THE SOCIAL IMPACT OF AI-DRIVEN DECISION MAKING IN SUPPLY CHAIN

Harsh Pawar; Ruturaj Taware; Jaideep Bhawar; Amruta Khedkar

doi:10.36948/ijfmr.2026.v08i01.67733

THE SOCIAL IMPACT OF AI-DRIVEN DECISION MAKING IN SUPPLY CHAIN

Author(s)	Mr. Harsh Pawar, Mr. Ruturaj Taware, Mr. Jaideep Bhawar, Dr. Amruta Khedkar
Country	India
Abstract	The recent adoption of the use of AI in supply chain management has totally transformed the mode of operations in business and more so in the auto ancillaries, which is a vital in-house to the automotive industry. This paper examines how AI-guided decisions can impact social processes within the auto ancillary supply chains and how it can workforce can adapt to changes, the employee/capability traits, the relationship of the supply chain, and customer trust. The research utilizes survey data amongst 300 workers in small, medium and large auto ancillary companies that originate in the cities of Pune, Nashik and Aurangabad and attempts to utilize both descriptive analysis and chi-square tests to gauge the perceptions regarding the influence of AI on the society. According to the findings brought out, AI is reinventing work and workforce, boosting productivity and triggering new skills learning but leaving a question of job security. And AI-based solutions were found to be introducing AI-based functionalities that would bring about supplier transparency in the form of ethical sourcing as well as raise confidence in product quality and product delivery. The results explain why bigger businesses have a greater number of positive aspects of AI whereas smaller businesses are optimistic skeptics. According to the findings of the review, AI used responsibly may contribute to socio- technical supply chain change to a great degree promoting collaboration between humankind and AI, ethical practices and social trust. The findings would tend to guide the AI practitioners and AI policy makers on the way to utilize AI to achieve inclusive and sustainable development of supply chain within the auto ancillary industry.
Keywords	Artificial Intelligence, Supply Chain, Auto Ancillary Industry, Workforce Dynamics, Ethical Sourcing, Consumer Trust
Field	Business Administration
Published In	Volume 8, Issue 1, January-February 2026
Published On	2026-01-30
DOI	https://doi.org/10.36948/ijfmr.2026.v08i01.67733

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THE SOCIAL IMPACT OF AI-DRIVEN DECISION MAKING IN SUPPLY CHAIN

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