What are the Main Drivers of Supply Chain Complexity?
Several factors contribute to supply chain complexity:
1. Globalization: The expansion of markets and sourcing from international suppliers adds layers of complexity in terms of logistics, customs regulations, and cultural differences. 2. Technology: Advanced technologies such as IoT, AI, and blockchain introduce both opportunities and complexities in managing data and integrating systems. 3. Product Variety: Increasing product customization and a broader range of offerings increase the complexity of managing inventory and production schedules. 4. Regulatory Requirements: Compliance with diverse and evolving regulations across different regions adds another layer of complexity. 5. Customer Expectations: Rising customer expectations for faster deliveries and higher quality products require more agile and responsive supply chains.