Role of Artificial Intelligence in Supplier Relationship Management Decision Making: A Systematic Literature Review

Authors

Osewe Patricia

PhD. Scholar (Supply Chain Management), Department of Management Science, Maseno University, Kisumu (Kenya)

Dr. Renson Wanyonyi

Bsc., Msc., PhD. (Supply Chain Management), MKISM Lecturer, Department of Management Science, Maseno University, Kisumu (Kenya)

Article Information

DOI: 10.47772/IJRISS.2026.10200076

Subject Category: Supply Chain Management

Volume/Issue: 10/2 | Page No: 1033-1047

Publication Timeline

Submitted: 2026-02-03

Accepted: 2026-02-09

Published: 2026-02-24

Abstract

This review examines the role of Artificial Intelligence in enhancing decision-making in Supplier Relationship Management and identifies the most frequently discussed AI role. This function is underexamined in the broader AI and supply chain management Literature. The rsearcher applies PRISMA flow models to mine 35 articles published between 2016 and 2026, the review identifies seven discrete AI-enabled roles: real-time supplier performance monitoring, data-driven decision-making, predictive risk assessment, procurement cost optimisation, buyer-supplier collaboration, supplier selection and segmentation and contract management and optimisation. Empirical evidence across manufacturing, construction, banking, and enterprise procurement contexts confirms that AI improves supply chain performance by 49%, amplifies resilience by 66%, achieves 85% accuracy in supply chain risk detection, and reduces procurement processing times by 85%. The Technology Acceptance Model was applied as the analytical framework, revealing a critical asymmetry: while all seven roles generate measurable Perceived Usefulness outcomes, Perceived Ease of Use barriers, including legacy system incompatibility, data quality deficits and workforce digital literacy gaps suppress adoption of the highest-impact roles. The review contributes a cross-sectorally validated typology of AI’s SRM functions, a TAM-grounded adoption framework, and a research agenda addressing algorithmic bias, longitudinal deployment dynamics, developing economy contexts, and AI-ESG compliance integration.

Keywords

Artificial intelligence, decision-making, supplier relationship management, supply chain management

Downloads

References

1. Adesola, O., Taiwo, I., Adeyemi, D. D., Nwariaku, H. E., Abidola, A. Q., Madueke, A., & Effiong, A. (2025). Utilizing AI and machine learning algorithms to optimize supplier relationship management and risk mitigation in global supply chains. International Journal of Science and Research Archive, 14(2), 219–228. https://doi.org/10.30574/ijsra.2025.14.2.0351 [Google Scholar] [Crossref]

2. Allal-Chérif, O., Simón-Moya, V., & Ballester, A. C. C. (2020). Intelligent purchasing: How artificial intelligence can redefine the purchasing function. Journal of Business Research, 124, 69–76. https://doi.org/10.1016/j.jbusres.2020.11.050 [Google Scholar] [Crossref]

3. Alshurideh, M., Kurdi, B. A., Hamadneh, S., Chatra, K., Snoussi, T., Alzoubi, H. M., Alzboun, N., & Ahmed, G. (2024). Utilizing Artificial Intelligence (AI) in enhancing customer-supplier relationship: An exploratory study in the banking industry. Uncertain Supply Chain Management, 12(4), 2661–2672. https://doi.org/10.5267/j.uscm.2024.5.005 [Google Scholar] [Crossref]

4. Attaran, M. (2020). Digital technology enablers and their implications for supply chain management. Supply Chain Forum an International Journal, 21(3), 158–172. https://doi.org/10.1080/16258312.2020.1751568 [Google Scholar] [Crossref]

5. Awasthi, S. (2024). Artificial intelligence in supply chain management. Journal of Student Research, 13(1). https://doi.org/10.47611/jsrhs.v13i1.5996 [Google Scholar] [Crossref]

6. Brandon-Jones, A., & Kauppi, K. (2017). Examining the antecedents of the technology acceptance model within e-procurement. International Journal of Operations & Production Management, 38(1), 22–42. https://doi.org/10.1108/ijopm-06-2015-0346 [Google Scholar] [Crossref]

7. Cui, R., Li, M., & Zhang, S. (2021). AI and Procurement. Manufacturing & Service Operations Management, 24(2), 691–706. https://doi.org/10.1287/msom.2021.0989 [Google Scholar] [Crossref]

8. Culot, G., Podrecca, M., & Nassimbeni, G. (2024). Artificial intelligence in supply chain management: A systematic literature review of empirical studies and research directions. Computers in Industry, 162, 104132. https://doi.org/10.1016/j.compind.2024.104132 [Google Scholar] [Crossref]

9. Davis, F. D. (1989). Technology acceptance model: TAM. Al-Suqri, MN, Al-Aufi, AS: Information Seeking Behavior and Technology Adoption, 205(219), 5. [Google Scholar] [Crossref]

10. Deng, Y., & Zhang, C. (2025). The impact of artificial intelligence technology application on supplier concentration of manufacturing enterprises: Evidence from machine learning and text analysis. In ICBDDM 2025: 2025 2nd International Conference on Big Data and Digital Management (pp. 546– 551). https://doi.org/10.1145/3768801.3768888 [Google Scholar] [Crossref]

11. Dubey, R., Gunasekaran, A., Childe, S. J., Papadopoulos, T., & Helo, P. (2018). Supplier relationship management for circular economy. Management Decision, 57(4), 767–790. https://doi.org/10.1108/md04-2018-0396 [Google Scholar] [Crossref]

12. Ellaturu, V. M. N. M., . D. N., & Rajalakshmi, T. L. K. D. S. B. M. (2024). AI-Driven solutions for supply chain management. Journal of Informatics Education and Research, 4(2). https://doi.org/10.52783/jier.v4i2.849 [Google Scholar] [Crossref]

13. Emon, M. M. H., Khan, T., & Siam, S. a. J. (2024). Quantifying the influence of supplier relationship management and supply chain performance. Brazilian Journal of Operations & Production Management, 21(2), 2015. https://doi.org/10.14488/bjopm.2015.2024 [Google Scholar] [Crossref]

14. Esan, O. J., Uzozie, O. T., Onaghinor, O., Osho, G. O., & Etukudoh, E. A. (2022). Procurement 4.0: Revolutionizing Supplier Relationships through Blockchain, AI, and Automation: A Comprehensive Framework. Journal of Frontiers in Multidisciplinary Research, 3(1), 117–123. https://doi.org/10.54660/.ijfmr.2022.3.1.117-123 [Google Scholar] [Crossref]

15. Faruquee, M., Paulraj, A., & Irawan, C. A. (2021). Strategic supplier relationships and supply chain resilience: Is digital transformation that precludes trust beneficial? International Journal of Operations & Production Management, 41(7), 1192–1219. https://doi.org/10.1108/ijopm-10-2020-0702 [Google Scholar] [Crossref]

16. Forkmann, S., Henneberg, S. C., Naudé, P., & Mitrega, M. (2016). Supplier relationship management capability: a qualification and extension. Industrial Marketing Management, 57, 185–200. https://doi.org/10.1016/j.indmarman.2016.02.003 [Google Scholar] [Crossref]

17. Gaddala, V. S. (2023). Unleashing the power of generative AI and RAG agents in supply chain management: A futuristic perspective. IRE Journals, 6(12), 1411-1417 [Google Scholar] [Crossref]

18. Grant, O. (2024). Adapting Supplier Relationship Management Strategies to Evolving E-Commerce Trends. Preprints.org. https://doi.org/10.20944/preprints202407.0546.v1 [Google Scholar] [Crossref]

19. Helo, P., & Hao, Y. (2021). Artificial intelligence in operations management and supply chain management: an exploratory case study. Production Planning & Control, 33(16), 1573–1590. https://doi.org/10.1080/09537287.2021.1882690 [Google Scholar] [Crossref]

20. Jahani, N., Sepehri, A., Vandchali, H. R., & Tirkolaee, E. B. (2021). Application of Industry 4.0 in the Procurement Processes of Supply Chains: A Systematic Literature review. Sustainability, 13(14), 7520. https://doi.org/10.3390/su13147520 [Google Scholar] [Crossref]

21. Joel, O. S., Oyewole, A. T., Odunaiya, O. G., & Soyombo, O. T. (2024). Leveraging Artificial Intelligence for Enhanced Supply chain optimization: A comprehensive review of current practices and future potentials. International Journal of Management & Entrepreneurship Research, 6(3), 707–721. https://doi.org/10.51594/ijmer.v6i3.882 [Google Scholar] [Crossref]

22. Liu, Z., Costa, C., & Wu, Y. (2024). Leveraging Data-Driven Insights to enhance supplier performance and supply chain resilience. Journal of Improved Oil and Gas Recovery Technology., 7(5), 125–131. https://doi.org/10.53469/wjimt.2024.07(05).15 [Google Scholar] [Crossref]

23. Mehta, R. (2025). Supplier Performance Evaluation in Erp Systems Using Data Analytics, Business [Google Scholar] [Crossref]

24. Intelligence, and Artificial Intelligence for Contract Optimization. International Journal of Apllied Mathematics, 38(6s), 530–542. https://doi.org/10.12732/ijam.v38i6s.413 [Google Scholar] [Crossref]

25. Mhaskey, S. V. (2026). Generative AI for Supplier Relationship Management: applications, challenges, and future directions. Frontiers in Computer Science and Artificial Intelligence, 5(3). https://alkindipublishers.org/index.php/fcsai/article/view/11789/10611 [Google Scholar] [Crossref]

26. Najim, A., Benmamoun, Z., & Mamoun, M. B. (2024). Machine learning integration in supplier relationship management for enhanced stock management (pp. 1–5). International Conference on Optimization and Applications. https://doi.org/10.1109/icoa62581.2024.10753796 [Google Scholar] [Crossref]

27. Nitsche, A., Burger, M., Arlinghaus, J., Schumann, C., & Franczyk, B. (2021). Smarter Relationships? The Present and Future scope of AI application in Buyer-Supplier Relationships. In Lecture notes in computer science (pp. 237–251). https://doi.org/10.1007/978-3-030-87672-2_16 [Google Scholar] [Crossref]

28. Paul, P. O., Ogugua, J. O., & Eyo-Udo, N. L. (2024). The role of data analysis and reporting in modern procurement: Enhancing decision-making and supplier management. International Journal of Management & Entrepreneurship Research, 6(7), 2139–2152. https://doi.org/10.51594/ijmer.v6i7.1262 [Google Scholar] [Crossref]

29. Ramanayake, S., Zvirgzdins, J., Weerakoon, T., & Geipele, I. (2025). Supplier reliability prediction in construction with artificial intelligence and adaptive evaluation metrics. Engineering for Rural Development, 24. https://doi.org/10.22616/erdev.2025.24.tf095 [Google Scholar] [Crossref]

30. Richey, R. G., Chowdhury, S., Davis‐Sramek, B., Giannakis, M., & Dwivedi, Y. K. (2023). Artificial intelligence in logistics and supply chain management: A primer and roadmap for research. Journal of Business Logistics, 44(4), 532–549. https://doi.org/10.1111/jbl.12364 [Google Scholar] [Crossref]

31. Tatini, P. R. (2025). Transforming sourcing and supply chain management: The evolution of AI agents in modern procurement. International Journal of Scientific Research in Computer Science Engineering and Information Technology, 11(1), 1219–1226. https://doi.org/10.32628/cseit251112131 [Google Scholar] [Crossref]

32. Teller, C., Kotzab, H., Grant, D. B., & Holweg, C. (2016). The importance of key supplier relationship management in supply chains. International Journal of Retail & Distribution Management, 44(2), 109– 123. https://doi.org/10.1108/ijrdm-05-2015-0072 [Google Scholar] [Crossref]

33. Vaka, D. K. (2024). Enhancing supplier relationships: Critical factors in procurement supplier selection. Journal of Artificial Intelligence Machine Learning and Data Science, 2(1), 229–233. https://doi.org/10.51219/jaimld/dilip-kumar-vaka/74 [Google Scholar] [Crossref]

34. Veershetty, G. (2026). AI-Driven Supplier Relationship Management in the Digital Enterprise: Quantifying value and resilience with SAP ARIBA. International Journal of Artificial Intelligence, Data Science, and Machine Learning, 7(1), 82–86. https://ijaidsml.org/index.php/ijaidsml/article/view/414/378 [Google Scholar] [Crossref]

35. Veile, J. W., Schmidt, M., Müller, J. M., & Voigt, K. (2020). Relationship follows technology! How Industry 4.0 reshapes future buyer-supplier relationships. Journal of Manufacturing Technology Management, 32(6), 1245–1266. https://doi.org/10.1108/jmtm-09-2019-0318 [Google Scholar] [Crossref]

36. 35. Zvirgzdins, J., Weerakoon, T. G., Geipele, I., & Senaratna, K. (2025). A comparative analysis of machine learning model utilization for the optimization of supplier reliability towards sustainable construction. Engineering Technology & Applied Science Research, 15(6), 29907–29913. https://doi.org/10.48084/etasr.12724 [Google Scholar] [Crossref]

Metrics

Views & Downloads

Similar Articles