Question

Write a report on : Tha impact of Covid - 19 on supply chain networks?

Answer 1

The impact of COVID -19 on supply chain network

The outbreak of COVID-19 has changed many regular processes that are associated with our day to day activity. In this aspect whether it is transportation, e-commerce, any other processing which is associated with moving from one place to another been affected. So the pandemic has affected the supply chain network a lot. Here we will discuss the steps/process of supply chain network and how these processes been affected.

Supply chains are an important, and often unnoticed, part of our day to day lives. Everything that we purchase in a store comes to us as a part of a supply chain and managing these networks is a complex and ever-evolving task. Through location intelligence, the network uses to supply goods and services at a minimum cost. Supply chain network design is in general, the process of building and modeling a supply chain to minimize the costs and time associated with bringing goods to market with the resources and locations available. Some questions need to be reevaluated when this pandemic has an outbreak. The only way to prevent is by keeping physical distancing with total hygiene as parts of this process.

· How to design a supply chain network to deliver the required service at the lowest possible cost?

· Given a fixed network, how to determine optimal product sourcing and inventory deployment rules to meet anticipated customer demand specifically at this situation.

· Given a logistics network and a defined distribution strategy, how it be modified by taking care of the present scenario for the best use of available transportation resources?

The end goal is to create the most efficient network possible, meet the demand of customers, and ensure the lowest possible cost to serve your network with maximum satisfaction and zero default.

This process includes many different variables and models but many of them are tied to location, such as your distribution centers, store network, and possible routes to serve those stores.

Other assumptions, such as the number of transportation resources, assumed delivery time, and total route time is also tied to location. the location has appeared as one of the most focused issues as the location determine the spread and seriousness of COVID-19.

To show how COVID-19 impacts supply chain network design, we analyzed the supply chain network for Amazon India, a leading e-commerce chain in India.

Due to lockdown situation, it has been stopped supplying products. Now to avoid the public gathering again it is more convenient However, the company can’t deliver product to those red zone where the other zones are only permitted with some essential products. So some of the impacts has been noticed in general are:

We evaluated Publix store and distribution center locations to understand how Publix is currently serving their stores, where Publix should place a new distribution center, and to quantify the ROI of opening a new distribution center. To do this we used the following data sources and analyses:

· Amazon India distribution center locations nearer to red zone been blocked for any kind of deliveries.

· Demographic data can provide the no. of the order placed in the past from the areas and red zones are almost same.

· Spatial clustering analysis to create logical clusters of stores for each route cannot justify the present situation and the customer demand.

· Optimized routing, or the most efficient route from a start/stop location to a set of other locations concepts could not applicable at this situation.

· Overall concept of supply chain network theory could not work efficiently in this lockdown situation.