A supply chain that can quickly adjust to shifts in external disruptions, supply conditions, or demand is said to be flexible. Techniques like demand-driven replenishment, agile manufacturing, decentralized warehousing, and dual sourcing can all help achieve flexibility. This ability is becoming more and more important in today’s unstable environments, where unforeseen circumstances, such as pandemics, trade disputes, or natural disasters, can have a significant impact on conventional supply chains. In spite of uncertainty, flexibility helps businesses to optimize inventory placement, cut lead times, and maintain service levels.
