When you own a business, you know that there will be situations along your journey that create problems. Some of these are preventable, and some are out of your control.
Winter weather is unpredictable, but you can assume that delays will occur every year. Preparing for winter delays is a way to get ahead of supply chain problems and keep your customers happy. Keep reading to learn more about what to expect this winter and how to combat it.
Winter’s Impact on Supply Chain Delays
Depending on where your business operates, weather can have a variety of impacts on your company’s functionality. For those that operate under winter conditions, it’s inevitable that you’ll come across supply chain delays.
“Every winter, businesses encounter issues with equipment failing and needing updating, people calling out because their cars are snowed in, and roads being too dangerous to drive on. It’s not something that is always avoidable, but there are ways around these issues to avoid catastrophe,” explains Lioran Pinchevski, Founder and CEO of Finaloop who specializes in ecommerce accounting software.
How you go about preparing for these delays and what countermeasures you take while they’re occurring can greatly impact your business’s relationship with customers. Staying on top of potential supply chain delays can help keep your company afloat.
Extreme Weather
When extreme weather occurs, functionality across all kinds of businesses drops. Whether it’s the lack of lumber due to wildfires or extreme freezes that make driving impossible, it has a direct impact on a variety of supply chains.
“These [effects of climate change] are [an] enormous stress to many supply chains of companies and not just companies that are making physical products but in finance and services,” John Sterman, professor of management at MIT’s Sloan School of Management, says.
Extreme weather directly impacts employees and can prohibit them from working. It can also cause damage to facilities where your business functions and create delays in getting your products or services into the hands of customers.
Transportation Delays
When winter hits, it can take more time to travel from location to location, and more travelers are on the roads. Especially with the influx of transporting holiday items and gifts, more cars on the road with worse weather conditions is a pairing that’s bound to create a backup.
“Delays in transportation can start as early as October, even before the weather gets bad. Holiday shipments begin pouring in early as businesses stock up on various items, so preparing for winter storms and icy road conditions can help during peak shipping times,” shares Justin Rapoport, Co-Founder of TruHeight.
With more people on the roads, driving carefully to avoid bad conditions and giving yourself more time to ensure that all of your materials and parts may help you avoid supply chain delays.
Flu Season
Winter weather also brings colds and viruses. Beyond weather-related traffic delays, you may experience an uptick in employees calling out sick.
“Every year, there is a spike in sick days right around the time when the weather is bad — and the holiday season is around the corner. It’s like everything bad happens all at once, and businesses take the brunt of the damage,” laments Maggie Brown, Founder and CEO of Recess Pickleball.
You can mitigate sick day-related delays by hiring additional seasonal staffers, allowing remote work, and encouraging health-conscious behavior in the office.
Other Supply Chain Disruptions To Consider
Winter weather can be disruptive, but you have to be prepared for all kinds of disruptions during peak seasons. During the winter months, there is often a spike in cyber attacks that can disrupt how your business functions.
“On top of the weather and sickness, the holiday season brings out the worst in hackers. Not only does the company have to somehow prepare for unpredictable weather conditions, but they have to protect their business from online dangers,” explains Max Schwartzapfel, CMO of Schwartzapfel Lawyers.
Luckily, not everyone will be hacked during the winter months, but it’s not something to take lightly. Businesses are simply at a higher risk when operating during peak busy season.
Ways To Handle Supply Chain Delays This Winter
Preparation is key when it comes to the winter months and keeping your business running. While you can’t control the weather, you can try your best to stay prepared.
“Problems in the supply chain caused by fire, bad weather, or other natural disasters are the norm for those who manage supply chains,” says Kristin Dziczek, policy advisor at the Fed Reserve of Chicago.
People who manage supply chains are always prepared to make changes throughout the winter season. Every year, you should look through last year’s reports on issues your business had, the success it had, and any decisions you made that curbed winter delays.
Monitor the Weather
It may seem obvious, but monitoring the weather is one way to avoid supply chain delays this winter season. If you are aware of extreme weather coming up, you may want to avoid shipping out items until it passes, or push them out before the weather hits.
“Have a team member who checks the weather updates daily. They can keep an eye on winter storms, flurries, and blitzes so that the drivers can stay out of harm’s way,” advises Jonathan Zacharias, Founder of GR0.
Avoiding the roads when there could be dangerous conditions keeps the drivers safe and the products viable. If there is a delay, equipment freezes, or products are damaged as a result of the weather, it takes more work to replenish those materials than it does if your business waits.
Build Back-Up Inventory
Leading up to winter, it may be a wise idea to build a surplus of goods. In case of an emergency or if products do become damaged, having extra on hand can limit the amount of time your business needs to get up and running.
“Some businesses’ workers will put in overtime in the weeks leading up to the winter months to help boost inventory and check equipment so that it’s functioning properly. They know that there is the possibility for products to be damaged and equipment to malfunction – it always happens around the busiest time of the year!” explains Shaunak Amin, CEO and Co-Founder of SwagMagic.
If you’re able to create extra supplies for the winter, you won’t have to worry about not having enough product for your customers when delays happen.
Identify Potential Risks
Before winter arrives, you need to have a plan in place for disruptions. If you’re able to identify the risks you could come across, you’ll be prepared if they do arise.
“Weather is always a potential risk, but inflation, a global pandemic, or sickness can’t always be predicted. Keep in mind that anything could happen in your business, and coming up with even the shortest of plans on how to manage these problems can help you to manage potential risks,” says Asker A Ahmed, Director of iProcess Global Research.
Have a plan in place for anything that could cause you a delay. In this scenario, there’s no such thing as being too prepared!
Diversify Your Suppliers
You can’t rely on just one supplier to help you during the busiest time of the year. If your only supplier suffers a supply chain issue on their end, it will have a direct impact on your own business.
“During the winter, businesses often take on a few extra suppliers. This ensures that the company is able to access all of the products that are needed to keep running,” states Miles Beckett, Co-Founder and CEO of Flossy. “Anyone can be hit by delays, so you can’t rely on just one vendor to help you function.”
When you have products coming in from different suppliers, your business doesn’t have to suffer if one supplier experiences delays.
Manage Your Time
Winter delays should be expected. Because of this, your business should be well prepared and keep to a specific schedule.
“As soon as November rolls around, businesses are put in high drive. Preparation for delays starts then so that there are as few issues as possible throughout the height of the severe weather. If you don’t manage your time well, you will fall behind,” cautions Maegan Griffin, Founder, CEO and nurse practitioner at Skin Pharm.
Keeping a strict schedule and working overtime may be necessary during a bad winter. Falling behind only lowers business morale and causes stress among your employees.
Communicate With Your Customers
Your customers are the ones who rely on your readiness to handle winter weather and supply chain delays. They aren’t always privy to the same information that you are given, so it’s important to pass down the news of these kinds of delays effectively.
“When the customers are unhappy, it doesn’t matter how much work you put in to curb the delays. Communication is key. They want to know that the business they are purchasing from has their back and respects their needs. Sending out emails and notifying your customers when there is a delay can help to keep them satisfied and updated,” says Saad Alam, CEO and Co-Founder of Hone Health.
Setting up newsletters for your customers or reaching out directly improves the relationship that you have with them and can help you from losing money.
Don’t Let The Winter Stop Your Business From Thriving
Winter can feel long and tough, but by taking these precautions, you don’t have to think about how delays will affect you. Keeping up with the weather, making necessary changes during peak season, and constantly improving the relationships that you build with your customers will help you to have a smooth and successful winter season!
