AI is evolving — fast. What started as a tool for recommendations and insights is now shifting toward agentic AI, where systems can act autonomously to achieve defined goals.
In supply chain management, this represents both an exciting opportunity and a serious responsibility.
What Is Agentic AI?
Agentic AI refers to AI that doesn’t just recommend actions — it takes them on your behalf. Unlike traditional AI, which suggests or forecasts, agentic AI is designed to:
✅ Make decisions
✅ Act independently (within defined rules)
✅ Pursue goals and adjust dynamically
In supply chain, that means moving from “here’s what you should do” to “I’ve done it already.”
Examples include:
- Automatically adjusting inventory orders when stock levels fall.
- Rerouting shipments to avoid delays without human intervention.
- Selecting and initiating optimal supply plans based on real-time scenario analysis.
Why Supply Chain Leaders Are Paying Attention
Supply chains face relentless pressure:
- Disruptions are constant (tariffs, port shutdowns, labor issues)
- Speed is critical (customer expectations, cost control)
- Talent gaps are widening (knowledge drain, hiring challenges)
Agentic AI offers huge potential benefits:
🚀 Faster response times — no waiting for human review
🚀 Reduced repetitive tasks — freeing planners for higher-value work
🚀 More resilient operations — AI dynamically adapts to changes
🚀 Optimized outcomes — AI finds and executes the best path in real time
But — Not Without Risks
Moving from human-in-the-loop to AI-on-the-loop is not without challenges.
⚡ Loss of control — AI could make decisions you wouldn’t.
⚡ Accountability issues — Who is responsible when AI gets it wrong?
⚡ Trust and adoption — Teams must feel confident in AI’s choices.
⚡ Ethical and commercial boundaries — AI needs clear guardrails.
In supply chain, where decisions impact customers, partners, and profitability, blind trust is not an option.
The Road Ahead: Proceed Smartly
Most supply chain platforms today are still in the augmented AI phase. AI supports decision-making, but humans make the final call.
Agentic AI will evolve gradually. Expect to see:
➡️ AI taking over low-risk, rules-based decisions
➡️ Scenario generation and selection becoming autonomous
➡️ Exceptions handled automatically where possible
The key is balance: pairing agentic AI’s speed with governance, transparency, and human oversight.
Final Thought: The Opportunity for Competitive Advantage
Done right, agentic AI can turn disruption into a strategic advantage.
Done carelessly, it can introduce new risks faster than you can react.
The supply chains that win will be those that:
✅ Embrace AI where it adds value
✅ Define clear boundaries and governance
✅ Focus on augmenting — not replacing — human judgment
Is Your Supply Chain Ready for AI?
AI is advancing fast — but without the right foundation, even the smartest solutions can miss the mark. At Scott Sheldon, we help companies prepare their organization, data, processes, and people to make AI successful and sustainable.
Our AI Readiness Framework tackles the critical areas:
- Data Integrity — Fix issues before AI magnifies them
- Process Clarity — Align decision points and workflows
- Technology Fit — Ensure systems are ready for AI integration
- Employee Understanding — Build trust and adoption
- Change Readiness — Align leadership and culture for success
AI success starts with readiness.
Let’s connect and make sure your organization is prepared to turn AI into real results — not risks.