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For example, if I improve the cost structure in transportation, procurement, manufacturing and sales independently, what decision support framework decides the right trade-offs? In today’s architectures and functional metrics, value optimization does not exist. Align functional metrics to reliability to deliver value.
However, as carbon taxes and emissions reporting requirements continue increasing, supply chain professionals face mounting pressures from inside and outside their organizations to measure and improve performance against new, nebulous sustainability metrics. Freight transportation makes up over 10% of total global carbon emissions.
Transportation, warehousing, and manufacturing collectively contribute significantly to carbon emissions, making these areas critical for meaningful change. Similarly, shifting freight from road to rail or waterways offers lower-emission alternatives for long-haul transport.
Despite the evolution of technology, none of the 28 industry segments I follow can drive improvement at the intersection of operating margin and inventory turns. The industry is full of experts. I think that the answer has five parts: The Belief that the Industry Has Best Practices. The industry is not clear on desired outcomes.
In most industries, supply chains have become increasingly complex. System Integration and Data Visibility Orchestration requires connecting warehouse systems, transportation platforms, and ERP data so that status updates, inventory levels, and shipping exceptions are visible without needing to log in to separate systems.
Supply chain efficiency is the cornerstone of success and involves the effective management of processes, resources, and technologies from procurement to production, transportation to warehousing. As companies across industries have discovered, a well-optimized supply chain can drive significant improvements throughout their operations.
According to a survey by ARC Advisory Group, only 10% of industrial companies are ready to apply artificial intelligence/machine learning. The percentage of industrial companies broadly applying agentic AI and generative AI would be a small fraction of that number. ARC has been actively studying industrial AI for over two years.
Industry 4.0. The issue is that when companies optimize functional metrics, they throw the supply chain out of balance and sub-optimize value. The problem is that the industry is applying new techniques to the existing planning taxonomy without embracing the opportunity. Drip Big Data. The Connected Supply Chain.
Scaling manufacturing operations is crucial for business growth but presents unique challenges. Balancing increased demand with consistent quality and controlled costs is difficult but essential for manufacturers looking to expand. Successfully scaling manufacturing requires more than just adding resources.
Many large organizations have multiple systems for order, warehouse, or transportation management that are barely integrated frequently not at all. These respondents came from 13 countries and 12 industries, representing decision-makers across project management, fleet management, sales & marketing, HR, and finance.
Regular audits help identify discrepancies, maintain data integrity, and ensure compliance with industry regulations and quality standards. These robotic helpers play a vital role in boosting efficiency, especially for tasks like picking, packing, and transporting goods within the warehouse.
manufacturers have spent the last few decades consolidating production at gigantic offshore plants, especially in China. What it doesn’t necessarily mean is simply transporting those Chinese mega-factories to another hemisphere. It could even entail some degree of domestic production.
Do Set Clear KPIs and Governance Structures : Establish transparent metrics for sales, coverage, and service levels. Do Invest in Distributor Capability Building : Provide training, digital tools, and performance incentives. A well-equipped distributor is an extension of your brand and a key to market penetration.
Enhancing Collaboration Capabilities Supply chain management is inherently collaborative, often requiring coordination between suppliers, manufacturers, distributors, and retailers. Integrating Technology and Automation The advent of Industry 4.0
For a retailer, that might take the form of guidance as to where and how much to produce items, how to transport them, and where to position them in a manner that best reflects actual consumer demand. What makes mathematical optimization especially valuable, Yurchisin says, is its prescriptive — as opposed to merely descriptive — nature.
The traditional metrics of excellence cost efficiency, on-time delivery while still important, are no longer sufficient in an era defined by volatility, complexity and political changes. Transportation networks have undergone perhaps one of the most visible transformations. Warehouse operations are being similarly revolutionized.
Sustainable manufacturing has become essential for manufacturers to maintain customer loyalty, win new business, and remain competitive in today’s supply chain based marketplace. In the past, manufacturers were slow to set goals in this area. Sustainable manufacturing also enhances employee, community, and product safety.”
That includes everything from raw materials and manufacturing to packaging and logistics. The beverage industry offers a valuable example. For most CPG brands, indirect emissions — those that occur across the supply chain — represent the majority of their carbon footprint.
The Future of Freight Festival, now in its fourth year, is FreightWaves’ flagship event designed to convene industry experts, entrepreneurs, and innovators to explore emerging trends in transportation, logistics. -China trade dynamics and supply chain volatilities. ports, trucking networks, and warehouses.
If a major customer leaves, an AS/RS investment could become a stranded asset that sits on the balance sheet and drags down financial metrics such as return on asset (RoA) or other profitability measures. Risk Mitigation and Financial Stability The same flexibility helps mitigate longer-term financial risk.
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Zebra Navigating the Future of Demand Forecasting More from this author Subscribe to our Daily Newsletter! Timely, incisive articles delivered directly to your inbox.
That’s the power of manufacturing data collection. Manufacturing data collection is your secret weapon for boosting efficiency, cutting waste, and staying ahead of the competition. Manufacturing data collection is your secret weapon for boosting efficiency, cutting waste, and staying ahead of the competition.
Another powerful use of KPIs is in the benchmarking of your companys performance against that of your competitors and industry peers. Unlike most of the KPIs we recommend, perfect order is a composite of several elementary metrics.
It started to show up in job titles, functional names, metrics, and processes. That meant that companies could not manufacture and distribute and sell goods. The movement of goods from one country to the other has been a foundational driver of logistics and freight management in all forms of transportation. What happened?
6 UX Trends Shaping the Future of Supply Chain Technology By Claire Lloyd (pictured) Content Writer 144 Views The supply chain industry has experienced significant transformations as technology advances and consumer expectations evolve.
Two recently published studies identify the top disruptions that impacted industry, business and global supply chains during 2024 and our expected to be present in 2025. Labor issues played a major role in impacting most industries in the U.S. economy and for industry supply chains.
As a result, users may receive decisions that are not objective in terms of identifying specific suppliers, customers, manufacturing facilities or distribution methods. As the industry advances, the next few years are expected to see an increase in the adoption of generative and agentic AI. Resources include the U.S.
Other users of the information will be retailers and their supply chains, as well as government authorities seeking to uphold export regulations, according to Megan Brewster, vice president of advanced technology with Impinj , a manufacturer of radio frequency identification devices.
Consider a manufacturer waiting on a $70,000 payment that’s already 45 days overdue. China tariffs continues to evolve, impacting industries from tech to fashion. Standardize communication protocols and escalation steps when invoices go unpaid, especially in high-risk industries. According to Newsweek , the timeline of U.S.-China
Collaboration Across the Network Collaboration remains pivotal, particularly in industries like healthcare. As Dritz noted, Collaboration with distribution partners and manufacturers can drive tremendous value by aligning core competencies and sharing demand plans. Heres a four-step roadmap: 1. Contact Trans Audit today.
Simply defined, reverse logistics generally refers to the process of managing the flow of goods, products, or materials from the customer back to the seller or manufacturer. Manufacturers may recall stock because of flaws or to replace older products with newer ones. Some industries experience more returns than others.
I’ve been in this industry since 1985, and it feels like the drama increases every year,” says Petro. And certainly there are more frequent, large events affecting companies, that had previously been spaced out.”
Attackers can tamper with hardware or firmware during manufacturing or shipping. How Do IT Supply Chain Attacks Actually Happen? By Richard Pearson (pictured) Content Writer 49 Views IT supply chain attacks are no longer rare. They’ve become one of the most effective ways to break into secure networks. But how do they actually happen?
A lack of seamless communication, logistical bottlenecks, such as transportation delays or warehouse capacity constraints, and differing priorities between these key nodes in the supply chain can create friction. This creates a situation where manufacturers experience a sharper decline in demand than what is reflected at the retail level.
The recent port strike, the closed shipping lane that forced a shift to air transport, the bridge that blocked a port, even the grid brownout that slowed manufacturing, might have seemed like random disruptions. Who manufactured the switchboard that powers your grid? Your supply chain is already directly in the line of fire.
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This takes different forms in different industries. In heavy industry, the channel signal is typically an internet of things signal, telling managers how components are performing. What are the challenges and where do they arise from sourcing through manufacturing and delivery?
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Encourage engagement with industry associations. The fleet industry often focuses on retaining drivers and technicians, but overlooking leadership turnover is a costly mistake. Leadership development should be a standard component of fleet management training.
Embracing AI: A Double-Edged Sword AI is rapidly transforming industries, and the automotive supply chain is no exception. This includes not only performance metrics but also certifications, EDI compliance, and sustainability practices. Localized sourcing reduces transportation costs and carbon emissions.
Should the work stoppage drag on, it could disrupt June 15s Formula One Canadian Grand Prix in Montreal, given that DHL is responsible for transporting the race cars used in the competition. The union also says that DHL Express added "numerous new proposals and concessions" hours before it issued its lockout notice.
issued similar statements on June 10, saying their payment plans are aimed at promoting efficient capital flows across supply chains in the automotive industry. Supply chain financing is common in the auto industry. At least three carmakers, including Dongfeng Motor Group Co., Guangzhou Automobile Group Co. and China FAW Group Co.
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