Shock-proofing supply chain with AI: a $62 billion opportunity
The Covid-19 pandemic showed how fragile global supply chains could be. To understand how fragile supply chains still are, look no further than the furniture industry, which had record early-pandemic sales but saw a string of bankruptcies recently due to container shortages, scarce raw materials, and long lag times receiving critical components. The most headline-grabbing supply chain crises may be behind us, but a certain degree of fragmentation and chaos in the flow of goods is now the norm. In total, supply chain disruptions have left an estimated $1.6T on the table for the past several years. Looking at a decade’s worth of supply chain disruptions, an average company can expect to lose nearly half of one year’s profit.