The impact of 'Black Swan' events
A totally unexpected event of magnitude is often referred to as a 'Black Swan'. In 2011, a disaster at the Fukushima Daiichi nuclear plant caused a surge in demand for basic consumer supplies in Japan, and around the world supply chains were stymied as the nation's manufacturers had to close their doors.
'Logistics resilience' is no longer a corporate buzzword, but a business imperative.
COVID-19 might appear to be another such example: most businesses were totally unprepared to deal with the realities of a global health crisis, and many found that their supply chain and operations were unable to adapt at speed to the pressures of the pandemic.
The exposure of supply chain fragility
Whether events like the COVID-19 pandemic or the Fukushima disaster could have been predicted is up for debate: but the impact of such huge crises on supply chains is not.
In March 2021, the Suez Canal, a pathway for 12% of global trade was blocked for almost a week (holding up an estimated cost of $9billion in trade every single day of the saga). Organisations across the globe will be feeling the shockwaves of this event for months, as shipments are delayed, goods are spoiled and freight prices rise while shipping capacity pressures remain high.
These events show that 'logistics resilience' is no longer a corporate buzzword, but a business imperative.
This Resilience whitepaper from 7bridges, the A.I powered logistics platform, uses real examples to illustrate the danger faced by supply chain fragility and offers practical advice on how to rapidly and effectively address this in your organisation.
Get the resilience whitepaper
This whitepaper explores:
- Learnings from the COVID-19 pandemic why did logistics costs soar in Spring 2020? And how might businesses be impacted in future?
- Threats beyond the pandemic including cyber-attack, Brexit and extreme weather. We also explore the risks that can arise with suppliers, including a case study of the 2017 Maersk shipping crisis.
- 8 steps towards logistics resilience that businesses must take to future-proof operations and profits; including enabling multi-site and multi-carrier strategies, and exploring options such as dropshipping.
7bridges is an AI-powered logistics platform, used by high-growth businesses to transform and future-proof their logistics, while saving on average 30% on their direct costs.
The platform connects businesses to an open ecosystem of transportation carriers and logistics suppliers, and uses real-time AI technology to dynamically select the best route, carrier and packaging for every shipment. 7bridges ensures the best outcome for every order that's sent, and offers an unprecedented level of flexibility and resilience in these uncertain times.