Supply Chain Robustness and 'Virtual Dualization'



The presentation argues that, even after the unprecedented earthquake in Eastern Japan on 2011.3.11, the basic principle of designing industrial supply chains should achieve its competitiveness and robustness simultaneously, as opposed to psychological overreaction that emphasize the latter alone. After critically evaluating proposed changes on the damaged supply chains such as adding inventories, adopting standardized parts, duplicating equipment and tools, and evacuating facilities, the paper argues that, in the era of intensifying global competition, those proposals are appropriate only when it sustains supply chain competitiveness. As an alternative measure to make the chain more robust without significantly adding product cost, the paper proposes making the supply chain “virtual-dual” by enhancing portability of design information.
Contact information:
Dr. M. Stevens