News / Supply chain players need a more flexible approach to using warehouses

ID 183247099 © Pojoslaw | Dreamstime.com

Retailers suffering supply chain problems caused by coronavirus should overhaul their warehousing strategy and introduce a more “resilient approach”.

This would mean abandoning the traditional just-in-time philosophy that prioritises lean inventory but often comes with high fixed costs during lower demand, and rapidly escalating costs during demand peaks.

In a white paper published this week, Steve Purvis, operations director at supply chain consultant Bis Henderson Space, says the coronavirus pandemic has caused both supply and demand shocks, which had led to a ...