Rogue Waves: The Unpredictable Partner in the Logistics Supply Chain

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Rogue waves, also known as “freak waves” or “monster waves”, are massive, spontaneous ocean waves that can be up to 100 feet tall. They are a natural phenomenon that can occur in any body of water, including oceans, lakes, and even rivers. These waves can cause significant damage to ships and other vessels, and they can also have a major impact on the supply chain and logistics industry.

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Rogue waves shipwreck schedules

One of the primary ways that rogue waves affect the industry is by causing delays in shipping and transportation. When a rogue wave strikes a vessel, it can cause significant damage, resulting in repairs and maintenance that can take weeks or even months to complete. This can delay the shipment of goods and products, causing disruptions throughout the supply chain.

For example, in June 2018, a container ship called the YM Efficiency may have encountered a rogue wave off the coast of Newcastle, Austrialia after departing from Japan. The wave caused a whopping 81 shipping containers to fall overboard and another 62 to incur damage, resulting in significant delays in the delivery of the cargo. The incident also highlighted the risks associated with rogue waves and the importance of investing in specialized equipment to withstand extreme weather conditions.

Rogue waves make a splash!

Additionally, rogue waves can also cause cargo to be permanently lost or damaged during transit. See above… containers in the ocean probably can’t be entirely recovered…

This can result in financial losses for the companies involved, as well as more severe delays in delivering products to paying customers. In some cases, entire shipments may need to be rerouted or canceled altogether, resulting in further disruptions and losses.

Specialized gear: wave essential

Another way that rogue waves can impact the industry is by dramatically increasing transportation costs. In order to mitigate the risk of rogue waves, shipping companies may need to invest in specialized vessels and equipment that are designed to withstand these extreme conditions. This can result in higher operating costs for these companies, which may be passed on to customers in the form of higher shipping rates.

Some investments may be reinforced hulls to withstand the impact, ballast systems to stabilize the vessel in rough seas, advanced navigation systems to detect and avoid rogue waves entirely, and emergency response systems and procedures to quickly address any damage or incidents that occur during transit.

Insurance rates go brrrrrrrr… 💸

Companies that insure shipping vessels and cargo may need to adjust their rates and coverage to account for the increased risk of these waves. This can result in higher insurance premiums for companies that rely on shipping and transportation to move their products.

There is currently limited scientific evidence to suggest that rogue waves are becoming more frequent or intense due to climate change. However, some studies suggest that climate change may lead to changes in ocean currents and weather patterns, which could potentially increase the frequency or intensity of rogue waves in certain regions. Some research has also suggested that the rising sea levels associated with climate change could result in more rogue waves near coastlines and in shallow waters, where they can cause the most damage to ships and other vessels.

Insurance companies are likely well aware of these studies as well!

Preparation for the worst-case scenario

To mitigate the impact of rogue waves on the industry, companies can take several steps. For example, they can invest in specialized equipment and vessels that are designed to withstand extreme weather conditions, including rogue waves. They can also work with their transportation providers to develop contingency plans in the event of disruptions caused by rogue waves, such as rerouting shipments or adjusting delivery schedules.

Rouge waves are a natural phenomenon that can have a major impact on the supply chain and logistics industry. By understanding the risks associated with these waves and taking proactive measures to mitigate their impact, companies can help ensure the safe and efficient delivery of their products to customers around the world.

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