West Coast Port Congestion: Problem or Opportunity
published: cw 20, 2005 in Global Trade & LogisticsOvercrowding at Southern California?s largest ports, rising fuel costs and a lack of legislative action are creating a logistics nightmare. It’s the equivalent of Starbucks and every other coffeehouse opening at the crack of noon. Downstream, everything is suddenly different. Productivity plummets. People rush to find different sources. Some make do without.
Such is the case at Southern California’s largest ports?Long Beach and Los Angeles?where products headed for manufacturing plants and retail shelves are backed up dozens of ships deep. These ports, according to the San Francisco Chronicle, handle 75 percent of the total dollar value of products imported to the West Coast.
Accenture author Al Delattre assesses the problem and offers some strategic supply chain moves that companies can use to weather the storm and accelerate their evolution to high-performance businesses. His leasons learned are focussing at:
* Ship more in less space
* Be specific with suppliers
* Be less emotional with forecast
* Re-examine your outsourcing programs
* Pay extra (occasionally)
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