July’s civil unrest in KwaZulu-Natal and Gauteng cast the spotlight on the importance of agile supply chains.According to Sue Moodley, chairperson of the Harbour Carriers’ Association, civil unrest is an emerging risk in South Africa. “The transport sector in particular is a high-risk sector,” she said during an online conference. “Businesses need to be prepared and have risk management strategies in place to mitigate and cover potential losses.”Moodley said this was highlighted recently when violence broke out in several provinces in the country, bringing some supply chains to a complete standstill.Scenes of bulk tankers dumping thousands of litres of milk shocked many, but dairy farmers were forced to do this because the product could not be transported across the country because of the violence.According to the SA Milk Processors’ Organisation (Sampro), the violence in the country during July has had a long-term effect on the whole industry.KwaZulu-Natal, responsible for supplying at least 27% of the unprocessed milk produced in the country, saw its supply chain come to a complete standstill. Not only was the movement of milk affected, but so was the movement of concentrated feed required by dairy farmers.“Businesses must have emergency response and communication plans for these kinds of incidents,” said Moodley. “They also need to have platforms that share information, with workable contingencies in place.”Moodley said another important lesson learnt was the importance of regular insurance reviews to ensure that property, assets and cargo were adequately covered.“Revisit your cover, ensure that deductions are correct, and most importantly, make sure your business is covered by Sasria,” she said.According to Moodley, various methods are being used to keep cargo safe in the current risky times. “Drones are increasingly being used in large warehouses and logistics companies as a safety measure. Private armed security is another option to protect cargo, while many transport companies are travelling in convoys.”Moodley said in some warehouses containers were being placed back to back so that they could not be opened easily.GPS navigation was also playing an important role, she said, as drivers used this to find alternative route plans to avoid hotspots.“One of the impacts of the unrest is that some transporters have disinvested in KwaZulu-Natal and started running on routes outside the province. "Drones are increasingly being used in large warehouses and logistics companies as a safety measure.– Sue Moodley
