Ever since the pandemic in 2020, kitchen and bath remodelers have been experiencing supply chain issues, a common problem in many industries, but more so for the remodeling industry that has customers that are eager to get their bathrooms or kitchens renovated.
It’s not uncommon to see lead times of six to eight weeks for cabinets and other fixtures these days, when it used to be a short seven to 10 days.
What is causing these continued delays for Bathroom and Kitchen remodellers and when are they expected to resolve? Let’s take a look.
Causes of Supply Chain Issues for Bathroom and Kitchen Remodelers
There are two main causes of the supply chain issues that are impacting bathroom and kitchen remodelers. The first is that there is an increase in demand. When people had to stay home for long periods of time during the pandemic, they realized they needed to upgrade their kitchen and/or bathrooms.
They either didn’t enjoy being in those spaces for longer than normal times or they discovered how out-of-date they were in terms of technology and style.
Whenever there is an increase in demand, there will be a corresponding shortage of supplies, at least until production can ramp up. But in the case of the pandemic, production became a casualty as well, with factories shutting down or experiencing severe staffing shortages.
This leads us to the second major cause of supply chain issues for remodelers: availability of raw materials and employees at manufacturing facilities. Even three years after the pandemic, manufacturers are still feeling the rippling effects of not being able to get the raw materials to their facilities to make the products.
Not only are there employee shortages at manufacturing facilities, but there have been shortages in all facets of the supply chain, from distributors to shipping companies, to trucking businesses.
Without employees to move the products along the chain, those products just sit for an indeterminate amount of time until it’s their turn to be moved to the next link in the chain. This takes time and adds to the amount of time you have to wait to get the products (eg. refrigerator) so you can install them in your customers’ homes.
Resolutions on the Horizon
Government entities have tried to address supply chain issues in all industries and the regulations they have put into place or have temporarily lifted will eventually get the supply chain moving again.
However, until that happens, everyone has to become more patient, from the manufacturers who need the raw materials, to the remodelers who order the final products, to the customers who can hardly wait to get their new bathroom or kitchen.
Supply chain issue resolution takes collaboration at every step of the chain and it may continue for a couple more years until the kinks are all worked out. Many industries are seeing things ease up even now, but remodelers are still having a hard time getting their products in hand.
Conclusion
Until the supply chain works itself out, bathroom and kitchen remodelers and their customers will need to be patient, but you can take steps to prevent a disruption like this from happening again. Expand your number of suppliers, have contingency shipping plans in place, and make sure you under promise and over deliver to your customers to keep them satisfied.
Article and permission to publish here provided by Patrick Otto. Originally written for Supply Chain Game Changer and published on July 30, 2023.
Cover image by Denis Basement from Pixabay