May 29, 2024 - The race for AI talent within businesses running the world's biggest supply chains is heating up, according to new research from Zero100, an intelligence company for supply chain leaders.
The AI ROI Report from Zero1001, which surveyed 312 supply chain leaders globally (almost a third, 29% of whom were C-suite level leaders), shows that companies are scrambling to take advantage of the ‘once in a generation’ opportunity of AI. And they are responding to the talent crunch by getting creative, using tactics from gamification to fast-track promotions to convert existing employees into AI enthusiasts.
Almost half (48%) of the companies leading the AI race offer rewards to staff who learn to love the machine, with one in five (20%) introducing financial bonuses, gamification, or other incentives to encourage existing colleagues to play a key role in their digital transformation.
And one in seven companies (14%) is even willing to consider fast track promotions to team members in return for early adoption and spreading the word with colleagues (i.e. becoming ‘super users’).
Zero100 notes that AI literacy is becoming one of the most highly sought-after skills for businesses across all sectors. This talent dash has forced many major corporations - including the likes of Walmart, IBM, Amazon, Unilever and Estée Lauder Companies - to take matters into their own hands by investing in external education and internal upskilling programs to give employees the chance to become early AI adopters.
Walmart’s Executive Vice President, Sourcing, and Operating Partner Massmart, commented: “AI will be a huge enabler for the future of supply chain and operations, and a massive accelerant to the pace of innovation. But when it comes to guaranteeing genuine returns, leaders can’t afford to make short-sighted, hype-driven investments – you need a thoughtful strategy to deliver the best value for customers, and the best value for shareholders.
“In all the excitement about the technology, we can’t lose sight of the fact that investment in AI is an investment in your workforce – you need those human elements to really activate that technology in a meaningful way. That’s why, at Walmart, we’re ramping up hiring and upskilling for AI and machine learning skills. That knowledge is no longer a nice-to-have: it’s business critical.”
Zero100’s report reveals the vast majority (90%) of large businesses have experimented with AI across their supply chains, with almost a third (29%) claiming it is an area for heavy investment in over the next three years.
And these businesses know where they want to double-down on AI. More than two thirds (68%) of supply chain leaders believe AI will reduce inventory waste, 36% say it will reduce materials costs from suppliers and 30% say it will reduce last mile transportation costs.
The new report follows previous Zero100 analysis showing the volume of supply chain job posts mentioning AI/ML skills increased by 116% in 2023, with P&G, Colgate-Palmolive, Nike, and Tesla leading the charge2.
Acquiring AI skills is lucrative for job seekers with research3 finding workers with AI skills command salaries up to 40% higher than their less tech-savvy peers.
Kevin O’Marah, Co-Founder & Chief Research Officer, Zero100 commented: “No one wants to risk being left behind in the rush to embrace AI, and the companies running the world’s biggest supply chains are wasting no time in upskilling their workforce to capitalise on the AI opportunity.
“The global supply chains of tomorrow will be AI-empowered and fully digitised from end-to-end – a complete convergence of supply chain and IT that will fundamentally change the nature of supply chain work. Supply chain leaders are alive to this once-in-a-generation opportunity and investing heavily in experimentation. With demand for AI skills outstripping supply, we’re seeing companies throwing everything they’ve got at upskilling their workforce to set them on the path for a prosperous future.”
About Zero100
The world’s most influential and forward-thinking Chief Operations and Supply Chain Officers partner with Zero100, a membership-based research and intelligence organization, to accelerate progress on Digital Supply Chain Transformation. Members share a common purpose – to harness new technology to re-invent the production, distribution, and consumption of physical goods around the world.
Zero100’s approach combines unique IP-led research and data, intimate executive-level events, personalized guidance, and access to an extensive community of influential thinkers and voices from within, and beyond, supply chain.
The company is headquartered in London, UK, with offices in New York, USA.
Zero100 members include Walmart, Google, Unilever, Volvo Cars, PUMA, Bayer Crop Science, The Estée Lauder Companies, Colgate-Palmolive, Cummins, Haleon, Kimberly-Clark, Ecolab, Mondelez, Under Armour, and more.
To find out more, including a full list of our Advisory Board Members, visit https://zero100.com/about-us/.
