As you may know, an ongoing labor strike is affecting major East Coast ports. The longer the strike continues, the greater the potential impact on shipping operations, the supply chain, and the timely receipt of goods.
Key Impacts:
- Delayed Shipments: Extended wait times for unloading vessels may delay receiving raw materials and finished goods.
- Increased Transportation Costs: Rerouting and longer port delays could raise shipping and handling costs.
- Inventory Shortages: Delays may lead to shortages in certain products, affecting our ability to meet demand in the short term.
Mitigation Measures:
- Air Freight: We are evaluating air freight for high-priority items to mitigate possible delays.
- Inventory Adjustments: Please review your inventory levels and increase safety stock where possible. Adjust forecasts to prioritize critical supplies.
- Supplier Communication: Stay in close contact with key suppliers to monitor shipment statuses and adjust lead times as necessary.
Action Required: Review your supply now and identify high-risk shipments that could be affected by the strike. Avoid over-purchasing products to prevent unnecessary stockpiling.
We are actively monitoring the situation and working with our Preferred Suppliers to minimize disruption. Your proactive management and cooperation are essential during this time.
If you have any questions or need additional information, please contact me directly at greg_parrott@wustl.edu.