VALUE CHAIN MANAGEMENT
“Innovation starts upstream. SAP’ s strength lies in engaging suppliers early and consistently across the value chain, from product development through sourcing to execution”
Tony Harris, SVP & Head of Marketing and Solutions, SAP Business Network
According to a 2025 IDC study, one manufacturer used SAP Business Network to automate purchase order integration, reduce manual data entry and improve forecast visibility. This helped align operations with their buyers and increased go-to-market speed by 20 %.
These kinds of capabilities turn complexity into actionable collaboration and collaboration into competitive advantage, particularly in multitier ecosystems.
Q. HOW DO YOU SEE AI, PREDICTIVE ANALYTICS AND DIGITAL TWINS INFLUENCING SUPPLIER-LED INNOVATION IN THE NEXT 3-5 YEARS?
» In the next few years, AI, predictive analytics and digital twins will shift from enhancement tools to core drivers of supplier-led innovation. The shift from“ forecast, anticipate, respond” to adaptive, autonomous planning is already under way, but we’ re just scratching the surface.
Predictive and prescriptive analytics will help suppliers anticipate changes before they impact operations. AI will go beyond modelling to recommend optimal supplier matches, process adjustments or routing decisions in real time. And digital twins will allow partners to simulate those decisions virtually, reducing risk and accelerating time to market.
We’ re seeing the building blocks now. Forecast accuracy gains of nearly 20 % are becoming common and businesses are starting to link AI to specific goals like resilience, productivity and sustainability. But the breakthrough will come when these tools are embedded across functions and suppliers start shaping what’ s next, not just responding to it.
92 November 2025