DC Velocity – by Joe Vernon
Leveraging intelligent automation to face the complexity and instability of the modern supply chain.
For decades, manufacturers outsourced production and assembly of products to multiple contractors often located in many different countries, just as Apple uses dozens of global manufacturers to build the individual parts of an iPhone. These global supply chains require planes, ships and trucks to transport the products and warehouses to store the finished goods. This complex web composed of everything from manufacturers and consumer package goods (CPG) brands to transportation fleets and logistics companies is like a delicate ecosystem that is highly sensitive to disruption. Unfortunately, the pandemic demonstrated that it was too sensitive.
While the coronavirus would spread across the entire world, the initial shut down of Chinese factories and plants resulted in global supply chain consequences. Fast forward, and the demand for goods increased; with people stuck at home, shopping and buying online became a pastime. The new omni channels of today made supply chains even more complex, with the number of channels and journey of goods that retailers need to keep tabs on significantly greater. Not to mention increased reverse logistics, return challenges and inventory management. Likewise, there were already truck driver shortages even before the pandemic, which have only gotten worse with the higher federal unemployment benefits.
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