Predict Potential Causes Of Global Supply Chain Disruption
Global supply chains remain under immense pressure. In a recent survey of 200 supply chain executives by Ernest & Young LLP, 72 percent of the companies reported that supply chain disruptions adversely affected their operations. Only 2 percent reported that they were prepared to navigate disruptive forces.
To ensure supply chain resiliency, companies must reevaluate their disruption-mitigation strategies and consider investing in supply chain technologies like AI. Every business should foresee a scenario where they can detect disruptions promptly, understand the impact and react quickly.
AI in the Supply Chain
Artificial Intelligence (AI) based technology can detect possible risks in supply chain networks, often before they hit your enterprise. With such a mechanism, companies will be positioned to achieve increased visibility and better decision-making, ultimately culminating in improved customer service.
An AI strategy operates on the principle of putting data at the core of the supply chain to create an intelligent supply chain network. It allows companies to utilize data to its full potential by mining different data sources, including news outlets, weather feeds, sensor data, social media, CRM data, unstructured reports, and more. Through such coordinated data discovery, collection, and processing, those in the supply chain can find patterns/trends, gather relevant past and current insights to determine demand/supply behaviors, and optimize supply chain operations.
Potential Causes of Supply Chain Disruption
Bottlenecks or congestion in production systems often result in delays and higher production costs. Typically, the origin of supply chain disruption is a result of an internal company matter or external factors. Among the most common supply chain disruption risk categories include; Cyber and security attacks, financial and company viability, transportation or logistics, man-made factors, geopolitical instability, and natural disasters.
The lingering effects of COVID-19 have also impacted the global supply chain. Scenarios include:
- Work-from-home arrangements and lockdowns created a higher demand for electronics, shifting the demand for semiconductors to consumer electronics.
- Covid-related manufacturing and labor disruptions reduced production capacity around the world.
- The shortage of truck drivers and warehouse workers contributed to problems in the overall supply chain.
Other global factors contributing to supply chain disruption include:
- Geopolitics- Brexit geopolitical moves implications on how manufacturers source, transport, assemble, price products, and make them consumer-available.
- Spillover impacts from the Russia- Ukraine conflict have put intensified pressure on logistics networks already stressed by high demand.
Considering most supply chains’ interconnectivity and complex nature, it can be challenging to have all aspects of the process operating efficiently. Of critical importance is how well you’re prepared to cope with the seemingly never-ending supply chain crisis. AI has the potential to help companies look forward into the future with sophisticated solutions that make your processes much more transparent and streamlined.
How Ceres Can Help With Supply Chain Disruption
Many companies today grapple with the lack of actionable insights vital in driving timely decisions to ensure enhanced overall supply chain performance. Investing in data-driven technology, machine learning, and artificial intelligence provides valuable predictive insight, which helps to better mitigate supply chain risk. Therefore, as a supply manager, it helps to know that you’re making accurate predictive analytics/forecasting with real-time visibility for smarter and more robust supply chains.
Cere’s AI technology offers complete multi-modal visibility from purchase to delivery. Through this, companies can discover trends, identify potential vulnerabilities, and glean deeper insights to optimize key areas of their supply chain. Let us make AI work in your supply chain and help you:
- Allow for reallocation of capital.
- Predict when a load will be disrupted.
- Set realistic ETAs to allow better scheduling of resources and assets.
- Gain supply chain transparency using big data, intelligent systems, and connected ecosystems.
- View how a product is being handled (or mishandled) or otherwise damaged or spoiled.
- Determine when a shipment will arrive (e.g., ETA).
- Notify when a product is lost or stolen.
- Communicate shortages/issues at any point in the supply chain, so it’s easily adjustable to ensure customer brand loyalty and satisfaction by guaranteeing the products.
The challenge of integrating several types of datasets from numerous sources is not to be underestimated. We can use almost any structured or unstructured data from multiple sensors, third-party platforms, and internal systems such as:
- Container dwell time
- Location-based news
- Port congestion
- Live asset and vehicle tracking
- Sensor-based data (temperature, humidity, geo coordinates, pressure, light, acceleration, and more).
We then provide actionable insights, predictive data models, alerts, and more that will make your company efficient, customer-friendly, and give you a competitive edge.
Ready to Take the First Step?
Unlock the potential of your business with a unified solution that improves your supply chain visibility. With an AI-powered supply chain, companies can benefit in numerous ways:
- Achieve accurate inventory management
- Increase customer satisfaction
- Actionable analytical insights
- Plan and optimize with confidence
- Enhance yard efficiency
- Maximize OTIF compliance
- Reduce dwell and detention time and cost
- Achieve cost savings through reduced operational redundancies
The benefits of AI and analytics–powered supply chains are plenty, and now is the best time for your business to leverage them.
Discover how it all comes together with our Real-Time Visibility platform that can connect your entire supply chain.