Supply Chain Digital Magazine April 2026 | Page 98

RISK & RESILIENCE
“ This is especially critical in time and temperature-sensitive supply chains, where even minor disruption can erode margins or shorten shelf life,” adds Levent.“ AI enables faster decisions, from identifying alternative suppliers to rerouting logistics, so organisations can keep products moving despite climate volatility.” Organisations who have full traceability throughout their chains are less likely to be affected by hidden internal shocks – by having a full insight into their suppliers’ operations, they can use AI to predict and manage risk before it becomes a problem.
Predicting and mitigating risk Through the implementation of technology and AI, climate risk mitigation can be at the forefront of strategy. Although weather volatility feels unpredictable, there are warning signs that businesses can use to prepare themselves for these risks.
Levent points to large language models( LLMs), a set of deep learning models which are trained on data in order to understand natural language and perform a wide range of tasks. Through pattern learning, they can predict upcoming risks, including climate challenges.
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