Saudi Journal of Business and Management Studies (SJBMS)
Volume-10 | Issue-06 | 301-311
Review Article
An Analysis of the Roles of Artificial Intelligence (AI) in Predictive Logistics, Alongside Its Impact on Marketing Personalization and Business Efficiency
Olawale C. Olawore, Taiwo R. Aiki, Oluwatobi J. Banjo, Victor O. Okoh, Tunde O. Olafimihan
Published : July 19, 2025
Abstract
Predictive logistics is undergoing a transformation due to the presence of Artificial Intelligence (AI). It changes supply chains from a reactive, reaction-to-disruption model to a data-driven and proactive model. AI allows companies to predict demand more accurately than ever before by leveraging machine learning and real-time analytics, create optimal routes in real time, and optimize inventory by using AI. Studies find that the implementation of AI is capable of reducing forecasting errors by 20–50 percent and the cost of logistics by up to 15 percent. Another effective synergy is the combination of AI-based logistics data with Customer Relationship Management (CRM) systems will allow hyper-personalized marketing. This establishes a customer-response loop that enhances customer interaction and efficiency in the operations. This paper will discuss how AI can bring the best value to the logistics operation, the marketing personalization, the economic impact, and the integration of the systems that have traditionally been siloed, which leads to the argument that AI is best useful in bringing these functions together. There are difficulties that come with the transformation. This paper critically reviews the burning ethical issues in the recent past, such as data privacy, algorithmic bias, and workforce displacement, and concludes that the transparent and accountable adoption of AI is not only an ethical necessity but also a vital element of sustainable and competitive advantage.