Energy Supply, Cost and Disruption
This week's episode takes a closer look at energy cost and food chain disruptions occurring in the supply chain. Energy usage in the UK still dominated by fossil fuel 47 per cent Gas and 2 per cent Coal. Last week the UK had to bring back a coal source when wind powered fell short of the target.
Border Controls and Food Supply Disruption
Border controls post Brexit have been called useless by Marks and Spencer saying they are not fit for purpose. It is not food that's in short supply according to Archie Norman but lorry drivers. Ian Wright of the Food and Drink Federation says big suppliers are prepared and the impact is highest on smaller suppliers.
Britain's trade with the EU have fallen by £1.7 billion in July according to ONS statistics published last week. There is some concern about UK competitiveness if the trend persists. Most commentators think it is only temporary.
Shipping Hold Ups
Shipping pressures remain as economies open up. Ship availability is in short supply along with container boxes. Ships are lining up at ports in Los Angeles. One executive noted that four weeks ago there were 40 waiting and this week there are 75 so it appears the problem is worsening.
Supply Chain Geography impact on cost
Time, cost and quality are essential ingredients in supply chains as we manage risk and complexity in networks of suppliers. The geography of supply chains became less relevant during the past 30 years but it now appears that geography is important to manage risk and build resilient supply chains. Tony Hines discusses what this means for supply chain strategies and just-in-time systems. Agility is necessary when supply chains are disrupted. Rethinking supply chains puts transport logistics at risk. It is more than just geography it is the economics of the geography along with the balance of risk and cost.
Where there's a will there's a way
What can government do to overcome HGV driver shortages. Tony Hines offers some policy choices that could be enacted immediately.
Disruption caused by a shortage of CO2
This has been caused by the increasing cost of gas energy.