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The Real Supply Chain Risk of Sourcing in Asia
More than 12,000 people have died in a massive earthquake in China, that according to a geologist was 20-30 times as bad as the earthquake to hit San Francisco 20 years ago. More than 18,000 are buried in one city alone, and not counted in the death toll. This story will play out over the next couple of days and the number of dead and injured will increase exponentially.
Couple that with last week's cyclone in Burma that devastated a large portion of that country and killing almost 100,000. There, the government is exacerbating the situation by restricting aid to the victims. News reports have the ruling junta keeping the best aid for themselves and distributing rotten food to the affected population.
These are both horrible natural disasters that have a global impact. We will hear stories of bravery, depravity, and hope. We'll also probably see repressive governments minimizing the loss of life and the offer of international aid. It is sad, and sickening.
These tragedies also have a "local impact" to the supply chain. Many of you have product manufactured in that part of the world, whether you know it or not. So, some deliveries may be late. But, we'll expedite, silently cursing why we made decisions to source around the world where profits often mean more than people. We'll even develop workarounds to those related part shortages, solving manufacturing problems even before these disasters make if off of the front page. We've got to make those numbers, right?
The Real Supply Chain Risk of Sourcing in Asia
May 13, 2008
More than 12,000 people have died in a massive earthquake in China, that according to a geologist was 20-30 times as bad as the earthquake to hit San Francisco 20 years ago. More than 18,000 are buried in one city alone, and not counted in the death toll. This story will play out over the next couple of days and the number of dead and injured will increase exponentially. Couple that with last week's cyclone in Burma that devastated a large portion of that country and killing almost 100,000. There, the government is exacerbating the situation by restricting aid to the victims. News reports have the ruling junta keeping the best aid for themselves and distributing rotten food to the affected population.
These are both horrible natural disasters that have a global impact. We will hear stories of bravery, depravity, and hope. We'll also probably see repressive governments minimizing the loss of life and the offer of international aid. It is sad, and sickening.
These tragedies also have a "local impact" to the supply chain. Many of you have product manufactured in that part of the world, whether you know it or not. So, some deliveries may be late. But, we'll expedite, silently cursing why we made decisions to source around the world where profits often mean more than people. We'll even develop workarounds to those related part shortages, solving manufacturing problems even before these disasters make if off of the front page. We've got to make those numbers, right?
Posted by Richard G. Weissman on May 13, 2008 | Comments (0)
Industries: Strategic Sourcing
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