Transforming Supply and Value Chains The Impact of Artificial Intelligence

Abstract

This review paper examines the expansive role of Artificial Intelligence (AI) in transforming the supply and value chain sectors. As businesses grapple with evolving market demands and technological advancements, AI emerges as a pivotal force driving innovative and intelligent solutions across supply chain management (SCM) functions. The review underscores the significant impact AI has on enhancing supplier relationship management, optimizing demand forecasting, improving transportation logistics, and streamlining warehouse operations. The utility of AI extends to fostering robust customer support, advancing risk management, and reinforcing environmental, social, and governance (ESG) practices. The article further explores how AI contributes to dynamic pricing strategies and sales and revenue growth, thereby positioning companies for greater competitive advantage and market leadership. Through a comprehensive literature review and analysis, the article offers insights into AI's capacity to optimize operations and foster innovation in product and service delivery, highlighting the imperative for organizations to integrate AI technologies into their strategic planning. The synthesis of studies and models presented here aims to provide a deep understanding of AI's potential, encouraging enterprises to invest in and leverage AI-driven transformations for enhanced competitiveness and value creation in the supply chain ecosystem.