Using AI in the Real World: 3 More Uses Across 3 More Industries
If you’ve been dabbling with AI, you might be wondering how other similar (or different) industries are using it out in the wild. There’s a lot AI can do, and seeing AI in action can help turn hazy dreams into concrete goals. That’s what this blog is all about: showing you what AI is really doing out there.
Last time we covered retail, finance, and healthcare. This week, we’re rounding out the conversation with three more industries: manufacturing, logistics, and oil and gas.
Like in part one, we’re answering these three questions for each:
- How is this specific industry actually using AI?
- What challenges do these industries face when adopting AI?
- And where do Managed Service Providers (MSPs) fit in?
Let’s look at how these next three industries are using AI.
1. How the Manufacturing Industry Is Using AI
AI plays a massive role in what many are calling Industry 4.0—the digital transformation of manufacturing.
Here are just a few ways that manufacturers are using AI:
Demand Forecasting
AI can predict future product demand by analyzing historical data, such as:
- Seasonal trends
- Past sales
- Customer buying patterns
These predictions help manufacturers avoid overproducing or underproducing inventory.
Quality Control
AI vision systems inspect products on the production line to identify defects with extreme accuracy, like:
- Size
- Shape
- Color
- Surface finish
This improves consistency and reduces customer returns. For example, Samsung’s early defect detection system helped reduce customer returns by 31% within 18 months of implementation.
Predictive Maintenance
Machinery failures get expensive, with estimates around $532,000 for each hour of unplanned downtime. With AI, manufacturers can better monitor temperature, vibrations, and performance patterns to identify early warning signs of hardware failure.
What challenges do manufacturers face when adopting AI?
Fragmented Data
AI requires clean, organized data. Unfortunately, many manufacturers still operate with disconnected and fragmented information. In fact, 47% of manufacturers view data fragmentation as a major obstacle to AI adoption.
Outdated Systems
Many retailers use outdated systems that were never designed for modern AI demands, leading to poor performance and compatibility issues. Replacing these systems is both costly and complex, and can seem out of reach for many smaller companies.
Employee Training
Even with an AI setup, getting your employees to understand and use these tools can be a challenge. Without proper training, all that AI investment can go to waste.
Where do MSPs fit in?
- Prepare your infrastructure for AI: An MSP can help manufacturers source AI-ready systems, such as computers, sensors, servers, and more, within an agreed-upon budget.
- Better storage solutions: Be it on-site or in the cloud, an MSP can help organize your data for AI usage.
- Ongoing Training: An MSP can help train employees through useful tools and guides so your employees can make better use of your AI tools.
2. How the Logistics Industry Is Using AI
Many logistics companies are turning to AI to improve their supply chains. In fact, according to a 2024 survey conducted by Zogby Strategies and Xometry, 97% of respondents said they were using or planning to use AI within the next two years.
Here’s how they’re using AI:
Delivery Optimization
AI can optimize delivery routes by analyzing:
- Traffic patterns
- Weather conditions
- Delivery routes
This helps companies find the fastest and most cost-effective routes for deliveries.
Real-Time Delivery Monitoring
During peak seasons, like Black Friday or other holiday rushes, AI can use GPS data to provide:
- Live tracking
- Delivery updates
- Faster issue detection
This consistent level of monitoring improves transparency for both companies and customers.
Warehouse Automation
The warehouse is the heart of any logistics operations. AI can boost warehouse performance through:
- AI-powered robotics that improve sorting and packing, like in FedEx’s warehouses.
- Real-time inventory tracking that keeps accurate, up-to-date records of shipments and stock levels.
- Workforce management, where AI analyzes demand patterns, helps managers allocate staff where they’re needed most.
What challenges do logistics companies face when adopting AI?
Data Quality Issues
Logistics companies operate across multiple sites and partners, leading to fragmented data. This data must be organized and consolidated for AI to function properly.
Logistics systems store sensitive information such as:
- Customer names and addresses
- Shipment details
- Driver data
- Contracts
If an AI has access to this information, it must be protected from bad actors while staying within regulatory frameworks.
System Integration
The logistics industry is made up of many moving parts, such as:
- Warehouse software
- Fleet management tools
- Customer platforms
Getting these systems to work together can be a massive roadblock for successful AI adoption.
Where do MSPs fit in?
MSPs can help logistics companies apply AI by:
- Managing compliance and audit requirements so AI platforms align with regulatory frameworks.
- Monitoring systems for anomalies and security threats, helping protect AI platforms that handle sensitive logistics data.
- Integrating systems across multiple locations to organize the critical data AI requires.
3. How the Oil and Gas Industry is Using AI:
Entrenched in volatile market conditions and complex environments, many oil and gas companies are turning towards AI, with 75% of companies saying that investing in AI is worthwhile, according to an IBM survey.
Upstream, midstream, and downstream, here’s how these companies are using AI:
Drilling Optimization (Upstream)
By using AI, oil and gas companies can analyze seismic data to:
- Identify optimal drilling location with extreme accuracy.
- Reduce exploration risks
- Improve accuracy in planning
Exxon shows this in action, with a 40% savings on data preparation.
Emissions Monitoring (Midstream)
Oil and gas industries are constantly looking to minimize their environmental impact. Using AI can help identify:
- Energy waste
- 1Equipment inefficiencies
- Emission patterns
By using AI, these companies can support eco-friendly practices and sustainability while potentially reducing emissions by 20%.
Fuel Demand Forecasting (Downstream)
AI improves demand forecasting by analyzing:
- Market trends
- Weather patterns
- Customer behavior
Predictive forecasting helps balance supply and demand and prevent outages, especially during peak usage periods.
What challenges do oil and gas companies face when adopting AI?
Strict Safety Requirements
An industry that works with high-pressure systems, flammable materials, and remote facilities requires strict safety standards. AI systems must meet rigorous compliance and oversight requirements.
Legay Field Equipment
Many sites use older equipment that wasn’t designed for modern data collection or AI integration.
Data Ownership Complexities
Projects often involve multiple organizations sharing data, which creates legal and technical challenges when trying to sort and organize data for AI use.
Where do MSPs fit in?
MSP can help oil and gas organizations by:
- Supporting compliance and regulatory standards by organizing data and helping companies adapt to evolving frameworks.
- Modernize data organization so AI can access and analyze fragmented data.
- Upgrading legacy hardware, including computers, servers, and networking equipment, to support AI tools and integrations.
Why Businesses Are (Still) Turning to MSPs for AI Adoption
Whether you’re in manufacturing, logistics, oil and gas, or any other industry, using AI can provide serious benefits.
That said, applying AI is a complex process that requires the right infrastructure, security, integration, training, monitoring, and—most importantly of all—the right plan.
It’s a lot of work, but with guidance from a trusted MSP, using AI in your business becomes far more manageable.
At The 20 MSP, our dedicated team of AI experts assists clients in implementing AI across their business. If you’re interested in using AI in your business, reach out. You tell us your vision, and we’ll help you build it out.
If there are any more industries you’d like us to cover, let us know!
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About The 20 MSP
As a leading provider of managed IT services, The 20 MSP serves thousands of businesses nationwide, including single and multi-location organizations, delivering white-glove service, secure and streamlined IT infrastructure, and 24/7/365 support. We believe in building lasting relationships with clients founded on trust, communication, and the delivery of high-value services for a fair and predictable price. Our clients’ success is our success, and we are committed to helping each and every organization we serve leverage technology to secure a competitive advantage and achieve new growth.
