Kearney and Aera team on risk and agility solution
Under the new collaboration, Kearney will integrate its Sense and Pivot supply chain management system into Aera’s Cognitive Operating System. The combined capabilities will give organisations greater visibility of demand volatility and the ability to react more rapidly to unpredictable operating environments.
Kearney says it “enables a near real-time view of the market, improved cross-functional collaboration, and the ability to offer intelligent trade-off decisions between cost, service, and working capital”.
Building resilience and agility
The partnership will help CSCO’s and other supply chain professionals overcome the two biggest hurdles facing the sector in the coming years: resilience and agility. Recent findings by the consultancy identified that businesses aiming to strengthen their supply chains for a post-pandemic landscape will prioritise the ability to rapidly adapt to emerging situations - a hard-learned lesson for many during the pandemic - and better mitigate risk. Risk management will be a more pressing concern for organisations operating in healthcare, and other complex value chains in industry, manufacturing and automotive.
"Our partnership with Aera Technology will mean that companies can achieve this goal by anticipating disruptions more effectively and implementing contingency plans with ease,” adds Suketu Gandhi, partner in the Digital Transformation practice at Kearney. In doing so, businesses will be better equipped to balance cost and resiliency while maintaining high levels of service.
Turning data into decisions
Aera’s Cognitive Operating System autonomously orchestrates operations that necessity immediate action. It takes vast data sets, monitors and assesses in real-time, and implements optimal decisions instantly and automatically. Implementing cognitive and intelligent automation systems has become key in gaining an edge and reacting to flux.
"We've worked with the world's largest organizations to demonstrate the value of cognitive automation at scale," says Frederic Laluyaux, CEO, Aera Technology. "By integrating Kearney's supply chain capabilities with Aera's proven Cognitive Operating System, we are excited to extend this to an even wider range of companies with our strategic partnership with Kearney. Kearney's incredible leadership, breadth, and depth of expertise and experience will accelerate time to value of cognitive automation in the supply chain and beyond.”
Biden establishes Supply Chain Disruptions Task Force
The US government is to establish a new body with the express purpose of addressing imbalances and other supply chain concerns highlighted in a review of the sector, ordered by President Joe Biden shortly after his inauguration.
The Supply Chain Disruptions Task Force will “focus on areas where a mismatch between supply and demand has been evident,” the White House said. The division will be headed up by the Secretaries of Commerce, Transportation, and Agriculture, and will focus on housing construction, transportation, agriculture and food, and semiconductors - a drastic shortage of which has hit some of the US economy’s biggest industries in consumer technology and vehicle manufacturing.
“The Task Force will bring the full capacity of the federal government to address near-term supply/demand mismatches. It will convene stakeholders to diagnose problems and surface solutions - large and small, public or private - that could help alleviate bottlenecks and supply constraints,” the White House said.
In late February, President Biden ordered a 100 day review of the supply chain across the key areas of medicine, raw materials and agriculture, the findings of which were released this week. While the COVID-19 health crisis had a deleterious effect on the nation’s supply chain, the published assessment of findings says the root cause runs much deeper. The review concludes that “decades of underinvestment”, alongside public policy choices that favour quarterly results and short-term solutions, have left the system “fragile”.
In response, the administration aims to address four key issues head on, strengthening its position in health and medicine, sustainable and alternative energy, critical mineral mining and processing, and computer chips.
Support domestic production of critical medicines
- A syndicate of public and private entities will jointly work towards manufacturing and onshoring of essential medical suppliers, beginning with a list of 50-100 “critical drugs” defined by the Food and Drug Administration.
- The consortium will be led by the Department of Health and Human Services, which will commit an initial $60m towards the development of a “novel platform technologies to increase domestic manufacturing capacity for API”.
- The aim is to increase domestic production and reduce the reliance upon global supply chains, particularly with regards to medications in short supply.
Secure an end-to-end domestic supply chain for advanced batteries
- The Department of Energy will publish a ‘National Blueprint for Lithium Batteries’, beginning a 10 year plan to "develop a domestic lithium battery supply chain that combats the climate crisis by creating good-paying clean energy jobs across America”.
- The effort will leverage billions in funding “to finance key strategic areas of development and fill deficits in the domestic supply chain capacity”.
Invest in sustainable domestic and international production and processing of critical minerals
- An interdepartmental group will be established by the Department of Interior to identify sites where critical minerals can be produced and processed within US borders. It will collaborate with businesses, states, tribal nations and stockholders to “expand sustainable, responsible critical minerals production and processing in the United States”.
- The group will also identify where regulations may need to be updated to ensure new mining and processing “meets strong standards”.
Partner with industry, allies, and partners to address semiconductor shortages
- The Department of Commerce will increase its partnership with industry to support further investment in R&D and production of semiconductor chips. The White House says its aim will be to “facilitate information flow between semiconductor producers and suppliers and end-users”, improving transparency and data sharing.
- Enhanced relationships with foreign allies, including Japan and South Korea will also be strengthened with the express proposed of increasing chip output, promoting further investment in the sector and “to promote fair semiconductor chip allocations”.