WASHINGTON — With artificial intelligence (AI) becoming more accessible as a tool for food and beverage processors, a new report from the International Dairy Foods Association (IDFA) and Ever.Ag recommended specific steps dairy businesses may take to make the most of AI.

A compilation of insights presented by industry experts during the organizations’ 2024 DairyTech conference, the debut State of AI in the Dairy Industry report details how the technology is expected to redefine the ways dairy businesses operate and compete.

As some dairy processors initiate AI solutions, the report noted they most often are using it to improve operational efficiencies, address sustainability and foster innovation.

The report outlined six recommendations for dairy manufacturers looking to implement AI: enhance data readiness, leverage expertise, educate and engage, start with quick wins, define metrics, and foster collaboration.

IDFA chief operating officer and senior vice president of innovation and member advancement Tom Wojno said the report marked an exciting milestone, with DairyTech organizers even using AI to record, analyze and synthesize key industry perspectives presented at the conference in order to produce the report.

“This novel approach exemplifies the very potential AI holds for our sector when we begin to partner with the technology,” Wojno said. “We’re thrilled to provide dairy leaders with a forward-looking roadmap for AI adoption and to continue these conversations in future IDFA programming.”

The State of AI in the Dairy Industry offered some particulars tied to each of its six primary recommendations:  • Enhance data readiness by assessing current data practices, cleaning and centralizing data, and ensuring readiness for AI analysis.

• Leverage expertise through collaboration – data scientists and AI providers may identify and help implement impactful solutions.

• Educate and engage with training programs to ease resistance and emphasize the value of AI tools in reducing workloads and enabling strategic tasks. Allow teams to suggest specific problems or inefficiencies within their processes that AI could potentially address.

• Start with quick wins by focusing on high-impact applications, such as inventory optimization and predictive analytics, to build confidence and demonstrate ROI.

• Define metrics while establishing KPIs and benchmarks to measure the success of AI implementations and ensure ongoing improvements.

• Foster collaboration and encourage data-sharing initiatives to enhance efficiency and innovation across the industry. AI represents a game-changing opportunity for the dairy industry, enabling businesses to enhance efficiency, sustainability and innovation.

The report found that professionals want practical guidance on how to incorporate AI, while at the same time many struggled to define actionable steps to get started.

Industry experts said with the right strategies, leadership and collaboration, the dairy sector should be able to use AI to drive long-term growth and resilience.

AI may benefit a number of dairy industry sectors, such as purchasing, warehousing and operations, per the report, which also pointed out that many dairy businesses rely on “outdated software, and costs for data collection tools can be a significant barrier to effective data integration.”

The report highlighted that $8 billion-plus has been invested in new processing capacity in the United States in recent years. Experts expect shared investment and collaboration in AI initiatives may help dairy companies achieve common goals and increase the likelihood of success.

IDFA posted the full State of AI in the Dairy Industry report online at its website.