How Supply Chain Challenges Can Affect the Metalworking Industry

September 22, 2024
A Boat Loading Metalworking Components - Supply Chain Challenges - Arrow Off Road CNC manufacturing Company

Over the last few years, the metalworking industry has experienced several threats or outright stoppages to the global supply chain. Public health concerns, lockdowns, overseas military conflicts, civil protests, global inflation, and other circumstances have tested the resiliency of shipping goods between destinations.

With roots in the metalworking industry going back to 1923, Arrow Off-Road has seen a century of supply chain challenges but has met each one with determination to fulfill our customers’ project requirements.  

Market Fluctuations In The Metalworking Industry

Metalworking has a history of undergoing shifts in trends, demand, customer expectations, and response to sudden, unforeseen crises. Global events can also trigger price volatility in raw materials and labour, cutting margins for suppliers, fabricators, and stakeholders. 

One of our most impactful moves to mitigate the impact of these fluctuations, secure margins, and protect the supply chain was to consolidate the entire fabrication process—from design to assembly—under our brand. This setup reduces the number of external stakeholders, helping ensure seamless process execution and management and preventing workflow collapse. 

Our end-to-end solution ensures agility and responsiveness to fluctuations, keeping our customer projects moving forward in any economic climate.

Variations In Supply And Demand For Metalworking Products

Demand for products seems more complicated to predict than ever before. Much of this variation in demand is due to the rise in technology, shifts in minerals, and the transition to clean energy. A change in demand can also trigger a lack of supply to keep up with new trends. For example, a sudden demand for metals such as copper and aluminum that align with new energy goals may cause a temporary shortage of these materials for many metal manufacturers.

An agile, dynamic supply chain is critical to responding to changes in supply and demand. Arrow Off-Road takes a proactive approach to supply chain resiliency by using predictive analytics to create and analyze possible future scenarios. This approach allows us to formulate effective responses when needed, thereby optimizing our reaction time to change.   

In addition, our sizable global footprint enables us to stay dynamic and easily scale or adjust based on our customers’ needs. In other words, when changing demands necessitate a shift in supply, we’ll already be ready for it. 

Sustainability In Metal Manufacturing

Producing metal goods can leave a significant carbon footprint, and the industry is seeing significant shifts to help it become more sustainable. We’ve been recycling and repurposing metal for years in an effort to optimize our carbon footprint, but more needs to be done to meet the expectations of a public that is becoming increasingly eco-aware.

With governments taking a heavier hand in driving a green energy transition, many fabrication suppliers are faced with a choice to protect their production supply chains: create metal products more sustainably or reduce production. We chose the former and have adopted practices that prioritize conservationism while supporting our production goals. For example, we reduced energy consumption by adopting cleaner production techniques such as laser cutting and water jetting. Additionally, we’ve promoted a shift to using stronger, lighter alloys in our customer projects, minimizing our ecological impact. 

These and other energy-efficient strategies help us stay aligned with the green energy shift, future-proofing our production supply chain. 

Read More: Metalworking’s Role In Environmental Sustainability

Labour Shortage

For years, business leaders have predicted a labour shortage in the skilled trades as older employees retire. This can result in downsizing businesses and fewer products in the supply chain, potentially triggering price volatility.

We’ve been able to leverage the rise of advanced technology to curb the shortage of skilled labour by investing significantly in cutting-edge software, automation systems, and robot technology to attract young people to our company. Gen Z workers are very tech-savvy and are comfortable working alongside robots/cobots, operating high-tech CNC machinery, and designing products using CAD software. 

Additionally, the new workforce isn’t content with being “background players” and expects to make a difference in how customer projects move forward and, ultimately, the direction of the company. We understand that sustainable success is the result of nurturing the next crop of leaders and take an approach of nurturing rewarding careers through skills development, providing job opportunities across all our divisions, and promoting internally.     

Arrow Off-Road: Protecting Our Supply Chain To Help Our Customers Grow

Our leadership follows our forefathers’ traditions of embracing technology, planning ahead, and adjusting to change to build supply chain resilience our supply chains, mitigating workflow disruptions and delivering customer projects on time and within their budget. 

As we move further into the 21st century, we’ll continue to anticipate and respond to significant change, making Arrow Off-Road your best choice for sustainable solutions that foster organic business growth.

Read More: Industry 4.0s Role In Off-Road Machining

Get A Project Quote From Arrow Off-Road For Your Next Design And Fabrication Project

Partner with Arrow Off-Road For precise machining, welding, and fabrication solutions customized to your requirements and application. Quickly request a quote for your next project to experience the Arrow difference in quality, precision, and service for yourself. Get in touch with us today!

Skip to content