Effect of Auto Strike on Supply Chains

The video discusses the United Auto Workers strike's impact on the automotive supply chain, highlighting the ripple effects on various tiers of suppliers. Bindiya Vakil from Resilinc explains the complexity of the supply chain and the potential long-term changes due to current disruptions. The discussion covers the challenges faced by small suppliers, the influence of megatrends, and the shift towards renewable energy vehicles. Recommendations for managing financial risks and supporting suppliers are also provided.

What is the primary focus of the United Auto Workers strike discussed in the video?

• The impact on electric vehicles

• The effect on Ford, GM, and Stellantis

• The role of government policies

• The influence of international markets

What is the 'bullwhip effect' as mentioned in the context of the automotive supply chain?

• A sudden increase in production costs

• A ripple effect causing demand fluctuations

• A decrease in consumer interest

• An increase in labor strikes

What role do tier 2 and tier 3 suppliers play in the automotive supply chain?

• They provide raw materials directly to consumers

• They are the primary manufacturers of vehicles

• They are smaller suppliers that support larger manufacturers

• They handle the marketing and sales of vehicles

Which of the following is NOT one of the five megatrends affecting supply chains?

• Cybersecurity

• Technological advancements

• Demographics and labor disruptions

• Extreme weather

What is a significant change in the electric vehicle supply chain compared to traditional vehicles?

• Less automation

• More manual labor

• Increased use of AI-driven automation

• Simplified componentry

How are companies advised to support suppliers during financial distress?

• By increasing product prices

• By outsourcing to other countries

• By reducing their orders

• By extending lines of credit

What is one of the recommended actions for companies to manage supply chain disruptions?

• Ignore the financial status of suppliers

• Focus only on local suppliers

• Assess and support suppliers in financial distress

• Reduce communication with suppliers