Feb. 25, 2021 | This week's procurement news and insights for supply chain leaders Note from the editor Lead times are "unprecedented," in the words of La-Z-Boy CEO Kurt Darrow. Depending on the product, lead times range from five to nine months, and the backlog is a lot further out than Darrow said he'd like. Read about it here.
Raw material delays and capacity constraints aren't an uncommon theme these days. But at some point, consumers will lose patience with long lead times. Procurement leaders of consumer-facing supply chains will have to adapt if they want to keep inventory — and sales — flowing.
Adding plants and labor shifts is one way La-Z-Boy is aiming to cope. What would you do in this situation?
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Shefali Kapadia Senior Editor, Supply Chain Dive Twitter | Email Opinion Procurement leaders are tasked with identifying and correcting practices that are not sustainable. But they also must also go a step further. | The group said the retailer is overpaying for purchases in a sourcing agreement it has with a third-party agent, which accounts for 20% of its total purchases. | Deep Dive A shortage with no quick fix is shutting down production lines around the world, and capacity constraints at tier 3 put automakers' lean operations into question. | The furniture company reported order backlogs and a "long tail" of production and deliveries. | From Our Library View all resources What We're Reading Supply Management | Utility Dive | Reuters | PYMNTS.com | Spend Matters | Upcoming Event March 30, 2021 - March 30, 2021 | Webinar 11am ET | Dive Into a Topic |
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