This year’s Automotive Logistics and Supply Chain North America Live conference revealed how a strong rebound in North American vehicle sales has taken the supply chain by surprise and exacerbated the misalignment in inbound supply and capacity caused by the Covid-19 shutdowns. Manufacturing is being hit by inbound parts shortages because of congestion at the ports and a lack of subcomponents, particularly semiconductors. Parts suppliers and vehicle manufacturers are working hard to meet demand despite these challenges but are doing so with a reduced labour force and under existing workplace safety protocols. As a consequence, inventory is not likely to start its gradual recovery until the end of 2021.
However, as automotive industry leaders revealed at this year’s conference, lessons learned from previous disruptions mean the automotive industry in North America is more agile and collaborative, something enhanced by the latest digital technology, more robust contingency planning and a talented workforce. Carmakers, suppliers and their logistics service providers have a range of new and different tools to help visualise the condition of the supply chain and react with speed and flexibility to mitigate risk. And as the finer details of the US-Mexico-Canada Agreement are ironed out, with a new administration in the US, the prospects for smoother trade both within the region and globally have improved. What this year’s conference also revealed is that there are positive steps being taken toward a more sustainable industry, both in terms of manufacturing and delivery, and in terms of the vehicles being delivered.
Director Production North American Region
Senior Manager Logistics North America
Senior Manager, North American Vehicle Logistics and Port Operations
Vice President, Global Materials, Logistics, and Demand Planning
Director of Logistics
Kuehne+Nagel has offset all CO2-equivalent emissions generated by event participants – including through energy, lighting and computer usage – through an investment in the Conservation Coast project in the Guatemalan Caribbean, the world’s largest grouped forest-based carbon programme. Your carbon offset helps to protect forests which are a critical migratory corridor for biodiversity between North and South America, as this small piece of land is home to as much as 10% of the world’s known bird species.
You can find out more information Net Zero Carbon programme here.
Identify and capitalise on opportunities to optimise supply chains, mitigate risks with practical insights and solutions on supplier management, freight and network capacity constraints across transport modes, load optimisation and inventory management, driver shortages, cross-border flows and more.
Future proof your supply chain and enhance your systems and processes through new innovations and technology that can revolutionise the sector, support the recovery and rebuild the North American industry stronger than ever.
Adapt and develop strategies and operations as North America undergoes seismic shifts such as the implementation of the new USMCA agreement, the growth of electric and alternatively fuelled vehicles, greener supply chain solutions and changes in consumer demands.
Understand the new dynamics of the supply chain and how OEM and tier suppliers’ production and logistics needs are changing, as well as the expectations that both traditional and start-up manufacturers have for logistics and technology service providers. Greater industry collaboration and stronger partnerships can accelerate the industry’s resurgence.