The manufacturing supply chain right now has been hammered and is failing due to the effects of COVID 19. The disruptions come from the difficulty of balancing supply and demand as manufacturers have seen big disruptions to the supply chain since COVID. However, even before COVID hit inventory optimization was still very difficult due to natural disasters, failure of suppliers as well as fluctuation of the market. The issue that the manufacturers are currently facing is the fact that nobody knows when everything is going to return back to normal.
Key Takeaways:
- It is very difficult to balance supply and demand because there have been disruptions due to inventory spikes.
- Before COVID inventory optimization was extremely difficult due to natural disasters, fluctuation in the market and supplier failure.
- Since the supply chain is being disrupted, manufacturers aren’t going to be able to produce products as quickly as needed and will therefore be hurt financially.
“We are all aware of how the aftermath of the global pandemic has brought fluctuations in demand, new requirements to assess supply chain vulnerabilities and unforeseen shipping accidents upending operations.”
Read more: https://spendmatters.com/2021/06/28/how-to-weather-the-manufacturing-supply-chains-risk-storm/
