Michelin: Increasing Agility Using AI Simulation Technology

Today’s managers have their work cut out to anticipate the impact of variable demands and predict the future of their intricate supply chains.

Among the countless firms attempting to deal with such headaches is Michelin, whose North American division is harnessing the power of simulation technology to improve efficiency and agility. 

Michelin North America recently formed a partnership with Cosmo Tech, a provider of AI simulation and digital twins for enterprise decision-making, in a bid to navigate uncertainty and optimise operations. 

The hope is that, by bringing Cosmo Tech’s solution on board, supply chain and marketing managers will be better positioned to anticipate the impact of variable demand and predict the future state of Michelin’s own complex supply chain.

Innovation is in Michelin’s DNA

Michelin North America’s operations span no fewer than 34 production plants, with more than 23,000 employees working across two countries. 

With annual sales in excess of US$8bn, the company is a leader in mobility, sustainability and distribution of the most innovative tyres, services and solutions for its customers’ needs.

And it’s this desire to innovate that is driving Michelin forward as it strives to become a more efficient operation.

“At Michelin, we aim to deliver superior service to our customers,” notes George Kurian, VP of Supply Chain and Logistics at Michelin North America. “We’ve invested in innovation at the service of customers since our founding 135 years ago.

“By partnering with experts in AI and supply chain simulation like Cosmo Tech, we’re able to accelerate our transformation, adopting a more agile approach in our supply chain and business.”

Supporting business optimisation

Founded in 2010, Cosmo Tech’s platform brings predictive and prescriptive capabilities to support both enterprise decision-making and business optimisation.

Having already worked alongside Michelin on the improvement of its supply chain to increase cost efficiency and reduce carbon footprint, their relationship has since been expanded with some of the latest AI simulation tech in North America. 

This, according to Hughes de Bantel, Co-Founder and CEO at Cosmo Tech, will “support Michelin’s supply chain scenario planning and adapt with agility to variations in demand”, in what is an increasingly complex and uncertain environment.

Michel Morvan, Co-Founder and Executive Chairman at Cosmo Tech, adds: “The capability to accurately predict the impact of changes in a complex supply chain and test thousands of scenarios to ensure an optimal response is game-changing for enterprise organisations.

“We’re looking forward to seeing the positive impact our AI simulation platform will have on a supply chain as far reaching as Michelin North America’s.”

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