Beware the Supply Chain
We all realized how at risk our supply chains were when we ended up without PPP equipment in the middle of COVID-19. Front-line responders around the globe were left flapping in the wind while a deadly disease made its way around the planet at lightning speed.
Then it hit closer to home with everyday things we need in life. Take ovens, for example. Last November, one of our two ovens went out, and given their age, the repairman didn’t recommend fixing the broken one. Off to the appliance store we went. We left with a purchase of double ovens slated to arrive Christmas Eve.
Three months later, our ovens are missing in action. We were told they’d come in February. Then late March. That’s now, and they are nowhere to be found. We called another appliance store, which said new ovens have a four-month lead time. While we were waiting, the second oven went out, so we’ve been without ovens for about 45 days. Toaster ovens work. Stoves work. BBQs do too, since we are blessed to be in California. But don’t look for ovens.
We recently began a move out of our home of 27 years, and we are headed to a new home whose modern architecture requires some updating of furnishings along with our move. Wouldn’t you know it that when it came time to buy beds, we were informed of a “foam shortage” due to the storms in Texas and delays in the supply chain for furniture because key factories were obliterated when pipes broke last month. So now we wait again. A favorite blanket we wanted to buy is out of stock for months.
The Suez Canal is blocked by a ship stuck perpendicular due to a severe dust storm. Over 100 ships are behind it, stuck with their cargo and containers. The most trafficked seaway on the planet is blocked, and with it, goods that travel the globe.
Once again, the supply chain is disrupted. Access to food, our most basic of needs, is at risk in key regions of Latin America, the Middle East, and Africa. Access to vaccines also remains hampered in emerging economies.
Call it a pandemic. Call it global warming. Call it all of the above. But at the end of the day, our supply chains are at risk, and we have to pay closer attention within and between countries.
Most of our industry’s performance rests on trade. Information services that support B2B trade are critical. Know your customer and know your supplier (KYC/KYS) are growing categories of information services. So are ESG and risk and compliance. Event and trade shows are also built on trade. So, when trade stops, our industry stops or can be severely impacted. Construction information, real estate information, supply chain information… it all rests on trade.
Beware of the supply chain because commerce underpins us all. It underpins the data, information, and analytics industry, so we can’t lose sight of its importance.