PepsiCo announced an industry-first partnership with Siemens and Nvidia to leverage artificial intelligence (AI) to transform factory and supply chain operations.
This is in response to increased demand for production and distribution capacity. The new digital and AI approach will “optimize” PepsiCo's current physical footprint, the company said.
“The scale and complexity of PepsiCo's business from farm to shelf is enormous, and we are embedding AI across our operations to meet the growing demands of our consumers and customers,” said PepsiCo Chairman and CEO Ramon Laguarta.
“Our work with Siemens and Nvidia will help accelerate our continued journey to become a future-fit company that operates with agility and foresight.”
PepsiCo, which is moving to a digital-first planning strategy, is using Siemens' Digital Twin Composer, which is built on Nvidia's tools.
“The physical industry is entering the era of AI, and for companies with real-world assets, digital twins are the foundation of the AI journey,” added Nvidia founder and CEO Jensen Huang.
“Together with Nvidia and Siemens, PepsiCo is redesigning its operations. Using physically accurate digital twins and AI, we are reinventing how we design, optimize and run global operations.”
New software from Siemens creates an “industrial metaverse” environment to help companies make decisions virtually and at scale. PepsiCo can now recreate every machine, conveyor, pallet route, and operator path with physical-level accuracy, allowing AI agents to simulate, test, and refine system changes, identifying up to 90% of potential problems before physical changes occur.
“We are proud to partner with PepsiCo and Nvidia to digitally transform manufacturing facilities from design to engineering to operations using physically-based digital twins and AI. Digital Twin Composer is the foundation that will enable PepsiCo to transform manufacturing and warehouses,” said Roland Busch, CEO of Siemens AG.
