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Published by: MIT Sloan School of Management
Originally published in: "MIT Sloan Management Review", 2021
Length: 7 pages
Topics: Operations

Abstract

The ongoing global supply chain crisis caused by the COVID-19 pandemic shows no sign of abating. And although many media outlets have blamed pandemic shortages on companies' practice of just-in-time inventory management, abandoning it would do little to help current supply chain problems. The author points to two other overarching causes of product and parts shortages: suppliers' inability to adjust to soaring demand, and government interventions.

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Abstract

The ongoing global supply chain crisis caused by the COVID-19 pandemic shows no sign of abating. And although many media outlets have blamed pandemic shortages on companies' practice of just-in-time inventory management, abandoning it would do little to help current supply chain problems. The author points to two other overarching causes of product and parts shortages: suppliers' inability to adjust to soaring demand, and government interventions.

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