OT- Supply Chain Meltdown

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Leeshouldveflanked

All-American
Nov 12, 2016
14,591
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Unless something changes, things about to get bad. Besides Water and TP, what else do we need to stock up on?
 
Nov 16, 2005
29,165
24,039
113
Fertilizer for your yard for next year. Big fertilizer suppliers in the Midwest have been telling customers expect to not have fertilizer next spring which sounds totally insane.
 

Leeshouldveflanked

All-American
Nov 12, 2016
14,591
9,725
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I know that some schools in Mississippi are already experiencing food/milk shortages due to lack of packaging. Oil companies are having trouble supplying packaged motor oil. Filter Companies don’t have raw materials to make filters for Trucks/cars. Rubber, Resins, plastics and not to mention Steel are becoming big concerns. An easy solution would be to deploy the military to off load cargo ships and transport but we can’t piss off Long Shoreman and Teamsters.
 

Dawgzilla

Redshirt
Mar 3, 2008
5,406
0
0
Its pissing me off personally, because I really need a new car. Prices came down slightly in August, but have bounced back up. I'm about to overpay by a few thousand.

Business wise it sucks because we never know what inventory will get delivered. At least customers are starting to understand. When this first started customers just thought we were incompetent and couldn't order correctly.
 

TNT.sixpack

Redshirt
Nov 4, 2014
819
43
28
Ok. This has been all over the news and I get that there's a shortage of labor in warehouses, etc..... that many workers aren't willing to work these jobs for the pay (it's on FOX news again right now as i type this). We had 4.3M workers quit their jobs in August. But no one has answered the question - what are these workers doing? It's a serious question. If the extra unemployment benefits were discontinued months ago, then what are these people doing for money to walk away from $15-$20/ hour jobs? What am i missing?
 

Maroon Eagle

All-American
May 24, 2006
18,547
8,499
102
Do your Christmas shopping now. Otherwise you’ll be giving and receiving gift cards (NTTAWWT).

Be aware though, if you have elderly parents who wonder about the gifts you set down where they traditionally go two months later, they will be opened & you will have to find more gifts.
 

CochiseCowbell

Heisman
Oct 29, 2012
15,551
14,229
113
Its pissing me off personally, because I really need a new car. Prices came down slightly in August, but have bounced back up. I'm about to overpay by a few thousand.

Business wise it sucks because we never know what inventory will get delivered. At least customers are starting to understand. When this first started customers just thought we were incompetent and couldn't order correctly.

I'm in the same boat with you on both accounts.

It is a bad time to buy a new (to me) vehicle, but we HAD to do it.

Just this morning I got a backorder notification email. These items are their staples, standards, the products they created that put them on the map, not rare items. And the lead times start at 3 weeks out, increasing from there.
 

xxxWalkTheDawg

Redshirt
Oct 21, 2005
4,262
0
25
Bottled Water packaging raw materials.

Get a Berkey water filter and a half gallon or so container to carry along. We used to buy a lot of bottled water for working outside, leaving the house, etc. This eliminated that hassle. The Stainless Berkey has been a very good investment. And it’s one of the best you can buy.
 

dorndawg

Heisman
Sep 10, 2012
9,320
10,579
113
Ok. This has been all over the news and I get that there's a shortage of labor in warehouses, etc..... that many workers aren't willing to work these jobs for the pay (it's on FOX news again right now as i type this). We had 4.3M workers quit their jobs in August. But no one has answered the question - what are these workers doing? It's a serious question. If the extra unemployment benefits were discontinued months ago, then what are these people doing for money to walk away from $15-$20/ hour jobs? What am i missing?


A) Just because somebody quit, doesn't mean they also didn't take a new job.

B) It's not the full answer, but here's a partial answer that hasn't received much attention: Economists expected about 1.6 million American workers to retire in 2020. The actual number came in at 3.6 million. Couple that with several hundred thousand Covid deaths (many were older retirees but not all) and the labor pool is simply much smaller than pre-plague.
 

MrKotter

Senior
Aug 22, 2012
923
610
93
Get a Berkey water filter and a half gallon or so container to carry along. We used to buy a lot of bottled water for working outside, leaving the house, etc. This eliminated that hassle. The Stainless Berkey has been a very good investment. And it’s one of the best you can buy.

Good advice on the Berkey. If you can still find them go for the bigger models. Otherwise, it will constantly need refilling. They disappear quickly anytime shortages are mentioned
 

MrKotter

Senior
Aug 22, 2012
923
610
93
Ok. This has been all over the news and I get that there's a shortage of labor in warehouses, etc..... that many workers aren't willing to work these jobs for the pay (it's on FOX news again right now as i type this). We had 4.3M workers quit their jobs in August. But no one has answered the question - what are these workers doing? It's a serious question. If the extra unemployment benefits were discontinued months ago, then what are these people doing for money to walk away from $15-$20/ hour jobs? What am i missing?

Read the bios of the morons on Biden's staff. That should lead you to your answer.
 

mstateglfr

All-American
Feb 24, 2008
16,818
6,637
113
I know that some schools in Mississippi are already experiencing food/milk shortages due to lack of packaging. Oil companies are having trouble supplying packaged motor oil. Filter Companies don’t have raw materials to make filters for Trucks/cars. Rubber, Resins, plastics and not to mention Steel are becoming big concerns. An easy solution would be to deploy the military to off load cargo ships and transport but we can’t piss off Long Shoreman and Teamsters.

So more is offloaded and then what?...for-hire warehousing around LA's port is statistically at capacity and understaffed relative to need. I cant speak as confidently on other ports.
 

Cooterpoot

Redshirt
Aug 29, 2012
4,239
2
0
So more is offloaded and then what?...for-hire warehousing around LA's port is statistically at capacity and understaffed relative to need. I cant speak as confidently on other ports.

It's 90% a transportation issue. NY is the same. Doubling the price of fuel hasn't helped either. I'll avoid criticism of Brandon.
 

AtlantaDawg

Redshirt
Nov 27, 2017
167
0
0
Serious question: Is this how it started in Venezuela? It seems that we are where Venezuela was in January of 2015 (Twitter Trend of "Empty Shelves in Venezuela")....

Would be interested in knowing if this is a similar path... "Build Back Better = Great Leap Forward"?

From Wiki:

During the presidency of Chávez, Venezuela faced occasional shortages owing to high inflation and government financial inefficiencies.[SUP][31][/SUP] In 2005, Chávez announced the initiation of Venezuela's own "great leap forward", following the example of Mao Zedong's Great Leap Forward.[SUP][32][/SUP] An increase in shortages began to occur that year as 5% of items became unavailable according to the Central Bank of Venezuela.[SUP][33][/SUP] In January 2008, 24.7% of goods were reported to be unavailable in Venezuela, with the scarcity of goods remaining high until May 2008, when there was a shortage of 16.3% of goods.[SUP][34][/SUP] However, shortages increased again in January 2012 to nearly the same rate as in 2008.[SUP][34][/SUP]

Maduro administration[edit]


Following Chávez's death and the election of his successor Nicolás Maduro in 2013, shortage rates continued to increase and reached a record high of 28% in February 2014.[SUP][35][/SUP] Venezuela stopped reporting its shortage data after the rate stood at 28%.[SUP][36][/SUP] In January 2015, the hashtag #AnaquelesVaciosEnVenezuela (or #EmptyShelvesInVenezuela) was the number one trending topic on Twitter in Venezuela for two days, with Venezuelans posting pictures of empty store shelves around the country.[SUP][37][/SUP][SUP][38][/SUP]


By May 2016, experts feared that Venezuela was possibly entering a period of famine, with President Maduro encouraging Venezuelans to cultivate their own food.[SUP][22][/SUP] In January 2016, it was estimated, that the food scarcity rate (indicador de escasez)[SUP][40][/SUP] was between 50% and 80%.[SUP][22][/SUP] The newly elected National Assembly, composed primarily of opposition delegates, declared a national food crisis a month later in February 2016.[SUP][22][/SUP] Many Venezuelans then began to suffer from shortages of common utilities, such as electricity and water, because of the prolonged period of mishandling and corruption under the Maduro government.[SUP][41][/SUP][SUP][42][/SUP][SUP][43][/SUP]

By July 2016, Venezuelans desperate for food moved to the Colombian border. Over 500 women stormed past Venezuelan National Guard troops into Colombia looking for food on 6 July 2016.[SUP][44][/SUP] By 10 July 2016, Venezuela temporarily opened its borders, which had been closed since August 2015, for 12 hours. Over 35,000 Venezuelans traveled to Colombia for food within that period.[SUP][45][/SUP] Between 16–17 July, over 123,000 Venezuelans crossed into Colombia seeking food. The Colombian government set up what it called a "humanitarian corridor" to welcome Venezuelans.[SUP][45][/SUP] Around the same time in July 2016, reports of desperate Venezuelans rummaging through garbage for food appeared.[SUP][18][/SUP][SUP][19]

[/SUP]
In August 2015, American private intelligence agency company Stratfor used two satellite images of Puerto Cabello, Venezuela's main port used for importing goods, to show how severe shortages had become in Venezuela. One image from February 2012 showed the ports full of shipping containers when the Venezuelan government's spending was near a historic high before the 2012 Venezuela presidential election. A second image from June 2015 shows the port with many fewer containers, since the Venezuelan government could no longer afford to import goods, as oil revenues dropped.[SUP][31][/SUP] At the end of 2015, it was estimated there was a shortage of over 75% of goods in Venezuela.[SUP][39][/SUP]
 
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kired

All-Conference
Aug 22, 2008
7,115
2,480
113
We had 4.3M workers quit their jobs in August. But no one has answered the question - what are these workers doing?

New job wherever the hell they want. Everyone is hiring. We have about 250 employees and lose someone almost every day. They aren't quitting to sit at home. They are getting a job with better pay. Places are giving ridiculous sign on bonuses and other perks.

We had one turn in his 2 week notice. Next day the new employer calls him and offers a $1000 bonus if he'll go ahead & start tomorrow. So much for that 2 week notice.

There are hiring signs & job fairs everywhere you look. There's so much competition right now for those $15-$30/hour jobs. If you're paying people the same rate you were last year, you're probably losing employees left & right.
 

GloryDawg

Heisman
Mar 3, 2005
20,562
19,144
113
You be ok on Paper. That new washing machine might be out of a question.***** I just wish I knew what toys were going to be popular and go out and buy a bunch of them now and then rip them a big one on eBay in December.
 

GloryDawg

Heisman
Mar 3, 2005
20,562
19,144
113
So more is offloaded and then what?...for-hire warehousing around LA's port is statistically at capacity and understaffed relative to need. I cant speak as confidently on other ports.

I saw a report last the over all work force decreased by 198K.
 
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xxxWalkTheDawg

Redshirt
Oct 21, 2005
4,262
0
25
^^This. I get a kick out people that complain about $4/gallon gas but willingly pay for $6/gallon water.

4 dollar a gallon gas wouldn’t be bad if it took a week to burn it. You don’t drink 6 to 12 dollars worth of bottled water on the way to work and 6 to 12 more home. And 100 bucks or more a day if you are in the transport business.

If you do.. you need to be checked for diabeetus.
 
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johnson86-1

All-American
Aug 22, 2012
15,127
5,668
113
Ok. This has been all over the news and I get that there's a shortage of labor in warehouses, etc..... that many workers aren't willing to work these jobs for the pay (it's on FOX news again right now as i type this). We had 4.3M workers quit their jobs in August. But no one has answered the question - what are these workers doing? It's a serious question. If the extra unemployment benefits were discontinued months ago, then what are these people doing for money to walk away from $15-$20/ hour jobs? What am i missing?

Those people quitting are largely quitting because they are getting poached. Everybody is hiring, so lots of workers are taking the opportunity to improve their position.

Some of those people are retiring.

Some of them are women that are choosing to stay at home because they figured out they liked it and/or because school closures have made it hard for them to work and/or the extra stimulus makes them think it's financially feasible to stay at home, at least for a while.

Some people are sitting at home temporarily because they've gotten thousands in stimulus money and extra unemployment benefits. Some people aren't going to save money regardless and they have a job that is more or less entry level and replaceable, so if they have a few thousand dollars and can take a couple of months off work, they'll take a couple of months off work. This is probably a pretty minor part of the problem, but it exists. We had an employee walk off the job and explicitly say he didn't need our job because he got his stimulus. He'll be back in the work force probably in the next few months if he isn't already, but at least for a while, that is somebody that has disappeared from teh work force.
 

mstateglfr

All-American
Feb 24, 2008
16,818
6,637
113
It's 90% a transportation issue. NY is the same. Doubling the price of fuel hasn't helped either. I'll avoid criticism of Brandon.

What is 90% a transportation issue? Are you claiming the shortages we have are 90% due to transportation?

Ports are backed up due to high freight volume. Local warehouses are backed up due to that high freight volume.
That isnt 90% due to transportation issues. Its 100% due to overall supply chain issues, of which transportation is included.

Manufacturers being half staffed or fully closed due to covid issues is an issue. Manufacturers slowing production due to unavailable key components/materials is an issue. Overwhelmed port warehouses that are understaffed on the shipping end is an issue. Containers being difficult to source in China is an issue. Backlog at domestic ports is an issue. Full warehouses near domestic ports is an issue. Domestic OTR driver shortage is an issue. Domestic IMDL freight surge is an issue. Freight rates are an issue. Understaffed domestic warehouses are an issue.

There is plenty more to cite too. It isnt just transportation though. Its every point along the supply chain.
 

GloryDawg

Heisman
Mar 3, 2005
20,562
19,144
113
50lbs of yeast and some copper line.

Copper and Aluminum is at a all time high. My son has been collecting copper wire for three years and storing it at my parents barn. Might be a good time to burn the rubber off and sell it to a scrap yard.
 

mstateglfr

All-American
Feb 24, 2008
16,818
6,637
113
Serious question: Is this how it started in Venezuela? It seems that we are where Venezuela was in January of 2015 (Twitter Trend of "Empty Shelves in Venezuela")....

Would be interested in knowing if this is a similar path... "Build Back Better = Great Leap Forward"?

From Wiki:

During the presidency of Chávez, Venezuela faced occasional shortages owing to high inflation and government financial inefficiencies.[SUP][31][/SUP] In 2005, Chávez announced the initiation of Venezuela's own "great leap forward", following the example of Mao Zedong's Great Leap Forward.[SUP][32][/SUP] An increase in shortages began to occur that year as 5% of items became unavailable according to the Central Bank of Venezuela.[SUP][33][/SUP] In January 2008, 24.7% of goods were reported to be unavailable in Venezuela, with the scarcity of goods remaining high until May 2008, when there was a shortage of 16.3% of goods.[SUP][34][/SUP] However, shortages increased again in January 2012 to nearly the same rate as in 2008.[SUP][34][/SUP][SUP]][/SUP]


Are you suggesting this is a global leap forward?...because shortages exist all over and not just in the US. If you want to blame shortages to Biden, have at it, but you need to then explain how its happening everywhere else too.
 

mcdawg22

Heisman
Sep 18, 2004
13,593
11,943
113
4 dollar a gallon gas wouldn’t be bad if it took a week to burn it. You don’t drink 6 to 12 dollars worth of bottled water on the way to work and 6 to 12 more home. And 100 bucks or more a day if you are in the transport business.
Oh I absolutely understand the big picture of it. I just don’t see how people pay that much for something that cost me pennies, especially since it’s one of the two things we have to have to survive as a human.
 

maroonmadman

Senior
Nov 7, 2010
2,530
853
113
There has been a big shift in jobs due to the pandemic. Folks who used to work in low wage service industry jobs found new employment as services like Uber, Lyft, Grub Hub, Waitr, and Door Dash came along and all you need is reliable transportation and you're your own boss and can set your own hours etc. I have several friends who worked in the offshore oil industry. When that shut down they got jobs at UPS, FedEx, DHL, etc (they are hiring like crazy and have relaxed formally tough hiring standards) and when their old employers called them back to work they said "No Thanks." I have other friends in the onshore oil industry that have just recently gone back to work because the price of a barrel of oil is back to where that operation is profitable. It seems to me that a lot of folks used the opportunities of the pandemic to move up the food chain a little. It would be interesting to crunch the numbers on who all shifted jobs as opposed to who all just quit working all together. I'm not claiming to have all the answers here just passing on my own personal observations and experiences.

As a side note, if any of you are in the market for a standby home generator be prepared to wait 6 months for said generator. Generac, Cummins, Kohler are all having supply chain issues and heavy demand for their products.
 

CochiseCowbell

Heisman
Oct 29, 2012
15,551
14,229
113
I married into a "ready made" family and they do not drink tap water. Not even from the fridge, that filters it. The amount we spend on bottled water is ridiculous. The two oldest have since moved out, but for a while there I thought I was living in the movie Signs with half empty bottles of water sitting everywhere!
 

Cooterpoot

Redshirt
Aug 29, 2012
4,239
2
0
What is 90% a transportation issue? Are you claiming the shortages we have are 90% due to transportation?

Ports are backed up due to high freight volume. Local warehouses are backed up due to that high freight volume.
That isnt 90% due to transportation issues. Its 100% due to overall supply chain issues, of which transportation is included.

Manufacturers being half staffed or fully closed due to covid issues is an issue. Manufacturers slowing production due to unavailable key components/materials is an issue. Overwhelmed port warehouses that are understaffed on the shipping end is an issue. Containers being difficult to source in China is an issue. Backlog at domestic ports is an issue. Full warehouses near domestic ports is an issue. Domestic OTR driver shortage is an issue. Domestic IMDL freight surge is an issue. Freight rates are an issue. Understaffed domestic warehouses are an issue.

There is plenty more to cite too. It isnt just transportation though. Its every point along the supply chain.

They have no way to move it all. It takes transportation to do that. I read an interview with the NY port group and they said there isn't enough transportation to handle it, so it sits there. We already knew there was a trucking shortage. Even the rail service is overwhelmed.
 
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dorndawg

Heisman
Sep 10, 2012
9,320
10,579
113
Serious question: Is this how it started in Venezuela? It seems that we are where Venezuela was in January of 2015 (Twitter Trend of "Empty Shelves in Venezuela")....

Would be interested in knowing if this is a similar path... "Build Back Better = Great Leap Forward"?

From Wiki:

During the presidency of Chávez, Venezuela faced occasional shortages owing to high inflation and government financial inefficiencies.[SUP][31][/SUP] In 2005, Chávez announced the initiation of Venezuela's own "great leap forward", following the example of Mao Zedong's Great Leap Forward.[SUP][32][/SUP] An increase in shortages began to occur that year as 5% of items became unavailable according to the Central Bank of Venezuela.[SUP][33][/SUP] In January 2008, 24.7% of goods were reported to be unavailable in Venezuela, with the scarcity of goods remaining high until May 2008, when there was a shortage of 16.3% of goods.[SUP][34][/SUP] However, shortages increased again in January 2012 to nearly the same rate as in 2008.[SUP][34][/SUP]

Maduro administration[edit]


Following Chávez's death and the election of his successor Nicolás Maduro in 2013, shortage rates continued to increase and reached a record high of 28% in February 2014.[SUP][35][/SUP] Venezuela stopped reporting its shortage data after the rate stood at 28%.[SUP][36][/SUP] In January 2015, the hashtag #AnaquelesVaciosEnVenezuela (or #EmptyShelvesInVenezuela) was the number one trending topic on Twitter in Venezuela for two days, with Venezuelans posting pictures of empty store shelves around the country.[SUP][37][/SUP][SUP][38][/SUP]


By May 2016, experts feared that Venezuela was possibly entering a period of famine, with President Maduro encouraging Venezuelans to cultivate their own food.[SUP][22][/SUP] In January 2016, it was estimated, that the food scarcity rate (indicador de escasez)[SUP][40][/SUP] was between 50% and 80%.[SUP][22][/SUP] The newly elected National Assembly, composed primarily of opposition delegates, declared a national food crisis a month later in February 2016.[SUP][22][/SUP] Many Venezuelans then began to suffer from shortages of common utilities, such as electricity and water, because of the prolonged period of mishandling and corruption under the Maduro government.[SUP][41][/SUP][SUP][42][/SUP][SUP][43][/SUP]

By July 2016, Venezuelans desperate for food moved to the Colombian border. Over 500 women stormed past Venezuelan National Guard troops into Colombia looking for food on 6 July 2016.[SUP][44][/SUP] By 10 July 2016, Venezuela temporarily opened its borders, which had been closed since August 2015, for 12 hours. Over 35,000 Venezuelans traveled to Colombia for food within that period.[SUP][45][/SUP] Between 16–17 July, over 123,000 Venezuelans crossed into Colombia seeking food. The Colombian government set up what it called a "humanitarian corridor" to welcome Venezuelans.[SUP][45][/SUP] Around the same time in July 2016, reports of desperate Venezuelans rummaging through garbage for food appeared.[SUP][18][/SUP][SUP][19]

[/SUP]
In August 2015, American private intelligence agency company Stratfor used two satellite images of Puerto Cabello, Venezuela's main port used for importing goods, to show how severe shortages had become in Venezuela. One image from February 2012 showed the ports full of shipping containers when the Venezuelan government's spending was near a historic high before the 2012 Venezuela presidential election. A second image from June 2015 shows the port with many fewer containers, since the Venezuelan government could no longer afford to import goods, as oil revenues dropped.[SUP][31][/SUP] At the end of 2015, it was estimated there was a shortage of over 75% of goods in Venezuela.[SUP][39][/SUP]

Venezuela at that time based their entire -*** economy on oil, which was then at record highs. The US economy is quite a bit more diverse - comparing it to Venezuela is like comparing apples and anchors.
 

mstateglfr

All-American
Feb 24, 2008
16,818
6,637
113
They have no way to move it all. It takes transportation to do that. I read an interview with the NY port group and they said there isn't enough transportation to handle it, so it sits there. We already knew there was a trucking shortage. Even the rail service is overwhelmed.

Ok, that is part of the issue. Again though- factories/plants have been continually shut down which has created interruptions and delays, but that isnt transportation. Factories/plants have been delayed due to waiting for components/ingredients/materials from other factories that have also had interruptions and delays, but that isnt transportation. Warehouses that are at capacity isnt transportation.
There is more to it than just 'not enough transportation'.
And yes, rail is overwhelmed- that is the IMDL(intermodal) I mentioned in the prior post.
 
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