Supply Chain Resiliency and Its Impact on Organizational Performance

Introduction

Impact Of Supply Chain Resilience On Organisational Performance – Supply chain resiliency is a critical aspect of organizational performance, as disruptions in the supply chain can have a significant impact on a company’s ability to deliver products and services to its customers. In this blog post, we will explore the concept of supply chain resiliency and its impact on organizational performance, and discuss strategies that companies can use to enhance their resiliency.

What is Supply Chain Resiliency?

Supply chain resiliency refers to the ability of a company’s supply chain to quickly and effectively respond to disruptions and recover from them. Disruptions in the supply chain can come from a variety of sources, such as natural disasters, geopolitical conflicts, supplier bankruptcies, and pandemics. These disruptions can have far-reaching consequences, including increased costs, lost revenue, reputational damage, and decreased customer satisfaction.

The Impact of Supply Chain Resiliency on Organizational Performance

Research has shown that companies with resilient supply chains are better able to manage disruptions and maintain business continuity, leading to improved organizational performance. For example, a study by Zhang et al. (2019) found that companies with resilient supply chains had higher levels of customer satisfaction, lower inventory costs, and higher profits than those with less resilient supply chains.

Another study by Choi and Hong (2018) found that companies with resilient supply chains were more likely to survive and recover from disruptions, and were better able to adapt to changing market conditions. Furthermore, companies with resilient supply chains were able to respond more quickly to customer demands, improving their overall competitiveness.

Strategies for Enhancing Supply Chain Resilience

So, how can companies enhance their supply chain resiliency? There are several strategies that companies can employ to improve their resiliency, including:

1. Developing a Risk Management Plan

Companies should develop a comprehensive risk management plan that identifies potential disruptions and outlines strategies for mitigating their impact. Developing a comprehensive risk management plan is essential for enhancing supply chain resiliency. The risk management plan should identify potential risks and disruptions that could impact the supply chain, such as natural disasters, political unrest, supplier bankruptcies, and cyber attacks. Once the risks have been identified, the plan should outline strategies for mitigating their impact and minimizing disruption to the supply chain.

The risk management plan should be developed in collaboration with all stakeholders involved in the supply chain, including suppliers, logistics providers, and customers. This collaborative approach ensures that all parties are aware of the potential risks and are prepared to respond to any disruptions that may occur.

One key aspect of the risk management plan is contingency planning. Contingency planning involves developing backup plans and alternate strategies for managing disruptions. For example, if a key supplier experiences a disruption, the risk management plan should outline strategies for identifying and qualifying alternative suppliers to ensure that the supply chain can continue to function.

2. Building Redundancy into the Supply Chain

Companies can build redundancy into their supply chain by identifying alternative suppliers and transportation modes, and maintaining a buffer of inventory and production capacity.

Developing strong relationships with suppliers is another critical component of enhancing supply chain resiliency. Strong relationships can help companies manage risks, identify potential disruptions, and respond to disruptions quickly and effectively. Companies that have strong supplier relationships are better equipped to manage disruptions, as they can rely on their suppliers for support during challenging times.

To build strong supplier relationships, companies should focus on open communication, collaboration, and trust. Communication is essential for building strong relationships, as it enables companies to share information and expectations with their suppliers. Companies should communicate regularly with their suppliers and involve them in decision-making processes that impact the supply chain.

Collaboration is another key factor in building strong supplier relationships. Companies should work closely with their suppliers to identify potential risks and develop strategies for managing those risks. This collaborative approach ensures that suppliers are invested in the success of the supply chain and are prepared to support the company during disruptions.

Trust is also critical for building strong supplier relationships. Companies should establish trust by being transparent and honest with their suppliers. This includes sharing information about the company’s operations, financial performance, and future plans. When suppliers trust the company, they are more likely to be responsive and supportive during challenging times.

Another strategy for building strong supplier relationships is to diversify the supply base. Companies that rely on a single supplier for critical inputs are more vulnerable to disruptions. By diversifying the supply base, companies can reduce their reliance on any one supplier and minimize the impact of disruptions.

3. Investing in Technology

The adoption of digital technologies, such as blockchain and artificial intelligence, can significantly improve supply chain resiliency by enhancing supply chain visibility, enabling real-time tracking and monitoring, and improving risk management.

Investing in technology and automation is another critical component of enhancing supply chain resiliency. Technology and automation can help companies better manage risks, improve efficiency, and respond to disruptions quickly and effectively. By investing in technology and automation, companies can enhance their ability to monitor and manage their supply chains, as well as improve their response times to disruptions.

One technology that can be particularly useful for enhancing supply chain resiliency is real-time data analytics. Real-time data analytics enables companies to monitor their supply chains in real-time, identify potential disruptions, and respond quickly to those disruptions. Companies can use real-time data analytics to track shipments, monitor inventory levels, and identify potential bottlenecks or delays in the supply chain.

Another technology that can be useful for enhancing supply chain resiliency is predictive analytics. Predictive analytics uses historical data to identify potential risks and disruptions before they occur. Companies can use predictive analytics to forecast demand, identify potential supply chain disruptions, and develop contingency plans to manage those disruptions.

Investing in automation can also help companies improve supply chain resiliency. Automation can help companies improve efficiency, reduce costs, and respond quickly to disruptions. For example, companies can use automation to streamline the production process, reduce lead times, and improve product quality. Additionally, automation can help companies respond quickly to disruptions by enabling them to quickly shift production to alternative facilities or suppliers.

4. Collaborating with Suppliers

Companies can improve their resiliency by collaborating closely with their suppliers, sharing information and resources, and working together to identify and mitigate potential disruptions.

Developing contingency plans is another critical component of enhancing supply chain resiliency. Contingency plans enable companies to prepare for and respond to disruptions quickly and effectively. By developing contingency plans, companies can minimize the impact of disruptions on their supply chains and maintain operations during challenging times.

Contingency planning involves identifying potential risks and disruptions to the supply chain, as well as developing strategies for managing those risks. Companies should consider a range of potential risks, including natural disasters, supplier bankruptcies, geopolitical risks, and economic downturns. By identifying potential risks and disruptions, companies can develop contingency plans that enable them to respond quickly and effectively to those disruptions.

Contingency plans should include both short-term and long-term strategies for managing disruptions. Short-term strategies may include identifying alternative suppliers or sourcing materials from different regions. Long-term strategies may include diversifying the supply base, investing in automation and technology, or establishing redundant facilities in different geographic locations.

Developing contingency plans also involves regular testing and updating of those plans. Companies should regularly test their contingency plans to ensure that they are effective and up-to-date. This may involve conducting simulation exercises or tabletop exercises to identify potential weaknesses in the plan. Companies should also update their contingency plans regularly to reflect changes in the supply chain or the business environment.

5. Establishing a Crisis Management Plan

Companies should develop a crisis management plan that outlines procedures for responding to disruptions, including communication protocols, decision-making processes, and contingency plans.

Building strong relationships with suppliers is another critical component of enhancing supply chain resiliency. Strong supplier relationships can help companies manage risks, improve efficiency, and respond quickly to disruptions. By building strong relationships with suppliers, companies can establish trust, enhance communication, and collaborate on developing solutions to potential disruptions.

Building strong supplier relationships involves more than just signing contracts and placing orders. It involves establishing open lines of communication, sharing information, and working collaboratively to address potential risks and disruptions. Companies should consider establishing regular meetings or calls with suppliers to discuss potential risks and opportunities for collaboration.

In addition, companies should consider working with suppliers to develop joint contingency plans. Joint contingency plans enable companies and suppliers to collaborate on managing disruptions, rather than simply shifting the responsibility to the supplier. By working together to develop contingency plans, companies and suppliers can identify potential risks and develop strategies for managing those risks collaboratively.

Building strong supplier relationships also involves establishing clear expectations and metrics for performance. Companies should work with suppliers to establish clear expectations for delivery times, quality standards, and pricing. Additionally, companies should establish metrics for measuring supplier performance, including on-time delivery rates, defect rates, and responsiveness to inquiries or requests.

6. Leveraging Technology and Innovation

Companies should continuously monitor and evaluate their supply chain performance, using metrics such as lead times, inventory levels, and supplier performance, to identify areas for improvement and ensure that their supply chain remains resilient.

Leveraging technology and innovation is another critical component of enhancing supply chain resiliency. Technology and innovation can help companies improve efficiency, reduce costs, and respond quickly to disruptions. By embracing technology and innovation, companies can gain a competitive advantage and enhance their supply chain resiliency.

There are several ways in which companies can leverage technology and innovation to enhance their supply chain resiliency. One way is by investing in supply chain visibility tools. Supply chain visibility tools enable companies to track inventory levels, monitor supplier performance, and identify potential risks or disruptions in real-time. By leveraging these tools, companies can quickly respond to disruptions and minimize the impact on their supply chains.

Another way in which companies can leverage technology and innovation is by investing in automation. Automation can help companies reduce costs, improve efficiency, and enhance quality. By automating repetitive tasks, such as order processing or inventory management, companies can free up resources to focus on more strategic tasks, such as developing contingency plans or building strong supplier relationships.

In addition, companies can leverage innovation to develop new products or services that enhance supply chain resiliency. For example, companies can develop new materials or packaging solutions that reduce the risk of damage during transportation or storage. By developing innovative solutions, companies can gain a competitive advantage and enhance their supply chain resiliency.

Conclusion

In today’s increasingly complex and interconnected global business environment, supply chain resiliency is critical to organizational performance. Companies that invest in enhancing their supply chain resiliency are better able to manage disruptions and maintain business continuity, leading to improved customer satisfaction, lower costs, and higher profits.

By adopting strategies such as developing a risk management plan, building redundancy into the supply chain, investing in technology, collaborating with suppliers, establishing a crisis management plan, and continuously monitoring and evaluating performance, companies can enhance their supply chain resiliency and improve their overall performance.

References

Choi, T. Y., & Hong, Y. (2018). The impact of supply chain resilience on operational performance: a resource-based view. International Journal of Production Research, 56(1-2), 384-397.

Zhang, M., Cheng, T. E., & Zhu, S. X. (2019).

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Staffing Challenges in Long Term Care Nursing and Solutions

The purpose of this report is to analyze and discuss the staffing challenges that exist in long term care nursing and the implications it has on patient care. The report presents a brief on the problem first and then presents some of the possible solutions that could be undertaken by the administrators of health care institutions that are dealing with actual nursing staff shortages.

The Nursing profession is one that has been known amongst the healthcare profession, to experience several challenges. Staffing challenges have been noted to be one of the primary health care challenges with respect to the nursing profession. These challenges have been known to not only affect the nurses, but other health care professionals who work with nurses on a daily basis.

This could also affect the quality of care they tend to provide for their patients. The purpose of this report is to discuss how staffing issues in nursing (with emphasis on long term care) has implications on patient care. The main purpose of this paper is to analyze and present solutions and recommendations for the issue.

The factors such as increasing staffing by means of including a more widened demographic for nursing training and more are presented using the support of existing literature research. These recommendations can be made use of administration of health care facilities to improve with respect to their staffing shortage problems.

Shortage of Registered Nurses (RNs) and subsequent degradation in quality of patient care has been the most critical issue that the whole medical community across United States is facing in recent years. Nurses play a significant role in patient’s recuperation right from the admission to hospital to his discharge and later at home for rehabilitation till he is capable of looking after himself.

But the current staffing issues of nurses could result in a complete collapse of healthcare system. Therefore this report is set to review staffing challenges in long term nursing, its causes and consequences on the field of medicine and the suggested possible solutions in a more holistic way. A myriad of elements are considered and the solution is framed with these elements. This report also recommends few strategies and a feasible plan of action for successfully overcoming the challenge.

Issue Analysis

The sharp decline in mortality rates and increase in life expectancy has led to a greater proportion of old population in 20^th century. This has led to more emphasis on aged care. The baby boomers are now in their retirement ages fast approaching the time where they might require more health care. Knickman, & Snell, 2002, assess how there will be challenges in caring for the baby boomer generation as they crossing their ages of 60.

In a series of analyses that was conducted with respect to types of challenges that would be faced, it was seen that the baby boomer generation will require much long terms care and this would lead to an economic burden for the state and also the health care system.

In addition there has also been noted that the incidences of different diseases have increased, epidemic of various diseases and increase in accidents have ultimately escalated demand for RNs. Diseases related to obesity and cardiovascular problems are on the high (Van Gaal,et al, 2006).

Diseases such as this lead to the increase in the number of people that require long term care. The proportion of aged people requiring long term care is still higher, yet the number of other demographics that require long term care has also increased contributing to the nursing shortage scenario.

Insufficient number of graduate nursing programs and faculty, inadequate classroom space, less developed clinical sites and preceptors, and budget limitations put restrictions on nursing program enrollments, all of which can contribute to staffing challenges within the health sector.

This generates very small number of qualified RNs that fit into the requirement of highly sensitive cases (Drury, Francis & Chapman, 2009). The problem of there being insufficient nursing programs directly leads to lesser students graduating from the program.

However it is also noticed that students might be reluctant to take up nursing programs like they did before. Also the ones that do take up nursing education might also end in giving it up because of the stress levels that are generated in this work. Extra working hours, low wages, inability to devote time for personal life and extended workload impose more stress on RNs.

Lack of job satisfaction and depreciation of job status further discourage them to continue in nursing profession (Peterson, 2001). Crash of revenues directly impacts into slashing the nursing staff in hospitals which makes this nursing job very unstable. This deficiency of certified RNs add patient complications, medication errors, death rates, safety problems, longer hospital stays, nurse fatigue and burnout and unpleasant experience for both patient and nurses (Wright & Bretthauer, 2010).

Staffing challenges is not a problem in current times alone. The nursing shortage has been a problem for a longer time now. As of the 1990’s it was noticed that the nursing shortage was existent in the country as with many other global nations. Nursing positions were cut in the countries like the United States because health care expenditure was increasing with respect to managed care.

Public and private insurance reimbursement was also at an all time low and this lead to financial difficulties for hospitals which reduced the number of nurse practitioner working with them. In addition to this problem it was also noticed that most of the hospital administrators did not consider the nursing profession in its actual light.

They did not understand the value of the nursing professional and did much restructuring to improve finances that were highly focused on decreasing the number of nurses employed with the organization.

This asymmetry in power was seen to have made much of the nurses to remain underpowered (McVicar, 2003). Nurses that went out of their professions moved on to become housewives and hence lost the training and expertise that made them nurses or moved onto other professions in different fields. With understaffing, the work performed by nurses was done by assistive personnel. The existing nurses could not work with the short staffing. A National Survey that was conducted on nurses in the year 2005 indicates that more than a million of the U.S. registered nurses chose to leave their jobs either because of the instability of their positions or because they could not perfume as was required because of understaffing at their place (The Truth about Nursing, 2007).

In current times, social issues also contribute to nursing shortage. The nursing profession is still viewed as a gendered profession meaning the profession is still a female dominated profession. Women are seen as natural caregivers in socio-cultural contexts and men are quite reluctant to enter nursing professions.

Research indicates that men might face a social stigma when they want to enter nursing professions. In countries such as the United States only an approximate 6 percent of the population is seen to be in the nursing profession. With the current workforce rapidly aging, soon the nursing shortage problem will exacerbate if the current shortage is not filled with a younger workforce.

The workforce will also need training from senior peers and for the nurses to be trained in a qualitative manner, it is necessary that the shortage problem be addressed and training commence as soon as possible under existing senior nurses.

Solutions to Staffing Challenges

Some of the problems such as the aging of baby boomers that puts them in the situation where they need more aged care cannot be resolved. So these issues contributing to the nursing shortage cannot be handled, yet there is significant other issues as pointed out that could be handled well.

Primarily it has been noted that the number of nursing school graduates have become lesser. Adequate funds should be arranged to encourage graduate schools to improvise nursing programs by facilitating necessary infrastructure and services, and appointing experienced teaching faculty.

A special attention should be provided to verify the competency of undergraduate as well as the graduate curriculum to produce skilled and knowledgeable RNs in future (Peterson, 2001). This solution is the best long term solution, as it will ensure that there are more nurse practitioners in future. However it is necessary that this solution be implemented by considering the implications of implementation.

For instance, in the issues section, it was pointed out that as early as in the 1990’s the problems of nursing shortage was seen to be created by administrators who did not understand the value of the profession. They created budget cuts and staff cuts that led to job loss for nurses.

The mindset of health care administrators needs to be changed. The power asymmetrical has to be set right. Only then future nursing practitioners will have sustained profession. Where a student question how sustainable their future is as a nursing practitioner then they might be reluctant to enter the profession itself.

RNs can postpone their retirement age which would allow them to work longer and let the new staff learn from their valuable experiences. To eliminate imbalance after their retirement, mix of young as well as matured RNs should be recruited to impart diversity (Drury, Francis & Chapman, 2009). In this way the raining for the younger nursing practitioners could be more qualitative.

An optimal staffing framework should be constructed to ensure safe and quality patient-care, and fulfillment of organization’s financial constraints. It would guarantee better salary, stability, job satisfaction and pressure-free working conditions for staff. Coordinated scheduling and planning can reduce overtime, undesirable working hours and also the labor costs with great margins (Wright & Bretthauer, 2010).

Community should be encouraged to play their part in long term care. Community, meaning the family, friends, local volunteers and more should be able to assist in long term care and this would help in managing the nursing shortage problem till a long term solution is implemented.

Recommended Action

To implement the possible solutions effectively, the administration as well as the NGOs should contribute monetarily to ease the primary need of financial expenditure. Every state administration should accumulate data of their respective patient population that need unique nursing care such as old age group, incurable disease, contagious patients etc.

By comparing it with the availability of nursing staff and resources, an optimal and flexible staffing approach should be developed for at least next 5 years and accordingly the funds should be allocated wherever required (Wright & Bretthauer, 2010). Depending upon the need, the RN staff should be imported or exported between the states by mutual agreement (Peterson, 2001). It would provide correct number of nursing staff with mixture of correct qualification, sufficient experience and appropriate skill.

Working on the nursing staff shortage problem as of present, surveys have been conducted to understand why the shortage is an actual ongoing problem for nursing practitioners (from the Progress Report). The survey itself was quite problematic as most of the hospital personnel were reluctant to give answers to the surveys.

A major attitudinal change is hence required here. Secondly (as indicated in the Progress report) there are more future accomplishments to be completed. Some of the issues that one would expect to encounter is when coming up with the incentives to encourage low grade nurses and nursing assistants to get back to school or training to become more quality workers. This form of incentive negotiation has to be done with the administrators.

The nursing practitioners also have to be inspired with long term vision so they go back to retrain and they also have to be inspired by the institution so that they would be loyal enough to return.

Secondly, it is necessary to include benefits program for the nurse practitioners. Long term career training plans must be made, and by working with the human resources motivational reimbursement packages and more have to be created. Where possible it is also necessary to offer them other forms of job security.

Conclusion

Nursing is the backbone of healthcare industry. Though it is affected by staffing difficulties, government of all the states in America should work in collaboration to assess the current situation and outcomes of implemented actions. It would enable them to decide upon the best solution apt for the longevity of the business.

References

Drury, V., Francis, K. & Chapman, Y. (2009). Where Have All the Young Ones Gone:     Implications for the Nursing Workforce. Web. The Online Journal of Issues in Nursing, 14 (1).

Fox, R. L., & Abrahamson, K. (2009, October). A critical examination of the US nursing shortage: Contributing factors, public policy implications. In Nursing Forum (Vol. 44, No. 4, pp. 235-244). Blackwell Publishing Inc.

Knickman, J. R., & Snell, E. K. (2002). The 2030 problem: caring for aging baby boomers. Health services research, 37(4), 849-884.

McVicar, A. (2003). Workplace stress in nursing: a literature review. Journal of advanced nursing, 44(6), 633-642.

Peterson, C. (2001). Nursing Shortage: Not a Simple Problem – No Easy Answers. Web. The Online Journal of Issues in Nursing, 6 (1).

The Truth About Nursing. (2007). Nursing Shortage.

Van Gaal, L. F., Mertens, I. L., & Christophe, E. (2006). Mechanisms linking obesity with cardiovascular disease. Nature, 444(7121), 875-880.

Wright, D. & Bretthauer, K. (2010). Strategies for Addressing the Nursing Shortage: Coordinated Decision Making and Workforce Flexibility. Decision Sciences, 41 (2): 375- 400.

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Question: How have you handled staffing challenges in long term care nursing? Feel free to leave a comment below