Indian automotive and component manufacturers are facing ongoing disruptions from the Covid-19 pandemic. However, the 7th edition of the Auto SCM Summit highlighted the availability of technology and digital solutions to address these issues. Cummins India's Chief Supply Chain Officer discussed the challenges of meeting changing emission norms while investing in future energy. Other industry leaders emphasized the importance of visibility in supply chains and the need for agility and resilience. They also highlighted the role of digital solutions in managing inventories and improving production planning. Effective communication and sales projections were also identified as key challenges for the industry.
Frequently Asked Questions
Q1: What are the identified disruptions in supply chain management post-COVID-19?
A1: Supply chain management post-COVID-19 has faced disruptions such as vehicle unavailability and delays in delivery. Industries like pharmaceuticals have also experienced barriers due to the pandemic. (Source)
Q2: What actions has the Biden administration taken to address supply chain disruptions internationally?
A2: The Biden administration has established the Supply Chain Disruptions Task Force to address short-term supply chain discontinuities and is collaborating with allies and partners, including the European Union, to strengthen supply chains and secure key sectors. (Source)
Q3: How does climate change affect supply chain stability in countries like India?
A3: Climate change impacts food security and supply chains through factors such as long and fragmented supply chains. Crop model improvements are necessary for better simulation of evapotranspiration to guide crop production and supply chain resiliency. (Source)
Q4: How does the U.S. government support businesses in addressing supply chain challenges?
A4: The U.S. government offers initiatives like CTPAT (Customs-Trade Partnership Against Terrorism) where businesses can create security profiles and action plans to enhance security throughout their supply chains. CTPAT members are considered low risk, which can smooth out supply chain issues. (Source)
Q5: What are the vulnerabilities in the semiconductor supply chain, and how does it affect the automotive industry?
A5: The semiconductor supply chain is vulnerable due to geographic concentration in East Asia, which makes it susceptible to disruptions. Given the vital role semiconductors play in modern vehicles, a disruption can significantly impact automotive manufacturing. The U.S. is looking into ways to develop a more secure semiconductor supply chain. (Source)
Q6: How is the transition to electric vehicles (EVs) disrupting the automotive workforce and supply chain?
A6: The transition to EVs brings major disruptions to the automotive workforce and supply chain, particularly in terms of the overall size of the workforce and its geographic distribution. A focus on securing the EV battery supply chain is fundamental to this transition. (Source)
Q7: What role do international frameworks play in securing the semiconductor supply chain for the automotive industry?
A7: International frameworks, such as the Indo-Pacific Economic Framework for Prosperity, include cooperation between countries like the United States, Australia, India, and Japan (Quad countries) to secure semiconductor supply chains, which are crucial for modern automotive manufacturing. (Source)
Please note that due to the dynamic nature of the international supply chain and the involvement of multiple stakeholders, the situation may evolve, and updated information should be sought from relevant authorities and industry sources for the latest developments.