Supply Chain Disruption & Business Impact

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The Challenge:

As operators begin their road to recovery and normality, supply chains have been struggling to cope.

The Reasons:

  • An estimated shortfall of around 100,000 HGV drivers in the UK at present.

  • Shipping delays have had a major impact on the availability of key commodities and product packaging.

  • Producers & Manufacturers have reduced capacity due to National labour shortage (particularly seasonal workers).

  • Pingdemic impact.

  • Brexit fallout has resulted in specific availability challenges and added costs.

  • Severe droughts in key countries.

What It Means to You:

  • Availability will be tight over the coming months.

  • Suppliers are having to pay higher wages to secure staff – particularly drivers.

  • The current market situation will inevitably lead to price increases.

What can you do to limit the impact?

  • If space allows, insert a statement on the menu describing the changing picture of buying food and beverage post covid?

  • Create menus that allow for a good level of flexibility, some products will simply not be available at times.

  • Do not invest in expensive menu printing at this time.

  • For events, keep the menu, dish composition, or description vague and price for a worst-case scenario in terms of ingredient sourcing.

  • Use freezer and storage space wisely, allowing you to take advantage of buying ahead when we can see specific product shortages or pending price increases – vegetable oil and chicken for example will be very expensive by end of September across all suppliers.

To discuss in more detail, please contact the team at the full range.