Time sensitive contingency for major OEM reveals hidden risks of supply chain balancing

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Contingency LogisticsContingency PlanningSupply Chain Disruption

Automotive supply chain complexity demonstrates benefits of agile emergency logistics partner

An ultra-time sensitive trans-European project completed by Evolution Time Critical has highlighted the risks associated with the increasingly common trend of supply chain balancing.  The emergency logistics specialist has been required to devise, implement and deliver a vital contingency that bridged a potential supply chain fracture for a major vehicle manufacturer. As resolute supply chain balancing becomes more commonplace, working with an agile emergency logistics partner can provide a robust operational safeguard.

“Supply chain balancing is a vital method of maintaining stability within modern, streamlined, single-source-driven automotive supply chains, but inherent problems exist that can exacerbate challenges and which are not always immediately spotted,” says Evolution Time Critical managing director, Brad Brennan. “For example, we were contacted by a major vehicle manufacturer facing line stoppage if vital material stocks were not replenished during the night following a supply failure. A simple resourcing of stock from an alternative location was made more complicated by handling and timescale limitations: the Class 3 UN1993 hazardous material had previously been transported by road so its packaging was not suitable for the air charter that was required due to a fast-approaching deadline.

“Evolution Time Critical arranged late night specialist dangerous goods packaging and an alternative origin airport due to the out-of-hours requirements of this project,” continues Brennan. “We also checked legislative variations and made arrangements for the production of a Dangerous Goods certificate, ensuring safe passage of the materials via road and air, minimising the risk of further delays, thus balancing stock to provide sufficient materials to maintain production in both locations.”

The viability of this time sensitive solution and ability to overcome the hidden difficulties intrinsic to supply chain balancing would have been severely compromised without the supply chain visibility that prevails in 2016. Clarity throughout this vehicle manufacturer’s OEM operations enabled Evolution Time Critical’s team of analysts to swiftly assess the options for successful resolution before implementing the most robust course of action.

The automotive industry is now more time-contracted than ever before, with a greater number of launches, more intensive production and strategic supply chain balancing placing greater pressure on suppliers and their logistics network. The ability to work with an emergency logistics specialist such as Evolution Time Critical, which is accustomed to working in a high pressure environment and has a multimodal capability that can be tailored to time-sensitive situations, provides vehicle manufacturers and OEMs with a vital production failsafe.

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