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COVID-19 IMPACTS ON PLANNING OF LOGISTICS AND SUPPLY CHAINS

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Introduction

As an integral part of value chains, logistics firms enhance trade and commerce to

distribute the business's products to customers within and across international borders. This

paper, therefore, discusses the Coivd 19 issues, challenges, and implications on logistics plans

and supply chain activities. The publication also provides strategies and insights on risks

mitigation and supply chains disruption impacts, and effective supply chain. Good logistics

planning promotes economic recovery by ensuring higher efficiency rates and overall

performance, ensuring its resilience. Mitigation of the COVID 19 business impacts thus requires

the deployment of innovative measures by logistics and supply chain players for effective

strategic partnerships across the value chain. When the first rumors about Covid 19 surfaced

about 18 months ago, no one anticipated the extent of its spread nor its resulting devastation to

the world economy. The Covid-19 Pandemic for the past 18 months has continued to upend

social and human interactions by resulting in a complex impact on global manufacturing

networks.

COVID-19 Impacts on Planning of Logistics and Supply Chain Operations

Therefore, the ongoing supply and demand disruption resulting from localized waves of

Covid-19 outbreaks poses unprecedented challenges that require immediate response to adapt

business operations to keep the logistics plans supply chains of various organizations running.

Thus, driving better business decisions and challenges navigations prompts leading supply chain

risk solutions to provide its customers with actionable insights of containing the COVID-19

Pandemic in logistics planning and supply chains. For the past 18 months, multinational and

smaller-sized firm's revenues have declined. The figure below shows that most companies
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believe they have reduced revenues due to COVID 19 impacts and crises compared to the

previous year.

The covid 19 has upended the global supply chains, resulting in factories shutdowns,

transportation delays, and labor and components parts access disruption worldwide. Most

consumer goods, retail and electronic companies have faced certain items demand spikes since

most people work from home (Modgil et al.,2021). On the other hand, the collapse in air travel

for the past 18 months halted the aerospace and automotive supply chains and global car

factories' shutdown. Most companies have started planning for the long-term recovery from the

challenges that occurred due to COVID 19 impacts. The pandemic impacts have also made the
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supply chain resilience and risk management as organizations seek to strengthen their operations.

The readiness to adapt to change currently prompts the companies that haven’t done so to

prioritize their supply chain analysis to understand the need for changes for future disruption

mitigation(Tasnim,2020). Supply chains, therefore, would be critical in good and services supply

as the economies restart after the COVID 19 hence the need for the businesses to strategize in

making rapid decisions for immediate actions that can sustain the businesses

operations(Ivanov,2021). Such strategies b the organizations will repurpose and reshape the

supply chains characterized with resilience and responsibility for the future to enhance short-time

crisis management that would enable the business to build and rebound around their customers

and economies, respectively.

The impacts of COVID 19 for the past 18 months, which influenced logistics and supply

chains, revolve around trade wars, global politics, and national policies. There exists an

expectation s accelerating the pace of response to the US-China tension that the supply chain had

begun. Most companies moved to other countries hence making China lose export market share

as stated in trade analytics. Such impacts significantly affect the world's business environment

since no simple substitute exists for Chinese logistics and supply chains that account for almost

the global consumer goods.COVID-19 impacts on logistics and supply chains have also triggered

essential technological investment and considerations on sustainability in the supply chain.

Reviews in supply chains have shown the importance of technology development since the

COVID19 Pandemic exposed the necessity of effective communication and management within

remote business environments. Technological development would be more significant since

supply operations with advanced digital infrastructure would fare better, unlike the analog ones

during the COVID1 19 pandemic. Opportunities for further supply chain innovation like
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advanced artificial intelligence and blockchain also result from the COVID 19 impacts (Singh et

al.,2021). Since supply chains positively affect the world due to supply chains mechanism, the

change in supply chains deserves consideration of elements and practices integration around

human rights. Such factors include ethical business practices, inclusive economic growth, labor

rights, and business environmental protection.

Challenges Facing logistics and supply chains planners

Crucial challenges are facing the supply chains planners in demand and supply as

companies scramble to reestablish their lines that need considerations. The limited granularity of

data represents the first challenge that faces planners in Even the countries that have the

Pandemic under control still experience challenges that have disrupted their economies. The

ongoing uncertainty of supply chains challenges due to COVID19 has continued to exert a

stranglehold in supply and demand that have hit hard the supply chains that depend on

international trade. The Pandemic showed bare systematic supply chain weaknesses for most

company's supply chains. The shutting down of the Chinese market brought about the discovery

that tier one was not enough for those who understood their supply chain. As the virus spread to

other parts of the world, few businesses never considered the extent to which the supply chain

would affect the supply chains. The challenge, therefore, has prompted detailed mapping of

supply chains for vulnerabilities and weaknesses identification since the information would

enhance faster and decisive actions in case of lower-level supplies threat. As a result,

understanding supply chain complexity requires the planners more resources than focusing so

much on supply chain visibility. The processes grant a challenging task to the planners,

particularly for large organizations, showing what results from the failures of not appreciating
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supply chain weaknesses. Therefore the planners need to consider the impacts of COVID 19 that

would challenge the supply chains. Single source Amplifies Chain Risk also represents another

challenge facing the planners in dealing with high levels of uncertainty in supply and demand.

Most companies perceived and focused on single sourcing due to the notion of a low-cost

scenario. However, the scenario is vulnerable due to shortages and production interruptions that

face the suppliers (Naik and Suresh,2018). Therefore when disruption occurs in a complex

business world that meets sort

Logistics planning represents a complex task that becomes more laborious with time. The

business environment, on the other hand, irrespective of the activity in the field, depends on the

sale and purchase of goods snd services and transportation to specific areas, and that's where

logistics planners come in. As a result of the COVID 19 pandemic, various challenges currently

affect the planners in handling customers growing demands and supplies. Transport costs

represent one of the challenges planners face daily as a significant item in logistics. Therefore,

the planners require a clear view of future orders for better transport costs optimization.

However, it still becomes tricky since the Pandemic has enhanced online shopping globally at

any time when required.

A large amount of information processing also challenges the planners. Logistics

planners find it challenging to generate timely and accurate documentation due to a cumbersome

process involving numerous figures and data accompanied by legal deadlines. As a result, the

process requires administrative work with great concentration for effectively coordinating and

tracking. Regulations compliances represent another challenge to the planners since some clients

do not know how the laws and the regulations knowledge is a prerequisite to the planners. The
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COVID 19 pandemics have resulted in many regulations that vary from country to country,

making various complications in goods movement to their destinations unlike before (Ghadge et

al.,2020). Slight mistakes resulting from a lack of knowledge about the rules and regulations of

business typically cost the industry; hence the planners need awareness because, as a serious

responsibility, almost all logistic companies face the challenge.

Other challenges facing the planners include the right software and transport planning

integration into the supply chain operations. Finding the right software arises due to the ability of

plans generations on orders that do not exist due to the wrong choice of software. Even the

planners' skills still require Information Technology knowledge for effective operations of their

forecasts in supply and demand. The chosen software needs to grant the planners both existing

orders, and easy connection within the supply chain demands. The right technology source paves

the way to overcome all the other challenges; however, the COVID 19 pandemic acquisition of

such software sounds like a tall order (Monostori,2018). On the other hand, transport planning

represents another challenge facing the planners since no supply chain operations occur in a

vacuum. Therefore, creating a successful supply and demand process requires planners to

integrate their plans into larger structures.

Strategies used to deal with high levels of supply and demand uncertainty.

There exist several strategies that mitigate the high level of uncertainty in both supply

and demand. The first strategy involves demand-driven planning adoption and operating a

business model on real-time demands insights for shaping demand. Maturity of demand –

prediction capabilities continue as the supply teams utilize more advanced digital tools. The

emergence of digital technologies like artificial intelligence and the internet of things has
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developed, resulting in quicker actions taken by the supply chain teams. As a result, the strategy

enables automatic adjustment for supply chains based on real-time insights for expected demand

matches. More companies currently move their data and apps to the cloud, thus making the

continuation of the cloud plays a growing role in the supply chain. The cloud computing

technology drives a new level of prediction that plans accuracy the supply chain of more

companies, therefore, see modernization by validating the trend that deals with the vulnerabilities

that have affected the industry for a long time. Other advantages that have resulted from the

companies using cloud technology include improved performance delivery that increases

revenue (Sharma et al.,2020). The adoption of the technology also cut logistics hence slashing

inventories that eventually lowers the working capital requirement s

Building an adaptive and agile supply chain with rapid planning and integration

production is the second strategy since agility takes the forefront of supply chain management.

The alignment of planning with manufacturing has enabled companies to drive more incredible

operational speed and flexibility. The volume of data required for proper planning integration

with real-time execution represents the only challenge that would arise; however, the barrier

currently falls due to the cloud-based platform's introduction that links procurement and

manufacturing to financial and materials planning tasks. Zero-latency creations result from

companies for the first time hence aiding faster plans and production for seamless adaption to the

market dynamics. Product design optimization strategy would also help deal with the challenges

planners face in both supply and demand. Staying competitive has encouraged most companies

to end separate product development and supply chain since they no fast and efficient production

that existed before. Mobile phone marketing represents one of the best examples where

competitiveness drives manufacturers for new models development and launches every year
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(Mohammed et al.,2017). The strategies depend basically on the teams merging design with

planners of supply management on a cloud-based platform.

Therefore, sourcing the right components upfront results as product developers allow

collaboration of the system based on the availability of parts, quality, and cost. The integration

design and supply chain planning process, when done right, leads to faster market time with a

more significant product revenue that enhances scrap and network expenses reduction. Supply

chain and business goals alignment would also help planners deal with the challenges in supply

and demand. The strategy results from sales integration and operational planning with corporate

business planning to deal with the most significant risks that have risen in companies in the last
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18 months of the COVID 19 pandemic, resulting in market uncertainty. Such challenges prompt

companies to integrate tactical and operational planning programs with the strategic budget and

forecasting efforts (Sreedevi and Saranga,2017). Business agility, therefore, improves as a result

of business planning and supply chains operations integration for both supply and demand due to

the creation of closed-loop planning that executes performance management.

The fifth strategy involves sustainability embedment into supply chain operations.

Sustainability jas a top priority in supply chain management and joins growth and profitability in

all social and environmental forms. There no longer exists mutual exclusiveness for

sustainability and the bottom line. In addition to shareholders' profit generation, most companies'

supply chains management has declared sustainability a critical priority for their supply chain

management. Therefore, the new focus arises on supply chain practices by spotlighting

sustainability that eventually impacts a sizeable environment in health, specifically in polluted

areas. Thus, the strategy effectiveness depends on long-term targets developed by supply chain

teams to improve key sustainability measures like recycling efforts and the use of energy by the

company. Other factors that would promote sustainability effectiveness include new technologies

deployed by the planners to enhance possible environmental practices. The environmental

methods that require control include truck routes optimization for fuel consumption and carbon

emissions reduction across the supply chain (Wang et al.,2017). The company's shared data

model would also provide end-to-end visibility and real-time insights required for supply chain

optimization to ensure its sustainability.

Other strategies as represented in the diagram below include putting people first for

health workforce planning, data leverage for visibility improvement, demand prioritization by
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defining segmentation. Sales and operations SWAT team building and supply chain scenarios

evaluation.

Finally, emerging technologies adoption also helps deal with uncertainties, ensuring reliable and

predictable supply and demand. A buffer considerably allows businesses to deal with unexpected

demand and supply; however, too much inventory results in more expensive costs. New

technology adoption will reduce inventory requirements and reaction time speed due to demand

accuracy improvement, creating a more reliable supply chain network. The strategy also ensures

the proper decision-making in materials sourcing due to today's global trade volatility and

ongoing tariff wars to ensure compliance by delivering goods at a minimized cost. In today's

world, advanced technologies like artificial intelligence, machine learning, and the internet of

everything not only represent buzzwords but also presents market-proven technologies that

streamline supply chains to drive a company's business agilities globally (Peng et al., 2020). As a

result, the customers harness their potential from the box due to the capabilities built directly into

the cloud solutions aided by technology adoption. An added advantage offered by the technology

adoption includes getting started with changing technologies without complex projects

investment with hard-to-find skill sets.

Conclusion

The global economy currently feels the COVID-19 impacts that have significantly

affected the industrial supply chain and logistics by associated challenges. The failure to source

raw materials from international suppliers represents one of the significant challenges currently

distributing manufactured goods across the value chain. The lockdown due to COVID 19 also

impacted the global wholesale, retail, and distribution operations; consequently, severe impacts

have affected the supply chain sectors, leading to increased inflation and reduced volumes of

goods distributed across the global value chain. Therefore, reacting to the COVID 19 supply

chain industry effects has prompted the logistics planners to adopt efficient strategies for curbing

the challenges and enhancing production and delivery sustainability to final consumers. The use

of technology and strategic partnerships represents innovative measures to deal with supply

chain challenges. Most of these measures, therefore, deserve to be maintained going forward due

to their effectiveness. Covid 19 has highlighted more robust and more responsive relationships

between suppliers and buyers as a global struggle. The highlights prove that the collaboration

approach represents the best way to find resolution from the external shocks of this scale of the

Pandemic.
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