abstract

This paper explores the benefits and challenges associated with integrating Artificial Intelligence (AI) in optimising UAE supply chains. Data was collected from 450 respondents using a convenience sampling method through online surveys and expert interviews. The study examines various constructs, including Predictive Analytics, Autonomous Systems, Supply Chain Resilience, AI-driven Demand Forecasting, AI in Warehousing, Robotics, and Operational Efficiency. Descriptive analysis and Exploratory Factor Analysis (EFA) were employed to validate the constructs, with internal reliability tested through Cronbach’s alpha. The results indicate that AI has led to substantial improvements in operational efficiency, cost reduction, and predictive accuracy within UAE supply chains. However, challenges remain, such as high implementation costs, data security risks, and the need for AI-specific workforce skills. The paper emphasises the need for strategic investments, collaborative efforts, and supportive policies to enhance AI-driven supply chain transformation for sustainable economic growth in the UAE.