Oracle recently announced new role-based AI agents within Oracle Fusion Cloud Supply Chain and Manufacturing (SCM) to automate routine tasks and allow organizations to focus more time on strategic supply chain initiatives. Available to customers in January 2025, the new AI agents help supply chain professionals transform the way they work and achieve new levels of productivity by automating end-to-end processes and delivering personalized insights, content, and recommendations for specific tasks and specialized roles.
“Supply chain professionals often spend several hours every week on administrative tasks, such as data analysis, policy reviews, and order processing, which takes a significant toll on productivity and resources,” said Chris Leone, executive vice president of applications development, Oracle. “Our new AI agents for supply chain management help ease the administrative burden by streamlining workflows and automating routine tasks to enable greater accuracy and efficiency, smarter decision-making, and ultimately, a more agile and responsive supply chain.”
Spanning all areas of the supply chain, including procurement, manufacturing, maintenance, inventory management, sustainability, planning, and product lifecycle management, the new AI agents embedded in Oracle Cloud SCM seamlessly support supply chain professionals with:
Margin and risk resilience:
- Procurement policy advisor: Helps procurement professionals increase the speed and accuracy of creating, processing, and fulfilling purchase requisitions. For example, the agent can provide insight into procurement policies, share product recommendations, and identify specific information needed to complete a purchase requisition.
- Manufacturer onboarding advisor: Helps design engineers streamline the manufacturer and supplier onboarding process. For example, the agent can quickly assess newly added manufacturers and suppliers to determine if they meet risk profile and onboarding requirements.
Smart operations:
- Operational procedure advisor: Helps manufacturing and production operators confirm whether operations align with procedural guidelines and safety standards. For example, the agent can provide insight into the standard operating procedures for manufacturing processes and summarize information on specific safety standards and material handling guidelines.
- Quality inspection advisor: Helps quality engineers streamline inspection processes and confirm whether products align with compliance requirements. For example, the agent can review failed inspection history and provide preventive recommendations, such as tightening specification controls or suggesting new inspection actions.
- Material handling advisor: Helps material handlers engage in proper handling of products upon delivery. For example, the agent can provide information on specific material handling procedures and applicable regulatory requirements so that goods are routed and stored properly.
Perfect fulfillment:
- Claims policy advisor: Helps claims analysts make faster, more informed, and more consistent claim disposition decisions. For example, the agent can quickly review claim policy documents, identify claims that do not conform to policy, and provide suggestions on how those claims should be handled.
- Shipping placard handling advisor: Helps shipping agents assess compliance with hazardous materials placard regulations. For example, the agent can review shipment details and summarize guidance on the required content and placement of hazardous materials placards to address regulations.
- Goods delivery advisor: Helps warehouse operators streamline the delivery process. For example, the agent can provide detailed delivery instructions based on specific delivery location and noted time restrictions to reduce the likelihood of interruptions or delays.
Data-driven decision making:
- Supply chain collaboration advisor: Helps suppliers streamline access to company-specific policies and guidelines to improve productivity. For example, the agent can help provide information on forecasts and commitments, and review production progress and completion status.
- Sustainability policy advisor: Helps sustainability analysts more accurately report on corporate sustainability initiatives. For example, the agent can summarize the nuances of company sustainability policies and the latest industry standards to help confirm activities are being reported correctly.
Part of Oracle Fusion Cloud Applications Suite, Oracle Cloud SCM enables customers to seamlessly connect supply chain processes and quickly respond to changing demand, supply, and market conditions. In addition, embedded AI acts as an advisor to help analyze supply chain data, generate content, and augment or automate processes to help improve business operations and create a resilient supply network to outpace change.
What this means for ERP Insiders
What should supply chain leaders expect to gain from Agentic AI? Implementing Agentic AI across various supply chain functions can lead to significant, measurable business impacts. In inventory management, by autonomously analyzing historical and real-time data, Agentic AI optimizes stock levels, reducing overstock and stockouts. This leads to decreased warehousing costs and improved cash flow. In predictive maintenance, Agentic AI monitors equipment health in real-time, predicting failures before they occur. This proactive approach minimizes unplanned maintenance, reducing downtime by up to 50%. In demand forecasting, by analyzing vast datasets, Agentic AI enhances demand forecasting accuracy, leading to better production planning and a potential 20% reduction in forecast errors. In route optimization, Agentic AI autonomously determines the most efficient delivery routes, considering factors like traffic and weather. This can result in a 15% reduction in fuel consumption and faster delivery times. And in supplier relationship management, Agentic AI evaluates supplier performance and compliance, facilitating better collaboration and negotiation. Early trials have shown a 25% increase in supplier collaboration efficiency.
Oracle is betting big on Agentic AI. Oracle is making significant investments in agentic AI, positioning itself prominently among leading ERP providers. A notable initiative is the Stargate Project, a joint venture announced in January 2025, involving Oracle, OpenAI, SoftBank, and MGX. The project plans to invest up to $500 billion over four years to develop AI infrastructure in the United States, with an initial deployment of $100 billion. This substantial commitment underscores Oracle’s dedication to advancing AI capabilities within its offerings. In addition to the Stargate Project, Oracle has introduced over 50 AI agents within its Fusion applications. These agents are designed to automate various business processes, enhancing productivity and efficiency for users. Of course, Oracle is not alone. The AI race among the world’s leading enterprise software providers is heating up. Arch rival SAP has committed over $1.04 billion to AI development, focusing on integrating AI capabilities into its products and services. Backed by SAP, Sapphire Ventures has dedicated over $1 billion to fund AI-powered enterprise technology startups, supporting innovation and expanding SAP’s AI ecosystem. And in 2024, SAP acquired WalkMe, a digital adoption platform leveraging AI to improve user interactions with enterprise software, for approximately $1.5 billion.
Do you fit within the ideal customer profile (ICP) for Oracle Fusion Cloud SCM? Oracle Fusion Cloud SCM is utilized by numerous large enterprises, particularly those with over 10,000 employees and revenues exceeding $1 billion, with 63% based in the U.S. Oracle’s ICP for Oracle Fusion Cloud SCM includes companies involved in discrete or process manufacturing aiming to optimize production planning, inventory management, and distribution. It also includes retail businesses focused on efficient inventory control, demand forecasting, and streamlined logistics, and high-tech organizations requiring intricate supply chain networks with a need for real-time visibility and agile operations. Oracle’s SCM customers are typically organizations with complex supply chain processes that necessitate scalable solutions to manage multiple suppliers, manufacturing units, and distribution channels, and a desire to unify supply chain planning with execution processes to enhance responsiveness and efficiency. These companies also typically operate in multiple regions requiring solutions that support global supply chain networks and compliance with diverse regulatory standards. In 2023, the global SCM software market reached nearly $13 billion, with the top 10 vendors commanding approximately 42% of the market. SAP led with a 10.7% share, followed by Oracle, Blue Yonder, E2open, and Manhattan Associates.
