The AI Divide: A Supply Chain Dilemma
June 7, 2025, 4:05 am
Location: United States, New York
Employees: 201-500
Founded date: 2009
Total raised: $5M
In the bustling world of supply chains, a silent revolution is brewing. Artificial Intelligence (AI) stands at the forefront, promising to reshape how businesses operate. Yet, the adoption of this technology is sluggish. A recent survey reveals a stark contrast between those embracing AI and those hesitating at the starting line.
The survey, conducted by Ivalua, surveyed 300 decision-makers in the UK’s supply chain and procurement sectors. The findings are illuminating. While 36 percent are actively implementing AI, a staggering 32 percent remain either indifferent or entirely resistant to its adoption. This divide is not just a statistic; it’s a growing chasm that could spell disaster for laggards.
Businesses that have taken the plunge into AI are already reaping the rewards. They report enhanced data analysis for decision-making, with 85 percent acknowledging improved insights. Task automation has been embraced by 83 percent, while 79 percent cite better demand forecasting. These companies are not just surviving; they are thriving in a landscape fraught with challenges.
The pressures are mounting. Rising costs, volatile trade policies, and the relentless demand to do more with less are pushing organizations to rethink their strategies. In this context, slow adoption of AI is not merely a missed opportunity; it’s a strategic risk. The early adopters are wielding AI like a sword, cutting costs and negotiating smarter. Meanwhile, those who hesitate are left grappling with outdated processes and inefficiencies.
The message is clear: the longer organizations wait, the wider the AI gap becomes. Market leaders are leveraging AI to build resilience and agility. They are transforming their operations while others remain stuck in the past. The stakes are high. As the world moves forward, those standing still risk being left behind.
On a brighter note, 74 percent of organizations plan to boost their budgets for AI-powered procurement and supplier management tools in the coming year. This indicates a growing recognition of AI’s potential. However, the rise of agentic AI—an advanced form of AI—poses a new challenge. Seventy-three percent of respondents believe it will revolutionize procurement and supply chains. Yet, this also risks widening the gap between early adopters and the rest.
Trust is another critical issue. More than half of the surveyed decision-makers express skepticism about agentic AI making crucial decisions during supply chain crises. This lack of trust could hinder the technology’s integration into everyday operations. For AI to be effective, procurement leaders must first establish a solid digital foundation. This includes consistent data, clear visibility across functions, and centralized policy enforcement. Without this groundwork, organizations may struggle to harness AI’s full potential.
The next steps are crucial. Organizations must drive adoption, optimize output quality, and remain agile. Proactive management of compliance and security risks is essential. With the right approach, procurement can transcend mere automation. Agentic AI can unveil deeper insights, allowing businesses to react swiftly to risks and deliver strategic value.
As the supply chain landscape evolves, the urgency for AI adoption becomes increasingly apparent. Companies must not only recognize the benefits but also act decisively. The clock is ticking. The divide between those who embrace AI and those who don’t will only grow wider.
In a world where efficiency is king, the question remains: will organizations rise to the challenge or be left in the dust? The answer lies in their willingness to adapt and innovate. The future of supply chains is here, and it’s powered by AI.
The implications are profound. As businesses harness AI, they will redefine what’s possible in procurement and supply chain management. The potential for enhanced efficiency, cost savings, and strategic insights is immense. But this transformation requires courage and commitment.
In conclusion, the AI divide in supply chains is a pressing issue. The benefits of AI are clear, yet many organizations remain hesitant. The time for action is now. Embracing AI is not just a choice; it’s a necessity for survival in a competitive landscape. The future belongs to those who dare to innovate. The question is, will you take the leap?
The survey, conducted by Ivalua, surveyed 300 decision-makers in the UK’s supply chain and procurement sectors. The findings are illuminating. While 36 percent are actively implementing AI, a staggering 32 percent remain either indifferent or entirely resistant to its adoption. This divide is not just a statistic; it’s a growing chasm that could spell disaster for laggards.
Businesses that have taken the plunge into AI are already reaping the rewards. They report enhanced data analysis for decision-making, with 85 percent acknowledging improved insights. Task automation has been embraced by 83 percent, while 79 percent cite better demand forecasting. These companies are not just surviving; they are thriving in a landscape fraught with challenges.
The pressures are mounting. Rising costs, volatile trade policies, and the relentless demand to do more with less are pushing organizations to rethink their strategies. In this context, slow adoption of AI is not merely a missed opportunity; it’s a strategic risk. The early adopters are wielding AI like a sword, cutting costs and negotiating smarter. Meanwhile, those who hesitate are left grappling with outdated processes and inefficiencies.
The message is clear: the longer organizations wait, the wider the AI gap becomes. Market leaders are leveraging AI to build resilience and agility. They are transforming their operations while others remain stuck in the past. The stakes are high. As the world moves forward, those standing still risk being left behind.
On a brighter note, 74 percent of organizations plan to boost their budgets for AI-powered procurement and supplier management tools in the coming year. This indicates a growing recognition of AI’s potential. However, the rise of agentic AI—an advanced form of AI—poses a new challenge. Seventy-three percent of respondents believe it will revolutionize procurement and supply chains. Yet, this also risks widening the gap between early adopters and the rest.
Trust is another critical issue. More than half of the surveyed decision-makers express skepticism about agentic AI making crucial decisions during supply chain crises. This lack of trust could hinder the technology’s integration into everyday operations. For AI to be effective, procurement leaders must first establish a solid digital foundation. This includes consistent data, clear visibility across functions, and centralized policy enforcement. Without this groundwork, organizations may struggle to harness AI’s full potential.
The next steps are crucial. Organizations must drive adoption, optimize output quality, and remain agile. Proactive management of compliance and security risks is essential. With the right approach, procurement can transcend mere automation. Agentic AI can unveil deeper insights, allowing businesses to react swiftly to risks and deliver strategic value.
As the supply chain landscape evolves, the urgency for AI adoption becomes increasingly apparent. Companies must not only recognize the benefits but also act decisively. The clock is ticking. The divide between those who embrace AI and those who don’t will only grow wider.
In a world where efficiency is king, the question remains: will organizations rise to the challenge or be left in the dust? The answer lies in their willingness to adapt and innovate. The future of supply chains is here, and it’s powered by AI.
The implications are profound. As businesses harness AI, they will redefine what’s possible in procurement and supply chain management. The potential for enhanced efficiency, cost savings, and strategic insights is immense. But this transformation requires courage and commitment.
In conclusion, the AI divide in supply chains is a pressing issue. The benefits of AI are clear, yet many organizations remain hesitant. The time for action is now. Embracing AI is not just a choice; it’s a necessity for survival in a competitive landscape. The future belongs to those who dare to innovate. The question is, will you take the leap?