Navigating Supply Chain Resilience and Key Recovery Scenarios PPT

This PPT slide, part of the 25-slide COVID-19: Supply Chain Recovery PowerPoint presentation, outlines 3 critical scenarios that companies must prepare for in the context of supply chain recovery amid ongoing disruptions. Each scenario presents a distinct situation and its corresponding impact on supply chains, emphasizing the need for strategic planning.

The first scenario, labeled as the "Worst Case – Multi-year Recovery," suggests a prolonged crisis where no vaccine or cure is available. This situation would lead to sustained social distancing measures, severely affecting demand and productivity in manufacturing and transportation sectors. The impact on supply chains includes a growing number of bankruptcies among essential transportation companies and suppliers, indicating a potential collapse in logistics capabilities.

The second scenario, termed "Best Case – Q2 Recovery," envisions a more optimistic outcome where the pandemic is controlled through effective testing and social distancing. Here, life returns to normal by the end of Q2. However, even in this scenario, there are significant pressures on logistics capacity, with potential bottlenecks in transportation and warehousing that could drive costs up.

The third scenario, the "Most Likely Case – Post-Q2 Recovery," reflects a more nuanced reality where pandemic peaks vary by region, leading to inconsistent recovery timelines. This scenario warns of possible second outbreaks, which could disrupt supply chains further. The impact includes variability in factory operations, with suppliers potentially alternating between periods of operation and closure.

Overall, the slide emphasizes the necessity for companies to adapt their resource allocation strategies in response to these scenarios, particularly by reallocating capacity from heavily affected areas to those less impacted. This proactive approach is crucial for maintaining operational resilience.

This slide is part of the COVID-19: Supply Chain Recovery PowerPoint presentation.

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COVID-19 Supply Chain Analysis Strategic Planning Supply Chain Disruption Manufacturing Logistics Transportation Warehousing

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