LOGISTICS
ACTIONS FOR SHIPPERS TO TAKE IN PREPARATION FOR THE BOUNCE BACK POST COVID-19
78
• Develop a thorough return-to-work strategy - whether you are totally dormant right now , or just have some portion of your workforce operating remotely , you need to document your process and communicate it with your employees
• Contact your strategic providers - whether it ’ s a supplier or a carrier , you need to know what will be available to you in the coming months , both in terms of inventory and how you ’ re going to move it
• Add flexibility - find out ways to simplify production . Pare back product lines and minimize SKU counts . Make the shift with a mind towards in-home consumption . Work with providers that are going to be able to help you pivot quickly – Jaap Bruining , Head of Europe , Coyote Logistics
lanes across the world are seeing double-digit air cargo capacity declines compared to last year ,” says Philippe Gilbert , President of Supply Chain Solutions at UPS ( Coyote Logistics ’ s parent company ).
“ With transatlantic air cargo capacity down 44 % from the United States into Europe , and 58 % in the reverse direction . Charter rates are running four to six times higher than normal , though we expect rates to come down as passenger air capacity recovers some ground in the coming months ,” adds
Bruining , who describes the phases Europe has experienced so far . “ In Europe , we have seen two phases , the first phase was in March where not only facilities closed but also borders got difficult to cross for trucks . During this phase there was a lot of confusion and uncertainty and conditions from the people driving the trucks were very tough . We are now in the second phase , most unclarities around border crossings have been resolved . That said , a lot of facilities are still closed , with some industries hit significantly
AUGUST 2020