GLOBAL shipping and logistics services firm United Parcel Service (UPS) Philippines saw the need for businesses to have a sustainable supply chain ecosystem in a post-coronavirus environment.
In a webinar on Thursday, Dec. 10, 2020, Chris Buono, managing director at UPS Philippines and Indonesia, said businesses need to adequately address the biggest logistics challenges defining the landscape today.
Buono enumerated the closure of retail shops as a result of lockdowns, reduced airfreight capacity from virtually no passenger flights, shifts in e-commerce fulfillment and production shifting offshore as the challenges.
“Businesses will need to focus on supply chain resilience in the post-coronavirus world, starting with improving supply chain visibility and identifying new risks and costs,” he said in the webinar entitled, “Digital Transformation, Business Resilience and Thriving in the New Normal: A Guide for Cebu Businesses” in partnership with the Cebu Chamber of Commerce and Industry.
He said the widespread social and economic impact felt by big and small businesses alike is expected to persist for the next 12 months or even longer.
Amid the pandemic today, even as businesses deal with near-term challenges, Buono said enterprises need to also take the long view to prepare for the post-coronavirus world.
Supply chains will still factor in traditional metrics such as cost, quality and timeliness.
“But the lessons we learn today tell us that responsiveness and re-configurability deserve more attention. This means conducting supply chain risk assessments, identifying where disruptions may likely occur, anticipating how governments would react and prioritizing critical focus areas,” he said.
A diversified supplier network must also be established, with businesses identifying alternative suppliers to be activated at the drop of a hat should disruptions occur, Buono added.
He also emphasized the importance of automated and digital processes as they should also be put in place, enabling greater visibility, collaboration and optimization.
“Preparing for the next big event with such extreme consequences requires businesses to take the contrarian view and see beyond business-as-usual scenarios. The true visionaries will be the ones prepared to adjust to disruptive events with speed and agility, collaborating with trusted partners that will provide them with the network, capacity and solutions in times of uncertainty and volatility,” he said.
Businesses that try their best to be as flexible and resilient as current circumstances allow will for sure reap the rewards of their actions in the post-coronavirus world, Buono said.