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CHALLENGES FACED BY THE SUPPLY CHAIN

When you are looking for a transportation partner for your supply chain, you are looking for a reliable partner and can deliver on time. However, Trucking company Toronto faces its own set of challenges. Sometimes, even when you team up with a reliable partner, certain difficulties might arise. Following are some of the challenges which could occur.

Weather Conditions

Bad weather is something that can’t always be predicted. The winters in Canada are highly unpredictable. Spontaneous thunderstorms can impact the timely delivery of goods. Sometimes this can have a severe impact on your business. When looking for a transportation partner, you need to consider how they deal with this very common challenge related to cargo traveling by road. The company must keep itself to up to date with the weather predictions, especially of the regions that fall in the route. This can help estimate the delivery time irrespective of how the weather turns out to be in reality. It is always best to have backup plans in place. As weather and emergencies arrive without any notice, having an emergency plan always comes in handy.

Hike in Fuel Prices

Fuel prices are never stable. They keep rising and falling for multiple reasons. Whenever the costs of fuel rise, the companies which use gas then have to allocate more funds to fuel their vehicles and keep their business moving. Sometimes the unprecedented hike in fuel prices can also force the companies to take various steps, including a cut in wages. It can also force companies to hike prices for their products and services.

Natural Disasters

Canada is not a country that experiences earthquakes as often. The chances of transportation being interrupted due to that are also relatively low but not negligible. It is always best to have a precautionary plan in place to deliver the goods safely, even when there is an earthquake.

Environment Regulations

Global warming is a real threat that is impacting everyone across the globe, and all the counties need to do their bit to undo the damages and prevent any further damage to the environment. Canada is doing their bit to reduce greenhouse gas emissions with the help of Environment and Climate Change Canada. Due to this, big businesses are being provided with incentives to adapt and reduce their overall carbon footprint. According to the Canadian Manufacturers and Exporters report, the carbon dioxide emission from supply chains is about 50%. The pressure from the international climate committees is on the rise, putting more pressure on businesses to be more environmentally conscious. The companies need to work on reducing greenhouse emissions.

Analytics

The world of data has revolutionized the logistic industry. Though data tracking has made many things easier, more complications have arisen in the supply change. For example, the shippers need to constantly track and enter the data so that the exact location of the freight is up to date.

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