Supply chain organizations are adopting artificial intelligence faster than they are preparing workers to use it, according to research from the Association for Supply Chain Management and the Digital Supply Chain Institute. The Oct. 14 report found 83% of respondents consider their workforce unprepared, while 91% plan to use AI to support employees and only 14% feel fully prepared. Average adoption across 13 supply chain functions scored 1.94 on a five-point scale, with demand planning highest at 2.28 and reverse logistics lowest at 1.59. AI-ready organizations reported a 71% project success rate versus 28% for unprepared ones. Skills shortages and unclear business cases tied as top barriers at 33% each.
According to distributionstrategy.com, supply chain organizations are pushing into artificial intelligence faster than they are preparing their employees to use it, with 83% of survey respondents describing their workforce as unprepared, according to research released by the Association for Supply Chain Management and the Digital Supply Chain Institute.
The findings were published Oct. 14 in a report titled The People Paradox in Supply Chain AI Integration. The study measures how far AI has moved into everyday supply chain work and where workforce capability, management engagement and security controls are falling behind the pace of investment.
The gap between intent and readiness is wide. While 91% of organizations plan to use AI to support employees, only 14% consider themselves fully prepared for an AI-supported future, the report states.
Adoption averages 1.94 across 13 functions
The research scored adoption across 13 supply chain functions on a five-point scale running from no use to fully autonomous operation. The average adoption score was 1.94, placing most organizations in the early stages of deployment.
Planning applications sit further along than tasks tied to physical operations. Demand planning recorded the highest score at 2.28, followed by supply and inventory planning at 2.12. Reverse logistics, which covers the management of returned products, ranked lowest at 1.59.
The report links workforce readiness to project outcomes, though it cautions that the comparison shows association rather than causation. Organizations with an AI-ready workforce reported using the technology across an average of six functions and a 71% project success rate, while unprepared organizations reported a 28% success rate.
“The organizations making real progress treat workforce readiness as part of the technology investment, not an afterthought.” — Abe Eshkenazi, CEO of ASCM
Skills gap and unclear business case tie as top barriers
A shortage of workforce skills and resources and an unclear business case were the most frequently cited obstacles, each named by 33% of respondents. Poor data quality followed at 25%.
Management participation drops sharply below the executive tier. Active AI leadership falls from 82% among senior executives to 12% at the director’s level, indicating that executive backing is not consistently translating into involvement closer to daily operations.
Security preparations also trail the level of concern. Organizations had implemented an average of 2.3 of six standard cybersecurity practices, despite widespread worry about AI-related risks arising through trading partners.
The report includes an executive action roadmap and a set of questions for assessing readiness. Its central challenge, the authors state, is moving AI from isolated projects into broader use supported by employees, reliable controls and measurable business results.
Source: distributionstrategy.com
Compiled from international media by the SCI.AI editorial team.