Webinar

AI in Food Distribution: What's Here, What's Coming, and What BFC Is Building

Understand what is happening broadly in AI – and what it means for your operation

AI is moving quickly and we all need to keep up. In this on-demand webinar, BFC CEO Will Collins breaks down what is broadly happening in the AI world today, where AI is penetrating food service, and the foundational data and processes needed to make AI successful in your operation.

Things you'll learn

  • What is happening broadly in the AI world. What is AI, ML, Agentic AI, and what are the steps to building an AI model. Get to know the basics.

  • Where has AI been the most successful today? See examples from Netflix, Paypal, Apple, and others.

  • Where AI is starting to penetrate foodservice. What are the 2-3 areas people are actively using today?

  • Where we are investing at BFC. See 3 areas we are building!

Recording & Transcript

Welcome to our AI in Food Distribution webinar. Good afternoon, everyone, and thank you for joining us. We’ll give folks just a few more seconds to join, but we appreciate you taking the time to be here today. We have a lot to cover, so we’ll move at a good pace. Feel free to drop questions into the Q&A at any time. We’ll also share a few quick polls throughout the session. Let’s get started.

Setting the Stage for AI in Food Service

Before we jump into the content, I want to set a bit of context. We’re not here claiming to have all the answers. AI is evolving rapidly, and the landscape is changing quickly. That said, we strongly believe in the power of AI and the outcomes it can drive. We’re investing significant time and resources into understanding where AI is succeeding, where it’s struggling, and how we can apply those learnings to help our customers operate more efficiently and profitably. Here’s what we’ll cover today:
- A quick overview of AI fundamentals  
- Where momentum is happening in AI  
- Real-world examples of success  
- How AI is being applied beyond large language models  
- Where we are investing internally  
- And how you can prepare for what’s coming next

Understanding AI: The Basics

At a high level, AI is simply computers doing work using advanced algorithms. It typically involves:
- Sophisticated mathematical models  
- Large amounts of data  
- Specialized hardware like GPUs  
I like to think about AI in three main categories:
1. Replacing effort    
AI can handle repetitive, low-value tasks—like scheduling meetings or processing simple requests.
2. Scaling effort    
AI can perform large-scale analysis or tasks that would take humans hours or days.
3. Augmenting effort    
This is where AI becomes “superhuman”—identifying patterns across massive datasets that would be difficult for a human to detect. Building AI models involves several steps:
- Collecting data  
- Cleaning and preparing it  
- Training the model  
- Testing and validating it  
- Continuously improving it over time  
One key takeaway:  Most of the effort—often 70–80%—goes into data preparation, not the model itself.

Why AI Is Accelerating Now

AI has been around for years, but it’s exploding now due to several factors:
- Faster internet and connectivity  
- Cloud computing (AWS, Azure, GCP)  
- Massive amounts of stored data  
- Easier access to tools and development platforms  
These advancements have made AI more accessible and scalable than ever before.

What Is Agentic AI?

You may have heard the term “agentic AI.”Think of it like a team: Different AI agents handle specific tasks—just like players on a football team—then come together to complete a larger objective.For example, one AI model might analyze sales data, another reviews marketing insights, and a third synthesizes the information into a final recommendation.

AI Today: Successes and Challenges

There’s a lot of excitement around AI—but also a lot of experimentation. Some studies suggest that up to 95% of AI projects fail. However, when AI works, it can be transformative. Large language models like ChatGPT, Gemini, and Claude are the most visible success stories. They’ve been trained on vast amounts of data and are widely used for:
- Writing and communication  
- Research and information retrieval  
- Task automation  
But AI is expanding far beyond these use cases.

Real-World AI Applications

Here are a few examples of AI in action:
- Finance: Automating accounting processes and financial workflows  
- Legal: Reviewing contracts and performing legal research  
- Internal knowledge: Tools that search company data and answer questions  
- Meetings: AI-generated summaries and action items  
- Software development: AI-assisted coding tools increasing productivity  
Successful AI projects typically share a few characteristics:
- Clean, structured data  
- Data stored in the cloud  
- Strong contextual understanding  
- Human oversight remains essential  

AI Success Stories

Some well-known examples include:
- Netflix: AI-driven recommendation engines  
- PayPal: Fraud detection models saving hundreds of millions annually  
- Healthcare: AI models improving diagnostic accuracy and accessibility  
These examples highlight how AI can drive measurable business outcomes when applied correctly.

AI in Food Distribution

So how does this apply to food distribution? Here are some emerging use cases:
- Prospecting: Matching distributor SKUs with restaurant menus  
- Order capture: Converting emails, texts, and voicemails into orders  
- Smart suggestions: Recommending items based on past purchases  
- Quality control: Using computer vision to assess product condition  
- Routing optimization: Improving delivery efficiency  
These applications reduce manual effort and improve accuracy.

Where We’re Investing in AI

At BFC, we’re investing across our platform:
- Replenishment and forecasting  
- Warehouse management  
- Transportation optimization  
Over the past few years, our primary focus has been building a strong data foundation:-
Capturing detailed operational data  
- Moving it to the cloud  
- Adding structure and context  
This foundation enables meaningful AI applications.

Virtual Business Analyst

One area we’re excited about is the “virtual analyst.” Instead of manually analyzing data, users can ask questions like:
- “Where should I focus?”  
- “Who are my top performers?”  
- “What trends should I pay attention to?”  
AI can analyze the data and provide insights instantly—often matching or exceeding manual analysis.It can also:
- Identify performance gaps  
- Suggest actions  
- Generate visualizations  
- Deliver daily summaries automatically  

Slot Optimization

We’re also applying AI to slot optimization. Traditionally, this requires manual analysis of:
- Replenishment frequency  
- Pick patterns  
- Product movement  
AI can:
- Identify inefficiencies  
- Recommend slot changes  
- Detect seasonal trends  
- Optimize warehouse layout  
This dramatically reduces the time required for analysis while improving accuracy.

Truck Building and Load Planning

Another area is truck building. We’re experimenting with AI models that:
- Optimize load configurations  
- Balance weight distribution  
- Learn from user behavior  
- Improve planning efficiency over time  
The goal is to replicate human decision-making—faster and more consistently.

Preparing for AI

So what should you be doing today?
1. Capture your data    
Ensure your systems track operational activity consistently.
2. Move data to the cloud    
AI requires scalable, accessible data infrastructure.
3. Understand your data    
Define KPIs, document processes, and analyze performance regularly.
4. Add context    
Store documentation, insights, and historical learnings.
5. Start experimenting    
Use AI tools and build familiarity across your organization.AI will not replace humans—but it will enhance how we work.

Final Thoughts

AI is still in an early phase.We expect:
- Continued experimentation over the next 6–12 months  
- More mature solutions within 2–3 years  
- Significant operational impact over time  
Organizations that invest in data and infrastructure today will be best positioned to take advantage.

Thank you again for joining us today.If you’re exploring cloud WMS, analytics, or AI initiatives, we’d love to connect. Visit bfcsoftware.com or reach out to schedule a conversation. We’re excited to be on this journey with you. Thanks again, and have a great day.