The Pandemic Has Affected the Supply Chains Globally, explains Bruce Shibuya
The COVID-19 pandemic has shown just how supply chains globally are capable of being easily disrupted without proper preparation using new tools and methodologies. Across the globe, business operations have been impacted. This is as a result of lockdowns, quarantines, and reduced air travel. Bruce Shibuya, was Chief Operations Officer at Quanergy discusses how supply chains have been affected and how better management can help to move forward.
Bruce Shibuya has spent a significant amount of his career looking at supply chains. He explains how many companies are dependent on paper processes. With the pandemic causing many people to avoid in-person transactions, paper becomes a bigger problem. Further, it makes it harder to conduct business when certain operations have moved to a virtual atmosphere.
One of the ways that supply chain management can be improved, according to Bruce Shibuya, is by taking a digital logistics approach. It can make it easier to share sensitive information in a centralized platform transparency. When companies have better digital communication in place, it allows the supply chain to move forward.
Another aspect of the supply chain that’s being impacted is the return materials. Bruce Shibuya encourages people to look at warehouse supplies everywhere. They’re not accepting returns during the pandemic for fear that something has been tainted with the virus. This isn’t just on the consumer level, either. Entire pallets of products are not being accepted for returns.
When companies are out the money for entire pallets, they blame their suppliers, not the pandemic. It’s causing a complete disruption as many companies look for other suppliers. Bruce Shibuya suggests that companies look to minimize shortages and work to keep costs down. However, changing suppliers may not be the best option – especially during the pandemic.
In many instances, companies can benefit from logistics and planning managers. When there is someone centralizing the management of goods and services flowing in and out, it can reduce some of the complications. It can ensure that products are being delivered faster. Costs are often reduced, too.
Bruce Shibuya has identified that there are quite a few companies that have managed to succeed throughout the pandemic because of having logistics management in place. It ensures that their supply chain isn’t heavily impacted because the manager is looking out for them.
Companies need to take control of their supply chain. If they continue to do things the way that they did pre-pandemic, they may not be able to keep up with the new demands. Further, they may be inadequately prepared for what the post-pandemic supply chain is going to look like – often with suppliers taking a digital approach as well as using different transport methods.
Bruce Shibuya works heavily in predictive analytics and AI in order to identify problems with the supply chain in order to prepare for what’s to come.