Supply chain managers expect problems to continue at least through 2024

| Posted by unionwear

    According to a survey conducted by CNBC, more than half of logistics managers do not expect the supply chain to return to normal until 2024 or after. Among other reasons, bloated inventories have kept warehouses packed, and respondents said they saw a 400% increase in warehouse prices as space decreases.

    Sixty-one percent of respondents said their current supply chain is not operating normally, compared with 32% that said it is functioning normally. When questioned when they see a return to normalcy, 22% were unsure, 19% said 2023, and 30% said 2024.

    The dour outlook comes after almost three years of global supply chain problems, which began with the Covid outbreak. Survey respondents said they are still placing orders six months in advance to ensure their arrival.

    When asked if they believed the Biden administration understood the challenges the supply chain was facing, 59% of respondents said it did not.

    Earlier this year, for example, the administration rolled out a pilot supply chain data sharing program called Freight Logistics Optimization Works, or FLOW. The Department of Transportation told CNBC there are currently 46 participants in the program.