Are You Ready for Hurricane Season?

Besides drowning a culturally unique and rich city, Hurricane Katrina caused significant supply disruptions, many of which had both short- and medium-term impacts across many segments of the North American economy. But perhaps the supply chain damages that Katrina wrought will be small in contrast to what is forecast for this year. According to the Associated Press, we're forecast to get "17 major storms and 9 hurricanes" five of which will be "intense". Indeed, 2007 is forecast to be a "very active season" with a 74% chance of a major hurricane making landfall on the U.S. Coast. Considering that the season starts today on June 1st, it's as good a time as any to think about contingency planning efforts based on the locations of suppliers, warehouses, and distribution facilities in areas that have the greatest probability of being impacted by a future storm.

Jason Busch

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