What are supply chain bottlenecks?
A supply chain bottleneck is a point, stage, or process in the supply chain that is preventing or hindering goods from moving through the supply chain as they should.
Some bottlenecks are small enough that the supply chain can keep running, albeit less efficiently. For example, say a warehousing conveyor belt breaks. While fulfillment workers can physically carry items to the correct location, this issue will slow down operations.
Others are so big that the supply chain grinds to a halt, and customers cannot get their orders. For example, in 2021, a massive cargo ship got stuck in the Suez Canal. This blocked hundreds of ships — and their cargo — from passing through, stranding businesses without their inventory and freezing their supply chains altogether.
Either way, supply chain bottlenecks cause delays, result in extra costs, and make it harder for a business to run effectively.
What are supply chain bottlenecks?
A supply chain bottleneck is a point, stage, or process in the supply chain that is preventing or hindering goods from moving through the supply chain as they should.
Some bottlenecks are small enough that the supply chain can keep running, albeit less efficiently. For example, say a warehousing conveyor belt breaks. While fulfillment workers can physically carry items to the correct location, this issue will slow down operations.
Others are so big that the supply chain grinds to a halt, and customers cannot get their orders. For example, in 2021, a massive cargo ship got stuck in the Suez Canal. This blocked hundreds of ships — and their cargo — from passing through, stranding businesses without their inventory and freezing their supply chains altogether.
Either way, supply chain bottlenecks cause delays, result in extra costs, and make it harder for a business to run effectively.
