Rudy Lai

AI @ Walgreens

Retail pharmacy giant
Industry
Last updated
July 3, 2025 at 10:44 AM

Summary

  • Since 2019, Walgreens has progressively integrated AI technologies across healthcare services, retail operations, and supply chain enhancements, partnering notably with Microsoft and Nuance to improve personalized patient care and vaccine scheduling.
  • Recent advances include adoption of robotic micro-fulfillment centers filling up to 60% of prescriptions by 2025, and strategic use of AI-driven digital twins and demand planning to optimize pharmacy workflows and inventory management, contributing to both operational efficiency and patient experience improvements.
  • Walgreens' AI use cases span from conversational AI for appointment scheduling and medication adherence programs yielding up to 9.7% improvements, to supply chain optimization and personalized marketing, reflecting a mature deployment of traditional and generative AI models towards cost reduction, risk mitigation, and enhanced customer experience.

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5 AI Use Cases at Walgreens

Prescription Fulfillment
2025
Traditional
Generative
Agentic
Outcome
Costs
Centralized robotic hubs and micro-fulfillment centers using AI and automation are increasingly filling a majority of Walgreens' prescription orders, improving workflow and reducing dispensing errors. [1][2]
Supply Optimization
2025
Traditional
Generative
Agentic
Outcome
Costs
Walgreens uses digital twin technology and AI-powered analytics, in collaboration with Palantir, to gain real-time visibility across fragmented retail data sources optimizing supply chain and store operations. [1]
Demand Planning
2023
Traditional
Generative
Agentic
Outcome
Costs
Walgreens implemented AI-driven demand planning and personalized marketing initiatives that transformed retail operations with improved inventory forecasting and targeted customer engagement. [1][2]
Medication Adherence
2021
Customer Facing
Traditional
Generative
Agentic
Outcome
Walgreens leverages AI-powered platforms like AllazoHealth to improve patient medication adherence through predictive analytics and personalized outreach, achieving increases in adherence from 5.5% to 9.7%. [1][2]
Vaccine Scheduling
2021
Customer Facing
Traditional
Generative
Agentic
Outcome
Walgreens uses conversational AI platforms to allow customers to confirm vaccine eligibility and schedule appointments digitally and through non-digital channels, significantly streamlining vaccine distribution. [1][2]

Timeline

2025 Q4: no updates

2025 Q3

1 updates

Walgreens continued leveraging centralized AI and robotic automation to enhance patient care and pharmacist roles, filling 60% of prescriptions via robotic hubs and advancing pharmacy modernization plans.

2025 Q2

1 updates

Walgreens significantly expanded robotic micro-fulfillment centers to fill thousands of prescription orders across 5000+ stores and partnered with Palantir to utilize digital twins for real-time retail operations visibility.

2025 Q1

1 updates

Walgreens expanded digital twin technology and robotic automation in pharmacy, focusing on medication management, drug development, and operational optimization for faster prescription dispensing.

2024 Q4: no updates

2024 Q3: no updates

2024 Q2: no updates

2024 Q1

1 updates

Walgreens leaders forecast 2024 healthcare trends including pharmacies as healthcare hubs and leveraging AI for retail trend forecasting and patient support chatbots.

2023 Q4

1 updates

Walgreens Boots Alliance adopted an approach to avoid AI vendor hype by integrating AI, chat, and intelligence into service management without increasing headcount or costs.

2023 Q3

1 updates

Walgreens completed a successful AI-driven transformation from print marketing to advanced demand planning and personalized customer outreach.

2023 Q2

1 updates

Walgreens teamed up with Freenome and deployed AI/ML-enhanced solutions like Saama for clinical trial automation, alongside demand planning transformation applying AI to retail operations.

2023 Q1: no updates

2022 Q4

1 updates

Walgreens implemented Digitate's AIOps solution to streamline vaccine scheduling and manage IT support tickets, enhancing operational efficiencies.

2022 Q3: no updates

2022 Q2: no updates

2022 Q1

1 updates

The Walgreens Boots Alliance IT leadership emphasized leveraging advanced cloud, data analytics, and AI technologies to personalize healthcare services further.

2021 Q4

1 updates

Walgreens deployed an AI-powered adherence program to target patient adherence with a focus on social vulnerability and mitigating unintended bias.

2021 Q3

1 updates

Walgreens utilized AI technologies from Phrasee and AllazoHealth to improve email engagement rates and boost medication adherence by 5.5% to 9.7% respectively.

2021 Q2: no updates

2021 Q1

1 updates

Walgreens partnered with Nuance to deploy conversational AI solutions for COVID-19 vaccine eligibility confirmation and appointment scheduling, providing omnichannel customer engagement options.

2020 Q4: no updates

2020 Q3: no updates

2020 Q2: no updates

2020 Q1: no updates

2019 Q4: no updates

2019 Q3

1 updates

Walgreens began implementing voice-powered AI technology in stores to enhance in-store experiences for both associates and customers.

2019 Q2: no updates

2019 Q1

1 updates

Walgreens Boots Alliance established a strategic partnership with Microsoft to integrate AI and data science into healthcare services, aiming to deliver personalized and digitized healthcare experiences.