GOOD QUESTION | What's one supply chain myth you'd like to debunk?
Myth: Reducing labor costs is the best way to improve a supply chain operation. Much bigger gains can be made in reducing total supply chain cost by improving service levels and reducing lead times.
Director of Business Development
Sunland Logistics Solutions
Myth: A high-volume transportation spend results in lower costs. Overall, we do see organizations with larger spends trending at lower transportation rates. But outside of rare conditions, it is not due to a pure volume game. It's due to having the right levels of technology, information, and experience.
LeanCor Supply Chain Group
Myth: Supply chain management is a boring career working in a distribution center. The truth is that outside of medicine, supply chain employees are the only people that can positively impact customers' lives daily.
Lecturer, Supply Chain Management
The University of Kansas
Myth: You need an engineering degree to succeed in supply chain management. Skill requirements (in addition to analytical and process thinking) include communication, collaboration, negotiation, and leadership.
Senior Associate Director
Texas McCombs Supply Chain Management Center
Myth: No other organization has the challenges we have. On average I visit 50 logistics organizations each year and hear this often. Logistics organizations experience similar challenges. Realizing this fact is empowering; so is talking with professionals who have overcome similar issues.
Logistics Industry Principal
Myth: The supply chain is one-dimensional or static. The supply chain is ever-changing, dynamic, and the backbone of any company that makes or moves a product, delivers a service, or fulfills an order.
Executive Vice President, Logistics
Myth: Functional leaders only need to be skilled and proven. Today's leaders must take it to the next level. It's critical to leverage big data, process improvements, and management skills to navigate our complex world of technology advancements.
Senior Vice President, Operations Transplace
Myth: Monitoring trailer location via GPS device in a tractor provides valuable information. In actuality, it does not provide any information regarding the freight in a shipment and it is often misleading as to where the specific shipment is actually located.
Chief Technology Officer
Myth: Asset carriers typically provide lower rates than 3PLs to service the same lane. There are approximately 800,000 for-hire carriers in the country, with approximately 90% of those carriers having 6 trucks or fewer. By incorporating technology and leveraging its large portfolio of carrier partners, 3PLs are able match shipper's freight with available capacity in a scenario that benefits both parties.
SVP of Operations
Myth: The only real measurable value of supply chain improvement is cost reduction. Companies need to take a more holistic view. By taking a Total Value Optimization approach you can go beyond the traditional cost drivers of supply chain management and focus on finding and accelerating the value drivers for cost, cash, and growth across the entire buy-make-move-fulfill supply chain.
Chief Marketing Officer
Myth: It's OK to underestimate the importance of last-mile delivery. Companies face many supply chain challenges, including an increasing demand for quick delivery, a fragmented and non-standard delivery universe, and a need for a multi-modal driver network. A more intelligent and driver-centric platform which matches driver capability with each shipment will solve these supply chain issues and implement a more effective last-mile delivery system.
Founder & CEO
Point Pickup Technologies
Myth: Heavily automated operations are always better. Automation expenses can require significant volume to economically justify and create inflexible processes. Given optimized information systems and appropriate mechanized resources, well-trained teams with motivational leadership can often be competitive with their more automated competition.
Professor, Business Logistics Management
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