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Efecto látigo y cómo afecta el comercio del acero

What is the whiplash effect and how is it affecting the steel trade today?

The whip effect and how it affects steel trading

The whip effect is one of the most disruptive phenomena in distribution channels and is currently affecting the metal profiles and sandwich panel trade the most.

In an ideal situation, with total stability of demand, each link in the production chain would be able to manage its stock without problems and minimize costs. But the real world is not like that and there are always unforeseen events that affect this ideal situation.

To combat these unforeseen events, you always have a safety cushion to be able to respond to unforeseen events or sudden increases in demand, but nowadays it is reaching a much more difficult point.

Let’s imagine that we are used to buying every month 100 units of material for the manufacture of the sandwich panel, where we always have 100 units of security. If the demand doubled, we would be able to have the necessary product to manufacture insulating panel and continue to meet the demand, but in the next order of material we would have to order 300 units of material (200 to meet the new demand and 100 to replenish the safety stock).

 

Las grandes fluctuaciones en la demanda que se están viviendo hoy en día en productos de todo el mundo hacen que se viva este fenómeno de forma simultánea y que explican el incremento en costes logísticos, fluctuaciones en los precios y roturas de stock.

We are used to living this kind of situations, that is why we keep on meeting dates and guaranteeing the week in which sandwich panels or metal profiles will be manufactured. This does not mean that we are not affected, of course we are, but we have the resources, the experience and the personnel to be able to fight against this situation that is affecting all of us and that we hope will soon return to normal. Contact us

 

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