How SA businesses are using digital tools to streamline supply chain distribution

South African businesses are increasingly turning to digital tools to streamline their supply chain distribution processes. According to a report by Standard Chartered, up to 90% of businesses in the country rely on digital tools to combat disruptions throughout their supply chain. Despite the complex trading environment, 59% of respondents acknowledged that digital transformation is a top priority.

Chris Egberink, Group Chief Executive and Head of Banking & Coverage for South Africa at Standard Chartered, emphasized that local businesses are already leveraging digital tools to respond more swiftly to disruptions. The next step, he stated, is to connect these digital capabilities across trade, treasury, and supply chains. This integration would provide businesses with a clearer view of their cash flow, risk exposure, and inventory levels.

By closing integration gaps, companies can reduce friction in cross-border transactions, manage foreign exchange and liquidity risks more effectively, and ultimately convert resilience into growth.

AI advocates agree that the adoption of digital tools is crucial for South African businesses to scale and compete on the global stage. Agentic AI, which allows AI to interact with the external world, access live internet data, and make independent decisions, is poised to revolutionize the way businesses operate. Hannes Bezuidenhout, VP of Sales for Africa at Sumsub, and Jarryd Jensen, Regional Director for Southern Africa, highlighted the significant shift from AI serving as a basic assistant to an entity capable of making independent purchases and interacting with bank accounts when granted permission.

As agentic AI becomes more prevalent, South African businesses stand to gain a competitive edge in the global market.