PU E
SHI
NG Y L E NC
OU TO THE GATE OF EXC EL
Education is the most powerful weapon which you can use to change the world
,EXCELCENTRE LEARNING INSTITUTE 0846244729
WARNING: PLEASE NOTE THAT PLAGIARISM IS A SERIOUS ACADEMIC
OFFENSE, therefore students must use this document ONLY as a guideline. Hence
students have regenerated their own (personalized) solutions paying particular
attention to module contents as prescribed by module facilitators, lecturers and
supervisors. This document’s purpose is to compact all sources of information that
might be relevant to students’ assignments, hence additional knowledge on the
provided information is not restricted by the authors. However, submitting this
document as one’s final work is considered unethical, and students should be
penalized. If this document is plagiarized by the users and fails, EXCELCENTRE
should not be rendered accountable since the contents in this document only give
learners a kick-start on what is expected of them from their areas of specialty.
CAUTION: STUDENTS ARE NOT MANDATED TO USE EVERY DETAIL IN THIS
DOCUMENT IN WRITING THEIR ASSIGNMENT
Education is the most powerful weapon which you can use to change the world
,EXCELCENTRE LEARNING INSTITUTE 0846244729
Table of Contents
ADDENDUM A: Cover page ..................................................................... Error! Bookmark not defined.
ADDENDUM B: Honesty declaration ...................................................... Error! Bookmark not defined.
Introduction ............................................................................................................................................ 1
Operations and equipment halt.............................................................................................................. 1
High cost, budget constraining and damaged inventories ..................................................................... 1
Transportation ........................................................................................................................................ 2
Solutions to loadshedding....................................................................................................................... 3
Conclusion ............................................................................................................................................... 3
References .............................................................................................................................................. 4
3| P a g e Education is the most powerful weapon which you can use to change the world
, EXCELCENTRE LEARNING INSTITUTE 0846244729
Introduction
Loadshedding has been a common order of the day over the past few years. Although
the power supply authorities and the political leadership in the country are trying their
best to address this problem, already the economy is bleeding due to this endemic.
According to Badenhorst-Weiss, Cilliers, Dlamini and Ambe (2016) the damaging
effects of loadshedding are manifesting heavily in supply chain and logistics. Against
this backdrop, this assignment seeks to explore the effects of loadshedding to supply
chain, logistics and business operations of small businesses in South Africa. The
assignment will proceed to discuss the measures and strategies that these small and
medium business can take to mitigate the effects of loadshedding.
Operations and equipment halt
Most of the equipment used in productive process are powered by electricity. This
means that when there is loathing, the business cannot operate its machines and
equipment. This means that there is loss in production as the business cannot do any
activity during loadshedding. For instance, many small businesses in bakery industry
have been negatively affected by loadshedding. During loadshedding, the equipment
needed to mix the ingredients for brad and other bakery products run-down, and there
is no activity. If the time lost during loadshedding is to be combined, it can be noted
that the business loses considerable time without activity. This means that the
business would lose significant portion of activity.
High cost, budget constraining and damaged inventories
While loadshedding means lost production, loadshedding leaves a disparaging mark
of fiscal strain on the business. According to Ballou (2019) when the suppliers are not
operating during loadshedding, small businesses that rely on these suppliers have to
suffer stockouts as the suppliers are not producing and supplying inventories to small
business. Also, continued loadshedding means reduced production (Gupta, 2019),
which leads suppliers to rationing their supplies and many small businesses are not
able to compete with their large. They will be therefore forced to pay higher prices to
1| P a g e Education is the most powerful weapon which you can use to change the world