Every industry is currently facing disruptions to the supply chain. Whether or not you have noticed that with the materials for your main product, or even with shipping your product, you should think about how it will affect your product packaging.
You’ve likely already noticed at least a minor impact on the supply chain of your packaging, but it could get worse. Take a closer look at why the supply chain is experiencing disruption and some tactics you can take to ensure your packaging supply is ready for those disruptions.
A Look at the Current Disruption
While the pandemic is certainly a factor affecting supply chain disruption, it is not the only factor. It’s important to understand the causes of the disruption, as this will help you spot signs that things may get worse or better.
If you could only pick one cause of the supply chain disruption, it would likely be the pandemic. Businesses around the world have had to temporarily close or reduce their workforce. In many countries, only “essential” workers could continue working in person, and what qualified as essential varied.
The result was that many manufacturing facilities that make the materials for your product packaging shut down completely or reduced their operations. The same was true of shipping companies moving those materials.
Even with capacities rising back up to approximately normal, there is a backlog from this upset.
The Labor Shortage
The pandemic and labor shortage are closely related to each other. Essentially, many workers realized during the pandemic that they were underpaid and underappreciated. This has led to many companies struggling to attract workers without increasing their wages or offering more benefits.
Many companies refuse to do those things. Others do so, but that increases their operating costs. As a result, they increase the cost of the materials.
The Ever Given Didn’t Help
Although it was now months and months ago, the Ever Given getting stuck in the world’s primary shipping canal only made the backlog of the supply chain worse.
How to Minimize Issues With Your Packaging Supply Chain
The saying “forewarned is forearmed” applies here. Because you know about the supply chain disruptions, you can prepare for them. There are a few important steps to take.
Work With the Right Packaging Manufacturer
One of the most important decisions is to choose a packaging manufacturer that has taken steps to reduce the impact on its own supply chain. SoOPAK is a great example of this. To a certain extent, you can rely on their preparations to save your company the hassle.
The other crucial step to prepare is to plan as far ahead as you can. Product packaging is already an industry where you typically plan ahead, but you should take this to the next level. Add at least a few months of lead time to your packaging whenever possible.
You will also see significant benefits to your supply chain when you harness technology. Technology allows for more interconnectivity and lets you better track the materials and products you use.
Now that you know more about the supply chain disruption and how to deal with it, you can prepare your packaging supply so that your company won’t end up as just another upset link in the product chain.