The enhancement of supply chain performance is a hot topic in both practice
and literature. In order to cut costs and boost efficiency, it is essential to invest in
processes that enhance supply chain performance. The interaction between other
structures and supply chain performance holds the key to releasing the hidden potential
that Supply Chain Management 4.0 holds. The diffusion of “the Internet of Things into
supply chain management” would boost productivity and facilitate the supply chain
connections that connect industrial input to client delivery of goods and services.
Artificial intelligence would improve productivity and efficiency if it were used to
supply chain operations, procedures, and activities within and between enterprises.
However, putting such devices online runs the risk of exposing performance because of
cyber security problems. This paper investigates the beneficial effects of AI and IoT on
supply chain efficiency and makes the argument that corporate failings in cyber
security might have a detrimental effect on supply chain efficiency. This study
employed a quantitative study with 91 respondents from organizations that
substantially rely on supply chain operations. To determine the arbitrary associations
between the independent and dependent variables, data were analyzed using Smart
PLS. The findings imply that while AI and IoT have a beneficial impact on supply
chain management performance, cyber security breaches are seen to have a negative
impact.
Keywords: AI, Cyber security, IoT, Supply chain performance, SCM 4.0.
