COVID 19 has prompted unprecedented havoc on the planet and disrupted lives, livelihood, enterprise, enterprise, and economic system. Provide chain disruption and insufficient response from the trade have been the causes of concern throughout the globe. Nationwide Institute of Industrial Engineering (NITIE) is the institute of prime significance of Provide Chain. On this background, eminent analysis icon and visionary management of NITIE’s Director Dr. Manoj Kumar Tiwari made it doable to prepare a webinar on “Provide Chain Resilience and Want for Stress-Assessments” by Professor David Simchi-Levi, a globally acclaimed scientist on Provide Chain Administration and Logistics. Chairman BOG Dr. Sanjay Dhande along-with different BOG members had attended the webinar. MHRD Joint-Secretary Shri Madhuranjan additionally interacted with Prof. Simchi-Levi. This was additionally attended by academicians and trade professionals from a number of corporates throughout the globe. Professor Simchi-Levi, Professor of Engineering Programs at MIT and Head of the MIT Knowledge Science Lab, can be Fellow of INFORMS and Editor-in-Chief of Administration Science and Journal of Operations Analysis. Professor Simchi-Levi mentioned the necessity for the stress-test within the provide chain to measure its resiliency in his hour-long speech. He additionally defined the chance publicity mannequin and methods for balancing effectivity and resiliency in provide chains. On the backdrop of the pandemic, Professor Simchi-Levi had precisely predicted the forthcoming disruption in international provide chains as early as February 2020, utilizing his newly developed danger publicity mannequin. Previously decade, provide chain dangers have elevated considerably as a result of methods like consolidation, outsourcing, offshoring, and lean implementation, and these methods want rethinking as a result of pandemic disruption.
Professor Simchi-Levi offered 4 ideas to measure resiliency within the provide chain – (i) time to get better (TTR), (ii) efficiency impression, (iii) danger publicity, and (iv) time to outlive (TTS). Based mostly on modeling and evaluation of provide chains of North American firms, Professor Simchi-Levi shared a number of insights akin to – (i)the dangerous firms will not be the strategic suppliers in many of the instances, (ii) dangerous suppliers will not be essentially in Asia, (iii) managers want to know the connection between TTR and TTS for his or her suppliers, (iv) the significance of specializing in hidden danger to extend resiliency.
Balancing effectivity and resiliency requires managing trade-offs. Professor Simchi-Levi defined how the trade-off curve could possibly be shifted favorably by restructuring the provision chain and altering provide contracts to incorporate the stress-test. He additionally famous the relevance of the Prime Minister’s slogan “vocal about native” and harassed that an outright reshoring to the US couldn’t be an answer to all provide chain points.
Lastly, Professor Simchi-Levi expressed the necessity for the Authorities to prioritize important provide chains like meals, healthcare, life sciences and urged trade and policymakers to work carefully with academia to use stress-tests to enhance resiliency.
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