By Jeremy Tiffin
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February 25, 2025
Supply chain leaders are facing a major challenge: attracting and retaining top talent in data analytics and artificial intelligence (AI). As supply chains become more complex and technology-driven, the need for skilled professionals has skyrocketed. The problem? There simply aren’t enough qualified candidates to go around. This blog explores why this talent shortage exists, how it’s impacting supply chain management, and what organizations can do to stay ahead in the race for AI and data expertise. The Evolution of Supply Chain Management Supply chain management used to focus on logistics, procurement, and vendor relations. But times have changed. The digital revolution has transformed the industry, bringing AI, automation, and data analytics to the forefront. This shift has been rapid—so much so that 74% of organizations now consider digital transformation a top priority. The market for digital transformation is also booming, expected to grow at a compounded annual growth rate of 23.9%, reaching $3.29 trillion by 2030 . With this surge in digital adoption, the demand for skilled AI and data professionals has skyrocketed—but supply chain leaders are struggling to find them. The Data & AI Talent Shortage: What’s Causing It? Companies are racing to integrate AI and data analytics, but the workforce simply hasn’t kept up. A McKinsey survey found that 92% of companies expect to modify their business models due to digitalization, yet many lack the talent to do so. Here’s the reality: The digital maturity of supply chain management is only 36% —meaning many companies are still catching up. Organizations with lower digital maturity take up to 152 days to detect, respond to, and recover from disruptions —an eternity in today’s fast-moving market. It’s not just supply chain teams competing for this talent. The sales, marketing, finance and engineering departments within your own company are also all hunting for AI and data professionals, further increasing the shortage. The SME Challenge: Competing with Big Players Large enterprises often have deep pockets, strong employer brands, and cutting-edge technology—all of which make it easier for them to attract top talent. Small and mid-sized enterprises (SMEs), on the other hand, face a tougher road. Why SMEs Struggle to Hire AI & Data Talent: Budget Constraints: They often can’t match the salaries and benefits offered by Fortune 500 companies. Lack of Advanced Tools: Tech professionals want to work with the best platforms—and SMEs may not have them. Brand Recognition: Candidates gravitate toward well-known companies with a strong reputation in digital innovation. The good news? SMEs can compete—if they take the right approach. Leadership Gaps & Industry Disparities Not all supply chain leaders have a deep understanding of AI, automation, and analytics. Some industries—like automotive—are making significant investments in training, while others lag behind. For example: The European Battery Academy plans to train 800,000 workers by 2025 to meet new technological demands . Other industries, however, are still hesitant to adopt AI-driven solutions, often due to leadership resistance or lack of awareness. Without leadership buy-in and a commitment to digital transformation, companies will struggle to attract AI and data analytics professionals. How Supply Chain Leaders Can Attract & Retain AI and Data Talent Despite these challenges, there are proven strategies to build a strong pipeline of AI and data talent. Here’s what organizations should focus on: 1. Invest in Training & Upskilling Develop internal training programs to upskill existing employees in AI and data analytics. A culture of continuous learning can help bridge the skills gap while boosting employee engagement. 2. Partner with Universities & Colleges Collaborate with academic institutions to create specialized programs for supply chain analytics. This builds a direct pipeline of fresh talent entering the workforce. 3. Offer Competitive Compensation & Benefits While SMEs may not always compete on salary alone, they can provide: Flexible work arrangements (remote/hybrid options) Opportunities for career growth A strong company culture that values innovation 4. Promote a Data-Driven Culture Companies that truly embrace data analytics—across all departments—become more attractive to AI professionals. This means leadership needs to champion a data-driven mindset, not just adopt new tech. 5. Leverage AI to Fill Talent Gaps AI-driven automation can help reduce workload and improve efficiency while new hires get up to speed. Investing in AI-powered tools ensures businesses remain competitive even when talent is scarce. 6. Strengthen Employer Branding Highlight your company’s commitment to innovation, AI, and data analytics. Showcase successful transformation projects in your recruitment marketing to attract top candidates. 7. Implement Mentorship Programs Pair junior employees with seasoned professionals to accelerate their learning and create a strong support system. Mentorship programs not only enhance skills but also improve retention rates. Conclusion The rise of AI and data analytics in supply chain management isn’t a passing trend—it’s the future. Yet, the growing demand for AI and data professionals has created a serious talent shortage, leaving supply chain leaders struggling to fill critical roles. By understanding the key factors behind this shortage and proactively implementing strategies to attract and retain talent, organizations can position themselves for long-term success. Whether it’s investing in upskilling, strengthening employer branding, or leveraging AI-driven solutions, companies that adapt will gain a significant competitive advantage. Now is the time to act—because the future of supply chain management depends on it. Horizon are experts in supply chain recruitment. Our expertise connects you with the professionals who can help you achieve your company's specific objective and priorities.  Whether you need a permanent hire, a strategic leader, or a project-based consultant to deliver on a time sensitive project, we've got the specialized solution to your most critical hiring needs. Discover how our cutting-edge recruitment services can transform your business or contact one of our experts today .