Partner Article

Snow, Fog, Rain? Supply Chain Hell and Disruption

Another year, another cold spell. When bad weather strikes, it’s expected that a companies first concern is whether their staff can get to work safely. I recently returned from Geneva, where the trains were chaotic and then Heathrow flights were cancelled or diverted due to freezing fog, and so I had plenty of time to think about disruption.

Consequently, I now believe the second concern of any company should be how to manage disruption in their supply chain. Whether it is how goods will get to you, how you get products to your customer, how you run your operations with key staff stranded, how you keep information flowing - it is all critical to meeting your customers expectations.

The reputational and financial impact to your business if you don’t plan how to manage these disruptions cannot be underestimated because the trust and loyalty you’ve worked hard to earn with customers can fade fast, even if it’s all due to unforseen circumstances beyond your control.

My advice is that every company needs to find the time to consider the impact of different forms of disruption in their supply chain, however unlikely, and ensure they have options available to prevent customers becoming dissatisfied. It could also be an opportunity, even a source of competitive advantage, if your company is better able to manage these situations better than your competitors and win new customers.

If you think back to 2009/2010 when snow hit the UK, grit supplies ran out, there were empty supermarket shelves, no fuel in petrols stations, restaurants were forced to close because they couldn’t get supplies and the road assistance companies were swamped.

The reality is that every business today is connected to other companies and so assessing how your supply chain relies on those companies, and adopting robust, flexible supply chains is key to your success.

This was posted in Bdaily's Members' News section by Denise Oakley .