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How the pandemic exposed weak points in global value chains

Risk and resilience5 October 2020

This episode discusses how the pandemic exposed weaknesses in global value chains and what organisations plan to change. It draws on a survey of sixty senior supply chain executives and a think-tank report on exposure to disruption and the case for rebalancing production.

The conversation describes two groups of companies during the first wave of lockdowns: those with mature end-to-end planning who could send staff home and carry on, and those relying on spreadsheets who struggled to plan at all. Nearly all surveyed executives said they needed more resilience, with measures such as dual sourcing prominent. The guest also raises the idea of combining planning functions into a shared service centre supported by cloud tools.

Key points

  • Gap between mature planners and spreadsheet-dependent firms during lockdowns
  • Executives planning dual sourcing and other ways to add resilience
  • Shared planning service centres supported by cloud technology

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