Entering 2022, one question on shippers’ minds is “Where did integrity go, and will we get it back?”
Integrity is a strong word and is used across the spectrum of human and machine behavior. In the global supply chain, the term is used to refer to schedule integrity and data integrity, but shippers also talk about vendors and carriers in terms of their level of integrity — i.e., the incorruptibility or soundness of their business practices.
In 2021, the global supply chain lost integrity on all fronts. The factors that have created the chaos are well understood; the same risks existed before the COVID-19 pandemic, but the general state of overcapacity prevented disruptions from turning into genuine crises.
Now, shippers and transportation providers alike are scrambling to move cargo on a day-to-day basis and find solutions that will work.
The Wine and Spirits Shippers Association (WSSA) manages more than 25 service contracts with nearly every ocean carrier to and from virtually everywhere in the world. Beverage alcohol is a popular item, deemed essential in every country, putting the movement of wine and spirits on level with personal protective equipment (PPE), a fact we probably should not be proud of but one that certainly kept WSSA busy in the last 18 months.
During this period, some carriers have performed flawlessly, honoring rates and allocations and apologizing for schedule disruptions and service failures. Many others, however, walked away from contractual agreements, following the money without remorse or apology for their complete breakdown of service.
In the coming year, WSSA members are looking to bring integrity back into conversations with carriers, truckers, and terminals after learning the hard way that accountability goes out the window during a crisis. Going forward, shippers should look to tighten up contracts, including considering mutual commitments, and honor those carriers that have maintained their integrity.