Dealing with Supply Chain Complexities with Scenario Intelligence

Authors:
Zhan Ding, Luis Felipe Sena
MIT Supply Chain Management Program

49



Summary:
The recent escalation in the VUCA (Volatility, Uncertainty, Complexity, and Ambiguity) world is adding unprecedented levels of complexity to businesses. Philip Morris International is no exception. Factors such as geopolitical conflicts, raw material shortages, rising inflation, and changes in country legislation are exerting pressure on PMI’s supply chain. This pressure, combined with PMI’s portfolio expansion driven by a strategic shift in recent years has created the necessity for managing risk uncertainties in the supply chain through Scenario Intelligence. This project will employ Simulation Modeling and Scenario Planning as our primary methodologies. Our approach is expected to substantially boost PMI’s supply chain agility and responsiveness, empowering the company to proactively identify and mitigate risks, and effectively determine the best outcomes across various scenarios.


Click to expand in new tab

24 thoughts on “Dealing with Supply Chain Complexities with Scenario Intelligence

  1. understand the market by pointing out solutions for the future, thus leaving the political scenario and the global production chain more optimistic. I have no doubts about the efficiency of the work of everyone involved. This research will certainly be a success. congratulations to all of you

  2. Optimal fiscal strategy entails a judicious examination of your inventory management, emphasizing potential savings by minimizing excess stock when unnecessary. Redirecting resources toward cutting-edge technologies becomes a prudent investment, unless the current market favors a cost-effective acquisition of raw materials.

    Congratulations to both.

  3. Identifying and mitigating supply chain risks is a very challenging task! Looking forward to seeing the results!

Leave a Reply

Your email address will not be published. Required fields are marked *