Inspectorio announces findings in an extensive report, “The State of the Supply Chain,” which explores the challenges that brands, retailers and suppliers face in a changing economic and regulatory landscape.
Respondents highlighted the importance of understanding the impact of modern technologies in solving problems of scale and engagement in the supply chain, despite barriers that exist to full adoption of these solutions. Drawing on survey responses and expert interviews across industries, the report highlights technology’s role in enhancing transparency and efficiency, the growing importance of sustainable practices, the influence of regulatory changes and the financial dynamics affecting supply chains globally.
“As evidenced in the report, conflicting priorities exist between increasing operational efficiency and spearheading sustainability and traceability efforts at various points along the production chain,” says Chirag Patel, CEO, Inspectorio. “The current lack of AI adoption throughout operations highlights the need for tailored solutions to create an effective roadmap to navigate a dynamic and evolving supply chain.”
Key Takeaways:
- The survey found that 82% of supply chain professionals indicate technology advancements will have a significant impact on the supply chain over the next five years. Specifically, innovations in AI and machine learning have led to notable advancements in quality assurance, predictive analytics and operational efficiency, supporting improved decision-making and transparency.
- Despite this, 77% of respondents indicated that AI is not yet integrated into their supply chains. The current lack of AI-powered tools was cited by 47% of respondents as the primary barrier, highlighting a significant gap in the market for industry-specific AI solutions. Restrictive IT policies were cited as the second largest barrier to adoption (22%).
- Currently, only 25% of respondents view sustainability as a pivotal area for future innovation, indicating that recent advancements have not yet penetrated the broader industry. Amid a landscape still dominated by traditional practices, the potential for significant disruption exists as sector-specific technologies mature.
- While only 14% of respondents currently see consumer demand for transparency and ethical standards as a significant trend influencing sustainability, AI has the chance to act as a catalyst for a forthcoming shift towards more widespread sustainable practices throughout the supply chain.
- Driven by escalating regulatory compliance, 93% of survey respondents indicated that compliance budgets have remained the same or increased over the past two years. Additionally, 65% of respondents rate recent regulatory changes as significant, affecting both operational and compliance strategies.
