“Distributors that free reps from keystrokes will sell more fasteners with the team they already have,” AI consultant Angela Czajkowski told the National Fastener Distributors Association.

With AI, “new hires get answers without waiting for a veteran,” said Czajkowski, managing director of of supply chain, construction and real estate for Hartman Executive Advisors.

Czajkowski cited one fastener master distributor who had been taking three days to respond to a request for quote on 500 parts. During that time “competitors may have already quoted,” she pointed out.

AI “relies on few people” to respond, Czajkowski pointed out.

Adopting AI allowed the master distributor to “increase win rates 30%,” Czajkowski said.

Potential distribution use of AI include quoting complex fastener requirements, including RFQ interpretation; material matching; and sourcing the right item reliably  (separate stock, supplier item and reorders).

Czajkowski said AI pays back in demand forecasts (seasonal customer signals); replenishment; order entry and quoting (quotes in minutes, not hours), fraud and credit risk (suspicious invoices), hiring and training; pricing and margins.

AI provides help with missed cost pass-throughs and unclaimed supplier rebates, she added.

In considering AI programs, “make sure we are asking the right questions” and you have “measurable outcome,” Czajkowski said. 

Considering expanding AI usage?  

“Plan a small test,” Czaikowski suggested. But be aware “the first trial may fail.” 

There are abuse cases with AI, such as advanced hacking and phishing, Czajkowski cautioned. There are “deep fakes” such as cloud voices and impersonations. 

“Hackers are getting smarter.”

This matters because “who wants to call customers and say, ‘we’ve had a breach’,” Czajkowski said. Companies need to be prepared with an AI-ready incident plan.

There can be bad data if AI is trained on “messy records,” prompting AI to make up facts or use partial numbers.

Czajkowski cited areas where AI pays back: Demand forecasts (seasonal customer signals); replenishment; order entry and quoting (quotes in minutes, not hours); fraud and credit risk (suspicious invoices); hiring and training; and pricing and margins.

AI can show cost increases and tariff changes so distributors can stop selling at last quarter’s prices, Czajkowski said. Prices can be set according to the customer. And AI can spot which accounts have stopped buying and give warning before they leave as a customer, she said.

Potential AI uses: Quote complex fastener requirements, including RFQ interpretation, material matching; Sourcing the right item reliably (separate stock, supplier item and reorders); delivering dependable commitments; and making sure you are asking the right questions.