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Supply chain disruptions are here, and they are here to stay. And as supply chains grow increasingly complex, the ability to manage these disruptions effectively can make or break a company. In our latest video, Bob O'Donnell, Global Head of Lead Logistics & Cold Chain Logistics Growth at Maersk, explores how strategic logistics partnerships are crucial for European companies aiming to navigate the challenges of modern supply chains.
Information gaps within supply chains are a global issue, and Europe is no exception. These gaps arise due to the fragmented nature of supply chains, where different parties – from raw material suppliers to logistics providers – use varying information systems. These systems often lack seamless integration, leading to delays and inaccuracies in information flow. As supply chains become more interlaced, the impact of these gaps grows, influencing critical business decisions and potentially leading to costly errors.
The importance of rapidly identifying and addressing supply chain disruptions cannot be overstated. Recent events like the Suez Canal blockage and the COVID-19 pandemic have underscored the need for resilient and agile supply chains. What the best-in-class companies do differently are being able to understand and forecast the degree and duration of these disruptions, such as port closures or delays in transportation, and take swift, strategic action to mitigate their impact. These companies form strong partnerships with logistics providers, enabling them to anticipate and respond to issues effectively.
Forecasting solutions combine data from past supply chains with demand insights to help you make informed, accurate decisions about, for example, inventory levels or incoming trends.
When it comes to logistics strategies, European firms should focus on forming strong, integrated partnerships with a select few suppliers and logistics providers. By reducing the number of touchpoints and ensuring better information flow, companies can minimise information gaps and enhance their supply chain's resilience and agility.
In contrast, companies with fragmented supply chains, relying on numerous suppliers and providers, are more likely to encounter difficulties in managing disruptions. In the end, the most successful strategy comes down to being able to keep products in stock and ready to sell – the companies that are able to maintain product availability during disruptions will gain significant competitive advantages, such as increased market share and profitability.
Explore Further Insights
To learn more about how effective logistics strategies can help your company thrive amidst supply chain disruptions, watch the full video above. Don't forget to download the Reuters report for additional insights into building resilient supply chains.
With Maersk’s Lead Logistics Services, we plan and manage your logistics journey to take the complexity out of your supply chain. We offer integrated solutions that give you visibility across your supply chain operations while we synchronise inbound and outbound flows, streamline inventory and digitise processes. To find out more about developing a robust and responsive supply chain, contact us.
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