Wednesday, April 18, 2012

Shortage in major suppliers

Link: Resin shortage set to hit automakers

On Procurement Leaders website, there is an article about automakers may be hit by resin shortage. I found this interesting because it shows how one supplier's failure can affect the whole industry of automobiles. However not an disruption has been witnessed by many automakers. I am sure they all have their disaster recovery plan for situation like this such as inventory safety stock and backup suppliers. Just like Mike Gross said, any impact on Toyota's production is unknown. This is going to be a real challenge for the automakers...

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