Cargo Delays, Supply Shortages, and Increased Prices Likely to Continue Through Q4

Supply chain managers seeking solutions to increase cargo throughput velocity are in for a rude awakening, says a prominent Syracuse University professor.

According to Patrick Penfield, a professor of practice in supply chain management and director of Executive Education at the Syracuse University Whitman School, supply chain managers should brace themselves for more challenges ahead, especially with holiday season approaching.

“Demand for products did slow down in July which allowed some supply chains to normalize. However, the third and fourth quarters of this year are going to be difficult for most U.S. manufacturers,” he says.

“The flooding in China and the Delta COVID-19 spread impacting Asia are starting to impede supply shipments. Manufacturers are going to need to brace themselves for more cargo delays, supply shortages and increased prices in the third and fourth quarters of this year,” adds Penfield.

He concludes that this is going to be a trying and stressful period for companies that are trying to keep up with demand during the holiday season…or what was formerly called “post-peak” calm.

“Unfortunately, the global supply chain is in crisis,” he says.

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