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

Supply Chain Matters

In this Supply Chain Matters posting we highlight published September 2022 indices of global supply chain volatility ( GSPI ) and US Logistics Index ( LMI ) activity trends along with our view of the implications. In a prior Supply Chain Matters posting, we highlighted both September and Q3-2022 global and regional PMI indices.

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This Week in Logistics News (April 6 – 12)

Logistics Viewpoints

Retailers and manufacturers are flying more goods around the shipping crisis in the Red Sea , industry experts say, helping boost international airfreight operators after a long period of sagging cargo volumes. billion grant on Monday designed to commit the world’s top chipmaker to mass-produce its next generation of microchips in Arizona.

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Reports of Easing Global Supply Chain Volatility in July

Supply Chain Matters

Supply Chain Matters highlights two additional indices of global and US supply chain volatility relative to July 2022 global supply chain activity levels. In a prior published Supply Chain Matters commentary, we provided highlights of the various July 2022 PMI indices across select global supply chain regions.

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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

The Supply Chain Matters blog highlights an added dimension to our monthly summary of global supply chain activity trending and implications. In a prior published commentary, we provided highlights of March and Q1-2022 global production indices along with their implications. Global and Domestic Transportation and Logistics Indices.

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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 Further, the added evidence of increased warehouse capacity levels will have an effect on previously rather high levels of warehouse contracting and leasing rates. Logistics Managers Index (LMI) that again dropped to an all-time low for June 2023.

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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. The performance of large global branded companies with extensive IT portfolios shows decline.

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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 slowdown in Warehousing Utilization (-14.0) The report indicates that this disruption is having a direct impact on global fuel prices since oil tanker transit continues to experience delays. and Transportation Capacity (+5.2)