Article | What I learned in Supply Chain
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August 31st, 2021
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Every week, Mercado CEO Rob Garrison pens his latest learnings from the supply chain industry as part of an on-going series. Each article aims to share a little insight into what's going on that week, and to help foster discussion amongst industry professionals across levels, geographies, and companies.
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With the holidays approaching, CEO’s are discussing the challenges they are facing in this historically difficult time in the international supply chain.
Dollar Tree's CEO Michael Witynski told analysts that the retailer is especially sensitive to rising chaos in the world of international freight.
Nordstrom CEO Erik Nordstrom said, “It’s been difficult to plan inventory flow with much precision. We have seen real lumpiness from the global supply chain that has led to some sort of shortages and more so just unevenness. We do not expect those conditions to change anytime soon, so it’s really on us to find ways of mitigating that.”
Steve Madden CEO Edward Rosenfeld said in an earnings call last month, "In terms of the supply chain...we could talk about this all day. There are challenges throughout the globe. There is port congestion, both in the US and China. There are Covid outbreaks at factories. There are challenges getting containers. We could go on and on."
Nordstrom CEO Erik Nordstrom said, “It’s been difficult to plan inventory flow with much precision. We have seen real lumpiness from the global supply chain that has led to some sort of shortages and more so just unevenness. We do not expect those conditions to change anytime soon, so it’s really on us to find ways of mitigating that.”
Steve Madden CEO Edward Rosenfeld said in an earnings call last month, "In terms of the supply chain...we could talk about this all day. There are challenges throughout the globe. There is port congestion, both in the US and China. There are Covid outbreaks at factories. There are challenges getting containers. We could go on and on."
"It’s been difficult to plan inventory flow with much precision. We have seen real lumpiness from the global supply chain that has led to some sort of shortages...We do not expect those conditions to change anytime soon."
Erik Nordstrom
Nordstrom CEO
Nordstrom CEO
Adidas CEO Kasper Rorsted said the sportswear company will be unable to fully meet the "strong demand" for its products in the second half of the year due to the shutdowns, despite switching production to other regions.
Crocs CEO Andrew Rees said transit times from Asia to most of the company's leading markets are approximately double what they were historically. "That's been the case for some time, and we're expecting [to] live with that," he told investors last month.
Hasbro CFO Deborah Thomas said that for consumers, the supply chain crunch is likely to mean higher prices. Thomas said the company, for example, is increasing prices to offset rising freight and commodities costs. The company is projecting that its ocean freight expenses will be on average 4 four times higher this year than last.
Crocs CEO Andrew Rees said transit times from Asia to most of the company's leading markets are approximately double what they were historically. "That's been the case for some time, and we're expecting [to] live with that," he told investors last month.
Hasbro CFO Deborah Thomas said that for consumers, the supply chain crunch is likely to mean higher prices. Thomas said the company, for example, is increasing prices to offset rising freight and commodities costs. The company is projecting that its ocean freight expenses will be on average 4 four times higher this year than last.
About the author(s)
About the Series
Each week, Mercado CEO Rob Garrison pens his latest learnings from the supply chain industry as part of a series run for his LinkedIn followers. Each article aims to share a little insight into what's going on that week and to help foster discussion amongst industry professionals across levels, geographies, and companies.
You can connect with Rob on LinkedIn by following this link.
Each week, Mercado CEO Rob Garrison pens his latest learnings from the supply chain industry as part of a series run for his LinkedIn followers. Each article aims to share a little insight into what's going on that week and to help foster discussion amongst industry professionals across levels, geographies, and companies.
You can connect with Rob on LinkedIn by following this link.
