Shippers can look forward to continuing capacity constraints and price increases for this year and beyond. The solution? Try everything, including redesigning your supply-chain network.
Preaching the gospel of Six Sigma, the company takes a global approach to the coordination of after-market parts planning, inventories and distribution.
The impetus to examine and tweak business processes may stem from pressures from government regulation, Wall Street or any of a number of market forces. Regardless, those who have no BPM initiative are at a competitive disadvantage.
Productivity losses from the new hours-of-service rules have been less than anticipated, thanks to efforts by shippers and carriers, but both sides worry about additional changes that may be on the way.
While many companies curb investments in new supply-chain systems and process change, some take the long view. They're spending now, to realize big payoffs later.
Even the best companies forget that their supply chains are only as strong as the transportation system that supports them. Unfortunately, capacity constraints, high costs and other problems portend serious transportation problems. The answer is having the right transportation executive on staff who understands the legal and operational challenges ahead.