Question

How can the largest Companies in the U.S. such as COSTCO,THERMO FISHER SCIENTIFIC,ELI LILLY AMAZON,NVIDIA ensure that its supply chain is resilient to the unexpected events such as the Pandemic- Coronavirus. What measures should they have instituted prior to such a worlwide destructive event?

Answer 1

Events like the COVID-19 pandemic has affected the business around the world. However, companies can take steps that can help in mitigating the risks for its supply chain in the future in the light of events such as these as well as others like natural disasters.

These steps are as follows:-

• Ensuring that the company has ready alternate suppliers for its raw materials can help in assuring that the company doesn't suffer a lack of raw materials which could impact the production, supply of its products and disrupt the supply chain.
• Researching and finding alternate routes for the distribution of products and services especially when the suppliers and customers are located in the same region. This will help the company in ensuring that the distribution is not affected by any interruption on one route of distribution as it has an alternate route planned and available.
• Using interchangeable can help a company in fighting a shortage of production parts.