Analyzing the Impact of Artificial Intelligence on ABF Supply Chain

This project investigates the impact of artificial intelligence (AI) on supply chain management, focusing on Associated British Foods (ABF). The study begins with an introduction outlining the aims, objectives, and significance of the research, followed by a literature review that explores the concepts of AI and supply chain management, and the effects of AI implementation post-pandemic. The research methodology chapter details the approach used to gather and analyze data, primarily from secondary sources. The data analysis chapter presents findings related to AI's benefits and challenges within ABF's supply chain, and the final chapter provides conclusions and recommendations for overcoming these challenges, including suggestions for market research before AI implementation. The project highlights the importance of AI in enhancing efficiency and competitiveness in the current business environment, particularly in light of the pandemic's impact on supply chains.

Project 2

ACKNOWLEDGEMENT
For the completion of the project I would like to acknowledge my humble gratitude
towards my supervisor for providing their guidance. Further it would also like to extend my
thanks to my parents and friends and peers for supporting me throughout the dissertation.
Thanks you.

ABSTRACT
The current study is based on the impact of artificial intelligence over the supply chain
management in Associated British Food Plc. The current study also analysed the importance of
the setting of the aim and objectives of the study. This is because of the reason that the aim and
objectives provides a base for the researchers to conduct the study. this is necessary because it
will guide the researcher to effectively complete the study in better and effective manner. Further
literature review highlighted that the major impact created by the artificial intelligence is
increase in efficiency of the company and employees. Along with this RM highlighted that use of
qualitative and secondary sources is beneficial. In the end the data analysis highlighted that the
artificial intelligence is very beneficial for the company in managing the supply chain
management in better and effective manner. At last the recommendation was provided to
company that they must effectively conduct the market research before installing the AI in the
company.

TABLE OF CONTENTS
CHAPTER 1- INTRODUCTION....................................................................................................5
Background.................................................................................................................................5
Aims and objectives....................................................................................................................6
Significance.................................................................................................................................7
Rationale.....................................................................................................................................7
Dissertation structure..................................................................................................................7
CHAPTER 2- LITERATURE REVIEW.........................................................................................9
CHAPTER 3- RESEARCH METHODOLOGY...........................................................................16
CHAPTER 4- DATA ANALYSIS................................................................................................22
CHAPTER 5- CONCLUSION AND RECOMMENDATION.....................................................31
Conclusion................................................................................................................................31
Recommendation......................................................................................................................32
REFERENCES..............................................................................................................................34

CHAPTER 1- INTRODUCTION
Background
In the current competitive working environment the technology is expanding and it is
very necessary for the business to use all the latest techniques so that they can gain a competitive
advantage. The current pandemic situation has affected the working efficiency of the companies
to a great extent. with respect to the supply chain the use of new technology is very necessary as
it will be increasing the efficiency of the business to a great extent (Naz and et.al., 2021). the AI
is being defined as the simulation of the intelligence of humans within the machine so that they
can act like humans. The supply chain management is the framework which includes
management and flow of goods and services from raw material to finished goods. The pandemic
situation has affected the supply chain to a great extent, but the use of latest technology like AI
can be assistive in effective management of supply.
The current study is based on Associated British Foods plc which is a multinational food
processing and retailing company. The company was founded in the year 1935 by W. Garfield
Weston and deals in ingredient division and is the second largest producer of baker’s yeast and
sugar. The company deal in wide range of product and services and this particularly involves
international food, different ingredient, retail products and many other different range. The
company also employs approximately 128000 number of employees all of the world (ABF at a
glance, 2022). along with this the company also operates in 53 countries and consumers comes
from more than 100 countries.

(Source: ABF at a glance, 2022)
The current study will outline the analysis of the role of artificial intelligence within the
supply chain management (Baryannis and et.al., 2019). Also the various methods will be
outlined which will help in completing the study successfully. Moreover, the data will be
analysed with help of the secondary sources and this will make the attainment of research
objectives in correct and efficient manner.
Aims and objectives
Aim
To examine the use of artificial intelligence within the supply chain management for overcoming
impact of pandemic. A study on Associated British Foods plc.
Objectives
 To articulate understanding relating to concept of artificial intelligence and supply chain
management.
 To analyse the impact of using artificial intelligence within the management of supply
chain after pandemic for Associated British Food plc.
 To evaluate the challenges which Associated British Food plc will be facing after
implementation of artificial intelligence.

 To recommend some of the ways in which the challenges can be overcame by Associated
British Food plc.
Research questions
1. What is the concept of artificial intelligence and supply chain management?
2. What is the impact of using AI in supply chain management after pandemic?
3. What are the different challenges faced after implementation of AI into practice?
4. What are the various recommendation for overcoming the challenges of AI?
Significance
In the modern and advance world, the use of technology is very necessary to be
implemented. The reason underlying this fact is that the external environment is very competitive
and in case companies will not be working efficiently then this will be affecting the profitability
and working. The current topic that is impact of AI in supply chain management is of
significance as it includes the analysis of the latest technology within the supply chain post
pandemic (Spanaki and et.al., 2021). This will help Associated British Food plc in analysing the
impact of AI and the challenges which they will be facing after implementation of AI. Along
with this, the current study is also of significance to the competitors of Associated British Food
plc as they can also analyse the impact and thereafter they can implement the AI in their supply
chain as well.
Rationale
The main reason for the present study to be conducted is to analyse the impact of using
AI within the supply chain management for overcoming negative impact of pandemic. The
current pandemic has affected the working efficiency of companies to a great extent and this
study will outline that how the AI can be used to improve the supply chain management in better
and effective manner (Dash and et.al., 2019). Along with this another reason for this topic to be
selected is that supply chain is the main part within the company as in case raw material or
finished product will not be provided on time then this can affect the profitability of the
company. another reason for selection of this research topic is the personal and academic interest
of the researchers themselves.
Dissertation structure
Chapter 1- Introduction

This is the chapter which creates a base for the whole research and assist the researcher in
making aim and objectives. Also, the chapter highlights the rationale and the significance
relating to the research topic that is impact of AI in supply chain management of the company.
Chapter 2- Literature review
This is another chapter which includes the analysis of the different secondary sources
relating to the research topic. There are already many different types of the study which have
been conducted prior to the present study. thus, it will be included in the analysis of the current
research topic. Here different themes will be made on basis of objectives and then it will be
supported by different types of the authors.
Chapter 3- Research methods
This is the third chapter which outlines the list of different methods which are being used
in order to complete the study in better and effective manner. There are different types of data
analysis and collected method and this chapter will outline the selected methodology for the
attainment of present research objectives and questions.
Chapter 4- Data analysis and interpretation
This chapter is the main for the success of the research because in case the data will not
be analysed in proper manner then this will be affecting the successful completion the project.
This chapter will include the use of secondary sources to gather and analyse the data. The
secondary sources the already existing sources like books, journal, articles and others.
Chapter 5- Conclusion and recommendation
This is the last chapter which comes after the analysis of the data and here the major
finding is being concluded. The conclusion is being provided for the whole project and also
according to the conclusion some recommendation for improvement will also be provided.

CHAPTER 2- LITERATURE REVIEW
Introduction
The literature review is being defined as the analysis of the different sources which can
be used in order to analyse the research topic in better and effective manner. These different
sources assist the researcher in developing theoretical knowledge relating to the research topic.
Present chapter will be outlining the different themes relating to the objectives of the research
and the different viewpoints of authors relating to the research topic.
Theme 1- Understanding of artificial intelligence and supply chain management
In accordance to the views of Nayal and et.al., (2021) the use of latest technology is very
necessary for working in this highly competitive environment. The reason underlying this fact is
that when the latest technology will be used then this will be improving the efficiency of the
business. The current pandemic has affected the working efficiency of the company to a great
extent. there are many different types of the business areas which have been affected by
pandemic and ultimately it affected the profitability of the company in a great manner. The
supply chain was the department which was majorly affected by pandemic and this affected the
overall working of the company. The reason underlying this fact is that due to pandemic this
transportation was stopped and this affected the working of the company to a great extent. this is
because when the raw material will not be provided appropriately then this will be affecting the
profitability of the company.
On the other side, Chen and Biswas (2021) argued that the implementation of the latest
technology will be helping the company in improving the working efficiency of the company to
a great extent. the reason underlying this fact is that the technology is the one which makes the
operations of company in better and effective manner. Hence, for this artificial intelligence is the
technique which will be assistive to a great extent. this AI is a technology which help the
company in creating the simulation of human intelligence within the machine that assist the
company in managing the work with help of technology. This is very helpful for the company to
manage the change in better and effective manner. This use of AI within the supply chain
management will be helping the company in improving its supply chain in better and effective
manner.
Along with this, Belhadi and et.al., (2021) articulated that the use of AI within the supply
chain management will be improved. The reason underlying for this is that the working

efficiency and the supply chain management is being improved and this will help the company in
managing its performance to a great extent. The use of technology is very significant in
managing the working efficiency of company and this will assist the business in analysing and
improving the working capability of the employees. This will increase the profitability of the
company as when good and latest technology is being used then it motivates the employees to
work in better and effective manner. The technology makes the work of employees less and they
just have to monitor the working of technology that is whether it is completing the work in
appropriate manner or not.
Theme 2- Impact of using artificial intelligence in management of supply chain post
pandemic.
With the views of Nahr, Nozari and Sadeghi (2021) the use of AI within the supply chain
is beneficial for the companies in improving the performance post pandemic. The pandemic
created a negative impact over the performance of the company and this resulted in decline in
profits and working efficiency of company. the impact of using the AI within the supply chain
management creates majorly the positive impact over the working of company. This is because
of the reason that when the working of the company will be good then this will be positively
improving the working capability of the company and employees as well. When appropriate
technology is being used and implemented within the company then this will be improving the
efficiency of employees and their interest will also be developed.
Along with this Das and et.al., (2021) stated that major positive impact being created by
use of AI in supply chain involves the accurate management of inventory. This is because of the
reason that in case the technology will be used in proper and effective manner. The technology
will guide the employees that how they can improve the working of the supply chain and manage
the inventory in better and effective manner. When the calculation and ordering of the inventory
will be done with help of the technology then there will not be any manual problem and this will
be improving the efficiency of the business in better and effective manner. This is very necessary
for the reason that when the working of AI will be done in proper manner then this will be
improving the efficiency of the business to a great extent.
Moreover, in support of this Modgil, Singh and Hannibal (2021) agreed that many
positive impact is being created by the use of AI over the supply chain. This is particularly
because of the reason that when the it increases the efficiency of the company and the supply

chain management on time. The another major impact being created by the use of AI is that it
assists in optimising the routes of transportation and selecting the best suited. This will help the
company in analysing the different routes through which the material can be bought and sold.
Thus, analysing the best suited way and selecting it is being done with help of AI. Hence, this
will improve the efficiency of the working of the company and the supply chain in proper and
effective manner. Thus, the selection of the best route to transfer the material will result in saving
time as well in transportation. This is because of the reason that when the best and optimum
route will be selected then this will be improving the efficiency of the business to a great extent
and time taken in supply will also be reduced.
Along with this Dosdoğru, Boru İpek and Göçken, (2021) stated that another impact
which use of AI within supply chain creates over working of company is effective warehouse
management. This is because of the reason that when the material will be coming on time and is
being processed on time then this will be improving the efficiency of the company. hence, when
the working that is coming and processing of the raw material will be done on time then this will
be increasing the warehouse management to a great extent. The reason underlying this fact is that
when the processing of the material will be done on time then it will be transported to the
consumer on time. Thus, the warehouse will be managed in proper and effective manner. Also
this will improve the working efficiency of the company and as a result of this the working of the
company.
In against of this Belhadi and et.al., (2021) argued that the use of AI also creates a good
impact over the profitability of the company. This is because of the reason that when the working
of the supply chain will be linked with the use of latest technology then it will be increasing the
efficiency of the company. this is because of the reason that when the material will be produced
on time then it will be delivered to the consumers on time. Hence, this will be increasing the
quantity of sales for the company and ultimately it will be increasing the profitability of the
company. This is particularly because of the reason that when the working and management of
raw material and finished good will be proper then it will be improving the profit earning
capacity of the company in better and effective manner.
Furthermore, on contradictory note Dhamija and Bag (2020) criticized the fact that when
the AI is being used within the company then this makes the working improved and in better
terms. Hence, this provides a competitive advantage to work and gain a secure position against

the competitor. hence, this improves the efficiency of the company and AI also assist in product
tracing. In case the company is having different types of the product range then this improves the
efficiency of the business. but it is necessary for the company that all the product must be
working in better and effective manner then only it will provide a competitive advantage. Hence,
the use of AI assists the company in analysing the products which are performing well and the
product that require improvement. This is assistive to the company because it will help them to
take proper and effective decision and it will improve the working efficiency of the business and
the employees as well. this use of AI will be helping the company in increasing the efficiency of
the product and try to improve the working capability of every range of the different product.
Also the product tracing will help company in evaluating and tracking the fact where the
products are being prepared and what other material is being used in order to develop the
product.
Along with this Dash and et.al., (2019) states that another impact created by AI over the
management of supply chain and performance of the company is that it assists in effective
planning. This is particularly because of the reason that when the data is being forecasted in
proper manner then this improves the working condition of the company. this is because of the
reason that it increases the planning capability of the person to a great extent. The reason behind
this fact is that when the company will be having AI installed then this will be increasing the
planning capability of the company and better decision would have been taken.
Furthermore, Calatayud, Mangan and Christopher (2018) stated that use of AI also assists
in evaluating the different vendors or the suppliers and best alternative can be selected. There are
many different types of the suppliers who provides for the supplies to the company. But it is not
necessary that all the suppliers will be charging proper rates. Hence, this will be affecting the
business and the working of the supply chain to a great extent. thus, the AI and other technology
assist the company in evaluating the different vendors and select the best alternatives which
provides the material of good quality and at low rates. There are many raw material providers
which involves different cost and benefit so it is very necessary for the company to select that
vendor who is not having too high cost but the benefits provided are more. Thus, for this it is
necessary that company must critically evaluate the different raw material provider and then
select the one which provides maximum of the benefits to the company.