“What If?”: Lessons Learned in 2020
Questions like “What would you do if you knew?” might not be the most popular ones, however searching for an answer might bring interesting findings. Inboundlogistics.com has asked the world leaders from various fields a simple question: What modifications to the supply chain would you do at the beginning of 2020, if you knew what you know now? We have chosen some answers to present them to you.
- We would focus on interrelationships vs individual tasks in supply chains. It’s obvious that systems were put to the test and if there’s a malfunction in one part of the operation, it can have a negative impact on the other ones. You need a holistic approach that will enable you to balance resources as needed. (Lior Elazary, CEO at inVia Robotics)
- We would make sure that all logistic processes are defined, documented and robust enough in order to secure supply continuity within the related supply chains. Apart from that, I would continue to put emphasis on strategic relationships with carriers/suppliers, so the flow of goods is secured in market conditions. (Johnathan Foster, Sourcing Director at Proxima Group)
- Investing in business applications and technological tools, such as analytics and sales forecasting could help enterprises measure the lack of supply chain and excessive stock. Using the data for forecasting supply and demand and customization of the production level reduces costs and increases effectiveness, which would help supply chains this year. (Pete Zimmerman, North American Software Sales Manager at VAI)
- One adjustment: Due to the pandemic and its impact on human capital, strong investments in process automation and reducing human dependencies. (Gabriel Ruz, Co-CEO at Magaya Corporation)
- 2020 has taught us that a dynamic approach towards freight transport is crucial for success in a rapidly evolving environment. Data and technology availability are developing a way that we approach capacity securing, reducing the need for annual RFP’s and leading to more sustainable relationships between carriers. (Heather Mueller, Chief Marketing and Product Officer at Breakthrough)
- Transition to e-commerce processes and operations. Customer behavior changed during 2020, even before the pandemic, so retrospectively, I would have e-commerce order management prepared, as well as processes for small packages/shipments. We’ve seen challenges in demand satisfaction in case of those who were not ready. (Don White, Chief Executive Officer at SnapFulfil)
- Get a better overview of all the parts of the supply chain. Thanks to a dramatic shift in demand patterns, producer visibility and real time monitoring of incoming shipments would improve your reactions to quick changes in demand. (Krishna Prasad, Chief Customer Officer at UST Global)
Most respondents agree that they would put much greater emphasis on technological preparedness, automation and analytics. Turns out, product and stock flow monitoring is crucial in order to have an overview of the supply chain. The data must always be recent. Planning that is based on last year’s results is completely irrelevant. This era requires agility and the possibility to perform quick (or even immediate) changes.
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