Shipping and Logistics: Fashion Industry’s Response to Supply Chain Disruptions
Background: The global fashion industry has faced significant supply chain disruptions due to events like the COVID-19 pandemic and geopolitical conflicts. These challenges have led to increased costs, delays, and logistical bottlenecks.
Procurement Strategies Implemented:
- Nearshoring Production: Brands have moved production closer to key markets to reduce lead times and transportation costs.
- Diversifying Suppliers: Companies have expanded their supplier base to mitigate risks associated with relying on a single region or supplier.
- Tightening Inventory Controls: Enhanced inventory management practices have been adopted to better align supply with fluctuating consumer demand.
Outcome: These strategies have helped fashion brands navigate supply chain challenges, though vulnerabilities remain, necessitating ongoing adaptation and resilience planning.
These case studies illustrate how companies in the retail, manufacturing, and shipping and logistics industries have adapted their procurement strategies to address evolving challenges and enhance supply chain efficiency.
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