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Happy Chinese New Year (Year of the Dog)!

If your supply chain extends into China (most do, even if you’re not buying directly) here are the approximate dates you need to be concerned with based upon this year’s calendar and my own past experiences with many suppliers in the Shanghai, Ningbo and Fuzhou areas…

FEB 8TH–15TH – Preparation for the new year begins on February 8th, 2018, and lasts until New Years Eve.  Many suppliers start letting employees leave for home during this period so they can arrive in time for the actual holiday.  There will be a “mad dash” during this time frame to get all possible shipments to the ports before the final cutoff dates.

FEB 16TH–26TH – Spring Festival – Chinese New Year officially begins on February 16th, 2018, and ends on March 2nd.  Basically, nothing happens or moves during this time frame.  You may be able to get a high level manager or owner on a cell phone but otherwise communications will be very unreliable.  Don’t expect e-mails to be answered until after the 26th.  No containers will be loaded, no ships will depart, etc.

FEB 27TH–MAR 2ND – Lantern Festival – Preparations begin the 27th, and the Lantern Festival is held on March 2nd.  Just an extension of CNY.

Beginning the 28th employees will be returning, communications will return to normal and production will begin again.  As with virtually all manufacturing operations there will be hiccups and issues during the startup period.  Shipping will return to normal soon.

In short, while the actual CNY holiday is only about 10 days or so, the disruption to service is usually about a month in duration.  Hopefully you’ve planned accordingly and will weather this annual storm with ease.

More later!  Have a great January and February!

Oh, and don’t forget the relatively minor impacts of Tomb Sweeping Day April 5 – 8 and May Day April 28 – May 1.  These pale in comparison to the CNY disruption but it’s wise to have them in your calendar to avoid surprises.

Ernie

 

What can North Star Supply Chain do for you to make 2018 a more profitable year?

Happy New Year!  Let’s help each other create a great 2018!

North Star Supply Chain is specifically focused on helping small to medium sized independent manufacturing and distribution companies improve their Supply Chain functions.

If you are too small to run an ERP system or you don’t feel like yours is working properly don’t worry.  Improvements can still be made while working out the ERP kinks.  We can help you with…

  • Sourcing Strategies
  • Material Cost Reduction Projects
    • Large – when time is of the essence
    • Small – we can work on the things you don’t have time for
  • Purchasing Processes
    • Write or Review
  • Replenishment Ordering Processes
  • Supplier Development / Management
    • Domestic or Offshore
  • Materials / Inventory Management Processes
  • Inventory Control Processes
  • Forecasting Processes
  • Excess & Obsolete Identification / Disposal
  • Freight / Transportation / Logistics Processes
  • Transportation Cost Reduction Projects
    • Procedures make a big difference
    • Transportation Management System (TMS)
      • Get better rates through competition

If you don’t see what you need just ask, with over 30 years of diverse manufacturing and distribution experience we’ve probably done it…

Thanks for reading!  I’d love to hear from you with comments and ideas.

Ernie Southers, MBA, CPIM

Reducing Complexity in the Supply Chain

Hello everyone, this is our opening post, welcome to our website, I hope you enjoy it and enjoy the topics we discuss here.

Our first topic is Complexity in the Supply Chain.  Complexity can be understood as multiple colors, different sizes, other attributes where a customer or manufacturer must make a choice before proceeding.

Complexity adds cost.  Complexity can also add revenue and profits if handled properly through the Supply Chain.

In coming posts I will discuss the topic of Complexity in more depth and offer some simple ideas to help limit the phenomenon.

Thank you for visiting!

Ernie