The Surprising Developments of Digital Supply Chains to Raise Resilience in the Face of Disruptions

Publication | May 2023
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Asia and the Pacific should promote the use of systems integration, AI, and simulation among companies in the region to increase the resilience of their supply chains.

We describe the need for resilience in supply chains given the recent stream of disruptions that the world has experienced. Based on recent events, we identify different types of disruptions that have challenged the resilience of supply chains. Subsequently, we describe the different digital tools used in supply chains and their success or failure in increasing the resilience of supply chains. We conclude that some digital solutions help to increase resilience, while others have almost no effect, namely systems integration, artificial intelligence (AI), and simulation. We propose a classification of how to relate the type of disruption to the effective digital tool. We finish by proposing a framework for future research to validate digital solutions that increase reliability. We also conclude that some tools, including 3D printing and blockchain, might have a role in the future in increasing the resilience of supply chains, but that today there is no evidence of a positive effect.

WORKING PAPER 1383

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Subjects
  • Economics
  • Governance and public sector management
  • Industry and trade
  • Information and Communications Technology
  • Private sector development
  • Regional cooperation and integration