After the heavy blow from the Covid-19 pandemic, the supply chain industry is facing another test. The on-going Russia-Ukraine war is not just politically destabilizing countries but whacking the supply chain management as well. The reason is that Russia’s position as both a strategic political stronghold and a giant in the supply chain as well. With sanctions and conflicts causing disruption in the smooth running of the supply chain, the west is facing dire consequences at the moment.
According to the World Trade Organization, Russia is ranked as the 16th-largest exporter. Moreover, Russia own strength in petroleum, coal and gas trade across globe. Therefore, the market shock faced by the supply chain industry is immense.
As the chaos in trade mounts up, freight forwarders and suppliers needed to hunt for new resources proactively to ensure the kinks are strong to hold the consumer demand. But that is not as easy as it sounds. The industry was pulled to bottom by a pandemic and now slowly reeling from its impact, turning to new resources, traders, and investors is a dangerous risk to take.
What the war changed in the industry?
The war is accountable for many unprecedented changes, such as:
- Cost of manufacturing goods
- Disruption in supply
- Trade routes
- Surge of consumer demand due to short supply
Should CFOs worry?
The war has been both political and economic, so what does it means to the CFOs who has to carry the burden of the company finances?
The financial teams all over the globe is facing the risk of losing their core assets. Since the supply trade is derailed, the functioning of the financial departments are seeing a decrease. As a result, the companies are now shackled with the challenges of managing the financial flow of the company.
The important question is what CFOs can could do to soften the blow.
The CFOs can;
Set Up a new cross-functional Team: These functional teams can develop and implement strong mitigation and reduction strategies for various situations.
Keep up and manage supplier relationships: In an occasion where large-scale disruptions take place, suppliers will be overwhelmed with a storm of requests. So the companies must ensure that their wishes remain relevant and fixated to allow suppliers to function efficiently.
Assess Impact of the Crisis: Businesses and industries will be affected by the on-going crisis. Therefore the companies and organizations need to analyze the range of factors ranging from demography to geography, the cash flow, cyber threats etc. to gauge the extent the Ukraine crisis will impact them.
Realigning portfolio: Businesses should think about their product portfolio, gain a realistic understanding of what can and cannot be manufactured in the (near) future, and consider manufacturing reinvention as a potential solution.
How can data automation help CFOs to reduce the crisis?
One of the most productive solution that CFOs can take is data automation. The traditional manual data entry process can be time-consuming and expensive, given the fact that laborers are need to be hired to do the job.
Why should CFOs think about data entry automation?
Aside from being swift and productive. The data entry automation solutions are meant to be;
- 99.9% accurate
- Quickly integrated
- Uploaded to cloud
- Easily extracted
So imagine, automation has solutions for your burning supply chain questions and the crisis. Automation solutions are developed using AI and RPA technology which are easy to use and integrated to the ERM system.
How can Deep Cognition help?
PaperEntry is developed by Deep Cognition to automate your data entry process. PaperEntry gives you swift access to your data straight from your TMS or ERP system. It is 99% accurate and cuts costs up to 90%. With just four process; Table extraction, custom labeling, validating, and integration, PaperEntry can be your next tech solution.