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As you’ll know, if you follow our blog regularly, Logistics Bureau does a great deal of work related to supply chain strategy development and alignment. As a result, and as we’ve mentioned in several previously published articles, we’ve discovered that many companies lack a defined and documented supply chain strategy.
If you were to tell me that your company had never looked at its supply chain costs and sought to deliver reductions, I would be mightily surprised. On the other hand, if you told me your company hasn’t been able to sustain any progress in supply chain cost reduction, I wouldn’t be surprised at all.
At the next Logistics Bureau Free Executive Breakfast (which will take place in August), I’ll be discussing the alignment of supply chain and business strategy along with eight other important levers for supply chain performance improvement. The Failing Kmart Business Strategy. The first Kmart store opened way back in 1962.
In this article I will outline, firstly, the reasons why organisations outsource logistics activities, and secondly, what the key drivers are for outsourcing success. Amazingly, many companies have suffered after outsourcing decisions were made at an operational level, without due regard to the boards supply chain strategy.
In this article, I will redress the balance by exploring outsourcing from a more holistic perspective, focusing on ways to consider outsourcing partnerships for improvement throughout the supply chain. Outsourcing for Reduced Supply Chain Cost Few business leaders would argue that reducing costs in the supply chain is an improvement.
The price you pay your vendors for their products is a significant factor in your company’s ability to compete in its market. Here, we’re talking about all your vendors. Purchase order cycle time is a KPI that measures the elapsed time between raising a requisition request and the transmission of the purchase order to the vendor.
Original article: PODCAST: Modern Courier Delivery Compliance Considerations: Understanding SOX and SOC Compliance Logistics and supply chain are some of the world’s most complex and regulated industries, which has been further compounded by increasing reliance on data and technology in both fields. Type 1 vs. Type 2: What’s the Difference?
The tips in this article will help you know how to identify the customers, products, and processes that might be inflating your cost to serve (CTS) unnecessarily. Let’s begin with a look at why, in general, retailers with multiple sales channels are more likely to experience difficulties in reducing cost-to-serve. Customer behaviour.
Supply chain strategy is critical to business success, but companies often underestimate its importance and hence pay it less leadership attention than other areas of operation. Supply Chain Strategy. In other words, the majority did not recognise the need for close alignment between supply chain and general business strategies.
Of course, there is no quick and easy way to curb increases in the cost of energy and labour, but now is an excellent time to start thinking about practical ways to reduce energy usage and increase labour productivity and efficiency. There are several possible ways to eliminate this form of energy wastage.
As youll know, if you follow our blog regularly, Logistics Bureau does a great deal of work related to supply chain strategy development and alignment. As a result, weve discovered that many companies lack a defined and documented supply chain strategy. A company without a supply chain strategy is at a competitive disadvantage.
So thats the route were taking in this article (no pun intended), we’ll be exploring the evolution of fleet route optimisation from a time-consuming pen-and-paper exercise to a high-tech process that, in some cases, can be completed in minutes. But first, what is route optimisation?
This article was first published in the July / August 2018 issue of MHD Supply Chain Solutions. A plan is necessary, possibly based on one of the following strategies. Reverse Logistics Strategy 1: Don’t do it! IT vendor Dell, for example, handles requests for returns via its support organisation.
In my last article of 2018, “ Which Trends Will Change the Rules of Logistics in 2019? ”, I talked briefly about urban logistics and megacities. I want to dedicate my first article of the year to take a closer look at the specific consequences of urbanization and how they can be approached. Customer-centric delivery solutions.
At Logistics Bureau, we want to help you with that, so we’re publishing this brief guide to help you if you haven’t already included freight benchmarking in your management strategies or want to benchmark more effectively than you are now. What Are Your Freight Benchmarking Options?
This article does not profess to address all components of creating ‘Intelligent Logistics’. However, in reality most strategic planning exercises neither embed foresight, nor create responsive networks. This will help reduce safety stocks and hence costs, improve customer service and make the Logistics network more adaptive.
For example, capable supply chain employees can still be made redundant simply because one organisation takes over another and rationalises the resulting supply chain operations by eliminating duplicate supply chain positions. Inventory (inventory specialist, vendor-managed inventory/replenishment specialist).
These responsibilities extend across functions and when properly exercised, comprise supply, demand, distribution, production, purchasing and capacity planning. Inventory planning roles and responsibilities: As mentioned at the beginning of this article, inventory planning is an activity which crosses functional divides.
Getting this right to maximize your transportation strategy is a balancing act—regardless of the mode or modes of shipping. How economies of scale affect that balancing act is the subject of this article. The sources of economies of scale to be discussed later in this article are more systematic. Inside and outside.
Overused and misunderstood in blog posts and informative articles, “big data” describes the use of data to improve your operation, which includes shipping, warehousing, and supply chain processes. Furthermore, such methodology can be applied to vendor relationships. Shipping processes revolve around a million-trucks-worth of data.
While this is nothing to cheer about, industrial output combined with the other items noted in this article will continue to increase the demand for trucks during the normal lull. Per the FMCSA calculations, this represented a very deep cut of 4.4% Have your traffic team settle on a list of KPIs that measure vendor performance.
Supply chain strategy is critical to business success, but companies often underestimate its importance and hence pay it less leadership attention than other areas of operation. Supply Chain Strategy In 2014, a survey by Tompkins Consortium delivered a shocking revelation.
He highlighted the potential telematics offered in not only sharing information between the customer, the vehicle and the OEM, but also vendors involved in post-production accessorisation and value-added services. It is an academic exercise to speculate …but there are some big dollars at stake here.”.
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