Artificial intelligence (AI) is transforming supply chains by handling data, analytics, and routine tasks faster than ever. But success still hinges on one distinctly human skill: critical thinking. In this Supply Chain Byte, Lisa Anderson explains why leaders must create environments where their teams can question assumptions, connect the dots, and make sound decisions that technology alone can’t deliver.

According to Anthropic’s (AI research and safety company) CEO, he expects 50% of the entry-level white-collar jobs to be wiped out. Companies no longer need people to key data and for repetitive tasks. Instead, they will look for critical thinking skills. Critical thinking is the intellectually disciplined process of actively and objectively analyzing information to form reasoned judgments, solve problems, and make sound decisions. Along a similar vein, according to Chip Espinoza, an expert in generational dynamics, recent graduates have a weakness in dealing with ambiguity, yet ambiguity is a critical skill in the new world. Because they grew up during a time when rubrics were common, they are used to receiving detailed playbooks, not dealing with ambiguity. Thus, critical thinking is of paramount importance along with creativity, communication skills and collaboration in the AI world.

This concept arises frequently in manufacturing and supply chain clients. If your team knows how to follow a process and which buttons to push to fulfill orders using your ERP system, that’s certainly a base requirement. However, it is no longer enough. Your team must know how to resolve issues, develop solutions to changing conditions, and think three steps beyond the competition. In our experience, 80% of team members can follow a process, but they struggle to deal with business condition changes. Critical thinking skills are becoming a “must”. 

Successful companies will invest in training, education and will find ways to incorporate critical thinking into their workforce. Our best clients are building training and education into the daily culture as it is more effective than outsourcing the process. With that said, a combination of both can be valuable to get your team up-to-speed quickly. In addition, mentoring, apprenticeship, cross-training, and trialing/ pilot programs provide the opportunity to try new ideas. A key to success is to ensure that leaders are engaged in this priority on a daily basis. The companies that scale up these skills faster than the competition will “win the race”. 

If you are interested in reading more on this topic:
What Today’s Leaders Need to Know About Talent