This month our resident advice columnist answers questions about the best way to deal with disruptions to rail schedules and how not to get caught off-guard by the next large scale labor threat.
Dear Ahab: Between the Canadian railroad strike, the narrowly avoided strike at ports in India and the tumultuous couple of years in US port labor, I’m about ready to pull my hair out. How can I insulate myself against future labor action?
- Off The Rails.
Dear Off The Rails: Unfortunately, there is no way to prevent strikes from happening. However, you can insulate yourself by partnering with an experienced, well-connected logistics consultant. They will be able to help you plan ahead and, where needed, redirect your cargo to a new destination, and then piece together the final delivery route for your cargo. This is very similar to what happened during COVID. Remember, not all logistic consultants are the same. What you need is someone who has experience and who is able come up with a unique and personalized solution to ensure that your goods are delivered on-time.
Dear Ahab: I’ve seen some serious disruptions to rail schedules since the strikes in August, how do I know I can trust the rails to move my cargo? At a larger level, should I be looking to disperse my cargo across trucks and trains in the wake of these disruptions? What is the best way for me to adjust my supply chain strategies?
Transcontinental Trust Issues.
Dear TTI: Generally speaking, you can trust the railroads. While disruptions happen, the reality is that there is no more efficient way to move large amounts of cargo across land. On a larger level, today’s supply chain is highly sophisticated and nuanced work of art that can sometimes get thrown off by pandemics, hundred-year storms, and labor actions. When it gets thrown off it will never completely go back to working the same way. Instead, it will evolve into something different and you will have to adjust. So yes, you should adjust and always be looking to disperse your cargo across all sorts of different delivery strategies. The best way to adjust your supply chain strategy to these inevitable changes is to work with a logistics consultant and talk to them a few times a year. They will intimately know and understand your business, and they’ll be able to work proactively on your account to help you create a more resilient supply chain that will be able to withstand any future disruption.
Dear Ahab: I’ve decided I’m not going to get caught off-guard by the next large-scale labor threat to hit the market. What should I be looking for in a strike-time logistics consultant?
– Seeking a Friend.
The main thing your logistics consultant should offer is a deep understanding of the market and significant market share, with contacts across the industry and across the globe. If your provider knows who to call, you’ll be a step ahead of the competition.
A great logistics consultant will also offer creativity and global reach in your supply chain, because when ports are operating at limited capacity, or shut down altogether, it’s ingenuity and relationships that wins out. When U.S. West Coast ports slowed down last year, sharp logistics consultants found alternative ports and devised creative overland shipping solutions to make sure that the cargo was delivered in the most timely manner possible. Believe it or not, many of these creative solutions actually saved time because they avoided congested ports. Therefore, the next time your supply chain is threatened by a strike, you’ll want someone who is smart, creative, and connected.
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