5 Ways Crude Oil Marketers Can Use Artificial Intelligence and Machine Learning
We all likely remember when supply chain visibility changed the game for commodity management. Suddenly, global suppliers had insights into the real-time locations and quantities of their inventory. This type of visibility gave crude oil marketers and traders actionable insights, improved ability to respond to the unexpected, and a leg up on their competition.
Early adopters of game-changing technological trends like supply chain visibility often see unprecedented growth in their business. The key is identifying new technology with the potential to usher in a new era of commodity management.
So what’s next in commodity management? Artificial intelligence (AI) and machine learning (ML) are two very strong candidates, particularly for crude oil marketers and traders.
For commodity organizations willing to innovate, these game-changing technologies offer marketers and traders the chance to stand ahead of the competition.
The Future of Artificial and Machine Learning in Commodity Management
Financial firms are well-known to be the bellwether for the energy and commodity markets, and many already deploy AI and ML to automate critical business functions like fraud detection. However, AI and ML will soon be deployed in more complex fintech activities.
Once financial firms embrace this technology in more complex activities and prove their effectiveness, the commodities and energy industries are likely to follow.
5 Practical Uses for Artificial Intelligence and Machine Learning in Crude Oil Marketing and Trading
Here are five ways crude oil marketers and traders could benefit from AI and ML in commodity management:
Use No. 1: Forecasting Price
Use No. 2: Forecasting Risk or Risk Management
Use No. 3: Valuation of Derivatives or Assets
Use No. 4: Regulatory Compliance and Data Integrity
Use No. 5: Data Protection
So the question is, how can energy and commodity organizations prepare today for the possibilities of tomorrow?
The Time to Adopt Artificial Intelligence and Machine Learning is Now
In a recent article in Oilman, ION FEA’s Josh Gray recommends laying the groundwork for AI and ML today:
“Commodity organizations are just now beginning to explore the possibilities artificial intelligence and machine learning offer their businesses. Alone, this can be a daunting task, but the value of AI and ML compounds over time, driving tremendous growth for organizations with each instance. That’s why industry visionaries are turning to the leaders in advanced commodity analytics to lay a technological foundation that embraces ML today to support more significant AI initiatives in the future. Those with the headstart will have the competitive advantage over the mainstream laggards.”
Incorporate Artificial Intelligence and Machine Learning Into Your Business
Technological advancements like AI and ML have the potential to revolutionize our industry. While incorporating AI and ML can be difficult for individual organizations, tools like FEA are at the forefront of advanced commodity analytics.
ION FEA can help forward-looking organizations learn from their data, identify patterns, and make intelligent decisions with minimal intervention.
To learn more, read the full article from Oilman to learn more about how your organization can benefit from AI and ML.
You might also be interested in: