Articles
Commentary
The 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 […]
Read MoreCollaborate for All-Star SCE Implementation
Building relationships among partners in a Supply Chain Execution (SCE) software implementation is like getting an all-star team to work together. Each player can be great, but it is the combined teamwork that makes the difference when the game begins. To achieve success, roles and objectives have to be clearly defined, and teams must work […]
Read More8 Steps to Protecting Against Parcel Fraud
Parcel fraud is currently one of the most disregarded crimes in American business. But with an estimated $400 billion in losses per year due to employee theft, parcel fraud should not be overlooked. The most obvious type of parcel fraud occurs in the workplace, with crimes ranging from the seemingly harmless—shipping personal packages on a […]
Read MoreHave ERP, Have Inventory Control? Not Necessarily
Here are five reasons companies often lose control of inventory despite having an updated ERP system—and five solutions for regaining that control.
Read MoreAir Freight Needs New Business, Fresh Thinking
Let’s tear our eyes away from China. During the past decade, the China market’s enormous growth has hypnotized the airfreight industry. The vast scope and volume of goods winging their way across the Pacific has blinded many in air cargo to negative trends elsewhere. Almost all of air cargo’s other international lane segments—Europe, Latin America, […]
Read MoreFlying Under the Global Radar
Earlier this month, billionaire entrepreneur Richard Branson’s Virgin Atlantic GlobalFlyer completed the first round-the-world flight in 67 hours, two minutes, and 38 seconds. Four days later, and to considerably less fanfare but arguably greater importance, Boeing’s 777-200 LR Worldliner, the longest-range commercial airplane in the world, completed a three-hour test flight from Everett, Wash., to […]
Read MoreRFID: Setting the Standards
Anyone who thinks RFID and all it entails will quietly fade away is going to be terribly disappointed. Any new technology or strategy operates like a dog preparing to lie down—it goes in circles. First we circled around Wal-Mart and the Department of Defense mandates. Now we are circling around establishing standards for the RFID […]
Read More5 Best Practices to Boost Import Efficiency
In today’s heightened security environment, where cargo entering the United States faces ever-increasing scrutiny, importers must tackle many challenges to keep goods flowing through international trade. The complexity of moving commerce in a safe, quick, efficient, and compliant manner is frequently overlooked. The processes behind importing often cause confusion and frustration for all parties involved, […]
Read MoreCan Collaboration Cure the Capacity Crunch?
Today’s capacity crisis is a perfect storm of volume limitations spanning three major modes of transportation: truck, rail, and ocean. Driver pay and work/life balance are key issues affecting capacity in the trucking industry. The industry is losing drivers to careers with higher pay and more attractive lifestyles. Carriers today are also more disciplined about […]
Read MoreKeeping an Eye on RFID Challenges
In The Prince, savvy politician Machiavelli asserts, “there is nothing more perilous to conduct, or more uncertain in its success, than taking the lead in the introduction of a new order of things.” That 16th-century admonition should serve as warning to those who espouse the advancement of RFID. The swirling hype, promises of opportunity, and […]
Read MorePower to Our People
Have you seen Wal-Mart’s new supply chain commercial yet? It’s exciting for this industry because it builds on what UPS started with its “What can Brown do for you?” ad campaign: an attempt to make consumers more aware of the complex logistics behind everyday purchases. The commercial starts with a two-liter bottle of ginger ale […]
Read MoreFencing in Cargo Theft Concerns
Q: I operate a warehouse with a fenced yard. As a favor, I recently allowed a truck driver to park his rig with a trailerload of cargo in my yard over a weekend. I did not issue him a standard warehouse receipt because it was a temporary arrangement, and the goods were not unloaded from […]
Read MoreRFID Mandates: Gorillas in the Mist
Embracing a new technology can sometimes feel about as good as a hug from an angry gorilla. Implementing RFID within a customer-mandated time frame is a good case in point. Rushing to implement is less wise than doing finely tuned planning, regardless of the scale of the demand. RFID is not just about tags, readers, […]
Read MoreChoosing a Warehouse Location: Look for More than Just Price
The pressure on corporate supply chains has never been greater. Major supply chain glitches can impact a company’s shareholder value by as much as 20 percent or more within six months—regardless of who is at fault—according to industry estimates. Companies feel increasing pressure to reduce inventories and increase inventory turns. And, in a post-Sept. 11 […]
Read More