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Academic Journal of Engineering and Technology Science, 2025, 8(1); doi: 10.25236/AJETS.2025.080113.

Enhancing Supply Chain Resilience Using Machine Learning in SAP IBP: A Case Study in Automotive Manufacturing

Author(s)

Peng Lu

Corresponding Author:
Peng Lu
Affiliation(s)

Hebei University of Economics & Business, Shijiazhuang, China

Abstract

Supply chain disruptions, exacerbated by global uncertainties, demand agile planning tools. This paper presents a machine learning (ML)-enhanced demand sensing model integrated into SAP Integrated Business Planning (IBP) to improve supply chain resilience in automotive manufacturing. We propose a hybrid ML architecture combining Long Short-Term Memory (LSTM) networks for temporal pattern recognition and XGBoost for feature importance analysis. Deployed in a tier-1 automotive supplier, the model reduced stockouts by 30% while maintaining 98% service levels. The study highlights technical implementation steps, quantifies performance gains, and provides actionable insights for scaling ML-driven planning in SAP IBP.

Keywords

Supply chain resilience; machine learning; demand sensing; SAP IBP; automotive manufacturing

Cite This Paper

Peng Lu. Enhancing Supply Chain Resilience Using Machine Learning in SAP IBP: A Case Study in Automotive Manufacturing. Academic Journal of Engineering and Technology Science (2025), Vol. 8, Issue 1: 94-98. https://doi.org/10.25236/AJETS.2025.080113.

References

[1] SAP. (2023). SAP IBP Machine Learning Guide. [Online]. Available: https://help.sap.com/ibp

[2] Hochreiter, S., & Schmidhuber, J. (1997). "Long Short-Term Memory." Neural Computation.

[3] Chen, T., & Guestrin, C. (2016). "XGBoost: A Scalable Tree Boosting System." KDD.

[4] IEEE Standards Association. (2022). Ethical Guidelines for AI in Supply Chains.