Artificial intelligence for supplier scouting: an information processing theory approach

Abstract

Purpose The objective of this paper is to study the role of artificial intelligence (AI) in supporting the supplier scouting process, considering the information and the capabilities required to do so. Design/methodology/approach Twelve cases of IT and information providers offering AI-based scouting solutions were studied. The unit of analysis was the AI-based scouting solution, specifically the relationship between the provider and the buyer. Information processing theory (IPT) was adopted to address information processing needs (IPNs) and capabilities (IPCs). Findings Among buyers, IPNs in supplier scouting are high. IT and information providers can meet the needs of buyers through IPCs enabled by AI-based solutions. In this way, the fit between needs and capabilities can be reached. Originality/value The investigation of the role of AI in supplier scouting is original. The application of IPT to study the impact of AI in business processes is also novel. This paper contributes by investigating a phenomenon that is still unexplored and unconsolidated in a business context.