The Conference Board gives supply chain managers in Asia ways they can respond to risks and shifts in demand from the Coronavirus epidemic

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Responding to the Coronavirus Crisis: Selected Ideas and Learnings for Asia’s Supply Chain Management Leaders

Responding to Risks and Shifts in Demand – The Conference Board gives supply chain managers in Asia ways they can respond to risks and shifts in demand from the Coronavirus epidemic

Summary:

Think tank The Conference Board published report on actions supply chain leaders in Asia can take to respond effectively to COVID-19 crisis. Some of their recommendations include:
  • Prioritize High Risk Shipments – Isolate all purchase orders and prioritize according to profit contribution and key customers, including those running out of inventory, for priority delivery
  • Identify and Resolve Bottlenecks – Identify and resolve internal bottlenecks for key components and purchase orders, creating rapid response chains-of-command, planning transportation workarounds by working with local logistics firms, finding alternative supply sources, and boosting supply chain redundancy
  • Get First-Hand On-the-Ground Data – Contact factory owners, managers, quality control inspectors, forwarders and courier companies for reports and insights on situation, such as number of backlogs, percent of workers on the job, percentages of trucks running, status of transportation bans, and more
  • Respond to New Demand – Assess demand and exploit opportunities, stay nimble to spot occasions when competitors cannot meet enough supply, which can create long-term competitive advantage for company
  • Improve Traceability and Modeling – Track source and flow of materials through systems, processes, and tools like blockchain and RFIDs, investigate suppliers for better visibility of risks, setup digital twin of supply chain for modeling scenarios using real-time data, and accurately calculate costs of alternatives
  • Map and Plan Labor Availability – Understand geographic locations and mobility of migrant factory workers, and mitigate shortages by considering hiring higher cost local workers with suppliers
To read more on this article about supply chain responses, please visit https://www.amchamchina.org/uploads/media/default/0001/12/89f999d775225d7c82a17770f00dbcb435ad7064.pdf
Company: The Conference Board
Categories: Revenue protection and opportunities, Supply chains

Original publication date: March 20, 2020

Date last updated: April 15, 2020