Boston Consulting Group shares best practices for improving supply chain visibility, flexibility, and preparedness for crisis and disruptions

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Preparing the Supply Chain for the Next Disruption

Protecting Your Supply Chain – Boston Consulting Group shares best practices for improving supply chain visibility, flexibility, and preparedness for crisis and disruptions

Summary:

Boston Consulting Group published article on Medium to help prepare companies and their supply chains for the next disruption. Some recommendations are:
  • Find the Right AI Solutions – Look at current digital technologies being used in supply chains if they provide essential visibility and optimization, transparency and insights for day-to-day supply chain management
  • Create Accountability – Set up global team of supply chain strategists, execution drivers, and technologists tasked to use mixed modeling, simulate and devise playbook of responses for various scenarios
  • Invest in a Control Room – Establish control room for tracking suppliers’ health, inventories, cost of goods, production plans, shipments, demand and external risk hot spots, for supply chain optimization and as command-and-control center in crisis
  • Use Digital Twin to Predict Disruptions – Create digital twin of supply chain for simulating scenarios, predicting supply and demand, analyzing long-term impact of action plans, and making decisions such as customer allocation, inventory diversions and changes in suppliers
  • Create Culture of Disruption Preparedness – Institutionalize disruption preparedness into culture, empowering control center to make strategies, manage change, shape policies, optimize daily operations in supply chain when crisis strikes
To read article for free on Medium, please visit https://medium.com/bcggamma/preparing-the-supply-chain-for-the-next-disruption-48bbbc63b79f
Company: Boston Consulting Group (BCG)
Category: Supply chains

Original publication date: March 25, 2020

Date last updated: April 14, 2020