Managing Supply Chain Challenges in Times of Pandemic

Supply

• Simplify assortments (on the same SKU pallets) to enable quicker shipment time
• Opt for an inventory strategy that can provide buffer instead of just-in-time models
• Hold daily progress meetings between category managers and strategic suppliers
• Move from single-country, single-supplier sourcing to multi-country, multi-supplier sourcing

• Supply chain control tower solutions
• Supply chain planning solutions
• Algorithmic retailing (a smart algorithm-driven network model that can dynamically switch among suppliers based on fulfilment capacity)

Distribution

• Consider warehouse automation work in staggered round-the-clock schedules
• Hire temporary staff to scale operations up and down

• Intelligent assistive technologies (IATs) for new employee onboarding and training
• Digital twins for distribution centers to gauge multiple outcome scenarios
• Warehouse automation technology such as picking and sorting robots

Logistics

• Ask suppliers to deliver goods directly to stores
• Increase non-discretionary goods transport capacity by using the excess freight capacity of logistic providers
• Explore alternate delivery options, switching, for example, to a sea + rail route, if air freight is interrupted

• Vehicle tracking software
• Proof of delivery (POD) systems

Merchandising operations

• Retrain store employees to support e-commerce operations
• Allocate store marketing and promotional budget spend to digital marketing technologies
• Create purchasing plans based on current demand rather than seasonal or historic trends
• Scrutinize product mix and assign priority levels (for planning, purchasing and inventory management)

• Dynamic order management systems (that place orders based on availability at distribution centers)
• Inventory allocation and replenishment systems that use AI/ML algorithms to cater to regions with the highest product deficits
• Algorithmic retailing to achieve automated hyper localization of assortments and dynamic pricing

Fulfilment

• Establish partnerships with on-demand delivery companies (like Quiqup)
• Repurpose certain stores into micro-fulfilment hubs
• Ensure that store employees can also work as delivery agents
• Limit the quantity/number of high-demand articles

• Robot-based deliveries (use of cameras, sensors and GPS)
• Dynamic order management systems (select the fastest last-mile fulfilment option)
• Route optimization algorithms