Readiness for artificial intelligent adoption in sustainable supply chain in the Malaysian Logistics Industry

This study examines the readiness of the Malaysian logistics industry to adopt Artificial Intelligence (AI) to enhance sustainable supply chain performance. The rapid evolution of global supply chains and increasing sustainability pressures underscore the need for digital transformation. This research, guided by the Technology-Organization- Environment (TOE) framework and Diffusion of Innovation (DOI) theory, investigates key determinants affecting AI adoption supply chain complexity, technological readiness, top management support, and sustainability goals. Using a quantitative research design, data were collected through structured questionnaires from 211 managerial-level employees in Malaysian logistics companies. The analysis, conducted using SPSS, includes descriptive statistics, correlation, and multiple regression tests to explore the relationships between these determinants and AI adoption. Results indicate that while the logistics industry exhibits high readiness in terms of technological infrastructure and sustainability goals, AI adoption remains moderate. The study highlights that supply chain complexity and technological readiness are significant predictors of AI adoption, while top management support plays a crucial role in facilitating successful implementation. The findings suggest that while Malaysian logistics companies are prepared to implement AI, there is a gap between intent and full-scale adoption. The paper contributes to both theoretical knowledge on AI adoption in developing economies and practical insights for policy makers and industry leaders to drive digital transformation and sustainability in logistics. Future research should explore long-term AI impacts and extend the study across different sectors