Five Lessons Learned For The Post-Pandemic Supply Chain BY DALE YOUNG
The current global trade crisis has highlighted weaknesses within the supply chain and forced the industry to assess,
evolve and often transform their operations to meet the needs of today’s marketplace. Many chang- es are here to stay and should be embraced as the industry plans for the supply chain of the future. David Bowie once said: “To- morrow belongs to those who hear it coming,” meaning we need
Dale Young
to listen to the market to anticipate what will come next. While no one can predict or prevent the next global crisis, we can build stronger, less vulnerable supply chains by learning from past mistakes and adding positive changes into day-to-day operations. Following are five real-world examples that show how shippers are relying on flexibility, investment, and alterna- tive solutions to navigate the current supply chain disrup- tion and why these changes are here to stay. 1. Staying open to new and unconventional ways of doing business: Pandemic-related disruption forced stake- holders throughout the supply chain to look at alternative ports, non-traditional routes, and different processes. Be- ing open to new and unconventional ways of doing busi- ness not only served as a solution to an immediate need, but also underscored the importance of having an open mind about alternatives that could potentially save time and money compared to the traditional routes that have been impacted by congestion and capacity constraints. 2. Broadening networks; expanding connections; deep- ening relationships: Using alternative ports and consider- ing new routes forced shippers to expand outside their comfort zones, making new contacts and building new relationships. Port congestion and capacity issues also highlighted just how important it is for shippers to have a diversified vendor base for all the links in their supply chain (ocean, air, warehousing, and trucking). That way, as roadblocks pop up, they have alternative options and additional capacity they can dip into to keep their freight moving. While sticking with “what has always worked” has its benefits, continuing to build strong connections outside of the traditional process is one way for shippers to build resiliency into their supply chains. 3. Allocating resources to equipment and partnering with asset-based providers: No one wants to pay for as- sets that are underutilized, but the weaknesses of the pre- vious model taught us that without building in contingency equipment, capacity, and warehouse space, your supply chain may not be strong enough to withstand adverse conditions, which can result in huge financial implications.
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December 13, 2021
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