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.
Disruptions have not stopped. China has been flying balloons over Taiwan. North Korea is threatening South Korea. Russia continues its war with Ukraine. Israel is at war with Hamas [...]
40% of the goods movement from Northeast Asia to the U.S. East Coast go through the Panama Canal, and so the Panama Canal issues are driving shortages, late deliveries, and re-routing of goods.
China is Israel’s number two trading partner, and so there will be a significant impact to that trading relationship during the war. There will be disruptions due to labor shortages as business workers are called up as army reservists, and as disruptions occur due to the war.
Israel was attacked by Hamas, and the world has another war in another region of the world. Since the global supply chain is interconnected, in addition to the devastation in the region, supply chain impacts will emerge.
Lisa Anderson was interviewed on the Lou Desmond radio show to talk supply chain. John Tulac, international business attorney, hosted the show to talk the status of the supply chain and what opportunities will emerge.
Inflation and disruption are increasing again. Wholesale inflation as measured by the producer price index increased by .5% since last month which was more than expected. Core inflation (excluding food and energy) went up by .3% which was also more than expected.
The Israel-Hammas conflict is a stark reminder that global supply chains can be disrupted by unforeseen political events. No matter the safeguards in place, events like this can be major disruptors. That is why organizations must cultivate options to mitigate risk and protect their bottom line
Although the supply chain challenges have abated since the COVID-19 pandemic, disruptions continue to persist and risks have increased. VUCA (volatility, uncertainty, complexity, ambiguity) has increased substantially in the world, negatively impacting the safety, security, and reliability of the supply chain.
The critical importance for owners and business leaders to understand how current events can significantly impact their supply chains. LMA Consulting Group works with manufacturers and distributors on strategy and end-to-end supply chain transformation to maximize the customer experience and enable profitable, scalable, dramatic business growth.
