Conagra Is Elevating Its Operations With AI and Intelligent Automation
Conagra, the manufacturer of such brands as Duncan Hines, Reddi Wip, and Swiss Miss, is tacking on more AI-powered capabilities across its business to enhance its IT, supply chain, research and development, demand science, brand, and design operations.
The company has partnered with Microsoft and EY to build in generative AI and intelligent automation capabilities that drive increased efficiencies and prioritize responsible AI use through a human-centered approach.
Use cases will include automating routine tasks to increase productivity, including testing solutions for more complex manual tasks inside Conagra’s production facilities. As an example, the company partnered with Microsoft to host a two-day hackathon, during which the company created an automatic product labeling process that increases label information accuracy and helps with traceability and quality control.
Additionally, Conagra is working with EY to implement generative AI that can create branded images to be used across the marketing and advertising functions. The company is training AI models to meet brand requirements as it analyzes its overall design process and refines datasets. As a result, the company expects to scale the content creation process and accelerate marketing processes.
Azeem Kapadia, senior director of AI strategy at Conagra Brands, said the partnerships are helping the company to realize measurable results and identify opportunities for future growth. "These new digital capabilities will benefit our entire team, sharpen our focus, and better shape how we operate and innovate throughout Conagra.”
AI as a Transformative Force
The company expects these changes will accelerate its decision-making process and more efficiently synthesize large data sets. The initiatives build on Conagra’s existing AI efforts, which have included tracking complex consumer data to determine shopping preferences and pinpoint consumption trends to address demand challenges. Additionally, the efforts are increasing visibility across the supply chain, helping to identify loss prevention opportunities.
"We have established a strong technology foundation that enables our employees to identify, prioritize and build fast and flexible solutions powered by AI for the benefit of the entire company," said Tracy Schaefer, senior vice president and chief information officer at Conagra Brands.
Overall, the initiatives blend IT and business strategy, and Schaefer said they will help Conagra introduce new dynamic approaches for the business and allow it to respond quickly to industry trends.
Over the last year, there has been a surge in AI adoption (particularly gen AI) in the consumer goods space. Companies like Hanesbrands and Kellanova are optimizing their operations as part of larger digital transformations. Use cases have been especially prominent in the areas of product development and marketing.
Reckitt recently invested in four-month generative AI pilot programs, one of which produces advertising content, adapting assets for full funnel use and optimizing for launch across multiple countries and languages. Meanwhile, Mars has been using an in-house-developed generative AI tool to develop as many as 50 product concepts per day.
According to last year’s CGT Sales & Marketing report — Redefining Success: Benchmarking Technology Investments in Consumer Goods Sales and Marketing — content creation is the area with the most potential for generative AI adoption in the CG space at 32%, with product development rated at 12%.
