The Francis Scott Key Bridge now lies partially submerged in the Patapsco River after a catastrophic cargo ship collision this week. Here’s how the Key Bridge collapse may affect the port’s operation.
Lisa Anderson emphasizes the profound and wide-ranging impacts on global supply chains. The bridge’s destruction not only disrupts local traffic and logistics but also sends shockwaves through international trade routes, highlighting the critical need for robust supply chain resilience strategies.
Horribly, a container ship collided with the Francis Scott Key Bridge, and much of the bridge collapsed. From a supply chain point of view, it has caused significant near-term impacts and extended disruptions in the region.
According to PMSA (Pacific Merchant Shipping Association), the five big West Coast ports have lost volume - 702,083 fewer loads and empties were handled in January and February 2023 than in the same period pre-pandemic in 2019. This equates to close to a 16% reduction. Specifically, the Port of Long Beach was off by 18.7% from January 2019 [...]
According to the The Journal of Commerce, the West Coast ports are losing volume. The West Coast share of imports coming from Asia is down from 61.1% in 2021 to 58.8% in 2022 while the East Coast and Gulf Coast ports rose. According to the JOC, the ILWU contract negotiations are causing this change although there are concerns about drayage and rail as well.
I am co-Executive Director of the Society for the Advancement of Consulting, and during our Annual Meeting, I facilitated a panel about the state of supply chain.
NewsNation WGN interviewed Lisa Anderson about the supply chain issues that have plagued the west coast ports and that are now showing up as backups on the east and gulf coasts as well. We discussed why this is happening and what can be done.
Supply chain expert Lisa Anderson says the global system has never been more volatile.
The successful companies will not only strive to be the strongest link in your supply chain, but they will ensure that the weakest link doesn't send their customers to the competition. You have a once-in-a-lifetime opportunity to secure your position as a market leader and thrive for years to come, if you choose to take advantage of the opportunity and start to act NOW.
Lisa Anderson, president of LMA Consulting Group, Manufacturing and Supply Chain Expert explains why the store shelves are still empty.
