3 ms·
> If you have a consistent supply of something then a slow but lower cost delivery method is entirely sensible, as is switching to higher cost but faster method
by moooo99 4y ago
> If you have a consistent supply of something then a slow but lower cost delivery method is entirely sensible, as is switching to higher cost but faster methods when there have been interruptions.
It might make sense from an economical point of view, but not from a resilience point of view. Ignoring the chip shortages over the last two years, there have been major disruptions in ocean freight logistics. Given the relatively high value density and the crucial role of these components in the vehicle manufacturing process, making air-freight the default would have been a sensible choice as well. Despite the feasibility of alternatives
- ZeroGravitas 4y agoThe problem isn't that a ship got delayed with the chips on board, they threw out months of production at the factory due to a flaw before shipping them. So switching to air freight now is just boring and sensible (and would also work if a ship got delayed too, meaning the cheaper option is basically risk free).