Larry Savage Jr – How the Pandemic Drives Necessary Development in Logistics Management.
In a short period of time, the Corona virus blossomed far away from China to a global pandemic that has paralyzed different parts of the world with drastic changes in different countries.
The impact on all kinds of businesses has been severe. In some businesses the demand has increased while in some it has been declined to nil.
Larry Savage Jr thinks that in the beginning of the crisis supply chains started finding alternatives to their distribution channels. It has now become more about managing the effects and blocking the punches.
Effective management of a supply chain
With restrictions on traveling consumers are consuming more and this has led to an increase in the pressure on supply chains. Supply chains are too interdependent and as result vulnerable. Larry Savage still believes that it will be good for the logistics industry and risk management will become as focal point.
A risk management function is required
For risk management and redundant supply chains, the logistics management must be involved for product development. To contribute to this, engineering capabilities are required. Larry Savage Jr says that businesses must have a deeper understanding of the customer’s needs and find competitive advantages for value creation. Logistics management has become more complex with the surge of online retailers. Therefore, it has become important to incorporate risk management in then scope of your business.
Covid-19 will affect the regional supply chains
Larry Savage is a successful businessman who thinks that we will see an increased degree of regional logistics management. If you want to repeat something, eventually you get to the point of realization. The increase in automated production, and shorter product life cycles have increased the need for logistics management. Covid-19 will also drive the development of need for logistics manager.
Technological Revolution
After all, it is unquestionable that we have never had better tools and methods for working with resilience and risk management in the logistics management. Positioning technology, predictive analysis, supply chain virtualization, robotization, chip technology, wireless connectivity, virtual reality, machine learning and AI creates conditions we hardly thought possible a few years ago. The technical aids have never been better before.
Larry Savage Jr has great faith in what systems and technology can help us with, but it is not the systems or processes themselves that create in all actuality. In my world, no systems, processes or methods can replace the people in the organization as their ability to work together towards common goals is always crucial to success.
