Articles
Commentary
Ports Can Help Ensure Ship-Shape Supply Chains
As shippers see their business volumes increasing even as revenues lag, it becomes more important than ever for ports to focus on reliable and prompt service. Shippers are entitled to a high level of service, and they should be able to expect that their ports of call will take a proactive role in managing the […]
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TAPA Standards Safeguard Cargo
Cargo theft is a major concern for high-value, high-risk product manufacturers and their logistics service providers. In the third quarter of 2011 alone, 263 cargo thefts of building/industrial, electronics, and consumer care products occurred in the United States, according to logistics security firm FreightWatch International. One way to help ensure cargo safety in storage facilities […]
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Containerization’s Benefits Can’t Be Contained
Today’s leading companies are reexamining their supply chain operations, and implementing new strategies and technology to improve performance and enhance efficiencies. Moving cargo in containers, or containerization, is one area of opportunity shippers can leverage, not only in downstream transportation and logistics functions, but also in unexpected upstream supply chain planning functions. In its simplest […]
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Don’t Be Afraid Of Product Lifecycle Assessment
Sustainability, carbon footprint, and lifecycle assessment (LCA) are becoming common discussion topics in the boardroom. These terms often generate fear as well as discussion, as executives worry about how their company will stack up against competitors, how much an environmental impact analysis will cost, and whether the measurements will be accurate. The benefit of analyzing […]
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Blazing Trails from the Crossroads of America
Missouri’s transportation system is an essential component of many industries, and the heartbeat of everyday life, working as a conduit between its rural areas and its big cities. But, because it’s always there, it can be easy to take the state’s transportation infrastructure for granted. Sometimes we need to be reminded that transportation can—and does—make […]
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Sophisticated Innovations Enhance Supply Chain Security
The global economy relies on moving goods securely and efficiently through an increasingly extended multimodal transport system. Aggressive thieves with sophisticated techniques have spurred innovations in shipment processes, technology tools, and regulatory compliance to enhance logistics security efforts. As a framework for better security processes, the International Organization for Standardization (ISO) 28000 standards on supply […]
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Managing Global Complexity: The Right Tools for the Job
Henry Ford is popularly quoted as saying that his customers could have any color Model T they wanted—as long as it was black. For years, global logistics professionals using optimization could relate to Ford’s quote, because they could apply this highly respected engineering practice to virtually any shipping challenge they faced—as long as they were […]
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Green Leadership for Lean Times
Current economic conditions are cooling enthusiasm for green initiatives in some quarters. But not in Bentonville, Ark., where Walmart recently released its 2012 Global Responsibility report. Someone once said, "as Walmart goes, so goes the nation." I don’t know if that’s true, but despite lean times, the retailer is providing leadership in supply chain sustainability. […]
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CNG Fuels Trucking Sustainability Efforts
Nearly 55 percent of U.S. executives report their organization now has a formal sustainability strategy in place, according to a KPMG International corporate sustainability study. One development gaining momentum in the trucking industry is investing in vehicles that run on alternative fuels. Companies are exploring a variety of options, including electricity, ethanol, biodiesel, liquefied natural […]
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Inventory…What a Waste
We all know that inventory is a necessity. When you fully understand its purpose and cost, however, you realize why lean practitioners consider it one of the Eight Wastes. Inventory can be among a company’s most expensive assets, representing up to half of total invested capital. The major reasons for carrying inventory are to decouple […]
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Nearsourcing to Mexico Improves Operational Efficiency
For years, Asia was the location of choice for low-priced manufacturing. The Asian shipping market was hit hard by the global recession in late 2008 and 2009, however, and the region became less appealing as a manufacturing site when labor costs began rising. Then, as the global economy improved, demand for product quickly outpaced supply […]
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Sharing Data Creates Optimal Supply Chain Visibility
In the past decade, analysts have written volumes about the value of supply chain visibility and execution systems. It’s hard to argue with the concept. When all supply chain partners’ systems work together to fulfill orders perfectly, execute on-time shipments, and provide early alerts to problems, life is good. Many companies have turned to on-demand […]
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Warehousing ‘Outside the Box’
Historically, warehousing was viewed as a function that exists inside “four walls.” Visibly, that’s true. But when you consider all the different parts and impulses that influence a distribution operation, it can no longer be cornered so conveniently. That’s why our May 2012 issue spotlights warehousing and distribution wall-to-wall—and beyond. For example, it’s easy to […]
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Load Boards Evolve Into Social Networking Tools
When you look at an Internet-based load board, it’s hard to believe how far the freight and logistics sector has come. It wasn’t long ago that carriers all over the country found much-needed backhauls by posting handwritten notes on truckstop bulletin boards, and brokers used those same boards to locate trucks. But technology—particularly the Internet—has […]
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LCL Plays Growing Role in Global Ocean Transportation
Demand for less-than-containerload (LCL) services is rising among global importers and exporters whose business models rely on cost, inventory control, and supply chain visibility. The shift to more LCL services in industries such as oil and gas (O&G), retail, and automotive can be attributed to several factors. Oil and gas fuels change: Running an end-to-end […]
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Benchmarking Keeps Logistics IT Outsourcing On Track
Logistics departments rely on technology to drive operational excellence. Benchmarking—analyzing an organization’s performance against the comparable activities of another or its own over time—has traditionally been applied to validate and/or improve a service contract’s value. In an economy characterized by unstable growth and eroding margins, optimal logistics IT performance is necessary for companies to remain […]
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IT: Advantage @Light Speed
A professor at a well-known university recently remarked at a logistics conference, "Information technology is not a source of competitive advantage. It makes good systems better, and bad systems worse. It allows companies to do stupid things at the speed of light." Maybe. But IT can be a change agent that will almost always open […]
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Preparing for an Ocean Capacity Crunch
Shipping lines are suffering from an oversupply of vessel capacity on key Transatlantic and Asia-Europe trade lanes. Normally, this situation would be good news for shippers, because it means they have plenty of access to capacity—and the upper hand in negotiations with ocean carriers. Shippers should be worried about the overcapacity situation, combined with rapidly […]
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The Journey to Continuous Supply Chain Improvement
For the past several years, businesses have focused on cutting supply chain and logistics costs. Their efforts have been partially successful, but they have left a lot on the table, not only in terms of cost reduction opportunities, but also productivity and quality. Applying lean manufacturing principles to supply chain and logistics operations is one […]
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The Three Pillars of Effective Returns Management
Returns management presents both challenges and opportunities for inbound logistics. Waste management regulations and non-compliance penalties are increasing. Rising commodity prices and a growing secondary marketplace, however, create an opportunity to recover value from used and scrapped materials. A cost-effective reverse logistics program connects the incoming supply of returns with the product information and demand […]
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