The Hackett Group: Supply Chain AI Adoption Rising Amid Economic Pressures

The Hackett Group, Inc. (NASDAQ: HCKT), a leading generative artificial intelligence (Gen AI) strategic consultancy and executive advisory firm, has released findings from its 2025 Key Issues Study, highlighting AI’s transformative role in modern supply chains. While approximately 50% of supply chain leaders are testing Gen AI, full-scale implementation remains limited. As cost pressures and economic uncertainties mount, there’s a growing urgency to fast-track AI-driven transformation.

“Supply chain leaders are facing a period of unprecedented volatility, where shifting policies and geopolitical uncertainty can disrupt operations overnight,” said Erin Blair, principal, Strategy and Operations at The Hackett Group. “To stay competitive, organizations must build agility into their supply chains while maintaining cost-efficiency and customer satisfaction. AI-powered digital transformation will be key to navigating these challenges and ensuring long-term resilience.”

Supply Chain Organizations Are Early in the AI Journey

The report shows an uptick in the use of AI-powered tools, including supply chain intelligence, predictive analytics, data visualization, and Gen AI. Key takeaways from the study include:

  • Prescriptive AI is emerging as a game changer, enabling real-time, data-driven decision-making to mitigate risks.
  • Roughly 50% of supply chain teams are piloting Gen AI, primarily in planning, though full adoption remains limited.
  • 75% of supply chain leaders cite economic uncertainty as a top concern, increasing pressure to enhance cost-efficiency, product availability, and operational resilience.
  • Talent and skill development is identified as the top initiative for 2025, though it's also where leaders feel the least confident in their capabilities.

Supply Chain’s Mandate for 2025

To meet mounting challenges and capitalize on growth opportunities, The Hackett Group recommends that supply chain leaders prioritize five key areas:

  • Drive sustainable cost reduction – Optimize costs while enhancing resilience.
  • Focus on customer needs – Maintain satisfaction and innovate to sustain demand.
  • Build agility and resilience – Ensure continuity and service levels across the supply chain.
  • Invest in rapid insight generation – Improve data quality and speed of insight extraction.
  • Invest in smart digital transformation – Use AI judiciously and leverage Gen AI within vendor technologies.

The Time to Act is Now

With the dual demands of economic pressure and the need for agile operations, AI adoption in supply chains is shifting from a luxury to a necessity. Organizations that have not yet embraced Gen AI must act swiftly to explore how the technology can be integrated for long-term competitiveness.

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