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This Week in Logistics News (June 30 – July 4, 2014)

Talking Logistics

I encourage you to read the full article for all the details, but here are some interesting excerpts (emphasis mine): A source familiar with the company’s plans says senior Google execs have set aside as much as $500 million to expand the service nationwide …“You can very much expect that we are putting a lot of money into this and we’re excited and willing to sustain that investment over time as this gets going,” said Tom Fallows, head of Google Shopping Express. .

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This Week in Logistics News (November 10-14, 2014)

Talking Logistics

We normally do our Talking Logistics episodes on Tuesdays and Thursdays, but we have one today at 12 ET with Alaster Love from Transplace, where we are going to discuss “ Big Data and Analytics in Oil and Gas Transportation.” September 2014 Freight Transportation Services Index (TSI). Cass Freight Index Report – October 2014. The post This Week in Logistics News (November 10-14, 2014) appeared first on Talking Logistics with Adrian Gonzalez.

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3 Components to a Complete Lean Transportation Management System

LeanCor

When we hear “transportation management system” at LeanCor, we don’t just think of software. Lean thinking can help organizations develop and maintain a fast, stable, efficient transportation management system. When shippers apply lean thinking to people, process, and technology in transportation, the results are significant. Are these practices part of your organization’s transportation management system?

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How Cummins Power Generation Used Lean Six Sigma to Achieve Significant Transportation Savings

Talking Logistics

Although applied throughout the organization, Cummins identified the elimination of transportation waste as an area that would have a significant impact. Subsequently, LSS projects were developed to address waste in several key areas: contract carrier freight rationalization, ship day alignment, Asia-to-US / Asia-to-Europe container optimization, CNG truck costs and impact. Contracted Freight Rates – Negotiate to reduce rates or source major lanes to external carriers.

Steel Fabrication and General Manufacturing Tips and Tricks for 2015

Cerasis

has become a major oil and gas producer , which has been to the advantage of fabricators that serve not only drilling and extraction, but also heavy transportation. The source pointed to several trends that are encouraging the adoption of TMS, including better control of data, more comprehensive analysis and the need to support omni-channel supply chains.

EDI Integration For Shippers: 6 Myths Busted with the Real Truths

Cerasis

The post was written for shippers who may want to do it themselves, but do know, that if you are a shipper looking to achieve further efficiencies through automated technologies like EDI integration, and don’t want to go about the implementation of an EDI Integration, you can skip the entire process by signing on with a third party logistics company, like Cerasis, who has already mastered this technology and includes it as a part of our transportation management system and services we provide.

Google Will Acquire a 3PL – And Other Supply Chain and Logistics Predictions for 2015

Talking Logistics

Brent crude oil prices Dec 2009 – Dec 2014 (Source MoneyAM.com). For related commentary, see Insights from Ryder Innovate 2014. Big Data and Analytics for Oil and Gas Transportation. — Adrian’s Supply Chain and Logistics Predictions for 2014. Shipping and delivery capabilities become even bigger competitive weapons. Trade agreements, protectionism, and threat of port strike will dominate global trade news in first half of 2014.

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Avoid These Parcel Shipping Mistakes to Reap Big Benefits

BluJay Solutions

What if I told you I could help your company save thousands of dollars in parcel shipping costs? In the webcast we covered five of Rob’s top 10 mistakes, which were based on Rob’s recent article in PARCEL Magazine , “Top 10 Mistakes Parcel Shippers Continue to Make in 2014.” In a single carrier environment, you limit your ability to find the best shipping option. Having a multi-carrier shipping solution solves this first mistake.

Experts Discuss How to Streamline Global Supply Chain

Supply Chain Opz

Whether you''re a manufacturing company in China, a sourcing agent in London or a world''s leading company in Silicon Valley, we''re all in a global supply chain networks. Work with your broker to see if you can get priority on unloading the ship and inland transport. Supply Chain Execution excellence (warehousing and transportation) improves asset utilisation, capacity and throughput whilst reducing the variable costs associated with warehousing and distribution.

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Midstream Transportation Trends: The Future of Oil and Gas Industry

PLS Logistics

Despite the 2014 oil and gas price drop crisis and the rush around alternative fuel sources, the future of the oil and gas industry remains bright and has a steady pace of growth and increasing demand. Blog midstream oil and gas oil oil and gas oil and gas logistics oil and gas shipping oil and gas supply chain oil prices

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Outbound Logistics

LeanCor

Shipping Produce via Rail Can Be Lean. The perfect order is determined by the “8 Rights” – we want to deliver the right product, in the right quantity, to the right place, at the right time, in the right quality, from the right source, at the right price by providing the right service to our downstream customers. Short transportation lead times are paramount. The question arises: what transportation method would you choose?

Healthcare Logistics

LeanCor

Constructing a total cost model and performing a Greenfield analysis to identify optimal distribution center locations and transportation network allowed the LeanCor engineers to identify $23M total healthcare logistics cost savings for a healthcare product distributor. Increased cost to the customers who were also indirectly incurring the cost of transportation, which was often exaggerated to account for complex and inefficient transportation strategies.

Supply Chain Case Study: the Executive's Guide

Supply Chain Opz

There are two things Boeing and Airbus have in common, utilization of lean manufacturing system and strategic sourcing concept. However, the overall implementation of strategic sourcing is a bit different between the two companies. The reason why they can do this is that customized products are sold directly to customers so they have the higher profit margin to compensate the higher transportation cost. Managing transportation at this scale is the absolute challenge.

The Messy Reality of Cross-Border E-commerce (Thoughts on UPS Acquiring i-parcel)

Talking Logistics

i-parcel also provides low-cost deferred international transportation facilitating higher shopper conversion for merchants on lower-value goods. The combined software and transportation solutions allow merchants in the U.S. Source: Pitney Bowes (click to enlarge). If you read through the posts, you’ll find many frustrated and confused Amazon customers like these: Source: Amazon.com (click to enlarge). Source: Amazon.com (click to enlarge).

Why Do Transportation Budgets Fail?

CH Robinson Transportfolio

Why do transportation budgets fail? It’s a thorny topic, even for transportation professionals trying to trace an increase back to its source. Imagine what it’s like for senior executives who have no background in transportation as they try to understand it. At a CSCMP conference session, participants offered case after case of how business decisions—both unintentional and intentional—can wreak havoc on transportation spend.

Distribution Logistics

LeanCor

These are all used in three main areas that include warehouse management, order fulfillment and transportation management. Transportation Management. Distribution logistics also brings processes and discipline to transportation management. It also enables companies to build the most optimal transportation approach for their business. In transportation management, handling outbound, inbound and internal transportation is prioritized.

Drop Shipping: A Perfect Fit for Supply Chain Operating Networks

Talking Logistics

As reported last month by Jennifer Smith in the Wall Street Journal , “A growing number of retailers are relying on suppliers to ship online orders directly to customers, a strategy they hope will help them compete with e-commerce rivals without spending more on inventory. The practice, known as drop shipping, lets retailers offer more products for sale on their websites—such as multiple colors of the same sweater—without having to keep those items in stock.

Global Supply Chain Visibility is No Easy Task

Talking Logistics

Let us take a look at how visibility in your supply chain can extend from the sourcing of raw material all the way to the delivery of finished goods to a consumer. First look at sourcing, then the purchase order process, order management, track and trace, all the way through to reconciliation. Prior to Kewill, he was the co-founder, CTO and COO of Pointandship Software where he led the design and development teams for their Shipping Expense Management software.

Mistaking a Cog for the Whole Machine

LeanCor

Lambert, articulates this very truth on his first page: “In fact, many people using the name supply chain management treat it as a synonym for logistics…” In reality, this confusion demonstrates an outdated view that still puts logistics in a box (or perhaps a shipping container) as a silo’d activity meant to get material transported in or out of the plant. By: Clint McCrystal. link].

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Transportation Strategy in a Constrained Infrastructure: 30th SCRC Meeting Kicks Off Today

Supply Chain View from the Field

The 30 th SCRC meeting kicked off today with a theme on “Transportation Strategy in an Infrastructure Constrained Environment”. This is a theme that was discussed a year ago at a conference in DC on Transportation Infrastructure, over coffee with William Lucas from Caterpillar. We talked about focusing on transportation as an issue that needs to be specifically addressed. Depending on weight and velocity needs, decisions and optimal transportation strategies are impacted.

Multimodal 2015 – Advanced Supply Chain Management and Logistics for Cargo Owners

Supply Chain Movement

Date: 28 – 30 April 2014. Entering its eighth year, Multimodal has grown to become the UK and Ireland’s premier freight transport and logistics event. It is this ability to present the entire freight transport and logistics supply chain under one roof that makes Multimodal the go-to event for shippers, importers, exporters, manufacturers, wholesalers, retailers – all seeking ways to run a slicker supply chain. In 2014, more than 7,000 high-calibre visitors attended.

Inbound Logistics

LeanCor

The lean logistics engineering process incorporates several complex factors including volume fluctuations, sourcing changes, and lead, window, and service times to determine transportation modes, sourcing locations, freight consolidation, trailer loads, route combinations, and freight sequences. This should include: Supplier shipping locations. Transportation costs to support the current network. Develop a transportation strategy based on pull.

Modular production requires comprehensive optimization

DELMIA Quintiq

They incur considerable logistic cost and effort; products for the world’s markets are produced and shipped from only two or three facilities. And instead of having either a small or large facility, modularization lets companies build production containers that are flexible for set-up wherever they are needed – for example, near the customer or near the procurement sources for upstream products. This helps to cut down on transportation time.

Is it Time for the Widespread Adoption of Composite Pallets in Canada?

Supply Chain Network

The type of the material used is dependent on the manufacturing process and the majority of plastic pallets for the transportation and warehousing of goods are made of non-renewably sourced polyethylene or polypropylene resins. The resins used for a composite pallet can be sourced from either non-renewable petroleum or renewable bio-derived feed-stocks. The company offers the carbon credits back to its users helping to lower the overall costs of shipping and logistics.

New Sulfur Emissions Regulations: What’s the Impact on Your Business?

CH Robinson Transportfolio

Sulfur—a natural element of the crude oil that ships use as fuel—is a primary cause of air-polluting particles emitted by ships. The new sulfur level regulations are intended to reduce the amount of air pollution generated by the shipping industry to improve air quality. As many ships operate both in and out of these ECAs, it’s already common for ships to operate on different fuel oils for the areas in which they travel.

Jaro Caban: “Establishing S&OP is a challenging journey”

Supply Chain Movement

Today it operates in 67 countries with 143,000 employees and has 76 business units on six platforms that cover animal feed, food production, energy and transportation, financial services and pharmaceuticals. We look at where we need to enhance our technology program, optimize transports and warehousing, segment and increase services to our customers, all within the matrix of improving the global supply chain.

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Transportation for the International Last Mile – How Easy is Global Parcel Carrier Coverage to Achieve?

BluJay Solutions

It’s just transportation to a different country rather than zip code, right? Parcel shipping solution providers such as Kewill look at carriers in two ways; those they invest in creating, developing and maintaining (core carriers) and others that might be created as a project carrier to meet the needs of a specific customer that are not maintained (non-core carriers). This complexity means it is impossible for any parcel shipping solution vendor to support all carriers globally.

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What Impact Could Ebola Have on the Global Supply Chain?

BluJay Solutions

billion and goods exports to sub-Saharan Africa were $24 billion in 2013 (source: Office of the United States Trade Representative ). In the same period, the EU traded 38,273 million Euros in imports and 30,471 million Euros in exports with Western African countries specifically, much of which is petrochemical based product that cannot easily be sourced elsewhere (source: European Commission ).

Handfield’s Supply Chain Analytics Predictions for 2014

Supply Chain View from the Field

As 2013 comes to a close, here are some of my thoughts regarding the supply chain trends we are likely to see emerge in 2014. Such providers understand domestic transportation issues, and can plan to develop long-term solutions to complex local distribution challenges. Another major source of risk is the unreliability of global logistics channels, especially the challenges associated with ocean freight lines, which are becoming increasing unreliable.

The Origins of Category Management

Supply Chain View from the Field

This impacted transportation costs, resins, chemical feedstocks, and a whole bunch of other areas. Chrysler didn’t have the leverage that Ford or GM did –and so they leveraged it and got them to drop ship steel directly into the suppliers. They would bid and source only part at a time! I was fortunately enough to have a fascinating discussion with Steve Zimmer, who currently leads a team at US Car.

Who Said Freight Audit and Payment was Dead?

Talking Logistics

Several years ago, as transportation management systems (TMS) software vendors introduced enhanced freight audit and payment capabilities, many analysts – including me – predicted that shippers would bring this outsourced process back in house. From my experience, they were predominantly (or almost exclusively) truckload shippers, where the rating, audit, and payment process is much more straightforward than with less-than-truckload, parcel, and ocean shipping.

Port of Los Angeles: Disintermediation and Other Risks

The UCLA Anderson Global Supply Chain Blog

  The ports of Los Angeles and Long Beach are vital to the LA economy, not only because they provide a significant number of jobs in the shipping and logistics industries, but also because they give the city itself a competitive edge with regard to shipping times and transportation costs when it comes to operating a global businesses here. increase in containerized cargo volumes in May 2014 from the previous year.

3D Printing: Supply Chain Game Changer or New Risk for LSPs?

BluJay Solutions

As we look ahead to 2014 and the many predictions for the logistics industry, it’s interesting to look back to the predictions of previous years and consider which are close to becoming a reality. So is its popularity likely to burgeon in 2014 and, importantly, will it render some of the staple services currently provided by logistics service providers (LSPs) redundant? . .

Secret Confessions of a Supply Chain Junkie

Supply Chain Nation

Of course, the concepts of exceptional experience extend beyond that to include everything from online order tracking, free shipping, smooth returns, and personalization opportunities, but we still need to get the basics right. Confession #4: While placing an order online, you argue with your spouse about paying for three-day shipping when you know there are local stores nearby that will likely be fulfilling your order under the free 7 day option.

Impact of Macro Trends on Supply Chains: Diversification of Sales Channels

Supply Chain @ MIT

At the 2013 MIT Center for Transportation & Logistics Annual Crossroads conference*, UPS’s Randy Strang described this evolution from single-channel (traditional brick & mortar) to multi-channel (siloed operations) to cross-channel (where some integration of inventory occurs) and finally to omni-channel (where the consumer experience is a blend of all channels). What is amazing is that just over a year ago they could only ship from just under two dozen stores. Hard sell.

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