Agentic AI: from myth to supply chain transformation

Agentic AI: from myth to supply chain transformation

Agentic AI is revolutionizing the supply chain by automating planning while increasing efficiency and sustainability, provided human oversight and strong governance are maintained.

Artificial intelligence is entering a new era with the emergence of agentic AI, an AI capable of not only analyzing data, but also setting goals, planning and acting autonomously. This development promises to profoundly transform business operating models, provided certain common pitfalls are avoided.

Among manufacturers, one of the clearest demonstrations of agentic AI is touchless planning, where AI handles most of the planning decisions regarding demand, supply, production and distribution, leaving planners to focus on strategic exceptions.

The evolution of AI in B2B and B2C

AI in supply chains has advanced in three clear stages.

  • Specialized AI, which includes statistical models and optimization tools, has laid the foundation by more efficiently synchronizing production based on customer demand, compared to manual methods.
  • Generative AI has made this information more accessible through natural language interfaces and summaries, helping planners query data, quickly onboard and learn systems.
  • Agentic AI goes further by setting goals and adapting plans autonomously. For manufacturers, it can balance production, align suppliers and anticipate disruptions, while only transmitting significant exceptions to human planners. This marks the shift from AI as assistant to AI as collaborator.

These advancements are most effective in manufacturing, as touchless planning is already reshaping daily operations.

The benefits of touchless planning for manufacturers

By allowing AI to take over the majority of routine planning decisions, manufacturers reduce the risk of human error and eliminate constant manual adjustments that slow down traditional processes. This allows planners to focus on exceptions and long-term strategy rather than repetitive tasks.

The impact is tangible: production plans become more precise, inventory levels are better adapted to demand and waste is reduced, both at the production and distribution levels. In many cases, manufacturers also discover new capabilities within their existing resources, allowing them to grow without having to increase headcount.

Touchless scheduling powered by agentic AI helps manufacturers reduce costs, improve service and develop the flexibility to quickly adapt to changing markets, while giving employees more engaging and rewarding roles that improve job satisfaction and retention.

Extend the benefits of AI across the entire retail and manufacturing supply chain

While retail is often where agentic AI applications are most visible, from automated category management to personalized customer service and logistics optimization, the greatest value emerges when retail applications are connected to manufacturing operations.

For manufacturers serving retail channels, touchless planning powered by agentic AI aligns production with real-time demand, coordinates supplier constraints, and optimizes transportation and storage. The result is better on-shelf availability, reduced waste and costs, and a lower carbon footprint, while freeing up teams to focus on higher value-added decisions.

For example, Catalan company Ametller Origen, a leading producer of fresh produce, uses AI-based forecasts, shared weekly with suppliers and retail partners, to optimize availability and minimize product spoilage. Some companies using these methods have achieved results such as halving the number of out-of-orders while reducing warehouse stock levels by 30%*. This coordinated approach aligns agricultural production with actual demand, improves logistics efficiency and reduces waste throughout the supply chain, providing both economic and environmental benefits.

By 2035, Bain & Company estimates that up to 30% of purchases could be made by artificial intelligence agents. This projection highlights not only the scale of retail transformation, but also the importance of manufacturers being connected, adaptable and ready to operate in an ecosystem where AI increasingly plays the role of mediator between demand and supply.

A technological promise still poorly understood

Many companies are rushing to integrate AI, without having a solid digital infrastructure or a clear strategic vision. Adding an AI layer to outdated or fragmented systems often leads to costly failures: pricing errors, poor customer experiences, or even long-term loss of value.

To take full advantage of agentic AI, businesses must:

  • Rethink their operating model to ensure reliable and well-structured data,
  • Identify high-impact use cases,
  • Investing in organizational maturity, not just technology,
  • Establish strong governance from the start to control risks and measure return on investment.

For manufacturers, unified planning platforms powered by agentic AI and touchless planning eliminate manual bottlenecks and data silos. They adjust production, inventory and replenishment in near real time, freeing planners from routine tasks so they can focus on strategic priorities.

Autonomy, but under supervision

With this rise in power, questions of control, transparency, ethics and regulation become central. Manufacturers and retailers will need to establish a clear and secure framework to prevent decisions made automatically from harming the customer experience or the company’s reputation.

Although touchless planning offers the potential to achieve up to 98% autonomous forecasting in some categories, success depends on explainable AI that builds trust with planners, robust workflows for exception handling, and a culture that reinforces human oversight where it really matters. Without these guardrails, automation can produce misaligned plans that erode both profitability and customer trust.

Those who know how to intelligently integrate agentic AI, while maintaining a strong human framework, will be able to differentiate themselves in the long term. On the other hand, those who do not will probably have difficulty catching up.

*source: RELEX Solutions customers

Jake Thompson
Jake Thompson
Growing up in Seattle, I've always been intrigued by the ever-evolving digital landscape and its impacts on our world. With a background in computer science and business from MIT, I've spent the last decade working with tech companies and writing about technological advancements. I'm passionate about uncovering how innovation and digitalization are reshaping industries, and I feel privileged to share these insights through MeshedSociety.com.

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