Disruptions through supply chains Physical and on-line retailers in many countries are being impacted by shortages through their supply chains. These are caused by global disruptions that have been well documented in the media. Added to this are domestic disruptions, such as a shortage of timber materials for the construction industry in the US and Australia. The complexity of global … Read More
Procurement should calculate Total Cost of Ownership
Disruptions are a part of Procurement As the concepts of globalisation flourished, owners and managers of businesses in developed countries took advantage of an profitable proposition to buy products and intermediate goods from low cost countries (LCC). However, the lure of a low unit buy price meant that additional costs incurred were often not considered. Extended lead times than planned … Read More
Climate Change has external costs for Supply Chains
Change will happen in supply chains by 2030 An earlier blogpost concerning Climate Change and Supply Chains, provided an outline for action by businesses. A new urgency has been provided by the International Energy Agency (IEA) report Net Zero by 2050 released in May 2021. This report states that investment in fossil fuels should stop from 2021 and that substantial … Read More
Terms used in Supply Chains give the wrong perception
New terms and perceptions The disciplines that engage with supply chains receive a continual upgrade to their vocabulary. New terms are added and promoted without much thought about their meaning and more importantly about perceptions by executives at the peripheral of supply chains. An example has been the recent use of the term Command and Control in relation to obtaining … Read More
International Trade and effect on Supply Chains by 2030
‘Normal’ trade and supply chains Due to the pandemic and the inability of businesses engaged in supply chains to quickly respond, international trade has been disrupted. The expectation is that trade flows will return to ‘normal’ by the end of 2021 (but it may take until mid-2022). However, will ‘normal’ continue to be the same? Currently, about 70 percent of … Read More