In recent years AI and machine learning have had a major impact on how we run our businesses. They have also influenced the way we make decisions in supply chain planning. As a result we are now in a position to have a supply chain planning system that may have enough intelligence to grow and change with the organization on its own!
Digitalization requires a digital twin of your supply chain, i.e. a digital representation of the physical world. Our terminology is a “Digital Mirror” to focus on every little aspect of your environment.
Supply chains need to be digitalized to become resilient not to just react and respond. Predicting potential issues and being ready is very different from virtually running around performing what-if this and what-if that!
Everyone is aware of potential risks in running a supply chain but what is the process by which you evaluate that risk? And, figure out the alternative solutions to lessen or eliminate it?
Planning is all about risk mitigation. Risks come in many forms: too much inventory, too little inventory, not enough to meet the demand, delivery interruptions because of weather, supplier issues, Acts of God, sanctions, labor disputes and so on.
Covid-19 has been a good lesson for most companies to bring to surface the vulnerability of their supply chains. However, we have many other events including recent tariffs and trade wars, economic downturn of 2008, and tsunami in Japan.
If you lived in an earthquake zone or hurricane region, you would design your house to be resilient to these inevitable disasters. Your safety and survival come before efficiency and cost. Your supply chain is not any different.
Thanks to Covid-19 almost every supply chain is being re-examined to become more resilient. But there is only so much you can do! There are external factors over which you have no control such as demand changes, up or down, tariffs or dock worker strikes!
With Adexa, our clients benefit from the latest technology available in security, using SAML authentication with third party Identity Management systems; and reliability, whether it is on the client’s own cloud, on premise or Adexa cloud.
Having S&OP and S&OE as two separate systems does not make sense, it is redundant and costly. Having two systems implies two disjoint systems that do not understand each other’s data model. This results in wrong projection of output, missed delivery commitments, too much inventory and misleading financial projections.