A Brave New World: Cannabis and Automation
These days, a cannabis leader’s priority list is replete with many items, many of which focus on operational efficiency and agility. Finding places in the enterprise to leverage cutting edge automation needs to be near the top of the list.
Automation is a catch all for a variety of emerging (some rapidly) technologies like AI (e.g, ChatGPT), robotics and closed loop production systems. These are not bleeding edge tools. Automation is helping companies from the grower to the retailer drive lower costs, improve operational flexibility and enhance throughput & quality.
For all of their progressive ideas, many cannabis peeps can be a conservative lot, especially when it comes to adopting new technologies and operating models. Automation needs a more serious look.
In a highly regulated industry coping with slim margins, the adroit use of automation is one of the only ways an operator can outflank competition, increase efficiency and deliver industry-leading profitability.
Below are some of automation's most common use cases:
> Employing self-learning machines to optimize the greenhouse environment, improve QA and fine tune the delivery of inputs;
> Using ChatGPT to generate content such as marketing materials, contracts and SOPs not to mention serve as robotic budtenders;
> Deploying AI-powered online & telephone customer service agents who can also accept orders and provide consumer education.
Automation has its doubters, for sure. Many appreciate these technologies but contend they come up short when it comes to performance. Others argue they’ll never replace the ‘art’ in producing cannabis or designing creative marketing programs. Finally, many would love to leverage these tools but lament the (perceived) cost - or were burned by previous IT implementation fiascos.
All fair, but this doesn’t tell the full story. Automation is getting a whole lot better for the following reasons:
1) In many cases, these are first generation systems. Wait a year or two and then evaluate performance, especially after these tools have been tailored to the unique needs of the cannabis industry;
2) With emerging technologies, a person’s ability to understand how something can be used often lags the actual power of the technology and its real value;
3) Rapid adoption occurs when early adopters publicize ROI positive use cases. That’s beginning to happen in and outside of cannabis;
4) The cost of all new technologies falls quickly as penetration increases, rapidly boosting affordability.
Cannabis leaders need to be bold right now. Being an automation pioneer is a shrewd strategy in a sector desperate for strategic differentiation. Those that can leverage these new technologies early will reap the benefits faster.
#ChatGPT #Automation #Robotics #machinelearning