
Building Trust in AI Supply Chains
In the second part of his Pharma Commerce video interview, Joe Hudicka, entrepreneur and supply chain expert, notes that in order to reduce risk and accelerate adoption, supply chain leaders can begin applying AI to machine-generated data—such as IoT sensor outputs—where insights improve performance without raising concerns about data ownership, security, or competitive exposure.
Joe Hudicka, an entrepreneur and supply chain expert, highlights what is described as a “silent shift” underway in global supply chains—one that often goes unnoticed until it becomes disruptive. The central warning to pharma executives is that supply chain risk rarely announces itself loudly. Instead, it emerges through subtle performance changes that signal competitors are adapting faster.
Key early indicators include lengthening lead times, declining reliability from previously consistent suppliers, canceled transportation pickups, and sudden price increases. These issues are not random; they reflect a competitive environment in which other companies are detecting signals sooner and adjusting their strategies more quickly. When competitors move first, they secure capacity, relationships, and flexibility—leaving slower organizations struggling to catch up.
A major contributor to vulnerability, according to the discussion, is organizational siloing. Many companies rely on long-standing processes—such as fixed annual RFP cycles and static contracts—because “that’s how it’s always been done.” While these approaches may feel stable, they reduce visibility and responsiveness in an increasingly dynamic global supply environment. When companies operate in isolation, they lose the ability to see what is changing beyond their immediate networks.
Hudicka emphasizes that the most important signals are often external, not internal. Pharma leaders should pay close attention to what customers, logistics partners, and suppliers are experiencing. If those partners are finding alternative ways to operate, or achieving better outcomes with competitors, it may indicate a broader shift already in motion.
Ultimately, the message is one of proactive awareness. Companies that remain inward-focused risk being outpaced by competitors who are better at sensing and responding to change. By broadening their field of vision, breaking down silos, and listening closely to signals across their ecosystem, pharma executives can position themselves to adapt earlier—preserving resilience and avoiding the consequences of being last to react.
Hudicka also comments on practical steps can supply chain leaders take to build trust in AI-driven ecosystems without compromising security or competitive advantage; practical steps supply chain leaders can take to build trust in AI-driven ecosystems; and much more.
A transcript of his conversation with PC can be found below.
PC: What practical steps can supply chain leaders take to build trust in AI-driven ecosystems without compromising security or competitive advantage?
Hudicka: We live in global supply chains, and so while the perception over in Europe looking over here, is, wow, America is doing all these things, the reality is, no, most companies are not, which is to the point of the question you raised. Here’s the thing. I have a champion customer with the new product that I've launched around strengthening digital communications for companies. His prior life was Bayer, so pharmaceutical for many, many years.
Here's the approach that he took. He focused on this in his current company by the way, not Bayer. What he did was he focused on machine-generated data first. Look at IoT. Look at the internet of things. We've got sensors all over the place in our companies, and they generated piles and piles of data, and we're probably in healthcare regulated to keep the data. What do we do with it? Does it just sit somewhere?
I say the first step is apply AI to the machine-generated data and machine-learning opportunities. If we do that, we can start thinking about things like finding the patterns in the data that can help us predict better equipment maintenance schedules and get proactive instead of reactive. And the thing about that is, not only are we improving our cost and our production, it's easier to get people buying in to trying AI when it's on data, where that data is not dependent on human interaction.
It's a machine that generated it. It's the machine that's going to break. It's people that aren't going to get the profit they would have otherwise. It's a lot easier to get people to understand and go for that, and now you've got examples to build trust off of.
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