17 Apr Supply Chain Agility during and after COVID-19 – outlook & recommendations for initiatives for the FMCG industry
From Tobias Kramolowsky, Senior Manager at candidus Management Consulting
During the current COVID-19 crisis new challenges drive professional actions. For the Fast Moving Consumer Goods (FMCG) industry the main focus is on the availability of goods and to ensure a reliable supply chain. Ressources need to be managed accordingly to avoid bottlenecks in production and logistics. The extreme fluctuations in demand triggered by the crisis as well as the uncertainty on the timeline with regard to political requirements and restrictions add additional complexity to planning.
Short term a crisis management must be initiated to be able to take necessary decisions and to create an emergency program. Employees need to be secured by protective measures and motivated to be able to cope with work peaks.
As a next step it is crucial to set up an agility program. Shifts in the demand of goods must be anticipated and quick adaptations are necessary. Weak points in the supply chain must be identified and eliminated. All the time a clear and direct communication with the employees is required. Incentives further help to improve their willingness to go the extra mile.
Mid-term all collected pieces of information that have been captured during the lessons learned process need to be pursued to eliminate identified weak points and to sustainably increase competitiveness. The company culture needs to be further developed to match the culture model and to sustainably reach a higher degree of excellence.
In a crisis there are always winners and losers. If you want to be one of the winners, you have to use the crisis as an opportunity to derive competitive advantages from the lessons learned during the current situation in order to sustainably strengthen the supply chain for the future.
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