Supply Chain Disruption in Peak Holiday Season
Updated: Aug 25, 2021
National Retail Federation | August 10, 2021
In the middle of retail back to school events, shipping season looms ahead for the fall and holiday seasons. This year's supply chain disruptions and port congestion impact inventory availability. While many retailers sought to bring in products early and shift sourcing options, congestion continues to plague the supply chain. Many expect these issues to continue well into 2022, potentially impacting peak-season shipments.
Since end of last year, consumer demand has outpaced operations. The lack of labor, equipment and capacity has brought to light systemic supply chain issues. NRF shares insights to address the current issues and plan for the next -
1. Information sharing. Build out digital infrastructure to allow stakeholders to utilize common platforms to share information to allow for better forecasting, planning and operations and to improve efficiency.
2. Evaluate if port capabilities meet 21st century demand. Use existing infrastructure in a smarter and more efficient manners, creating true incentives to move freight during off-peak hours.
3. Congress and administration are trying to identify solutions. President Biden’s recent executive order on competition specifically looks to address some rail and maritime issues. In the meantime, industry needs to come together to find solutions.
Reach out to your sales leads for more resources on how this might affect your business.