Global supply chain software and consulting firm GEP and the World Economic Forum (WEF) have released a comprehensive guide to help companies responsibly apply artificial intelligence (AI) in commercial procurement.
This report, Responsible Adoption of AI: Guidelines for Private Sector Procurement of AI Solutions, was produced over the past 18 months in collaboration with leading companies such as Boston Consulting Group (BCG), IBM, Dell, and BP. . Procurement and business leaders from over 40 companies participated in workshops and interviews to help inform the report.
The GEP-led report aims to fill the lack of standard benchmarks and metrics for integrating AI into supply chains to drive ethical practice and sustainability.
“Amid the gold rush of applying AI to improve how companies source suppliers and manage their global supply chains, organizations are dehumanizing decision-making, unintentionally wasteful, and reducing CO2 emissions. , there is a very real risk of ignoring inequality and having devastating impacts on businesses, communities, societies and the environment,” said Subhash Makhija, CEO and co-founder of GEP.
This report provides a framework for implementing strong governance standards in transparency, risk, fairness and environmental impact, as well as integrating ethical principles into procurement standards, operations and processes.
“By applying these practical steps, companies can effectively assess their suppliers, identify risks, anticipate disruptions, optimize costs, meet environmental and social goals, and leverage AI. It gives us more confidence that we are future proofing our investment,” said Mudit Kumar. Vice President of GEP and Principal Fellow of WEF.
