Transforming Logistics Through Artificial Intelligence: An Empirical Study of Supply Chain Performance

Author

Makkapati Dileep Siva Venkata Sai , Dr. Mohamad Mazar


Abstract

 Artificial Intelligence (AI) is increasingly gaining ground as a key enabler of contemporary logistics and supply chain management. This study demonstrates the potential of artificial intelligence in supporting demand planning, inventory management, route optimization, warehousing, predictive analytics, and decision-making in supply chains. Data collected from 50 respondents using a structured questionnaire were analyzed descriptively and empirically to determine the extent to which respondents are enthusiastic about adopting AI and its benefits. The findings reveal that respondents were positive about the potential of AI, particularly in improving order accuracy (M = 3.42), reducing operational inaccuracies (M = 3.22), and supporting supply chain decisions (M = 3.18). AI benefits had a positive and significant relationship with supply chain performance (r = 0.892, p < 0.001) and explained 79.5% of the variance in supply chain performance (R² = 0.795, F(1, 48)=186.71, p < 0.001). Furthermore, no significant differences were found in supply chain performance among the respondents’ income groups (F(3, 46)=2.379, p = 0.082); however, gender had a significant effect on AI perception (χ²(1)=6.202, p = 0.013). The main challenges were the high investment costs, shortage of skilled labor, data privacy and security, and organizational resistance to change



Keywords

Artificial Intelligence, Logistics, Supply Chain Management, Operational Performance, Intelligent Decision-making



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References


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