Strengthening Global Supply Chains in a Post-Covid era
Abdelmuizz Bello
Despite the wake of immediate and lingering health impact and unfortunate fatalities arising from the Covid-19 pandemic , infections Despite the roll-out and administration of effective vaccines globally , governments are navigating the slippery slope of completely reopening economies and jumpstarting productive activities without spurring a new wave of the Covid-19 pandemic . While some countries have been able to kick-start economic activities without a spike in infections and fatalities , others haven ’ t been as fortunate . Quite naturally , businesses continue to face the multiple challenges of protecting employee health and safety , contributing to the fight against the spread of the virus and safeguarding their operational viability into the future .
In the coming decades , businesses the world over will no longer be judged solely by the usual financial metrics of revenue growth , profit after taxes , market capitalization , environmental impact , innovation , goodwill , etc ., but also by the resilience of their supply chain and operational networks to
‘ black swan ’ events like the current pandemic .
As the virus ravaged global economies , the role of China as a major trade partner became very evident as the second largest economy in GDP terms , China , is responsible for over 18 % of Global GDP – some US $ 14 trillion . Consequently , the introduction of travel restrictions and movement restrictions within cities at the inception of the pandemic saw many countries witness a significant disruption within their economies as businesses shut down from lack of raw materials . Projects stalled from delays occasioned by lack of manpower and / or critical equipment that were to be supplied by Chinese companies or managed by skilled Chinese workers . This is better put in context when it is considered that more than 200 of the Fortune Global 500 firms have a presence in Wuhan ; the origin of Covid-19 virus . It also explains why 31 % of respondents in a recent PwC survey of business leaders in the United States identified supply chain issues , especially from China , as one of their top 3 business operation continuity concerns .
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