Rethinking Supply Chain in the Post-Covid World
In the years leading up to 2020, businesses prospered from globalization, maximizing operational efficiency to satisfy global demand, often by operating low-cost, capital-efficient assets in the far east. This involved shipping material literally across the world.
As we enter the 3rd year of the pandemic, we reflect on the many changes facing business and society at large. Emerging trends that started before 2020, such as remote work and electrification have hit their inflection points seemingly overnight—they are now the new reality. Societies have reviewed and reprioritized their values. Sustainability and addressing climate change by improving carbon footprint have become priorities. This cascades into rapidly evolving market needs. What are the new realities that impact your business? The future will be won by the most adaptable organizations that are able to identify these forces and develop a new path forward.
The pandemic has uncovered some blind spots, such as supply chain vulnerability. Globalization enabled by modern logistics, where innovation, increased sophistication and digital technologies allowed businesses to confidently plan around shipments that arrive on time, consistently. Recent disruptions have reminded us not to take its efficacy and reliability for granted. Logistical challenges have led to supply bottlenecks ranging from microchips that go into cars or components for toys. These disruptions have real impact on the bottom-line. Geo-political events, shifts in emerging economies and other unknown forces will result in a future of logistics that scarcely resembles its pre-2020 past.
Beyond the complications of supply chain, people are demanding that our leaders do more to combat climate change. Shipping goods over vast distances consumes huge quantities of oil and the sustainability benefits related to shortening the supply chain has become much more relevant to all citizens and companies.
Looking back at learnings of the pandemic, how can your firm thrive in the post pandemic environment?
A reliable vendor enabling local production for local supply is more important than ever, to reduce supply chain disruptions and carbon emissions from distribution.
Flexsys is the world’s leading producer of Insoluble Sulfur. We operate 6 assets spanning North America, South America, Europe and Asia. Reach out to learn more about our track record of business continuity over our 75 year history.