Case study
Routing to resilient and sustainable supply chain
The power of proactive risk management
3-Minute read
Case study
The power of proactive risk management
3-Minute read
Microchips—the “brains” behind smart technology—are essential to manufacturing countless products, including cars. But when demand for new vehicles first plummeted, and then rebounded, during the pandemic, microchip supply chains struggled to keep up. Like many others in the industry, one global technology company saw that its lack of supply chain resiliency was putting both its profit margin and market valuation at risk. Company leaders were determined to find a solution and brought in ww5 to help.
The joint team first performed a maturity assessment and saw an opportunity for more advanced, proactive risk management. The team developed a “heat map” to identify high risk suppliers and components and recommend mitigating actions. To perform the analysis and understand revenue impacts, the team created a “supply chain digital twin,” a virtual replica of the company’s global supply chain. Finally, ww5 performed a stress test, which subjects the digital twin to pre-defined, disruptive scenarios and provides an overall resiliency score. ww5 then transferred the knowledge to the company’s internal Supply Chain Resilience team so it could take the wheel.
In just six months, ww5 and the company created a foundation for a more resilient, relevant and sustainable supply chain. The company’s ability to mitigate ongoing disruptions has contributed to reducing its revenue at risk by several hundred million dollars. These advanced capabilities also position the company for increased commercial success—proving to its customers that it is well prepared to navigate future upheavals. With ww5’s help, the company now has the technology, talent and capabilities to continue building an advanced supply chain that’s ready for anything.