in ensuring your AI operates within established guidelines and avoids potential risks.
