Towards Trustworthy AI in Demand Planning: Defining Explainability for Supply Chain Management

Ruiqi Zhu, Cecilie Christensen, Bahram Zarrin, Per Bækgaard, Tommy Sonne Alstrøm

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Abstract

Artificial intelligence is increasingly essential in supply chain management, where machine learning models improve demand forecasting accuracy. However, as AI usage expands, so does the complexity and opacity
of predictive models. Given the significant impact on operations, it is crucial for demand planners to trust these forecasts and the decisions derived from them, highlighting the need for explainability. This paper
reviews prominent definitions of explainability in AI and proposes a tailored definition of explainability for supply chain management. By using a user-centric approach, we address the practical needs of definitions of
explainability for non-technical users. This domain-specific definition aims to support the future development of interpretable AI models that enhance user trust and usability in demand planning tools.
Original languageEnglish
Title of host publicationProceedings of the 17th International Conference on Agents and Artificial Intelligence (ICAART 2025)
Volume3
PublisherSCITEPRESS Digital Library
Publication date2025
Pages1245-1253
ISBN (Electronic)978-989-758-737-5
DOIs
Publication statusPublished - 2025
Event17th International Conference on Agents and Artificial Intelligence - Porto, Portugal
Duration: 23 Feb 202525 Feb 2025

Conference

Conference17th International Conference on Agents and Artificial Intelligence
Country/TerritoryPortugal
CityPorto
Period23/02/202525/02/2025

Keywords

  • Explainable AI
  • Supply Chain Management
  • Demand Planning
  • User-Centric Explainability

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