Executives from supply chain partners Manhattan Associates and Papa John's Pizza discuss how they use modeling and optimization tools to safely test changes in Papa John's transportation policies, leading to continuous service improvements at the lowest possible cost.
The Stifel Logistics Confidence Index entered 2014 on a positive note. Despite a month-to-month 0.9 point decline in the overall Index reading to 56.6, the Logistics Confidence Index has remained above the 50-level for 12 months, meaning the market continues to exhibit a healthy confidence in air and sea freight forwarding. To get a better view of global air and ocean trade, Stifel has partnered with Transport Intelligence to create the Stifel Logistics Confidence Index (LCI), a monthly survey of international shippers and forwarders that measures freight activity across several European-based trade lanes.
Many companies are looking beyond China to less developed nations for sourcing, says Mark Michaels, chief commercial officer at Damco. Michaels discusses supply chain risks around the expansion into less developed areas and the pressure on providers to deliver service comparable to that in mature markets.
Surveys conducted by McKinsey and Company indicate that supply chain management is becoming a higher priority in boardrooms at the same time the job is becoming more challenging and complex. McKinsey Principal Yogesh Malik identifies issues for supply chain managers to address now and trends to watch.
China Merchants Group will take advantage of merger and acquisition opportunities in the mainland's fragmented logistics and infrastructure sector as local governments deleverage, said the company's chairman, Fu Yuning.
Chasing cheap labor and managing in silos are just two of the mistakes that Jeffrey Karrenbauer, president of Insight Inc., says companies continue to make. Karrenbauer shares his opinions about these and other practices that are, and are not, working in supply chain management.
Geographical information systems and advanced mapping tools will increasingly be used in the supply chain to map potential risks and mitigation strategies as well as to track people and assets inside the four walls, says Wolfgang Hall, global industry manager at Esri.
Many of today's customs house brokers rely on legacy systems. Increasingly, new Customs and Border Protection rules and regulations are challenging the capacity of these systems. Beyond just functional limitations, many firms are finding that older technology can be expensive to operate and maintain. Sometimes, maintenance demands are so great that in-house IT staff must focus all their time and energy on keeping these systems operational. Real risks accompany the decision to stick with older systems.
Spot market freight availability rose 10 percent in December 2013 compared to November, according to the DAT North American Freight Index, capping two quarters of unusually strong seasonal volume. Typically, freight levels peak in the second quarter of the year, fall in Q3, and remain low through year end. This year, a high plateau remained through most of the second half of 2013, according to the company.