Articles
Commentary
7 Tips for Negotiating Small Parcel Contracts
Small businesses are the cornerstone of the U.S. economy, representing 99.7 percent of all U.S. employers, according to the U.S. Small Business Administration’s Office of Advocacy. A vast amount of small package freight moves throughout the United States on behalf of these companies, and in most cases, parcel carriers such as FedEx, UPS, and the […]
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Not-So-Friendly Foreign Liability Laws
The United States may be the largest trading nation in the world, but U.S. importers do not always dictate the rules by which imports are governed. This is especially the case when it comes to establishing carriers’ liability for lost, damaged, or delayed shipments originating in foreign countries. Some foreign nations have adopted novel rules […]
Read MoreThe RFID Revolution: Desperately Seeking Standards
Radio frequency identification (RFID) is about much more than Wal-Mart. The world’s largest retailer may have singlehandedly caused the intense publicity that surrounds the technology, as it forced suppliers around the globe to scramble to comply with its strict RFID mandate. The real issues, however, extend far beyond Wal-Mart’s four walls. RFID is fundamentally changing […]
Read MoreSourcing in China? Give BLPs a VIP Role
As global sourcing continues to lengthen the inbound supply chain, companies are placing more focus at the beginning of the chain, where product originates. The growing number of manufactured products originating in Asian countries such as China presents challenges for manufacturers, wholesalers, distributors, and retailers that are sourcing inventory there. Companies have not fully developed […]
Read MoreHere Comes the Judge; There Goes Your Business
Judicial activism impacts all business. Not content to legislate from the bench on social issues, the courts have now gone off the legal reservation and applied the activist and collectivist bias to business, your business. Whether or not you agree with the results of an activist decision is not the point. The point is that […]
Read MoreThe Care and Feeding of Your Global Supply Chain
When an enterprise goes global, the nature of its supply chain has to change—not once, but continually. Nationwide may be big but worldwide is much, much bigger, with more factors exponentially governing the health of an enterprise operating a complex global supply chain. Scaling up to manage a global supply chain means dealing not just […]
Read MoreThe Five Inventories: Invisible to Customers, Crucial to the Bottom Line
Investment sage Warren Buffett once described business as a vehicle in which the rear-view mirror is always clearer than the windshield. He was right, and mismanaged logistics is the reason for the mud on the windshield. Failure to see and manage global supply networks in response to demand makes for muddy business indeed. In the […]
Read MoreWringing Benefits from New Hazmat Regulations
With the Transportation Security Administration’s (TSA) Hazmat Threat Assessment Program firmly in place, motor freight carriers and drivers face a new reality. While the program itself grew from provisions in the federal Patriot Act, and requires states to impose tighter oversight of security risks, the ultimate responsibility for fulfilling its demands falls squarely on carriers […]
Read MoreExpect the Unexpected: 5 Steps for Retail Supply Chain Preparedness
Unpredictable consumers, demand for low prices, and an ever-quickening pace make the retail/consumer package goods supply chain difficult on a good day. Large-scale interruptions—such as the recent dock workers’ strike and overactive hurricane season—further exacerbate an already challenging landscape. While many interruptions are unavoidable, manufacturers and retailers can—and should—take steps to create more agile supply […]
Read MoreFollowing the Retail Trail
Where consumer demand goes, retailers follow. They’ve progressed in tune and in time with customer needs—from the general stores of the Old West, to turn-of-the-century catalogers, to urban centers and department stores, to suburban shopping malls, and now to web retailing. As the fight for customers grows increasingly more competitive, retailers seek any logistics advantage […]
Read MoreTriple Threat: Fighting Multiple Cargo Claims
Q: I am an NVOCC. Recently, I imported a shipment of assorted metal products to the United States. During shipment, some of the goods were damaged, and the receiver filed a claim against me. I paid the claim based on the limited liability in my bill of lading.The goods were insured under a cargo policy […]
Read MoreInside the Automated Warehouse
The traditional functions of a warehouse are well known. Unlike its predecessors, however, the modern warehouse is an assemblage of highly evolved automation technologies, making it a core part of the supply chain. Today’s warehouse activities include crossdocking, palletizing, kitting, tagging, and identifying products, as well as storing them in the most time- and space-efficient […]
Read MoreBuilding a Better Warehouse
Choosing the right site for locating a warehouse or distribution center (DC) is a key challenge for any business. Numerous factors—such as access to transportation, an available worker pool, community support, and environmental regulations—converge to make a certain location a prime spot for meeting one company’s transportation and distribution goals, while sounding a death knell […]
Read MoreThe Service Supply Chain: Turning Potential into Profit
A growing number of CFOs and manufacturing executives have discovered the profit potential buried in their service business. The big challenge, however, is transforming that potential into profit. While after-sales service on average represents 24 percent of revenue, it generates a whopping 45 percent of profit, according to a recent AMR Research study. Why? As […]
Read MoreWhen Good Warehouses Go Bad
“Our revenues and earnings were negatively affected by the January implementation of our new Warehouse Management System. Revenues were down approximately six percent compared to the first quarter of 2004. During the latter half of January, and through the month of February, we experienced significant difficulty in shipping customer orders. As a result, sales for […]
Read MoreThe Three Sides of SCE Implementation
In part one of this two-part article (April 2005), we explored relationship building among partners in a Supply Chain Execution (SCE) software implementation. The players in that successful SCE implementation included: Major Brands, an alcoholic beverage distributor that sought an SCE system to cut costs by improving inbound and outbound shipment processing, and refining picking […]
Read MorePremium Freight: Costly Expense or Strategic Initiative?
Today’s lean manufacturing environment, shaped by just-in-time stocking and razor-thin margins, has made the use of premium freight a daily reality for manufacturers. Though once used only on occasion to protect plants, shipping goods via premium freight is now a regular occurrence. While this shipping method can be expensive, manufacturers that incorporate premium freight as […]
Read MoreAutomate, Optimize, Audit for Smart Supply Chains
While politicians argue about the domestic effects of outsourcing manufacturing operations, logistics professionals know the practice only increases our responsibilities. The frenetic pace of global trade, coupled with the impact of outsourced manufacturing around the world, has transformed delivery of products into a complex engineering task that is quickly creating new jobs. Academia is already […]
Read MoreStick to the Core When Playing IT Pong
Do any of you old-timers recall the first Atari video game, Pong? It was the only video game in the world back then. You just hit a video puck back and forth, forth and back, no matter how long you played it. One reader told us that evaluating the myriad logistics IT choices sometimes feels […]
Read MorePlugging Cargo Liability Leaks
Q: I own a fleet of tank containers. A customer recently used one of my tanks for a shipment of concentrated juice. During transit, the tank developed a leak and a significant amount of concentrate was lost. The customer filed a claim against me, but my insurance company—which covers my cargo liability—says I may not […]
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