What actions can be taken today to prepare supply chains for recovery? How can these be used to make them more resilient in the long-term?

Question

Accepted Answer

As COVID-19 spread and nations entered varying states of lockdown, operations around the world came to a sudden halt. With value chains facing factory shutdowns, drastic surges and declines in demand, and shifting buyer behavior, global supply leaders have had to face questions regarding their resilience and overall approach to manufacturing. Recognizing the need to address these issues, the World Economic Forum and Kearney have collaborated to offer a solution on how supply chains must adapt. Their plan, which is divided into three parts, requires taking action now to ensure success in the future.1. Ensure both business continuity and employee protection as society begins to reopen.To ensure that their operations may resume in a post-COVID-19 world, business leaders have begun taking action to ensure supply security, mitigating their financial risks, and navigating evolving markets and fluctuating demands. This has involved supporting suppliers, increasing cash liquidity, and reducing the overall impact felt by customers. With increased importance being placed on safety, leaders must also ensure that they are able to protect employees and contribute to the safety of society as a whole.2. Implement recovery initiatives geared towards remaining resilient in the long-term.You need a supply chain that pivots. Learn more With recovery on the horizon, businesses must prepare for reopening. At many multinational companies, this has included launching initiatives focused on building supply chains that are responsive and resilient in future crises. This has entailed carefully managing interdependent operations, doubling down on investments in advanced manufacturing technology, developing a decentralized organization with risk management systems in place, redefining relationships and creating new collaboration opportunities, and reducing complexity in product portfolios.3. Emphasize adaption, adjusting as the true impacts of COVID-19 are understood.While the long-term implications of COVID-19 are yet to be understood, it is clear that every industry will be impacted in some way. For leaders, this presents the need to ingrain adaptation into operations, focusing on tailoring supply systems to change with consumer behavior, implementing agile manufacturing through advanced technology, coordinating logistics across value chains, adopting new ways of working centered around continuous operations, and collaborating to address social changes.To read the full article please visit: https://www.weforum.org/whitepapers/how-to-rebound-stronger-from-covid-19-resilience-in-manufacturing-and-supply-systemsWant to know more about how a pivoting supply chain works?