How would your business cope if a key part of your supply chain was lost?
Hanjin, the South Korean shipping giant, filed for receivership on Fri 2 Sep. The latest BBC report (http://www.bbc.co.uk/news/37273067) notes that 68 of its 141 vessel fleet are stranded at sea for fear of being seized by creditors on entering any port as a means of paying its £4bn of debt.
With Hanjin currently moving approximately 540,000 containers and with “just in time logistics” reducing the instances of warehouses full of spare parts etc, there will be thousands of companies experiencing delays in delivery and the resultant delays in production of goods and sales / revenue.
Traditionally, disruptions are categorised into loss of:
People, Facilities and Technology are normally top of the agenda and all too often, the Supply Chain element is paid lip service. If you have goods being moved by Hanjin, I am sure you will be reviewing your Supply Chain options already. If you are fortunate and do not have goods being moved by Hanjin, please use this case as a timely reminder and review your Business Continuity Plans and check your supply chain is as robust as possible.
If you would like more information on how you can be prepared for disruption in your supply chain, please get in touch below: