“Sorry, we’re all out. Supply chain issues you know.” It seems that this phrase has become somewhat of a cliché for the past two years, whether it’s at grocery stores, retail shopping, or local restaurants.
The truth is, although some industries are settling into our “new normal,” others are still facing challenges. And it’s not even COVID-19 that’s the main culprit anymore. We are facing global conflicts that are putting strains on international shipments and deliveries. For example, August 1st marked the day when the first grain ship left Ukraine since the war with Russia began. Then there are the simple day-to-day operations that just seem to go wrong. Remember the ship that got stuck in the Suez Canal last year? We felt the ramifications of that for months afterwards. And we are not immune here in Canada. Earlier this year, we had over 100 shipping containers go overboard off the B.C. coast due to bad weather.
These global supply chain issues impact our industries here at home. Let’s highlight Canada’s agriculture exports, which play an important role in our economy, especially wheat crops. While wheat can last for years if given proper storage, it needs to reach its intended destinations to fill empty stomachs. We also need to be able to import crops and farming equipment from other countries for Canadian farmers and ranchers to do what they do best.
When tackling supply issues such global conflict, bad weather, and just pure unpredictability, climate change consistently appears as a recurring bad actor. While bad weather can happen year-round, the impacts of it are exacerbated by our changing climate. While it was just last year when flooding ravaged through Germany, this year fires and droughts have been devastating the U.K., France, Italy, and Spain. And here at home, our spring rain was supposed to create bumper crops, only for summer heat and severe storms to prevent this from happening.
So, the real question is, what can we do to navigate through supply chain issues? To start, there is a greater need for accurate industry forecasting. By seeing what goods are needed by when and by whom, we can put the proper mechanisms in place to help make timely shipments happen. Weather forecasting is also necessary, the unpredictability presents challenges for forecasters and planners alike. Then means that there is a need to plan early on, creating more flexible, adept operations infrastructure that are prepared for both best- and worst-case scenarios. This emphasis on improving supply chains also means that we need greater national and international cooperation to guarantee communication between all parties involved, including businesses, unions, politicians, as we wade through the quagmire that is global supply chain management.
Jaclyn Hiebert is a young business professional with a background in International Business and is a writer with the Antarctic Institute of Canada.
John Christy Johnson (BSc(Hons)) and Peter Anto Johnson (MSc, BSc(Hons)) and are both program officers and editors at the Antarctic Institute of Canada and third year medical students at the University of Alberta.