Abhi Ghadge, an associate professor of supply chain management at Cranfield University in the UK, notes a historical lack of emphasis on climate resilience, although he observes a shift towards improvement.
Developing a detailed understanding of a supply chain proves challenging, particularly for smaller enterprises. Key questions, such as identifying suppliers for their suppliers or anticipating shortages of critical materials, require long-term dedication and investment, according to Beatriz Royo, an associate professor at the MIT-Zaragoza Program in Spain.
In response to these challenges, professional services firm Marsh McLennan introduced Sentrisk last year. This system claims to automatically analyze a company’s shipping manifests and customs records to map its supply chain. Sentrisk utilizes large language models to process potentially billions of PDF documents and trace the origins of materials and parts. John Davies, the commercial director of Sentrisk, acknowledges the potential for misreads but stresses that the AI only reads documents, avoiding speculative errors in supply chain mapping.
Sentrisk also integrates climate risk data for specific locations into its analysis. Davies suggests that such insights could guide decisions, like choosing a construction site for a new plant with reduced water shortage risk.
Dmitry Ivanov, a professor of supply chain and operations management at the Berlin School of Economics and Law, points out the necessity of continually updating digital twins, as supply chains evolve daily.
Predicting climate change impacts remains complex, with uncertainties around specific disasters’ locations, timings, and magnitudes. Nvidia, a leader in semiconductors and AI, has developed a platform called Earth-2 to tackle these challenges, partnering with organizations like the National Oceanic and Atmospheric Administration. This platform uses AI to enhance early warnings for droughts, floods, and storms by generating higher-resolution data for regions with limited current information. Dion Harris, Nvidia’s senior director of high-performance computing and AI factory solutions, emphasizes its utility, especially in smaller regions.
Companies can integrate their data into Earth-2, aiding in improved predictive capabilities. The platform’s scope is extensive, with Harris highlighting the ambition to create a digital twin of the Earth.
