A2X Interview Orbica on the challenges of supply chain risk management
This time we had the pleasure to speak with Matthias from Orbica, a supply chain risk management startup based in Berlin and Christchurch. As a trained mathematician, Matthias has been involved in business intelligence, big data and digital transformation for the last 25 years. As Orbica’s Geo Data Science expert, he is responsible for marketing and sales for the European market.
What makes logistics challenging?
Matthias: The three major topics that currently affect the entire economy also logistics:
Firstly, New Normal: The reliability of supply chains has declined significantly due to strong fluctuations in supply and demand (semiconductors, plastics, containers, …) and frequent interruptions.
Secondly, sustainability: The increasing demand for environmentally friendly products and the social pressure to operate ecologically, as well as the requirements of the circular economy, make great efforts necessary in logistics.
Finally, digital transformation: Big Data, AI and IoT are only slowly finding their way into the world of logistics, apart from lighthouse projects.
What innovations do you believe we need for stable supply chains?
Matthias: I firmly believe the solution lies in combining better data with smart methods. Increased visibility on both the demand and supply side and improved tracking on the go is an important foundation.
Innovative solutions and processes that contribute to flexibility are built on this information.
“We make the resilience of the supply chain measurable”
What problem is Orbica solving? How are you creating valuable change?
Matthias: We make the resilience of the supply chain measurable. With the help of geodata, we record a variety of risks: Natural events, traffic disruptions, delays, or similar.
We use these alongside data on the company’s inventories and production to evaluate scenarios regarding supply risk: How does the potential loss of production change if I purchase a product from two suppliers instead of one in the future? What additional stocks do I have to build up to limit the delivery delays for my customers to X days? Many companies today cannot answer these questions precisely.
What is your solution, precisely?
Matthias: Our solution includes risk identification, the simulation of material flows in the value chain, and scenario analysis for resilience measures. For this purpose, we have transferred the “value at risk” approach known from the financial world to the supply chain.
We offer companies a customized solution that makes the value chain more robust against supply risks as well as increasing competitiveness.
Quick and easy: what makes Orbica stand out?
Matthias: Our supply chain risk management solution picks up where others leave off. While other solutions focus on effective response to events, we focus on prevention.
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