COVID-19 and Its Effect on the Supply Chain
Although we are in the rebuilding and recovery stage after the COVID-19 pandemic, the supply chain has been experiencing challenges such as a massive shift in production, shipping, and delivery.
- Cotton producers and apparel manufacturers have been shut down due to violations or natural disasters.
- Cost of goods and shipping have drastically increased.
- The labor force is struggling to reengage.
- Normal shipping channels are experiencing extraordinary delays.
- Stock levels are inconsistent.
Working through these challenges, TK Promotions is committed to serve; making sure all our projects are handled with the care and attention to which our partners have become accustomed.
These setbacks are affecting every industry and the promotional products category is not immune. Chick-fil-a customers are being limited to one sauce per order and construction material costs are at an all-time high. While many brick and mortar retailers shut down during the pandemic, a shift to online ordering has created a backup at international shipping ports and created retail product shortages. Promotional products manufacturers have had difficulty maintaining stock levels and finding staff to fulfill orders has been problematic.
In this challenging time, our team has had to change our approach and practices as well. Due to these unprecedented circumstances, we remain vigilant and nimble to deliver our clients’ orders. Through our extensive supplier relationship network, we have become more creative in how we source product. Flexibility, open communication, and setting achievable expectations has always been a part of the TK fabric. In the current environment we have been even more proactive in the planning phase of projects and communicating appropriate lead times.
During this time of uncertainty (industry experts believe it could be ongoing through 2022), our intention is to get out in front of client requests as early as possible – especially when it comes to events or planning around specific dates. We are reminding our clients that the time to plan for holiday gifts is now through the end of August.
TK Promotions is working diligently to bring extra value to our relationships and take care of our client’s needs. Maintaining communication, flexibility, and grace is key when it comes to navigating this transitional period. Through true partnership you can depend on us to deliver.
Port Backlog in China Could Take Weeks to Clear, by Christopher Ruvo, June 24, 2021
COVID Is Breaking the Promo Industry Supply Chain, by Sean Norris, February 2021