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How AI is helping Wendy's meet demand of beloved dessert
Wendy's has partnered with Palantir Technologies for AI-powered supply chain management

How AI is helping Wendy's meet demand of beloved dessert

Nov 08, 2024
04:47 pm

What's the story

Popular fast food chain Wendy's is now leveraging artificial intelligence (AI) to optimize its supply chain and prevent possible ingredient shortages. The company has teamed up with software firm Palantir Technologies for the same. The move comes as part of Wendy's effort to remain competitive in the fast-moving food industry amid rising costs and growing customer expectations., Bloomberg reports.

Tech-driven promotions

AI system powers Wendy's $1 Frosty promotion

The AI system has already proven its worth by backing Wendy's recent $1 Frosty promotion. The campaign was aimed at emphasizing the reliability of Wendy's ice cream machines, unlike those of its competitors. Rather than spending on extra inventory, the company leveraged Palantir's AI system to predict and prepare for possible shortages.

AI endorsement

Wendy's CEO praises AI system's efficiency

Wendy's CEO, Kirk Tanner, praised the AI system during an earnings call on October 31. He said that using the system to manage their Frosty supply has been a "game changer" for the company. The system was tested in fall 2023 and turned out to be significantly more efficient than previous methods used by Wendy's.

Assistance

AI chatbot enhances efficiency at Wendy's drive-thrus

In December 2023, Wendy's unveiled its FreshAI chatbot to assist employees at drive-thrus. The company stressed that this tool is not meant to replace human workers, but to improve efficiency of the chain. Early tests of the chatbot have yielded promising results, with plans for broader deployment across US locations in 2025.

Competition

Wendy's uses AI to optimize operations, stay competitive

Wendy's supply chain co-op, an independent group that buys goods and supplies for franchisees, is also counting on Palantir's system to optimize operations and remain competitive. The company believes fast food chains not adopting AI could find themselves at a serious disadvantage in the near future. This move highlights the growing importance of technology in the fast food industry.