What is it about?
This study examines how artificial intelligence (AI) contributes to the development of green supply chain visibility (GSCV) and green supply chain integration (GSCI) to enhance sustainable supply chain performance (SSCP). Grounded in the Natural Resource-Based View (NRBV), Dynamic Capabilities Theory (DCT), and Information Processing Theory (IPT), the research proposes and empirically validates a holistic framework that positions AI capabilities as key enablers of sustainability-oriented supply chain practices. Using survey data collected from managers in Malaysian manufacturing firms and analyzed through PLS-SEM, the findings show that AI adoption has a strong and significant impact on both GSCV and GSCI. AI-driven visibility improves real-time access to environmental data, transparency, and monitoring of green performance, while AI-supported integration strengthens collaboration and coordination with supply chain partners around sustainability goals. Both GSCV and GSCI, in turn, positively influence sustainable supply chain performance, with integration exerting a stronger effect than visibility. The mediation results further confirm that GSCV and GSCI partially transmit the impact of AI capabilities to sustainability outcomes. By focusing on the Malaysian manufacturing context, the study offers transferable insights for other emerging economies undergoing digital and green transitions. Overall, the research highlights AI as a strategic capability that enables firms to process environmental information more effectively, integrate green practices across the supply chain, and achieve superior sustainability performance.
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Why is it important?
It is important because it shows how AI helps firms make their supply chains more transparent, better connected, and environmentally sustainable. The study explains how managers can use AI to improve green practices and performance, especially in emerging economies facing digital and environmental challenges.
Perspectives
The study advances theory by explaining how AI capabilities translate into sustainability outcomes through green supply chain visibility and integration. It shows that AI is not only a technological resource but also an enabler of dynamic and environmentally oriented capabilities. From a managerial view, the findings highlight that firms should prioritize AI investments that enhance supply chain integration and real-time visibility. Managers can use AI to improve coordination with partners, monitor environmental performance, and make faster, data-driven decisions. For policymakers, the results support the need for policies that promote AI adoption, digital skills development, and green innovation. Supportive incentives and infrastructure can help firms, especially SMEs, adopt AI for sustainable supply chain practices. Industries facing environmental pressure can use AI to meet sustainability standards while remaining competitive. AI-driven visibility and integration help firms respond to regulatory demands and stakeholder expectations. Future studies can explore other sectors or countries, examine long-term impacts, and include additional moderators such as organizational culture or digital skills to deepen understanding of AI-driven sustainability.
Dr. Muhammad Khalilur Rahman
Faculty of Entrepreneurship and Business University Malaysia Kelantan
Read the Original
This page is a summary of: AI contribution for developing green visibility and integration toward sustainability performance in supply chain, Journal of Enterprise Information Management, December 2025, Emerald,
DOI: 10.1108/jeim-07-2025-0674.
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