Supply Chain Issues

Supply Chain Issues And Production Backlogs

DUE TO THE STATE OF COMMERCIAL MANUFACTURING, RAW MATERIALS AND UNPRECEDENTED DEMAND; ALL SHIPPING DATES HEREIN ARE ESTIMATES ONLY AND SUBJECT TO CHANGE.

 

Post pandemic choke points and economic strains are causing major backlogs across all sectors.  The commercial industry is one of those being impacted by several supply chain disruptions including, slowed production times, logistical issues, increased demand, raw materials and labor shortages. Core commodities needed to produce furniture, electrical outlets, park amenities, playground equipment and etc are in high demand and low supply.

 

To prepare for the upcoming needs and projects; contractors and or purchasing departments should be prepared for delays and place orders as early as possible.

Unfortunately, buying in 2021 is about planning ahead and being flexible with product choices.  In addition to raw materials shortfalls, products are taking longer to arrive due to these logistical constraints, labor shortages and shipping delays

 

At Outdoorsiness.com, it is our recommendation to place orders as early as possible in order to get in queue with our manufacturers.  Waiting is only leading to further delays and price increases due to manufacture surcharges and material costs.

 

Heavy Box Delivery

There are many factors causing turmoil in the supply chain. Here’s a look at how the outdoor hospitality industry will be impacted:

Cedar Furniture and Park Supplies – Steel, lumber and plastic shortages are driving price increases on just about every item. All three of these material industries were forced to scale back during the pandemic and were unable to keep up to the explosive demand that followed.  Until production meets demand, some items will remain at elevated lead times. 

Cedar is also greatly effected due to the importation of natural cedar from Canada.  Canada, is still facing many covid constraints including lock downs, essential business shut downs, unemployment and driver shortages


RV Outlets– Supply chain constraints along with unprecedented demand has led to a major backlog of RV pedestals that could last well into 2022. This will impact all rv outlets causing unpredictable lead times. Rising costs and limited availability of these products could prevent many RV park operators or new developments major delays in openings.

Freight truck driver shortages coupled with the fallout of the Colonial Pipeline cyber hack have also caused major logistical strain.  You should expect extended lead times and increased in shipping as well.

How long will these issues continue? It’s possible that these supply chain disruptions could have long-lasting ripple effects. However, most economic forecasters expect the supply and demand mismatch to be short-lived. Once companies optimize their workforce size and ramp up production, we could see normalcy return by the end of the year.

 


If you have any questions or concerns, we encourage you to CONTACT US!

 


WhiteHouse.Gov - Why the pandemic has disrupted supply chain:

https://www.whitehouse.gov/cea/blog/2021/06/17/why-the-pandemic-has-disrupted-supply-chains/

Businessinsider.com - Why we are in a container & global trade crisis:

https://www.businessinsider.com/shipping-crisis-causing-shortages-why-2021-6

Reuters.com - Manufacturing backlogs, raw material; labor shortages mounting

https://www.reuters.com/world/us/us-manufacturing-sector-picks-up-may-work-backlogs-rising-ism-2021-06-01/

Businessinsider.com - US shipping crisis is not going away as 33 cargo ships float off the coast of LA waiting to dock

https://www.businessinsider.com/cargo-ships-waiting-to-dock-california-contributes-supply-chain-crisis-2021-4