SUPPLY CHAIN


“We also need to allow time for new employees to be trained in order to meet the significant increases in demand that have taken place over the last 18 months,” Strickland says.


Avoid the pressure


There are ways growers can avoid feeling the pressure of the supply chain disruptions, global logistics issues and depleted work force.


Estrada encourages growers to work as far ahead as possible by predicting what they’ll need and placing an order as soon as possible.


To avoid feeling pressures of supply chain disruptions, global logistics issues and a depleted work force, growers need to plan as far ahead as possible. Photo: Valmont Industries Inc.


“Lead time is the biggest challenge we see, not only in the transportation area, but also the suppliers,” Estrada says.


Strickland says that global logistics will continue to be a concern and will likely exist for the next 18 to 24 months due to the pandemic and global unrest.


“We’re just following the market, and we’re all waiting for it to correct itself,” Estrada says. “But there’s always something that is influencing prices, the way we do business and the impact on the world economy that are potentially driving all these increases, and people are trying to somehow prepare for all of that. It’s never- ending.”


Labor complications


Manufacturers and suppliers are also experiencing a shortage in labor, exacerbating the supply chain and global logistics issues.


“As with many manufacturing companies, it’s been even more of a challenge to retain and attract new talent, especially with the low unemployment rate,” Strickland says.


18 Irrigation TODAY | Summer 2022


Estrada attributes this drop in employment to workers rethinking their lifestyles and making changes due to the pandemic.


“We’re having a lot of manpower issues, same as any industry and any company out there with this low level of unemployment and higher wages,” Estrada says. “It’s pretty hard to retain those employees after they feel they want to move.”


This has led many manufacturers and suppliers to rethink their treatment and retention of employees by offering competitive salaries and opportunities for development.


But even if a company is able to bring in new workers, the workers require proper training and adjustment.


“The more they can forecast or order in advance, the better prepared we will be, the better we will be able to partner and devise solutions to their needs,” Estrada says. “I think everything is moving in that direction of committing ahead of time and making purchases earlier.”


Similar to the toilet paper supply debacle that hit the U.S. at the beginning of the pandemic, Estrada asks for growers to buy what they need and not over-purchase out of fear of not having a product down the line. If everyone overorders, it could create a bullwhip effect within the supply chain.


“The bullwhip effect creates over- inventory in the entire supply chain, and that’s not good as well,” Estrada says. “We want them to buy what they need based on what they’re going to grow and need for their acreage.”


Strickland advises growers take advantage of dealer maintenance programs on their equipment, which would “reduce the likelihood of in-season repairs that could cause costly downtime if parts are not readily available.”


“The more they can forecast or order in advance, the better prepared we will be, the better we will be able to partner and devise solutions to their needs. – Carlos Estrada, Rivulis Irrigation-North America


irrigationtoday.org


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20  |  Page 21  |  Page 22  |  Page 23  |  Page 24  |  Page 25  |  Page 26  |  Page 27  |  Page 28  |  Page 29  |  Page 30  |  Page 31  |  Page 32  |  Page 33  |  Page 34  |  Page 35  |  Page 36  |  Page 37  |  Page 38  |  Page 39  |  Page 40