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Why Become Digital Today, When Digital Value Chains Are Heavily Disrupted?


Author: Lorenzo Veronesi

From Bad to Worse: When a Pandemic Turns Into a Global Supply Chain Crisis

During an August earnings call, the CEO of a global technology company raised the alarm about the global semiconductor shortage: "This is the worst I've seen it," the CEO said. "Everything from copper shortages to wafer starts to assembly to manpower, people, logistics, freight. Just about every aspect of it is challenged, too."

It's true that 2020 has left an indelible mark on business rules, creating a "next normal" of rapidly mutating demand, subverted work rules and supply uncertainty. While we're seeing some signs of recovery, the aftermath of the crisis is proving to be even more difficult for many companies. There is no end in sight to disruptions to "physical" processes — such as factory and supply chains — which are critical for revenue generation. The lack of key components such as chips is particularly difficult for even the most tightly organised companies. Despite all the efforts, the pandemic has impacted companies' physical operations and even with the vaccines, the uncertainty will continue into 2022 and perhaps beyond.

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