Reshaping supply chains
In part four of our Keeping the Chain Going series, we look at how supply chains can become more resilient and prepare for the post-outbreak era
Throughout our Keeping the Chain Going series, we’ve explored the immediate impact of the coronavirus pandemic on food and beverage supply chains. We’ve seen how SIG has been standing up to COVID-19 to ensure food remains safe and available. And we’ve examined how consumer habits have changed as a result of lockdowns and social distancing.
But as we prepare for a post-pandemic world, what can producers and manufacturers learn from what’s happened? What are some of the long-terms impacts we can expect? And how can supply chains become more resilient to future shocks and disruptions?
Controlling the supply
In the wake of COVID-19, manufacturers have been trying to minimise risks and assess supply chain vulnerabilities. In the short term, many have been finding and activating alternate sources of supply from less impacted regions. And in Europe, the pandemic has forced some companies like electronics and clothing manufacturers to consider whether materials and supplies from single-source factories in remote areas of Asia are a viable long-term solution.
If the pandemic has taught us anything, it’s that supply flexibility and agility are essential. So, in the future, we can only expect more companies to look to multi-sourced inputs, to foster more supplier relationships, and to secure additional inventory and capacity. And key to this all will be ensuring full visibility and transparency – to better understand supplier networks, to utilise more valuable data, and to be able to react in real time.
Driving digitalisation
Global supply chains have become incredibly sophisticated but also highly complex and exposed. With more potential points of disruption, reduced margins of error and a lack of significant buffers, many supply chains have become disconnected and even fragile. And a crisis like COVID-19 has shown that supply chains need to be stronger and more resilient by connecting all stages to a single or centralised version of truth.
Digital transformation technologies are understandably being seen as the solution, enabling everything from enhanced automation and real-time analytics to end-to-end traceability. Because if you don’t have visibility of potential supply chain problems then you can’t adequately prevent or manage them. Thankfully, new supply chain technologies are available and developing that can drastically improve visibility across the end-to-end supply chain, with the aim of driving more long-term agility and resilience.
Ready for the future
At SIG, we’re already enabling manufacturers to achieve end-to-end visibility across the entire supply chain with our range of Smart Factory and Connected Pack solutions. Our Smart Factory platform, for example, is able to deliver IoT-enabled systems, solutions and technical services that create more intelligent, connected and automated plants as part of the digital transformation.
And with Connected Pack, manufacturers can collect real-time data throughout the product journey – from sourcing, processing, filling, quality checks and logistics, all the way to supermarket shelves. All this data is stored in a central and secure database, enabling manufacturers to better monitor, control, adapt and optimise processes throughout the supply chain.
Ultimately, solutions like these will ensure producers can continuing bringing food and beverage products to consumers in a safe, sustainable and affordable way – no matter what challenges or crises may arise in the future.
What next?
Want to know more about what the food and beverage industry can expect after COVID-19? Look out for our upcoming Post-Pandemic World series, diving into the long-term trends and implications for the industry – and the new opportunities ahead.
- June 03, 2020