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Global Supply Chain Volatility Continues to Moderate But Not Inventory and Warehousing Costs

Supply Chain Matters

The takeaway for September was that global manufacturing activity officially fall below the 50.0 This index compiles 27 different variables to include transportation movement and costs, global PMI sub-indexes reflecting delivery times and order backlog. Logistics Managers Index. up from an August reading of 59.7. for September.

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Evidence Mounts of Non Peak Holiday Season in Transportation and Logistics

Supply Chain Matters

Supply Chain Matters highlights additional developments, evidence and added signs that reinforce that there will be no peak holiday focused surge in transportation and logistics in the latter half of 2023. While 209,000 workers were added in June, 14,000 freight and parcel carriers were cut and 6,900 warehousing and storage jobs were lost.

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June 2023 US Logistics Managers Index Drops to a Revised Low

Supply Chain Matters

Consequently, the warehousing capacity metric increased a reported 6.8 Both metrics contributed to the overall contraction in the LMI along with contracting price levels for transportation. Transportation utilization reportedly dipped a hefty 9.5 Transportation utilization reportedly dipped a hefty 9.5

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Driver Shortage, Driverless Vehicles, and Other Supply Chain Curiosities

Logistics Viewpoints

Currently, most driverless opportunities are limited to secure private zones or closed environments, such as warehouses, campus environments or last mile runs from depot to front door. There will still be a workforce needed to maintain those driverless vehicles or costs associated with maintenance done by the manufacturer or a 3rd party.

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Embracing the Supply Chain as A Complex Non-linear System

Supply Chain Shaman

In the past five years, companies have 5-10X the number of AGVs in their warehouses, but 40-60% more planners in corporate. We have successfully reduced warehouse labor, but planning is more labor intensive today, and less effective. Planning Needs to Change. Performance Declines. The paradigm needs to change to buck the trend.

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Continued Disruption and Added Cost Inflation Reflected in Key Global Transportation and Logistics Indices in March and Q1 2022

Supply Chain Matters

We now add highlights of March and Q1-2022 key global transportation and logistics indices. Global and Domestic Transportation and Logistics Indices. Similarly, factories in areas of Shanghai , Shenzhen and Jalin provinces have had to restrict workers to manufacturing campuses in order to maintain operations. Global Shipping.

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November U.S. Logistics Manager’s Index- Noteworthy Trending

Supply Chain Matters

which is attributable to Q4 holiday sales and the subsequent dips in Warehousing Capacity (+3.6) and Transportation Capacity (+5.2) and slowdown in Warehousing Utilization (-14.0) and Transportation Utilization (-10.7). That trending, along with the latest U.S. That trending, along with the latest U.S.