Gartner: Why AI Misconceptions May Hurt Supply Chain Tech Talent
Reactions to the rise of generative artificial intelligence have been divided, with many businesses eager to explore the technology’s potential even as workers fear that it could make their skills obsolete or undervalued.
Recent research from Gartner warns that this disconnect could hurt supply chain functions unless leaders find ways to reassure their current and prospective employees.
A cross-functional survey of 822 business executives involved in their organization’s generative AI strategy Gartner conducted in November 2023 found that 81% of supply chain executives planned to use the technology to reduce headcount by 2025.
However, the firm warns that these supply chain officers may be overly optimistic about the technology’s ability to reduce labor costs and should instead focus on its capacity to make their existing workforce more productive.
“Gen AI should be an opportunity for chief supply chain officers to make good on many of their talent aspirations, including freeing their teams up for higher value work and attracting top-tier technical talent,” said Sam Berndt, senior research director in Gartner’s supply chain practice, in a statement.
“However, our data shows that there is a real risk that many CSCOs will use gen AI to double down on poor assumptions that have already resulted in talent shortages, burnout, and retention challenges for the function,” he added
Increasing Transparency Around Generative AI
Supply chain leaders have said they expect generative AI to mostly replace entry-level employees — something that could exacerbate the industry’s existing recruitment problems. Berndt advised companies to instead advertise their use of generative AI as a way of attracting young workers who want experience with the technology.
Gartner advises supply chain organizations to be transparent about how they plan to use generative AI to avoid fueling unfounded speculation and anxieties within their workforce.
“Even a skeptical CSCO with minimal plans for gen AI should provide clear communications about the organization’s plans for the technology, and how it will affect the future of work,” Berndt said. “Employees are already forming conclusions about it that are almost certainly more negative than what CSCOs would want.”
Also advised: Leaders should identify use cases for generative AI beyond chatbots and experiment with the technology to determine what new roles will be needed and begin shifting their organizations to incorporate them. They should also work on educating their employees on how to engineer and iterate prompts, capitalizing on the high current interest in the technology to build basic skills with it.
