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October 7, 2020

Logistics Issues During COVID-19

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The Covid 19 pandemic has affected many industries all over the world. The logistical world was affected too, in more ways than you might imagine. From requiring more complex warehouse and logistics software to support demand to ensuring that certain items were protected from panic buying, these are only a few of the changes that occurred, as you will see in the information below. 

Air and sea freight limitations

Due to the pandemic, most sea and air freight companies had to lower the number of products they could transport to new locations. That’s particularly true for the air freight industry where most passenger planes were grounded. That means the logistical world was unable to rely on this particular mode of transport for an extended period of time. With multiple Covid 19 waves expected, these limitations might appear again, so we need to find alternative solutions.

Inventory management

Due to changes in customer demand, the need for a warehouse management system has become even more prevalent. The most important aspect here is assisting customers in getting the right results and pushing the user experience to the next level. Some of the solutions are things like improving the visibility tools, demand planning, moving stock to key markets and many others.

Geographic risks

Unfortunately, the situation for logistics operators differs within each country. When supply chains are global, any local changes and implications can affect the entire logistics system. Since the pandemic hit many companies were forced to shift their suppliers from different countries and that meant having to put a new logistics system in place. This may not seem might like a lot in the beginning, but it really goes to show that companies have to adapt both their production and logistics in order to survive, which can be extremely complicated when staff and resources are under immense pressure. 

The demand is fluctuating

Due to the impact of Covid 19, a lot of people try to stay inside and limit interaction with others. This means logistics demands are currently fluctuating, and the best thing anyone can do is to eliminate concerns and really focus on results by employing new strategies to meet customer needs during a crisis. Products such as hand sanitizer and toilet paper are in high demand, however high-ticket items such as furniture has seen a downturn.  It’s not simple to gauge what people need during a crisis but it is in a company’s best interest to pivot and change with the times. 

A lack of sustainability

We need far more sustainable systems to ensure that we protect our planet. Once we do that, medical concerns such as Covid-19 won’t pose such a large threat as it does at present. When there’s a lot of pollution and a pandemic, things can be very tricky to manage and handle in a proper manner. Shifting to a sustainable system is crucial for every logistics company especially during a pandemic, but also once we go back to normal in the long run.

Conclusion

The logistics world is always experiencing shifts and trends, but the pandemic has changed the way everything functions and how we need to interact with it. This is complex, so we really need to figure out an approach that will eliminate concerns and allow logistics operators to focus on results. It’s not simple, but the payoff can be staggering if we all work together to achieve better more sustainable local and global supply chains. With the right planning and proper amendments, logistics businesses will be able to survive the pandemic, grow and potentially prosper. 


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