Arla, the international cooperative based in Denmark, has designed a new AI tool that will help them predict milk intake from farmers more accurately.
Annually, the company collects around 13 billion kilos of milk from 10,300 farmers based in Northern Europe. In order to maximise efficiency, speed up their entire supply chain and become more sustainable, Arla has recently developed a tool that uses artificial intelligence (AI) to calculate how much milk 1.5 million cows will produce in future.
Before the creation of the AI tool, it would take the company days to manually compile the data through spreadsheets, whilst the AI tool can do the same job with 1.4% greater accuracy in just a few hours.
200m kilos of milk can be better utilised each year
"The better we are at predicting what our milk intake will be, the better we can plan and optimise our entire value chain, which both improves profitability for our farmer-owners and drives sustainability. The new AI tool provides us with an insight into our supply of milk that we have never had before," says Michael Bøgh Linde Vinther, Director of Global Milk Planning at Arla.
The AI tool allows Arla to create a much more data rich milk intake forecast, which in turn will mean that 200m kilos of milk can be better utilised each year. The data takes into account seasonal changes, geographical location, characteristics and how much milk each farmer produces on a daily basis.
Vinther hopes that the new data will allow Arla to move in a more environmentally friendly direction too, by allowing them to “…plan and adjust the number of Arla trucks travelling across the country.”
The milk forecasting AI tool is now in place across all Arla’s European markets, including the UK.