Effects of Covid-19 on Supply Chain Management

The Covid-19 pandemic has created a huge impact on everyone’s life. It has significantly influenced the functionality and mechanism of a business. Along with this, the virus has challenged the modern global supply chain like never before. It has created a huge hindrance in the processing of supplies, manufacturing sites, and customers. The need for the hours is for such professionals that are experienced and certified in Supply Chain Management.

What is Supply Chain Management?

“Supply Chain Management encompasses the planning and management of all activities involved in sourcing and procurement, conversion, and all logistics management activities. Importantly, it also includes coordination and collaboration with channel partners, which can be suppliers, intermediaries, third-party service providers, and customers. In essence, supply chain management integrates supply and demand management within and across companies.”

Council for Supply Chain Management Professionals (CSCMP)

Essentially, Supply Chain Management (SCM) is an overarching, multidisciplinary and strategic methodology that is used to integrate all functions within an organization into a coordinated whole.

By breaking down the silos in which functions such as sourcing and procurement, conversion, logistics, warehousing, and inventory management operations, performance is improved and substantial cost savings are achieved.

Further, by driving the coordination of processes and activities within and across marketing, sales, product design, finance, and information technology, a cohesive and high-performing business model is the result.

Challenges Caused by Covid-19 on Supply Chain Management

Now we know what supply chain management is, let’s see the challenges the coronavirus has laid upon the industry and why is it important for an organization to hire a certified Supply Chain Management professional.

Material Available

The most hindering challenge here is the availability of resources. It is not a question that, the delivery of goods has become very difficult due to the coronavirus and has stressed out the supply chain completely. Delivery delays have caused several issues especially in the consumable and the pharmaceutical sector. Recognizing the interconnection between the supplies of such resources has become highly important and an expert supply chain manager will be able to tackle such an issue with utmost ease.

Human Resource

It has become a challenge for organizations to maintain their manufacturing abilities. To do so they need the right number of staff to be available and moving at all times. But, as we all know the pandemic has shaken the world and has affected everyone. It has become nearly impossible for companies to hire new resources or retain their old employees. The supply chain manager in this situation needs to understand the importance of efficiency and how to keep the team motivated to help them perform better.

Maintaining Strategies

The past inventory strategies are coming to waste nowadays. This is also one of the crucial challenges faced by the companies. The manufacturing strategies that were traditionally followed are asking for a change. The pandemic has created the urge to use demand-based supply strategies to fulfill the needs of the consumers. This plan comprises and predicts the wants of the audiences and helps the company determine how the process needs to be set up to successfully deliver products and services.


The above given are the three most crucial challenges that supply chain management has gone through. Covid-19 has made it difficult for companies to maintain their supplies and respond to the shortage of resources, increasing the demand to hire an expert supply chain manager. The manager should be skilled and dedicated to delivering successful projects while managing the team.

MindCypress is a trusted source for training and certification. We offer courses like Supply Chain Management, Scrum Product Owner, and Agile Scrum Master. Visit our website for more material on the Supply chain and other professional domains.