4 steps for CSCOs to emerge as digital leaders in supply chain

By Claudia Clemens, senior director, analyst, Gartner Supply Chain

Chief supply chain officers (CSCO) are charged with adapting to a dynamic landscape. The rise of generative AI and advanced automation is transforming how supply chains operate, while persistent labor shortages and a widening digital skills gap are forcing organizations to rethink their workforce.

Against this backdrop, digital leadership from CSCOs is not just desirable, it is viewed among CEOs as essential for organizations striving to stay competitive and resilient. Despite a surge in technology investments, many CSCOs struggle to be recognized as credible digital leaders.

When asked about the AI savviness of their executive team, CEOs surveyed by Gartner ranked CSCOs among the least prepared, with only 8% believing their CSCO demonstrates a strong level of AI savvy relative to the organization’s needs.

This perception is a factor holding back many CSCOs from being seen as effective leaders, even potential future CEOs, according to research by Gartner. CSCOs must take decisive action to address this challenge by taking four critical steps to emerge as digital leaders for their organization.

1. Set the vision for digital supply chain transformation

From real-time demand forecasting to automated decision-making, AI, particularly Gen AI, promises to deliver unprecedented agility and efficiency. However, the true measure of digital success is not just in deploying new tools, but in delivering tangible improvements including greater visibility, faster response times, reduced complexity, and seamless synchronization across operations.

Despite strong intentions, many CSCOs face skepticism from the C-suite, who often see underperformance in current digital initiatives. This disconnect is especially critical as organizations look to AI to address labor shortages by automating routine tasks and augmenting human capabilities.

CSCOs must set a clear digital vision, align technology roadmaps with enterprise objectives, and consistently demonstrate measurable value. By doing so, they not only justify future investments but also reinforce their role as strategic leaders capable of driving meaningful change in an era of technological disruption and workforce scarcity.

2. Bridge the trust gap with executive stakeholders

One of the most significant challenges facing CSCOs is the gap between their perceived and actual influence in digital decision-making. While many CSCOs believe they are frequently consulted on emerging technologies, only 37% of CxOs surveyed by Gartner agree.

This misalignment is compounded by limited executive support for innovation and experimentation within the supply chain, with only one-third of CxOs saying CSCOs always or frequently receive support from the executive team to implement fast-failing innovations.

To bridge this trust gap, CSCOs must proactively engage executive stakeholders, foster open dialogue, and seek alignment on how digital initiatives support broader business goals. By building stronger relationships and increasing transparency, CSCOs can earn the trust and advocacy needed to advance digital priorities and ensure their organizations are prepared for the future of work.

3. Cultivate a culture of digital agility and ownership

Many CEOs view the supply chain function as lagging in digital and AI capabilities, highlighting a need for CSCOs to take greater ownership of technology-driven value creation. CSCOs need to go beyond technical competence and become champions of digital agility and accountability.

AI and automation can help fill gaps left by workforce constraints, but only if CSCOs are willing to pilot new technologies, adapt quickly, and scale successful initiatives. By fostering a culture where experimentation is encouraged and learning from failure is valued, CSCOs can accelerate progress and position themselves as innovators within the organization.

Those who excel in this area are distinguished by their willingness to partner directly with technology leaders, iterate on digital solutions, and celebrate early wins to build momentum.

4. Activate organizational momentum through collaborative leadership

CSCOs who thrive as digital leaders do so by breaking down silos and collaborating across departments to achieve shared objectives. Gone are the days of supply chains operating at their best when invisible. Today, CSCOs have to be more of a partner, demonstrate a willingness to share a different perspective and to challenge the business.

By securing C-suite alignment at the outset of a digital initiative, CSCOs can demonstrate leadership qualities to executive colleagues and the CEO. For example, when embarking on a new digital initiative, leading supply chain organizations begin by engaging senior stakeholders to ensure a shared understanding of end-to-end decision processes and to build support for calculated risk-taking. Through this collaborative approach, CSCOs are able to unlock productivity and realize tangible value from digital investments, working across departments to achieve common goals.

This not only showcases the impact of digital transformation but also leads to deeper operational insights and stronger relationships among executive stakeholders, reinforcing the CSCO’s role as a driver of innovation and strategic value.

The path to digital leadership

By following these four steps, CSCOs can play an important role in transforming their organizations and secure their place as a  trusted digital leader. In an era defined by rapid AI advancement, the time for CSCOs to step up and own the digital agenda is now and in doing so, help to define the future of the CSCO role.

About the author:

Claudia Clemens is a senior director, analyst, for Gartner’s Supply Chain practice. Claudia is an industry expert for consumer products supply chain, crafting strategic insights for consumer products CSCOs and supply chain leaders.

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