Supply Chain Bottlenecks Creating New “Logistical Hotspots”

28 Sep 2021


Most businesses have not escaped supply chain challenges over the previous 12 months. When everyone expected COVID-19 to slow demand, it accelerated demand to a point where supply chains were stretched to their limits. But it not just COVID — the winter storm of 2021 reduced Texas’ capacity to refine petroleum, which created a ripple effect for a reduced ability to manufacture nearly all paints. Major manufacturers of cushion foam were also hit by a hurricane, causing multiple industries to temporarily shut down for repairs, which has exacerbated the shortage due to high demand. Currently, many companies, both large and small, continue to have threats of shortages or product delivery delays. The point to understand is while one event can cause a shortage, multiple events can cripple a supple chain.

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