N.A. auto industry supply chain risks

The global auto industry in recent years has come to recognize risks inherent in its long and diffuse supply chain. Now it’s starting to face an almost 40 percent bottleneck in the ability to make vehicles. “You cannot just wait until something happens to respond,” David Simchi-Levi said. Companies that understand their vulnerabilities in advance return to production more quickly after a disaster. Simchi-Levi’s department at MIT has been working with Ford on supply chain risk management.

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