Tech Explained: Here’s a simplified explanation of the latest technology update around Tech Explained: AI Moves from Experimentation to Operational Decision Making: RELEX in Simple Termsand what it means for users..
AI is moving from experimentation to operational decision support across supply chain planning, according to the State of Supply Chain 2026: Volatility, Trade-Offs & the Rise of AI report, released by RELEX Solutions.
In fact, 67% of retail and manufacturing leaders say their confidence in using AI for supply chain decision-making has increased compared with last year. At the same time, 54% prefer AI to make recommendations while humans finalize decisions, and only 10% say they would trust AI to make fully independent supply chain decisions. Meanwhile, 47% are using or planning AI-driven inventory and supply optimization and 41% are applying AI to logistics and routing.
“AI is becoming part of everyday supply chain decision-making,” says Dr. Madhav Durbha, group VP of manufacturing industry strategy at RELEX Solutions. “As volatility persists, companies are investing in AI-driven forecasting, optimization, and decision support to respond faster and operate with greater confidence, even when conditions change quickly.”
Key takeaways:
· Organizations are increasing future investment in AI capabilities, with 71% planning to invest in generative and agentic AI and 60% in predictive AI over the next 3-5 years. These investments come as 44% of leaders cite consumer demand volatility as a top challenge over the next three years, reinforcing the need for more intelligent, responsive planning systems.
· 30% of retailers cite adapting to sudden consumer demand shifts as a major challenge.
· 57% of manufacturers say raw material procurement disruption is the most impacted area of their supply chain, while 34% cite regulatory and compliance pressures as a growing operational concern.
· The report also finds sustainability has shifted from aspiration to operational constraint. 63% say the importance of sustainability in their supply chain strategy has increased, while 34% of manufacturers cite regulations and compliance as a source of disruption.