Supply chain management: Navigating the global bearing shortage
30 June 2022
In March 2021, a huge container ship wedged across the Suez Canal caused severe disruption to global supply chains. According to one estimate, the blockage held up an estimated $9.6 billion of trade every day. For businesses that rely on global supply chains, a single event like this can wreak havoc.
When multiple factors converge, you can face a prolonged crisis. Here, Chris Johnson, Director of SMB Bearings, explains why the world is currently facing an unprecedented bearing supply shortage.
Events like the Suez Canal blockage have served to demonstrate the fragility of global supply chains over the last two years. This is especially so in manufacturing industries, like automotive, which rely on just-in-time logistics. Over the last decade or two, buyers have become accustomed to the convenience of quick deliveries from anywhere in the world, whether that is in a consumer market or in a B2B environment.
The supply shocks unleashed by the pandemic provided a painful exposure to the fragility of global value chains and both companies and governments are formulating new ways of operating in a post-pandemic world. For those that rely on miniature bearings, a series of factors have converged to create an unprecedented strain on supply...
Read the full article in DPA's July issue
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