Applications of Artificial Intelligence in Sustainable Supply Chain Management in the Medical Sector

Applications of Artificial Intelligence in Sustainable Supply Chain Management in the Medical Sector

Mohammad Ibrahim Khan, Mohammad Faiz Khan
DOI: 10.4018/979-8-3693-5266-3.ch002
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Abstract

Artificial intelligence (AI) stands as a remarkable and evolving technology, revolutionizing various domains. The primary aim of this research is to delve into the role of AI within sustainable supply chain management (SSCM). This study elucidates the applications of AI in SSCM, shedding light on how its utilization has paved new pathways for the future of SSCM. Additionally, it delves into the challenges that necessitate resolution for its effective implementation. AI plays a pivotal role in cost reduction, automation, increased productivity, and ultimately contributes to achieving economies of scale in supply chain management (SCM). The research offers a comprehensive framework tailored for the implementation of AI-based SSCM, specifically tailored for industries, particularly focusing on the healthcare sector (HST). For this study, qualitative analysis was employed, utilizing methods such as workshops and interviews with professionals and stakeholders in the healthcare sector within the Kingdom of Gulf (KSA).
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Introduction

In recent years, the concept of “green smart business” has gained prominence as a novel approach to sustainable development. This model encompasses various alternative strategies aimed at enhancing the quality and performance of businesses, fostering improved interactions between production and service spaces, and engaging customers more effectively (Zanizdra, 2018). In the contemporary business landscape, the utilization of data is pivotal, and this innovative business approach, as highlighted by Wibowo et al. (2019), has not only presented challenges but has also opened up new opportunities.

The evolving business environment, driven by technological advancements, relies heavily on data applications. This shift has introduced both challenges and opportunities. Notably, the influx of new information sources has paved the way for innovative applications that hold the potential to elevate the quality of business activities and align them with the demands of modern life (Rahman et al., 2020). In essence, the integration of green and smart practices not only addresses challenges but also unlocks avenues for businesses to adapt and thrive in a dynamic and data-driven landscape.

Theory of Supply Chain

The supply chain serves as a complex network that integrates organizations, activities, resources, people, and information to transform raw materials into finished products delivered to end customers (TA et al., 2020). Key drivers behind the evolution of traditional supply chains include hyper-segmentation, localized sourcing and production, increased customer expectations, and end-to-end visibility for companies, suppliers, and customers (Arshi, 2022). These factors have spurred major technology organizations to collaborate, leading to enhanced automation in a hybrid architecture (Ageron et al., 2020).

In various industries, the adoption of AI at all levels has proven effective, resulting in increased profits (De Carvalho et al., 2020). The business sector, including Health Science and Technology (HST), relies heavily on data production and its application for successful operations. In the healthcare industry, professionals emphasize the indispensable role of computing technologies, with AI standing out as a crucial component (Georgios & Theofylaktos, 2019).

Definition of Artificial Intelligence (AI)

An AI system is a computer system designed to make decisions or execute tasks comparable to those performed by humans. Currently, artificial intelligence represents an advanced analytical approach grounded in machine learning, optimization, and deep learning. The incorporation of connections augments the intelligent features of products and devices by externalizing their capabilities, enabling conditions for monitoring, control, and optimization (Nadia, 2022). Artificial intelligence offers a distinctive opportunity to simultaneously enhance learning and personalization. Moreover, these AI systems demonstrate compatibility and effective collaboration with other AI systems (Naim et al., 2023). This is a unique advantage of AI therefore HST utilized this in its effective flow of medical supplies (MS), production of medicines, their storage, and other logistics (Anju et al., 2021) (see figure1).

Figure 1.

Reasons for the Application of AI

979-8-3693-5266-3.ch002.f01
(Farida et al., 2019)

AI can help to save various areas for all the firms and especially for the HST; some of advantages are given in the Table1.

Table 1.
Application of AI in HST (Le et al., 2021)
979-8-3693-5266-3.ch002.g01

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