Geodis CEO Marie-Christine Lombard: Navigating New Hurdles In Global Supply Chains
The COVID-19 pandemic and escalating tensions between the U.S. and China have prompted companies to overhaul their supply chains. In response, logistics firms are venturing into new territories to facilitate changes in manufacturing and distribution strategies.
Reducing Risks by Moving Production: Easier Said Than Done
Marie-Christine Lombard, CEO of France-based Geodis, highlights the complexities involved in relocating production away from China. She discusses the challenges and the need to balance nearshoring and reshoring goals with environmental concerns.
Lessons from the Pandemic
Lombard reflects on the key takeaways from the pandemic, emphasizing the desire for reduced dependency on China. She explores the imperative of shortening product travel distances and the consequent shift in manufacturing trends.
Challenges of European and North American Production
Bringing production closer to European and North American markets presents several challenges. Lombard delves into the necessity of finding suitable manufacturers, proximity to raw materials, and affordable energy sources.
Exploring Alternatives to China
Lombard discusses countries that companies are considering as alternatives to China. She highlights Vietnam and India but underscores the challenges associated with India due to its infrastructure limitations.
Changing Dynamics in Transport
With manufacturing moving closer to consumers, Lombard discusses the transformation in transportation, emphasizing shorter distances and the need for eco-friendly solutions in the trucking industry.
The Complex Transition
Lombard acknowledges the increased complexity in global supply chains but suggests that once the transition is complete, it could lead to simplification and increased resilience.
In the face of geopolitical risks and trade barriers, Lombard expresses confidence in navigating the complexities of supply chain changes as a logistics company.
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