The development of a new casino is a highly complex, multi-million-pound undertaking that relies on carefully coordinated supply chains. Whether it’s the transportation of gaming machines, building materials, or cutting-edge technology, casino projects are often working to tight schedules where even minor delays can have major financial and operational repercussions.
In recent years, global shipping delays have become increasingly common due to a variety of factors: congestion at ports, shortages of containers, disruptions to shipping routes, and, of course, the lasting impacts of the COVID-19 pandemic. These delays don’t just add to project costs; they can threaten to push opening dates back, affecting everything from investor confidence to regulatory approvals.
For those of us working in the gaming industry, it’s crucial to understand how to deal with these challenges and build resilience into casino development projects.I thought we should explore how shipping delays impact casino developments and what steps can be taken to manage these risks and ensure timelines are met.
The Causes of Global Shipping Delays
Global shipping delays are, unfortunately, becoming a regular feature of international logistics. While the reasons for delays are numerous, there are a few key factors that are particularly relevant to large-scale casino projects:
- Port Congestion: Many ports around the world are dealing with a backlog of ships waiting to dock and unload. This congestion is often caused by a combination of increased global trade volumes, labour shortages, and capacity constraints. For casino projects, this means key materials and equipment could be held up at port, delaying construction timelines.
- Container Shortages: During the height of the pandemic, global trade saw a significant disruption, and now, as economies recover, there is an imbalance in the availability of shipping containers. With demand outstripping supply, securing a container for critical casino components can be both costly and time-consuming.
- Labour Shortages: Another ongoing issue is the shortage of workers in key sectors, from port operators and warehouse staff to truck drivers. These shortages create bottlenecks along the supply chain, slowing down the movement of goods from suppliers to construction sites.
- Regulatory and Trade Barriers: On top of logistical delays, changes in international trade regulations, tariffs, and import/export restrictions can all create additional hurdles, especially when sourcing gaming machines and high-tech equipment from overseas.
While we can’t control many of these factors, there are steps that can be taken to mitigate the impact of delays and keep casino development projects on track.
Strategies for Minimising Shipping Delays
- Build in Buffer Time
One of the most straightforward but often overlooked strategies is to build buffer time into your project schedule. Rather than relying on ideal shipping timelines, project managers should plan for potential delays from the start, adding extra weeks or even months to account for disruptions.
This buffer time can be critical in preventing cascading delays. If key components arrive late, having a margin of time built into the schedule can prevent this from pushing back the entire project timeline, allowing work to continue without costly interruptions.
- Diversify Suppliers and Transport Options
Relying on a single supplier or shipping route for critical casino components can be risky. To build resilience, it’s important to diversify both your suppliers and the transport options available.
For example, some casino developers are now working with multiple suppliers for key equipment, spreading risk across different regions and ensuring that if one supplier faces delays, there are alternatives in place. Similarly, exploring different shipping routes — or even alternative transport methods such as rail or air freight — can help avoid the bottlenecks caused by congestion at key ports.
While diversification may come at a slightly higher cost, the increased reliability and reduced risk of delays can more than offset the additional expense.
- Use Technology for Real-Time Tracking and Visibility
Visibility is key when managing complex supply chains, and investing in technology that provides real-time tracking of shipments can make a significant difference. By knowing exactly where materials and equipment are at any given time, project managers can make informed decisions about how to adjust timelines or reroute shipments if necessary.
Real-time tracking systems can alert you to potential delays before they become critical, allowing you to take action early — whether that’s reassigning resources, adjusting delivery schedules, or finding alternative suppliers. This proactive approach can help minimise the impact of delays and keep casino projects on track.
- Work Closely with Logistics Partners
Strong partnerships with logistics providers can make all the difference when it comes to navigating shipping delays. By building close, collaborative relationships with your logistics partners, you can improve communication, gain more flexibility in scheduling, and explore creative solutions to avoid delays.
Some logistics providers, for instance, offer expedited shipping options for critical components, while others may have access to alternative shipping routes or priority docking at congested ports. By working together, casino developers and logistics providers can identify potential issues early and put contingency plans in place.
It’s also important to ensure that your logistics partners are aligned with your project goals and timelines, so that they are prepared to respond quickly to any disruptions.
- Leverage Regional Warehousing
Another strategy that’s becoming increasingly common in casino development is the use of regional warehousing. By establishing or partnering with local warehouses close to the development site, businesses can store critical components and equipment closer to the point of need, reducing reliance on long international supply chains.
This approach provides a buffer in case of delays, as materials that are stored locally can be delivered to the site on shorter notice, avoiding the delays associated with overseas shipping. While warehousing comes with its own costs, the flexibility it provides in mitigating supply chain disruptions can be invaluable for keeping projects on schedule.
- Negotiate Favourable Contract Terms
In the face of unpredictable shipping timelines, it’s important to ensure that your contracts with suppliers, logistics providers, and construction partners are flexible enough to account for delays. For instance, negotiating contract terms that include penalty clauses for late deliveries can help incentivise timely shipments and provide compensation if delays do occur.
Similarly, it’s worth negotiating flexibility in project timelines and delivery schedules to account for unforeseen delays, allowing you to make adjustments without incurring penalties or additional costs. Open communication and clear expectations with all stakeholders are key to ensuring smooth project execution despite delays.
Preparing for the Long-Term
As global shipping delays show no signs of disappearing, businesses in the gaming sector must be prepared to deal with these challenges for the foreseeable future. For casino developers, this means building resilience into every stage of the project, from sourcing materials and equipment to managing logistics and timelines.
While there’s no way to entirely eliminate the risk of delays, the strategies outlined above can help to minimise their impact and keep projects moving forward. By planning for disruptions, diversifying suppliers, and leveraging technology and strong partnerships, casino developers can mitigate risks and ensure that their projects are completed on time and within budget.