AI in Odoo Inventory - What’s new?

Odoo Inventory has been one of Odoo’s earliest AI bets, with features dating back to version 16. 

Now, with the launch of Odoo 19 and its new Odoo AI app, these features have become even smarter and more integrated.

Discover all the latest AI features in Odoo Inventory and how they help you to optimise your supply chain management.

AI has quietly made Odoo Inventory smarter over time

Odoo Inventory allows businesses to manage their supply chain efficiently and in real time.

It works for a range of industries and use cases:  retail, manufacturing, wholesale, healthcare, and more.

AI isn’t new to this app, per se. It has, in fact, been quietly supporting and automating supply chains in Odoo for years, with many AI-powered features already well-established behind the scenes:

Optimised in-warehouse stock handling

Odoo uses AI to analyse purchasing and product movement trends.

It automatically positions fast-moving items closer to dispatch areas in warehouses for quicker stock handling.

Odoo Inventory places stock in specific warehouse locations based on when it has to be dispatched.

Live inventory tracking with AI and IoT

Odoo combines AI and IoT devices to track inventory in real time. 

It connects to barcode scanners and IoT gateways to track every piece of stock.

Users can receive live updates on the status of their inventory. This data can then inform automated replenishment to keep stock levels stable.

New in Odoo 19 - Improved demand forecasting

One of Odoo’s first AI features in version 17 was support for inventory forecasting, though it focused more on forecast planning.

In Odoo 19, the integrated AI app can now analyse historical sales and seasonality to generate reliable “Demand Forecasts”. 

This data then feeds directly into the “Min/Max Reordering Rules” to automatically replenish stock.

Odoo Inventory uses AI to predict stock levels based on existing, pre-ordered, and sold material. It forecasts stock levels and indicates the time for replenishment.

New in Odoo 19 - Automatic replenishment 

Based on optimised demand forecasting with AI, Odoo can predict when stock will fall below a minimum level.  

With version 19, the system now automatically creates a “Purchase Order” or “Manufacturing Order” to replenish low or missing stock.

Odoo automatically updates orders and time to replenishment within stock forecasting reports.

New in Odoo 19 - Automated stock returns

Odoo 19 uses AI to recognise when an order has been returned and to cancel the associated “Delivery Order” in Inventory. 

The material or product is automatically unreserved, keeping stock levels accurate in real-time.

Odoo automatically unreserves stock from an order that has been cancelled and returned.

New in Odoo 19 - Smart purchasing suggestions

Odoo uses AI to suggest how many stock units should be ordered based on previous orders in the Purchase app. 

To do this, Odoo calculates forecasted demand based on historical sales and demand data.

Odoo suggests stock replenishment based on previous “Purchase Orders”.

New in Odoo 19 - Predictive analytics stock reporting 

Odoo had already used AI’s predictive analytics capability to create inventory management reports in earlier versions. 

With the new inventory reports in Odoo 19, users can directly replenish, reserve & unreserve, and forecast stock inside the main report view.

Odoo Inventory reports use predictive analysis to flag stock levels and place orders for replenishment, reserving, etc. 

Odoo ERP: The Long-term IT Strategy for an AI-driven Future

Odoo’s open-source nature ensures that it can be easily adapted and extended to accommodate new technologies, such as AI. As the leading open-source ERP system on the market, Odoo is an ideal choice for companies looking to build a long-term IT strategy that remains open to future innovations. The integration of AI applications becomes a seamless process, empowering businesses to remain competitive and agile in a rapidly evolving landscape.

Embracing the Future: AI-enhanced Inventory Management in Odoo ERP

The combination of Odoo ERP and AI capabilities opens up a world of possibilities for businesses, particularly in inventory management. By harnessing the power of AI to analyze historical data, predict future demand, and optimize inventory levels, businesses can revolutionize their inventory management processes.

Precision in Demand Forecasting

AI algorithms integrated into Odoo ERP can process past sales data, seasonal trends, and industry dynamics to generate highly accurate demand forecasts. This predictive ability assists businesses in planning their production, procurement, and sales strategies more effectively.

Real-time Inventory Tracking

By combining AI with IoT devices, real-time inventory tracking becomes possible within the Odoo ERP system. This offers an accurate and up-to-date overview of stock levels, enabling businesses to make prompt adjustments in response to demand fluctuations.

Automated Replenishment

AI can automate the replenishment process within Odoo ERP based on forecasted demand. The system automatically generates purchase orders for necessary items when stock levels reach a certain threshold, ensuring a continuous supply.

Enhanced Decision-Making

AI’s predictive analytics capabilities, when integrated with Odoo ERP, enable businesses to make data-driven decisions. This includes identifying high-demand items, determining the optimal time to reorder, and establishing the ideal inventory levels to maintain.