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Less is Less and Less is More

Two important trends will impact your warehouse operations in the near term. First, retailers will seek to trim inventory even further to increase profits without reducing customer service standards. Wal-Mart, for example, recently announced its intention to cut $6.5 billion in inventory off an already lean 2:1 inventory-to-sales ratio. The goal? “Theoretical Zero Inventory.” The […]

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Microsoft’s New SCM Dynamic

While many already use Microsoft software to manage transportation and logistics, the company is now making a splash with specialized supply chain solutions. Microsoft is beefing up its business application offerings for small- to mid-size businesses (SMBs) with the release of several enhanced products, including the Microsoft Dynamics suite, designed to empower customer relationship management […]

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Printing on the Go Can Help Profits Flow

Companies are investing in mobile computing systems at record levels to cut costs and improve efficiency in distribution, direct-to-store deliveries, and route accounting operations. Getting the most bang from these investment bucks does not necessarily depend on implementing the hottest new smart phones, software applications, or 3G wireless network services. Often, a small incremental investment […]

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Stakeholders Share New Value

The CEO of Procter & Gamble, A.G. Lafley, does not talk much about shareholders; instead he talks about “stakeholders.” I wondered precisely what he meant, so I did a little online research. The original meaning of the word stakeholder was a person who holds money while its owner is being determined—a trustee for a minor, […]

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Knock on Wood Packaging Materials

Q: We are importing several containers of roof tiles from Spain. The pallets used for the shipment contain paper documents certifying that they were treated to ward off insects and other vermin. The shipment arrived at the destination port, but Customs informed us that the paper documents are not an acceptable proof of treatment. They […]

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Follow the Freight, Find the ROI

While the threat of cargo terrorism steals headlines (Dubai Ports World debacle anyone?), U.S. shippers are equally challenged by more common cargo perils such as vandalism, breakage, spoilage, transport accidents, and theft. In fact, the FBI estimates losses from cargo theft at $50 billion in the United States alone, according to Denis duNann, CEO of […]

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Freight Payment: Getting Back to Basics

At the beginning of the new millennium, many freight payment companies added the latest “whiz bang” gadgetry to their information systems or freight payment products. Now, those companies’ disappointed customers want their providers to get back to basics. Although information tools remain important, freight payment basics are now the priority. Today, shippers seek a freight […]

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New ‘Lifestyle’, New Logistics Challenges

The proliferation of “lifestyle centers”—one of the biggest trends to hit retail real estate in decades—is having a significant effect on retailers’ logistics and distribution networks. Lifestyle centers—typically 150,000 to 575,000 square feet in size—are vibrant, upscale, Main Street-style shopping areas with aesthetic extras such as plazas, fountains, decorated walkways, and landscaping. They are often […]

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William J. Augello, Esq.

2005: Happy or Unhappy Anniversary?

Last year marked the anniversary of several laws and events that revolutionized transportation regulation in the United States: The 10th anniversary of the Interstate Commerce Commission’s (ICC) demise. The 25th anniversary of deregulation in the railroad industry. The 25th anniversary of partial deregulation in the motor carrier industry. The 28th anniversary of deregulation in the […]

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Lessons From the Neanderthals

What do global trade, cavemen, and a TV commercial have in common? Stay with me. Did you catch the FedEx ad about a caveman using Brand X Pterosaur to ship an important stick? Instant classic! The commercial humorously shows that good transportation was as important then as it is now. Oddly enough, new research by […]

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Fostering Flexible Fulfillment

As customers pressure their suppliers to create new products, new variations of products, and new services attached to those products, the supply chain can become severely strained. It may not be enough to handle increased supply chain pressures merely by optimizing existing hardware and software solutions. An increasing need for real-time and synchronized processes exists […]

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Discrete Manufacturers Adapt to Global Economy

Supply chains are the lifeblood of discrete manufacturing—the production of distinct items. As manufacturing operations continue to transform to global enterprises, discrete manufacturers face new challenges. Orchestrating the movement of parts and components around the world is becoming as intricate as brain surgery, driving discrete manufacturers to information technology (IT) solutions to help manage global […]

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Optimize ‘Obnoxious Freight’ With DC Bypass

Companies must continually think of ways to improve supply chain and distribution networks to bolster the bottom line and enhance service levels. With so many products today manufactured overseas, the ability to maintain a streamlined network, despite market volatility, is a key competitive edge. These challenges are magnified for retail and consumer package goods companies […]

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Learning for Earnings

When this magazine made its commitment to logistics education in 1990, few undergraduate or graduate logistics studies programs were available. That is not the case today. Logistics undergraduate, post-graduate, and continuing education programs have expanded a hundredfold. MIT, for example, has seen an application growth of 20 percent annually over the last five years, reports […]

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Sourcing Out of Africa

It’s easy to say that world trade will expand based on available global resources, but it’s harder to do. We have become all too used to thinking of Asia as the prime—and almost exclusive—new supply chain market. But it is a big world, and suppliers will need even more resources if trade is to double […]

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Premium Freight Makes JIT Fit

Just-in-time (JIT) manufacturing is a tremendous advantage—when everything works perfectly. But what happens when the supply chain falls out of sync—when an overseas supplier has equipment problems, environmental factors delay deliveries, or defective parts are discovered on the assembly line? How do suppliers avoid chaos and keep JIT production rolling? One solution is premium freight—last-minute […]

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Building a Warehouse Without Going Broke

A warehouse construction project is always a major undertaking. Whether you are retrofitting an existing DC or constructing a new one, it is crucial to pay attention to details so your project is done on time and within budget. Here are some tricks of the trade for controlling costs and ensuring a smooth project. Design […]

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