Challenges and Opportunities of Artificial Intelligence on Supply Chain Management: A Case of Delta Beverages, Zimbabwe.

Abstract

This study examines the challenges and opportunities presented by Artificial Intelligence (AI) in the supply chain management (SCM) of Delta Beverages. The objectives were to identify critical factors influencing AI adoption, assess its impact on financial performance, and propose policy reforms to support effective integration. The study is guided by two theories namely the Resource based View and Technology-Organisation-Environment. A mixed-methods approach, grounded in both positivist and interpretivist research philosophies, was employed. Data were collected from 80 respondents through structured questionnaires with a five-point Likert scale, 20 semi-structured interviews, and direct observations. Findings revealed that AI significantly enhances demand forecasting, inventory management, predictive maintenance and real-time logistics decision-making, thereby improving operational efficiency and reducing costs. However, challenges persist, including limited supply chain visibility due to data quality issues, a shortage of skilled personnel, integration difficulties, employee resistance to change, high initial investment costs and uncertainty regarding return on investment (ROI). The research has led to the conclusion that despite AI having the potential to revolutionize Delta Beverages’ supply chain, its implementation will be successful only if skill gap issues, data governance challenges and costs are taken care of. Some of the most effective recommendations that can be made in this regard would be implementing effective AI training programmes within the organization, developing better data management processes, utilizing incentives provided by governments and industries for seamless integration and implementing effective change management approaches, among others.