Artificial Intelligence ( AI ), machine learning , advanced analytics , and 5G to design and anticipate future challenges and model appropriate responses for them . They are very critical in enabling supply chain management leaders to obtain diagnostic and predictive insights from the massive number of events occurring within their chains , helping leaders to better understand the health of their chains . These technologies are also utilized to create a digital companion to existing supply chains .
The DSN model encourages the digitization of as many processes as possible in the supply chain process which is expected to impact a company ’ s operations positively . A 2016 Boston Consulting Group report suggested that digital supply chain technologies aid product availability and response to market disruption time by 10 % and 25 % respectively
relative to their counterparts without a digitized strategy .
Build Crisis Management Teams
Business leaders should use the information obtained from the digital tools described above to build their Crisis Management Team , a " Supply Chain War Room " with crossfunctional representation across key departments from sales , marketing , operations , IT , logistics and finance , to track and develop a response to any crisis . Put differently , it involves developing business continuity plans primarily focused on preparing for a possible disruption in supply from manufacturing partners during a crisis .
This team will be required to regularly access and monitor global events as they occur to identify vulnerable sectors that might be affected , which products or components are made from the identified sectors and to what extent revenue and customers will be impacted . Any notification of a situation with the remote potential to disrupt supply chains is to be escalated for further evaluation .
The team will also collaborate and communicate regularly with other cross-functional teams to develop an efficient Response Playbook in a bid to create a seamless and documented process for managing a supply chain disruptive issue end-to-end . It is also advisable for the team to hold preparedness and scenario drills involving all relevant departments as well as critical suppliers linked to the identified supply chain risk from time to time .
In addition to the above , businesses can strengthen their supply chains networks and improve business