Leveraging Artificial Intelligence for Enhanced Supply Chain Optimization: A Comprehensive Review of Current Practices and Future Potentials

Abstract

The integration of artificial intelligence (AI) technologies into supply chain management has emerged as a crucial avenue for enhancing efficiency, agility, and responsiveness in modern business operations. This comprehensive review synthesizes current practices and future potentials of leveraging AI for supply chain optimization. Beginning with an overview of traditional supply chain management challenges, the review elucidates how AI solutions address these complexities by enabling predictive analytics, real-time visibility, and intelligent decision-making. The review delves into the diverse applications of AI across different stages of the supply chain, including demand forecasting, inventory management, logistics optimization, and supplier relationship management. Examples of AI-driven technologies such as machine learning, natural language processing, and robotic process automation are analyzed for their role in revolutionizing supply chain operations. Furthermore, the review highlights the transformative impact of AI on supply chain resilience, emphasizing its ability to mitigate disruptions, adapt to dynamic market conditions, and optimize resource allocation. The review also addresses critical considerations such as data privacy, ethical implications, and organizational readiness for AI adoption within supply chain contexts. Lastly, the review discusses future research directions and potential advancements in AI-enabled supply chain management, envisioning intelligent autonomous supply chains characterized by self-learning systems, collaborative ecosystems, and enhanced sustainability practices. In conclusion, this review underscores the pivotal role of AI in driving continuous innovation and competitive advantage within supply chain networks, while also emphasizing the importance of strategic planning and responsible implementation to harness its full potential.
 Keywords: AI, Supply Chain, Optimization, Practices, Review.