Supply chain reaction

Which current supply chain challenges might affect your ability to do your job in the coming days, weeks, months and years?

Tariffs, labor shortages, catastrophic weather events, rising costs for fuel and energy, inflation, transportation and logistics constraints, global political unrest in Ukraine and the Middle East, port congestion, material shortages, cybersecurity threats … take your pick.

Is that all, you ask? Probably not. 

Golf courses depend on vibrant and efficient supply chains to deliver essential resources to maintain course conditions, serve members and customers, and operate effectively. It would be surprising to learn of any course that has not been affected by supply chain disruptions in the last few years.

AI and automation are significantly transforming supply chains, but experts are not forecasting a full return to normal any time soon. In the meantime, only the most naïve and inexperienced superintendents and managers are whistling past the graveyard and pretending that they’re not scared of the dark.

Three questions to ask key suppliers

How reliable do you consider your supply chain? The current uncertain environment demands that superintendents and managers ask their suppliers direct questions in hope of receiving a similarly straightforward response. Experienced and truthful sales professionals take ownership of their supply chain. Beware of someone who hides behind the bromide. Any relationship that seems shaky signals the need for urgent scrutiny.

Which products are on back order? What is the probability of an on-time delivery? Listen for a precise answer and watch for body language that shows uncertainty or equivocation.

How can you provide more visibility? Knowing the status of products from origin to delivery reduces risks by helping you anticipate potential disruptions and improve decision making. Technology gives your suppliers this information. Ask them to share. 

Managing risk

Current market conditions are fraught with risk. Four of the riskiest: 

Changing suppliers. Beware of those with shiny shoes who make enticing promises. Trustworthy relationships are the bedrock of any sound business partnership, especially in these times. 

Defaulting to the status quo. While it’s often unwise to realign your operation with untested suppliers, it’s equally risky to stay locked into familiar relationships. Building flexible and agile supply chains that can adapt offers a broader array of possibilities.

Not understanding your supply chain. Without a clear line of sight into your supply chain, your ability to anticipate problems is compromised. Product shortages, delivery delays, financial losses and increased costs are among the consequences.

Tariffs are a moving target. Understanding the confusing state of tariffs could take most of your waking hours. But staying informed through the help of the GCSAA and other trade organizations, as well as business leaders and elected officials, is a first step. Diversifying your supply chain by identifying suppliers in countries with lower tariff exposure and more stable trade relations with the U.S. is another strategy.

Speaking the new language of supply

As the supply chain landscape changes, so does the way we talk about it.

Friendshoring. Superintendents and their most trusted suppliers are often advised to follow their supply chains back to their original production. Historically, Canada and Mexico have been reliable — and friendly — source markets. However, new tariff policies have alienated many supply sources in these countries. Superintendents must understand the starting points of their supply chains and determine how to reduce supply risk.

Network optimization. Rethinking supply chain networks to find more efficient routes, suppliers and distribution centers is essential in these uncertain times.

Scenario planning. What if you receive a short-term notice of disrupted supply? What is your back-up plan? Developing plans for different tariff scenarios is smart and essential business planning.

Many aspects of supply chain management are out of our control. But by staying informed, asking the right questions and strengthening supplier relationships, superintendents and managers guard against the damaging effects of disruption.