Why Australia And New Zealand’s Supply Chain Industry Is Poised For An Ai Breakthrough

Across the globe, supply chains are under pressure. Rising costs, shipping delays, labour shortages and the ongoing unpredictability of global trade have forced organisations to rethink how they make, move and sell. For years, leaders have spoken about agility as the ultimate goal. Now, a new catalyst is driving this shift faster than ever before: artificial intelligence (Ai).

Epicor’s 2025 Agility Index reveals a striking truth: While supply chain organisations worldwide are scaling Ai, embedding Ai-specific roles and investing in real-time data platforms, adoption in Australia and New Zealand is still emerging. That doesn’t signal a weakness, but rather, it signals an inflection point. The groundwork has been laid, ambition is clear, and the opportunity for a breakthrough has arrived.

A Global Shift To Ai-Powered Agility

Internationally, Ai is no longer experimental – it’s operational. More than 56 per cent of global supply chain organisations report high Ai readiness. Over 90 per cent are embedding roles like Logistics Optimisation Specialists, Ai Data Scientists and Automation Engineers directly into planning and logistics functions.

This is a fundamental change in mindset. Ai isn’t sitting in a lab, separate from the business. It’s integrated into the day-to-day mechanics of supply chains, enabling organisations to adapt at speed and with confidence. Ai is being used to predict demand shifts, reroute freight dynamically and optimise inventory in ways that manual processes alone cannot achieve.

Digitally mature companies are also investing in platforms that connect and analyse operational data. Those who have embraced these systems are 1.4 times more likely to deploy Ai applications successfully. By creating a single source of truth, these platforms provide the fuel for Ai-driven insights, accelerating adoption and improving resilience.

Australia And New Zealand: Behind For Now, But Poised For Breakthrough

So, where does that leave Australia and New Zealand? Our research with Forrester Consulting – Modernising The Distribution Business With Intelligent ERP – shows that 78 per cent of distributors in Australia and New Zealand plan to adopt or expand Ai within their ERP systems. At the same time, only 35 per cent have implemented Ai meaningfully so far.

This gap between intent and execution highlights both the challenge and the opportunity. Local businesses are ambitious, but legacy systems, siloed data and cultural resistance to change have slowed progress.

The risk of lagging behind is real. Supply chains that delay Ai adoption risk inefficiencies, slower decision-making and reduced competitiveness in global markets. But the potential upside is just as significant: by addressing these barriers head-on, the region can accelerate adoption and leapfrog into a new era of digital maturity.

Breaking Through The Barriers

If we frame this adoption as a combination of technology, people, process and leadership, then Epicor’s work with supply chain organisations across Australia and New Zealand points to four critical areas of focus to unlock Ai’s full potential:

1. Build the Digital Foundation
   Organisations must prioritise integrated data platforms that enable real-time visibility. This foundation not only breaks down silos but also creates the connective tissue Ai needs to generate insights.
   
   
2. Embed Human-Centric Ai Roles
   Ai isn’t about replacing people – it’s about augmenting their expertise. Leading organisations are embedding Ai-specific roles within their core operations, ensuring that technology is paired with human adaptability.
   
   
3. Leverage Purpose-Built Solutions
   Off-the-shelf tools are rarely sufficient. What’s needed are industry-focused applications – like Epicor’s Prism and Grow Ai – that slot seamlessly into existing ERP systems, reducing time to value and delivering tangible results.
   
   
4. Lead With Actionable Insights
   Ai generates predictions, but leadership determines whether those predictions translate into outcomes. Companies that empower decision-makers to act quickly on Ai-driven insights will be the ones to thrive.

ROI Expectations Are Shifting

Historically, digital transformation was seen as a long-term investment. Today, expectations have tightened. Businesses across Asia-Pacific now anticipate returns on Ai and ERP investments within six to 18 months.

This evolution is crucial. Shorter time-to-value demands solutions that deliver measurable impact quickly – whether that’s optimising routes to reduce fuel costs, balancing inventory more efficiently or accelerating order fulfilment. Organisations that act now will not only capture these benefits but will also position themselves ahead of competitors who wait.

A Defining Moment For Our Region

Australia and New Zealand have all the ingredients for success: ambitious organisations, world-class industries and a growing appetite for digital transformation. The next step is turning ambition into action.

Imagine a supply chain where disruptions are anticipated, not endured. Where customer demands are forecasted and met before they arise. Where teams spend less time reacting to problems and more time driving growth. That is the promise of Ai-powered agility, and it is within reach.

As Epicor’s 2025 Agility Index makes clear, the global shift is already underway. For Australia and New Zealand, the time to move is now. Those who embrace Ai will unlock new levels of efficiency, resilience and competitiveness. Those who delay risk being left behind.

At Epicor, we see this as a transformative moment for the region. With the right digital foundation, empowered people and industry-specific tools, Australia and New Zealand can not only catch up – but lead.

Graeme Evans is Regional Vice President at Epicor Australia & New Zealand.

Last Updated on September 15, 2025 by Graeme Evans