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December 10, 2021

This Week In Supply Chain Now: December 6th – December 10th

Stay up to date on all the latest conversations, interviews, and episodes we released this week here at Supply Chain Now! We started this week off with an episode of Dial P for Procurement with host Kelly Barner. She is accompanied by Bull Demartino Chief Product Officer and Constantine Limberakis the Senior Director of Product & Solutions Marketing for Riskmethods. During this show, the real meaning of creating a demand for new risk management gets discussed. In Monday’s episode of This Week In Business History, Kelly Barner shares the very interesting story of Clarence Birdseye, inventor and innovator of the frozen foods industry. Kelly talks about the initial challenges that Birdseye had to endure to become the legacy it is today. On Tuesday, we published an episode of Supply Chain Now with host Scott Luton and special co host Kelly Barner. This episode features Bob Gay, Rebate & Incentive Program Specialist for Advance Auto Parts. Scott Weir, the former Vice President of Purchasing for Thos. Sommerville Co, and Oisín Cooke the solutions consultant at Enable. They all put an emphasis of rebates and how they can be an effective way to reward and incentivize specific buying patterns and behaviors. On…
strategic sourcing
June 26, 2026

AI Is Good at Picking Qualified Suppliers. It Still Struggles to Pick the Best One.

Companies are rapidly integrating generative AI into procurement and sourcing decisions. The promise is obvious. AI can read thousands of pages of supplier proposals faster than any human team, summarize technical requirements in seconds, and create the appearance of consistency and objectivity in evaluation. But there is an important distinction managers are starting to overlook. The same AI system that performs extremely well at identifying whether a supplier meets minimum requirements may perform much less reliably when judging which supplier is truly better. Recent research published in the Journal of Business Logistics examined this issue by comparing how large language models evaluated supplier bids against evaluations completed by experienced procurement professionals. It analyzed 123 supplier proposals tied to 31 public procurement projects conducted by the State of Ohio between 2023 and 2024. The projects involved complex IT services contracts, many containing large, text-heavy bid packages requiring evaluative judgment rather than simple arithmetic comparisons. The researchers tested three reasoning-oriented AI models: OpenAI o3, Grok-3-Mini, and DeepSeek R1. They then compared their evaluations against human procurement scores. The findings revealed a surprisingly clear pattern. AI performed well when evaluating compliance signals. These are signals tied to baseline qualifications and technical requirements. Does…