The recent fire at the distribution centre of leading British online retailer ASOS is a textbook example in the importance of having an effective disaster recovery plan in place across your organization’s supply chain, in order to ensure business continuity says, Jonathan Gibson, Head of Logistics at supply chain consultancy firm Crimson & Co.
The incident, which occurred in late June at ASOS’s main distribution centre in Barnsley caused damage to 20 percent of the retailer’s stock, and consequently required the business to temporarily cease trading. Despite this the online retailer made an efficient recovery and was operational again in 48 hours. Gibson states that the impressive recovery strategy is an eye opener to fellow retailers, demonstrating the importance of implementing a structured plan that is able to identify risks across your business.
“The ASOS warehouse fire brings home the importance of having backup and disaster recovery processes in place across your organization’s supply chain. Ultimately, consumer’s sympathy for an incident such as this will only go so far, and if you are offline for a significant amount of time customer loyalty will waiver and they will start to look elsewhere.