Sourcing and Supply Mgmt – OM in the News

Google and Anthropic: Strategic Partnership

Google will invest $2 billion in Anthropic to further develop Claude 2, a rival to OpenAI’s ChatGPT.

Claude 2 can summarize up to 75,000 words and is regarded as the most “self-aware” chatbot. It has been trained to be explicit about what it knows and does not know and answers only questions that it has training data to support.

Related: this previous OM in the News post about Amazon and Anthropic leveraging each other’s work on AI.

Video Spotlight: […]

By Anita Lee-Post, Ph.D.|2023-11-29T03:32:42+00:00November 29, 2023|Tags: competition, innovation, operations strategy, strategy, supply chain partnership|

Huy Fong’s Sriracha Shortage

In the United States, if you think of sriracha sauce, you immediately think of Huy Fong’s Sriracha Sauce with the rooster on the bottle.

Unfortunately, customers in the U.S. have seen a shortage of Huy Fong’s popular sauce for the last three years. And it may continue.

Part of the problem comes from droughts impacting the production of the red jalapeño peppers that go into the sauce. However, there is more to the story.

For over 28 years, Underwood Farms provided the peppers […]

By Ross L. Fink, Ph.D.|2023-11-08T06:09:21+00:00November 8, 2023|Tags: food supply chain, shortages, supplier relationship|

Prescription for Pharmaceutical Shortages: Reshoring

Reshoring of pharmaceuticals is viewed by many as a critical issue for the safety and security of the American health care system.

Shortages of a wide array of drugs, including chemotherapy medicines, antibiotics, children’s fever medications, poison antidotes, and AD/HD medications, currently plague the U.S. supply chain and sometimes delay or prevent patients from obtaining critically needed supplies.

Video Spotlight:

Prescription drug shortages make treatment decisions difficult for doctors and patients (July 4, 2023, PBS NewsHour)

By Lisa M. Spencer|2023-11-05T04:44:51+00:00November 5, 2023|Tags: forecasting, outsourcing, reshoring, risk management, shortages, subcontracting, supply chain management|

Amazon and Anthropic Leverage Resources for AI Products

The partnership between Amazon and Anthropic helps leverage each company’s assets to gain a bigger foothold as providers of AI products.

Anthropic can utilize Amazon’s AWS cloud platform to develop customizable AI models economically. Additionally, external audits of their AI products will be conducted before releasing them to the public to ensure AI safety.

Video Spotlight:

Amazon to invest up to $4 billion in OpenAI rival startup Anthropic (Sept 25, 2023, CNBC Television)

This post is based on […]

By Anita Lee-Post, Ph.D.|2023-10-23T04:23:37+00:00October 22, 2023|Tags: ethical issues, legal issues, product design, product liability, responsible sourcing, strategic sourcing, supply chain partnership|