Rudy Lai

AI @ Nestlé

Food & beverages (coffee, frozen meals)
Industry
Last updated
July 3, 2025 at 10:44 AM

Summary

  • Nestlé has progressively integrated AI and machine learning across its R&D, manufacturing, marketing, and sustainability efforts from 2022 through 2025, reflecting an increasing adoption trend with significant investments like A$30m at the KitKat factory and launching AI-driven brand content platforms.
  • The company employs AI for product quality control, innovation acceleration, personalized nutrition, predictive maintenance, recipe optimization aligned with nutritional and cost standards, and sustainable packaging development, contributing to improved efficiency, innovation speed, and sustainability commitments.
  • By 2025, Nestlé faces structural changes including job cuts (16,000 roles) partly due to automation and AI integrations, while continuing to leverage generative AI tools like NesGPT saving employees' time and collaborating with IBM on AI-powered packaging innovation, showing a mature, expansive, and strategic AI deployment.

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9 AI Use Cases at Nestlé

Sustainability Innovation
2025
Traditional
Generative
Agentic
Outcome
Risk
Nestlé utilizes AI and data science, including generative chemical language models with IBM, to develop sustainable packaging and breed climate-resilient crops, advancing environmental goals. [1][2][3]
Procurement Automation
2025
Traditional
Generative
Agentic
Outcome
Costs
AI enhances efficiency in procurement processes such as automated review of invoices and e-auctions, reducing operational costs and expediting purchasing. [1]
Content Generation
2025
Customer Facing
Traditional
Generative
Agentic
Outcome
Revenue
Launching AI-powered platforms to create high-quality product content and digital twins helps Nestlé scale eCommerce and digital media brand presence efficiently. [1][2]
Employee Productivity
2024
Traditional
Generative
Agentic
Outcome
Costs
The generative AI tool NesGPT is deployed internally to save employees approximately 45 minutes per week, improving productivity by automating tasks and knowledge work. [1]
Predictive Maintenance
2024
Traditional
Generative
Agentic
Outcome
Costs
AI-driven predictive maintenance models enable Nestlé to anticipate equipment failures and optimize manufacturing uptime across its facilities. [1]
Personalized Nutrition
2023
Customer Facing
Traditional
Generative
Agentic
Outcome
Leveraging AI technology from partners like January AI, Nestlé explores personalized nutrition solutions tailored to individual consumer needs. [1]
Marketing Optimization
2023
Customer Facing
Traditional
Generative
Agentic
Outcome
Revenue
Nestlé applies AI platforms to evaluate and rank advertising creatives for suitability across diverse digital platforms, optimizing marketing effectiveness. [1]
Product Innovation
2023
Traditional
Generative
Agentic
Outcome
Revenue
AI and machine learning support Nestlé's R&D by accelerating product concept research, generating new product ideas rapidly, and optimizing recipes based on consumer data insights. [1][2]
Quality Control
2022
Traditional
Generative
Agentic
Outcome
Costs
Nestlé uses AI to verify product components and quality during manufacturing, such as ensuring the correct amount of scoops in products, enhancing process control. [1]

Timeline

2025 Q4

2 updates

Nestlé announced cutting 16,000 jobs linked with automation and AI adoption, simultaneously emphasizing AI’s strategic role in optimizing forecasts, recipes, and sustainability efforts.

2025 Q3

3 updates

Broad AI adoption extends to procurement efficiencies, sustainable packaging innovation in partnership with IBM using generative chemical language models, workforce upskilling, and AI for sustainability and product innovation driving $92bn revenue generation.

2025 Q2

4 updates

Launch of AI-powered digital twin content creation for brands, announcement of a new deep tech center in Switzerland for robotics and precision tech, and AI use in recipe cost and nutrition optimization.

2025 Q1

1 updates

A$30m investment to integrate AI and digital capabilities at KitKat factory in Australia marks significant capital deployment toward AI-enhanced manufacturing.

2024 Q4

1 updates

Strategic integration of AI technology to enhance decision-making and embed intelligence across operational frameworks.

2024 Q3

2 updates

Deployment of generative AI tools such as NesGPT, saving employees ~45 minutes weekly, and enhancement of operations via AI-driven use cases.

2024 Q2

3 updates

Significant AI-driven transformations including predictive maintenance, AI deployment across business units for consumer value, and climate-resilient coffee production innovations.

2024 Q1

1 updates

Nestlé uses AI and data science to address the evolving food system and reduce food loss.

2023 Q4

1 updates

Exploration of AI-powered personalized nutrition leveraging technology from January AI.

2023 Q3

1 updates

Continued pioneering of AI and ML integration in multiple operational areas.

2023 Q2: no updates

2023 Q1

2 updates

AI applied to food manufacturing concept research analyzing consumer data and to rank marketing ads across 15,000 marketers.

2022 Q4

1 updates

Investment in AI and machine learning intensified to improve R&D innovation processes aiming for better product development outcomes.

2022 Q3: no updates

2022 Q2

1 updates

Nestlé began adopting AI for product component verification, ensuring quality by checking scoops and components in production.