Pivotttt!
While 2020 saw *that* scene from Friends become a mantra for businesses trying to navigate a pandemic, 2021 sees it applied to a big ol’ boat stuck in the Suez Canal. Yes, we’re talking Ever Given.
Photo by Mika Baumeister on Unsplash
The mammoth ship single-handedly blocked the Suez Canal for nearly a week. At 1,300 feet long and 200,000 tonnes it’s easy to see why, once it ran aground, it was tricky to get it moving again. And although it’s shifted now, there’s a huge impact on retail.
About 12% of global freight passes through the Suez Canal, so as well as ALL the containers that were held up on the ship itself, there’s also a matter of a teeny tiny traffic jam caused by the delays. Other cargoes will arrive late, ports are predicting congestion as a result, and future shipping schedules have been thrown into chaos. Expect knock-on effects to last for some time…
Anyway, what’s our point? Well, imagine if you’d run out of stock and your replenishment is stuck in this mess. Perhaps some of you don’t even have to imagine...
Some retailers build a buffer into their plans, so that while their stock levels are kept tight, they’re not so tight that they affect sales if a bit of disruption hits. Sales planning and forecasting are the key here!
Although huge disruption to global shipping isn’t a regular occurrence, delays are common in the retail world. Spending a bit of time on planning and forecasting – at least and especially on your key lines – can save you headaches. Check out our guide to sales forecasting to get started.
