The Secret Lever of High-Performing Steel Companies: AI-Infused Code

The more intellectual proprietary code a company owns, the better positioned it is to rapidly and effectively integrate artificial intelligence (AI) into its processes in the short and medium term, resulting in AI-infused code. This is especially true in the steel sector.

Each line of custom code represents a potential opportunity to seamlessly and effectively integrate AI. Companies that have invested in custom software development are better equipped to leverage current and future AI advancements. They have the flexibility to quickly adapt their existing systems, incorporating AI models to optimize operations and gain a significant competitive advantage.

Automating mill test processes

Mill tests (certificates of material and production compliance) are critical in ensuring product quality standards in the steel industry.

• Before AI: Employees manually extracted information from mill test documents—a time-consuming, error-prone process that risked data mismanagement and regulatory non-compliance.
• With AI: By integrating AI models into existing code, companies can automate data extraction, remove unnecessary or confidential information, and present data in a polished, client-ready format. This drastically reduces processing time while significantly improving accuracy.

Optimizing delivery planning

Delivery planning is a complex task that requires balancing customer priorities, routes, and vehicle loads.

• Before AI: Planners relied on Excel or custom systems, heavily depending on experience and judgment to organize delivery routes.
• With AI: By embedding AI into their code, companies can optimize routes in real time, considering factors like traffic, weather conditions, and urgent customer needs. This leads to improved efficiency, reduced logistics costs, fewer errors, higher customer satisfaction, and increased profit margins.

Reducing dependence on key employees

In many steel distribution and manufacturing companies, critical tasks—such as machine setup, managing complex orders, production scheduling, and delivery planning—often rely on a few experienced employees.

• Before AI: This reliance created operational risks in case of employee absence or departure.
• With AI: By enriching custom code with AI models, companies can embed employee expertise into intelligent systems, making processes more resilient and less dependent on individual knowledge.

Companies with proprietary code have a significant advantage when integrating AI. They can:

• Quickly adapt systems: Proprietary code can be modified to incorporate AI without the constraints of standard software that follows its own development roadmap, often misaligned with the company’s critical objectives.
• Fully utilize internal data: Custom code is often designed to capture company-specific data, essential for training relevant AI models.
• Develop unique solutions: By combining custom code with AI, companies can create tools and services that are hard for competitors to replicate, achieving a significant lead.

After 20 years of experience in digital automation, we recommend striking a balance. It’s essential not to reinvent the wheel if existing software meets standard needs. At Openmind Tech and Code&Steel, we advocate for leveraging custom code where it adds true value.

• Prepackaged software: Provides a baseline for standard operations.
• Custom code: “Wraps around” existing systems, tailoring processes to the company’s unique needs and integrating AI strategically.

AI is becoming increasingly accessible, with powerful models available at low cost. Companies with custom code can take advantage faster and more effectively, leading to:

• Accelerated innovation: Integrating AI into existing code allows for innovation without starting from scratch.
• Competitive advantage: Companies infusing AI into their processes will outpace those relying solely on closed, standard solutions.
• Improved profitability: AI optimizes operations, reduces costs, minimizes errors, and enhances quality, leading to higher returns.

The more proprietary code a company owns, the greater its ability to swiftly and effectively integrate AI into its processes.

In the steel industry, many companies have built custom systems due to the inadequacy of off-the-shelf software for their unique needs. Over the years, this investment in custom code has become the foundation for the next wave of efficiency. Could this be the secret lever of tomorrow’s high-performing companies?