On-demand delivery moving really quickly

By Gary Forger, special projects editor · October 17, 2018 Three men walk into a bar. Each of them has just purchased the same item. Before going to the bar, the first man went to a store and bought a shirt. It now sits in his car. The second man went to that store’s website, found the shirt and purchased it. Two days ago. It was just delivered to his home. It now hangs in his closet. The third man went to the bar minutes after ordering from his smart phone the same shirt as the other two. It will be delivered to him at the bar. Welcome to on-demand delivery. Oh, how far we have come in such a short time. The delta of supply chain change is getting much bigger as it compresses time. And on-demand delivery is the most recent incarnation of that.  Last month, we talked...
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NextGen Supply Chain Interview: Ben Harris

By Gary Forger, special projects editor · October 17, 2018 NextGen Supply Chain: We all seem obsessed these days with receiving our stuff from e-commerce companies in two days or less. In fact, that’s the genesis of on-demand delivery. Give us your take on this new NextGen supply chain practice. Harris: On-demand delivery is really coming into its own these days. So many people used to think three- to five-day delivery was good enough even as Amazon moved to two days with Prime . On-demand delivery makes two-days seem too long. On-demand is more in the three- to five-hour window. Some are even less than that. Let me explain. There’s no doubt e-commerce is making use of on-demand delivery. But so are grocers, local retailers, builders and restaurants. And for the restaurants, delivery in three to five hours doesn’t cut it. You’re talking here a matter of minutes. On-demand delivery...
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Clouds on the horizon

By Bob Trebilcock · October 16, 2018 “Lions and tigers and bears, Oh my.” The Wizard of Oz I don’t think any but a few curmudgeons would argue that the economy has been hitting on all cylinders for the last two years. What’s more, the Fed recently raised its estimates for growth and reported that from where it sits, blue skies are ahead. Today at MHI’s annual conference in Orlando, Jason Schenker, the founder of Prestige Economics , declared that view a little too optimistic, with clouds on the horizon. Those include a slowing of growth in 2019 and what I understood to be a mild recession in 2020, followed by a modest uptick in growth in 2021. Why the divergence? Schenker told attendees that in an effort to remain politically neutral, the Fed is not considering the impact of tariffs on the U.S., or the global economy for that...
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See Your Supply Chain Like Never Before

Date/Time Wednesday, October 24, 2018 2:00PM Moderator Mike Levans, Group Editorial Director, Supply Chain Group, Peerless Media LLC. Panelists Sean T. Riley, Global Industry Director, Manufacturing & Transportation, Software AG Erick Argueta, Vice President, Global Enterprise Solutions, Visual Enterprise Architecture Register Today! How do the world’s top supply chains see further and act faster? Many of them are gaining an understanding of how their supply chain flows are tied to outcomes to stay ahead of problems, and gain whole new efficiencies. In this demonstration, you’ll see how to: Gain actionable insights with an end-to-end view of your supply chainIdentify new opportunities for supply chain process improvementReduce bottlenecks, while improving profit margins and satisfaction Register Today! Subscribe to Supply Chain Management Review Magazine! Subscribe today. Don't Miss Out! Get in-depth coverage from industry experts with proven techniques for cutting supply chain costs and case studies in supply chain best practices. Start...
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Reinventing the Supply Chain with Intelligent Technology

By Frank Meerkamp · October 12, 2018 Editor’s Note: Frank Meerkamp is managing director and SCM expert at Accenture Applied Intelligence. The traditional supply chain is a tapestry built on an outdated analog network – yet it exists in a digital world. This outdated supply chain model simply cannot effectively adhere to today’s shifting market demands that stem from fluctuating geo-political landscapes and an increasingly connected and evolving global trade system. As such, organizations that rely on traditional supply chains are failing to optimize them in a holistic fashion. To break free from the silos in which traditional supply chains operate in, as well as address evolving consumer expectations and overcome market volatility, organizations must adopt new, intelligent technologies—including AI and machine learning—with omni-channel solutions that can impact the bottom line, while maintaining the innovative and competitive advantage required to improve performance and deliver on customer experiences. Evolving factors in...
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Chain Business Insights publishes new eBook on blockchain in smallholder farming

By SCMR Staff · October 10, 2018 Chain Business Insights, an independent research firm focused on the application of blockchain in supply chain management and trade finance, has published a new eBook titled Blockchain in Smallholder Farming: Sowing the Seeds of Growth. According to the research, blockchain combined with agricultural technologies such as precision farming could help improve productivity significantly, lift millions of smallholder farmers out of poverty and bolster the world’s food supply. Population growth, climate change and geopolitical unrest are putting pressure on food production – a significant amount of which comes from small farms, especially in developing countries. At the same time, smallholder farmers are challenged by rampant corruption in the supply chain, and do not have access to adequate finance and insurance and hence the resources needed to improve yields. Blockchain could support new business models that help smallholders to overcome these barriers, adapt to changing...
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Taking the Long View on Global Container Shipping Next Year

By Patrick Burnson, Executive Editor · October 9, 2018 The ongoing expansion of tariffed goods by the Trump Administration is putting the container shipping industry in its “crossfire,” says one prominent international supply chain and logistics expert. According to BIMCO’s chief shipping analyst Peter Sand , container shipping companies have another worry on their hands…pending trade conflicts. Copenhagen-based BIMCO is the world’s largest shipowners association, comprising a membership which controls around 65 percent of international tonnage. It has members in more than 120 countries, including managers, brokers and agents. “This trade war is constantly developing, in size as well as shape, with nothing looking like an end game yet,” Sand notes in recent BIMCO blog post. He adds that ocean cargo shippers are likely to see China using new methods of retaliation targeting service sectors and sources of U.S. investment. “The next steps from the U.S. are set to morph...
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Global Supply Chain to Get Breakbulk Relief Soon

By Patrick Burnson, Executive Editor · October 9, 2018 As rates for container and handy-size bulk carriers have escalated, these operators have been discouraged from competing for breakbulk cargo. This is good news for breakbulk shippers and the network of domestic ports reliant on their business. Industry analysts have long noted that the constellation of breakbulk shipping is complex, comprising many distinctive industrial segments reliant on capital expenditure, both public and private. Consequently, breakbulk does well when the global economy remains strong. However, breakbulk cargo transport requires that a number of uncertainties be well managed to mitigate risk of damages, missed key connections and accrued delay penalties. “The breakbulk sector has on a few occasions in recent years become prey to other segments,” observes Panos P. Patsadas , chartering and operations manager for Ds-Multibulk GMBHDS in Hamburg, Germany. “In the years during the recession of the bulk market, it was...
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ASCM – more than a re-branding

By Bob Trebilcock · October 5, 2018 ASCM – the association formerly known as APICS – has been on a bit of a roll the last couple of years. In 2014, the organization merged with the Supply Chain Council – the folks who brought you SCOR – and began reaching out to senior level supply chain managers. A year later, APICS merged with the American Society of Transportation and Logistics and added a new certification in logistics, transportation and distribution (CLTD) to its portfolio. In 2017, it partnered with Deloitte for its student case competition , standardizing an event that now has a global reach. At the annual conference that just ended in Chicago this past Tuesday, October 2, APICS officially changed its name to the Association For Supply Chain Management (ASCM). You can read more about the name change here .  In making the announcement, Abe Eshkenazi, ASCM’s CEO,...
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L’Oréal: A Case Study in Supply Chain Excellence

  François-Régis Le Tourneau leads the efforts at L’Oreal for Standards & Prospective Process Improvement.  At the Supply Chain Global Summit 2018 , Francois discussed the impact of digitalization, Industry 4.0, and L’Oréal’s approach to business that has allowed the company to continuously rank as a Supply Chains to Admire winner  for four consecutive years. The award, based on beating the industry peer group on rate of improvement on the key metrics of growth, operating margin, inventory turns, and Return on Invested Capital (ROIC) while outperforming their peer group, is tough to achieve. We complete the analysis each year. In Figure 1, we detail the methodology calculation. (Read more to understand the details on the Supply Chain Index ,) Figure 1. Supply Chains to Admire Methodology A Multi-Year Unbeatable Champion Based in Paris, L’Oréal is a global personal care manufacturing company. It is the world’s largest cosmetics company with annual sales...
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