Digital applications and data exchange offer innumerable options for the floriculture industry. Royal FloraHolland wants to use data to optimize the logistical chain. They also would like to know more about how we can procure the best prices for our members. This is why they started the project iFlow four years ago.
Every day, growers decide when and how many products they want to sell through clock presales, the auction clock of direct sales. It is important for them to decide at the right moment to offer their flowers or plants during the presale or not.
Artificial Intelligence (AI) such as algorithms can create information and help companies to make the right decisions. With its partners, growers association Zentoo, Rotterdam School of Management, Erasmus University and Wageningen University & Research, Royal FloraHolland worked on the project 'AI in the Floriculture Chain' (shortened iFlow). Doctoral candidates and students developed AI applications for growers, auctioneers, transporter and supply chain managers of flower products. iFlow resulted in some important business insights that are useful in the flower industry. Research showed that the new AI models have positive effects on the revenue and the sustainability of the floriculture industry. This has now led to the launch of a number of products to the market.
Price predictions
An algorithm was developed for Zentoo to make price predictions not only based on feeling, but based on data. Arjan van der Voort, general manager with Zentoo: "The predicted market price is now the price we use in our webshop. This has led to improved price predictions, of 2 to 4%. We also want to include this in our software, improving our programs and realizing better prices for our growers. Of course, this is a good result, but this is just the beginning. Experience so far has given us a taste for more." Read more about the project here.
Source: Royal FloraHolland