Strike action has knock on effects on businesses and consumers

UK supply chains are primed for yet more disruption, as strikes at Royal Mail and the Port of Liverpool are set to go ahead. With holiday peak and Christmas just around the corner, industrial action hits supply chains at a critical moment. Businesses will need to take action to mitigate any disruptions, at the risk of empty shelves and stockings.

When goods are not delivered as promised, businesses risk losing the customer’s brand loyalty. The availability and delivery of goods is an essential part of the customer experience. Shortages or long wait times can negatively impact a brand’s reputation.

When disruptions cause uncertainty, it’s important that businesses identify them and find a solution quickly. For example, our research shows that even when disruptions are at pandemic scale, companies that used artificial intelligence (AI) and real-time data to sense demand reduced forecast error by one-third – and that performance that was effective at all stages of the pandemic. The volume exposed to extreme error was also cut in half. Real-time in-transit visibility is also key to making intelligent decisions to address deviations from original transport plans. Companies that rely on modern, connected technology solutions for planning and logistics will fare best in an ever-changing environment; and when bottlenecks arise, they can maintain brand reputation for providing the best service possible.

 

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