All supply chains -- whether moving physical goods, delivering services or channeling money - are subject to increasingly extreme swings in volatility, says Richard Douglass, global industry executive for manufacturing at Sterling Commerce. Douglass contributed to a new book from the Council of Supply Chain Management Professionals on how companies can deal with this constant volatility: X-treme Supply Chains: Managing in Times of Upheaval.
When Intel decided to enter the low-cost chip market with its Atom microprocessor, a small form-factor product made for notebook computers and mobile internet devices, it needed a much lower-cost supply chain than the one that serviced its high-end products. The company achieved this goal by shortening its cycle time enough to enable a build-to-order strategy, explains Jim Kellso, senior supply chain master at Intel.
Two capabilities are helping manufacturers and retailers of brand-name consumer goods improve replenishment at the floor and shelf levels, says Kelly Thomas, senior vice president of product strategy and planning at i2 Technologies. These capabilities are the ability to operationally apply insights from demand signals and to collaboratively align measurements.
Raise fuel taxes to fund needed highway investments and honor the NAFTA provisions allowing Mexican trucking companies to operate in the U.S. Those are two of the straightforward opinions offered by Transplace CEO Tom Sanderson during a wide-ranging conversation on issues impacting the trucking industry.
Taking the time upfront to work with customers on a thorough requirements analysis will prevent unwelcome surprises later and will give customers the confidence and comfort level they need to move ahead with software implementations. So says Gene Gander, vice president of sales-Americas at CargoWise, a provider of software solutions and services for freight forwarders, NVOCCs, express couriers, customs brokers and other logistics companies.
The consequences can be enormous, even catastrophic, if a supplier fails. Jim Lawton, senior vice president and general manager of D&B Supply Management Solutions, says you must have a risk-assessment plan in place at all times.
The economy has not been good to this sector, says Walt Rakowich, ProLogis CEO, but some trends in industrial real estate are very promising. First, there is growing demand for sustainable warehouses. Second, a combination of GDP spurts and natural obsolescence of buildings stimulates construction.
There is a wealth of retailer data available to help consumer products companies become demand-driven, says Rob Byrne, president and CEO of Terra Technology. But many companies clearly need help in taking advantage of these resources.
Transportation and logistics companies need to be highly sensitive to customers' needs as the economy sags, says John J. Hill, executive vice president of Pilot Freight Services. And just what are cash-conscious customers looking for in logistics providers?
So different from those of the past, today's supply chains require new strategy, analysis and planning, says Steve Martin, vice president of supply chain excellence at Ryder System. He discusses current marketplace realities and their impact on sourcing, sustainability, and inventory optimization in the midst of unpredictable demand.