Supply Chain Relationships are above Supply Chain Technology - A Lesson from Covid-19

As Covid - 19 impact on Supply Chain evolves, Supply Chain practitioners are figuring it out for themselves that its "Relationships" which are keeping the flow upright.The unprecedented disruption which has been caused & we are still not out of the woods as yet, has seen dramatic changes to Supply Chains. 

Initial fury to stock up was followed by some sudden brakes which now is evolving into a demand pattern with some increased clarity into a more visible action plan. In all this journey of the past few months, the Supply Chain Practitioner in the industry came to grasp a reality which always stayed but was opaque for a while - It's the "Supply Chain Relationships" which will tide you over.

I have been a practitioner who has been surrounded by Senior Management professionals of the industry who, over the past few years, have been crystal clear that its the "Technology" which will drive the Supply Chain of future. With AI/ML/RPA/IOT and Blockchain, it has been perceived that these technology solutions will create the future Supply Chain strategies. e.g. a FMCG company with the aid of technology solutions shall predict the assortments on the shelf of their retail partner or an Automobile company may do the same with their vehicle servicing using Internet of Things (IOT). Technology is probably going to do all that & much more. What it is not going to do is to "Execute it". For a FMCG company Supply Chain Technology may identify the assortment but can't get that on the shelf in absence of Supply Chain Partners not executing it. Supply Chain Relationships will do that.

Covid - 19 is turning out to be a great event for this insight. Supply Chain Relations as a Bricks & Mortar approach form the Strategic layer of Supply Chain which is much above the Supply Chain Technology as Clicks & Porters. As we pass through Covid-19, it has become very evident that Supply Chains which have excellent relationships with its partner organizations have been able to pull through better. 

A lesson for Supply Chain Practitioners is to invest in Relationships. None of the Technology tools did predict a Covid-19 but Relationships have helped one survive through it!

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