Rather than replacing people, AI empowers employees and can help businesses overcome talent gaps.

The fact that Artificial Intelligence (AI) can have a sizeable impact on our day-to-day work life is by now a well-trodden trope. In this time of economic uncertainty, labor shortages, and the transformation of traditional global supply chain relations, the promise has been tinged with fear as more and more professionals are worried about being replaced by AI’s potential for streamlined automation and powerful analytics. History, however, has proven that technological advancements transform and create jobs, rather than simply eliminating them, and right now new technologies can have a pivotal role in supporting transitions and improving efficiency as companies are being forced to reimagine their supply chain.  

Implementing AI in supply chain management does not stand out as a staff-replacement measure but as a tool to enhance worker capabilities, improving

operations and job satisfaction. Professionals can leverage AI to automate repetitive, manual tasks, freeing up time for value-added activities involving strategic decision-making, supplier collaboration, and overall innovation of the supply chain. Additionally, new jobs roles requiring expertise in interpreting AI-generated insights, such as AI procurement specialists and data-driven supply chain analysts, will proliferate. 

Empowering human talent 

Talent is the driving force behind every successful business function, yet companies in this space are struggling to attract and retain skilled professionals. AI therefore also presents a unique opportunity to empower supply chain management professionals. 

Today’s supply chain professionals must navigate complex environmental, social, and governance (ESG) initiatives, comply with evolving regulations, and build supply chain resilience. The sheer complexity of these responsibilities requires ongoing upskilling and adaptability. Global crises, such as geopolitical conflicts, logistical disruptions and now tariffs, have only intensified these challenges, putting additional pressure on teams and exacerbating an existing lack of available talent. 

AI-driven automation can ease this pressure by handling time-consuming tasks such as purchase order approvals, invoice matching, and contract compliance checks, consequently allowing workers to focus on strategic, creative, and value-driven activities. This can reduce burnout, enhance efficiency and job satisfaction, making supply chain roles more appealing and sustainable and ultimately improving employee retention.  

Intelligent support systems 

The integration of AI-powered chatbots using natural language processing (NLP) enables supply chain professionals to ask questions and receive instant, context-aware support, responses and useful suggestions. However, AI assistants go well beyond answering basic questions and can integrate predictive analytics to provide deeper insights into strategies, risk mitigation, and supplier performance, enabling intelligent procurement ecosystems that enhance both efficiency and decision making.  

In this context, AI recommendation engines are emerging as critical tools for resilience and efficiency. By offering predictive and prescriptive insights, these technologies help supply chain leaders shift from reactive problem-solving to proactive risk management. Instead of waiting for supplier issues to disrupt operations, AI enables early detection of risks, such as production delays, quality declines, or financial instability, enabling supply chain teams to explore alternative sourcing strategies, secure backup vendors, or stockpile essential materials in advance. 

Consider a Chief Supply Chain Officer (CSCO) managing operations across multiple regions. With AI-driven insights, they can make data-informed decisions to navigate supplier disruptions, optimize costs, and maintain consistent delivery timelines. This kind of agility is crucial, especially in times of economic uncertainty or geopolitical instability. 

AI’s role in workforce development  

AI tools can also step in where traditional training models are struggling, offering employees real-time, flexible training and providing instant guidance when users encounter new processes or challenges. Supply-chain platforms that integrate AI, for example, can detect if a user is struggling with a task and automatically suggesting next steps or redirecting to a short video or written tutorial. AI-powered training can eliminate – or at least reduce – the need for long, disruptive and tiring training sessions that distract employees from their core responsibilities, often causing backlogs and dissatisfaction. Instead, AI enables a seamless learning experience where professionals can acquire skills in real-world situations, ensuring that supply chain management teams remain adaptable and confident in their ability to face evolving challenges. 

Long-term resilience  

Undeniably, AI is rapidly transforming supply chain operations, from streamlining routine tasks to enabling smarter, faster decision-making. In fact, by automating manual workflows and providing real-time insights, AI is not only closing the talent gap but also elevating supply chain roles into more strategic, high-impact positions. As this technology evolves, we can expect self-optimizing supply chain platforms, systems that learn from user behavior, adapt to shifting market conditions, and continuously improve performance. These tools have the possibility to empower organizations to better anticipate disruptions, optimize logistics and inventory, and build more agile, cost-efficient networks. 

Crucially, businesses that invest in AI-driven supply chain capabilities today are positioning themselves for long-term resilience. They’ll be better equipped to navigate global uncertainty, reduce operational friction, and attract top talent seeking tech-enabled, forward-thinking work environments.  

By Simon Thompson 
www.jaggaer.com   

With over 20 years of experience in the provision of technology solutions for Commercial, Not-For-Profit and Public Sector Organizations, Simon Thompson leads JAGGAER’s UK, Nordic, and Benelux Commercial teams as the Vice President for Northern Europe. He strives to drive change through the delivery of value that has a meaningful impact on cost optimization, supply chain resilience, and risk mitigation.