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The Supply and Demand Optimization Platform contributes to reduction of food loss utilizing AI-based demand forecasting

NEC is committed to optimizing every aspect of the food value chain—from manufacturing to retailing—to reduce the levels of food waste in society.

Initiatives to reduce food loss lead to increased revenue

The imbalance between supply and demand across the value chain is one of the major causes of food loss. NEC's Supply and Demand Optimization Platform is the key to solving this problem.

Food loss is a serious issue

Food loss refers to food that is still fit for consumption, but is discarded before it is consumed. Every year, about 1.3 billion tons of food is wasted globally, and about 6.46 million tons of food is thrown away in Japan. Food loss occurs at every stage along the value chain from production to processing, distribution, retail, and consumption. The imbalance between supply and demand is one factor that contributes to loss.
NEC's Supply and Demand Optimization Platform resolves issues across the entire food value chain through the utilization of AI-based demand forecasting and contributes to the reduction of food loss.

Optimizing demand forecasting using AI-based Heterogeneous Mixture Learning technology

The Supply and Demand Optimization Platform utilizes NEC's AI-based Heterogeneous Mixture Learning technology to automatically identify highly accurate regularities amongst a large variety of data and makes optimal predictions based on the regularities and in accordance with the context. This AI technology provided by NEC enhances the accuracy of demand forecasting by combining and analyzing data and knowhow associated with weather information that can influence sales trends and retail sales information.

Contributing to the improvement of revenue growth as well as the reduction of food loss

The Supply and Demand Optimization Platform enables food manufacturers to optimize inventory and production, food wholesalers and distributors to optimize inventory and enhance resource efficiency, and food retailers to optimize order planning. In this way, the platform helps optimize the balance between supply and demand along the entire food value chain and contributes to the resolution of various issues, including excessive production, return of expired food, surplus inventory, and unsold products.

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