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states, obvious disruptions to supplychains and supplychainriskmanagement were a given. Many of the states affected contained key ports and supply destinations, as well as transportation and logistics hubs. A supply plan is needed for the human element, as well.
SupplyChain Disruptions: A Survival Guide. Do you feel supplychainriskmanagement is too complicated to implement? This article will show you how one of the worlds leading companies put a theory into practice and survive many supplychain disruptions. 2009: H1N1 Outbreak in Mexico.
That stated, in certain regions such as across Europe and China , the year continues to present economic and manufacturing challenges. Shipping lines again managed to extract added spot rates and surcharges which have impacted business transportation budgets. Global wide manufacturing activity levels as measured by the J.P.
Supplychain and procurement leaders must now navigate an increasingly complex regulatory environment, balancing cost efficiency with risk mitigation. Its a very dynamic environment, says Jason Clark, Exigers SVP for Manufacturing and Energy, in the webinar Preparing for Tariffs: Steps to Take Now.
The SupplyChain Matters blog highlights a published report indicating that Mexico is increasingly benefiting from a rethink of prior globally extended supply networks. A huge contributing factor has been T esla’s recent announcement regarding a significant vehicle assembly plant in Monterrey, Mexico.
SupplyChain Matters highlights a published report indicating that PC maker Hewlett Packard is modifying supplysourcing akin to China Plus and nearshoring sourcing actions. That would include alternatives to China under the umbrella of either China Plus or de-riskingsourcing changes.
Our predictions included that uncertainty in global markets and the likelihood of regional economic and manufacturing recession conditions should be anticipated. By all prevailing accounts entering this year, there remained a fair amount of uncertainties and many potential risks. Global-wide manufacturing levels as depicted in the J.P.
SupplyChain Matters provides our monthly highlights commentary and perspectives on published monthly global manufacturing PMI and supplychain activity indices. Now, with September and full Q3 reporting available, global manufacturing activity has officially fallen below the 50.0 The September 2022 J.P.
While the pandemic has given procurementmanagers fresh ammunition to advocate for greater resiliency within their corporate supplychains, geopolitical experts and a bipartisan coalition of legislators argue that the U.S. and Mexico moves on land,” he said. allies,” said Goto. This is alarming.”. said Marchese.
The Forced Labor Enforcement Task Force was created to comply with Section 741 of the United States-Mexico-Canada Agreement Implementation Act. Need more transparency in your supplychain? Need more transparency in your supplychain?
Sidney has over three decades of global direct and indirect procurement and supplier management experience. As Head of Procurement at Harman International to VP of Global SupplyChainManagement at Aptiv, we learned about this supplychain thought leader’s extensive experience in the world of supplychain and procurement.
Global Manufacturing Activity Levels Global manufacturing activity as reported by the J.P. Morgan Global Manufacturing PMI® , compiled by S&P Global in association with ISM and IFPSM , provided a banner headline of renewed contraction as production conditions worsened by the end of Q2. in May to a value of 57.8
The August numbers once again signal a continued downturn in global manufacturing conditions as output and new order rates continue to fall. From our lens, the August data further reflects ongoing shifts in production sourcing within specific industry sectors. That stated, global output levels fell for the third consecutive month.
The increased cost of working capital and supplemental inventory levels to mitigate fulfillment risk is likely to revert back to just-in-time inventory management. Concurrently, supplychain leaders will be expected to continue efforts directed at instilling added supply network resiliency and tactical based agility.
The SupplyChain Matters blog highlights select June and Q2-2022 global manufacturing and supplychain indices, with the data indicating increased headwinds and challenges in the months to come. Morgan Global Manufacturing PMI® report, a composite index produced by J.P. Global Wide Production Activity.
In line with prevailing economic forecasting, readers should anticipate continued uncertainty of global markets and the actual likelihood of various regional economic and manufacturing recession conditions in the coming year. By all accounts, there remain a lot of uncertainties and many potential downside risks. Global Economic Themes.
Among the announcements made at the conference was a $46 million added investment to modernize manufacturing facilities in both Lexington, Kentucky and Lincoln, Nebraska. Tamoud noted that the North America investment provided the opportunity to rethink and reexamine the region’s supply network and demand fulfillment strategies.
We had the purchasing power to accomplish that. Wilensky: Okay, but for OEMs with lower annual spend, what kinds of contract terms can induce a supplier to stand up a new manufacturing facility in a country that’s closer to the domestic markets or their major contract manufacturers?
But between new proposed legislation, public sentiment and tariffs, responsible supplychain leaders will have to consider if and how they will want to alter their supply lines. The move from China, even if to other more reliable-in-a-crisis countries like India, Mexico or Singapore, will come at considerable cost.
2023 Prediction Three: More Direct Control in Strategic or Tactical Multi-tiered Direct Materials Sourcing will Continue to be a Prominent Element of Business Strategy for Chief SupplyChain or Chief Procurement Officer Efforts. . Canada or Mexico. based manufacturing facilities had soared by over 116 percent.
Prediction Background In our prior 2023 predictions published a year ago, we included two separate predictions related to how supplymanagement and their strategic sourcing teams would encounter an added focus on business strategy alignment. The latter, Mexico , has taken prominence as the primary exporter of goods to the U.S.
This included: Developing playbooks and contingency plans to address your most pressing risks. Evaluate structural changes in your supply base that could reduce risk exposure. Go digital: Explore the potential of dedicated supplychainriskmanagement solutions. Likely, yes.
Tariffs hit hard on the bottom line by hiking up costs across supplychains, thereby affecting sourcing, manufacturing, and distribution decisions. However, if organizations adopt proactive tariff optimization strategies and build adaptive supplychains, these challenges can be turned into opportunities.
We now share excerpts of Prediction Two likely to be one of the more longer-term consequential predictions, that which is related to supply network strategic and tactical sourcing strategies. With Mexico now representing the largest inflow of goods into the U.S., or other global companies. billion in funds.
They included uncertainty in global markets and the likelihood of regional economic and manufacturing recessionary conditions. However, global and regional production and purchasing activity as measured by the J.P. The Eurozone continues to undergo sequential months of manufacturing sector contraction. That is quickly fleeting.
In our continuing global assessment series, SupplyChain Matters provides readers with highlights of the November 2024 monthly reported global and regional wide PMI activity levels. At the midpoint of Q4-2024, overall global and regional manufacturing levels reportedly stabilized but there remains notable regional differences.
According to reporting by Bloomberg ( Paid subscription ), Nations currently in the eye of the trade storm may see even sharper decelerations, with Canadas growth rate tumbling to less than half the OECDs December prediction, Mexico entering a recession, and the annual expansion in the US wilting to 1.6% percent to 2.2 The forecast for U.S.
The damage impacted more than 50 electronics, automotive, and aerospace manufacturers, plus general machinery and materials processors, and medical device and health care companies. In 2025, it will be impossible to avoid conflict and its impact on sourcing, manufacturing, and logistics. companies operating in China.
That was changed after Canadian officials in the Ontario province agreed to suspend a 25 percent tariff on electricity supplied to three specific U.S. Reportedly, the Trump Administration continues to prohibit any exemptions related to specific countries including Canada, China, Mexico and the European Union. In dollar terms, U.S.
import tariffs focused on Canada and Mexico would go into effect tomorrow, the latest Trump Administrations announcement indicates they will plow ahead. For this particular small business CEO, the reality was described: A prolonged trade war with both Mexico and China is a severe blow to our business model. Over the weekend, U.S.
Citing sources familiar with the matter, The Wall Street Journal has reported that President Trump has elected to soften the impact of his automotive tariffs. including the Chevrolet Equinox small SUV that is produced in Mexico. federal government employee layoffs.
Source: Evan, Flikr. “I I will be wrong again,” I stated last year before making my supplychain and logistics predictions for 2017 , and I was right. SophiaTX Open Source Platform to Integrate SAP, Blockchain. Maersk and IBM Unveil First Industry-Wide Cross-Border SupplyChain Solution on Blockchain.
In this special weekend posting of SupplyChain Matters we highlight for our readers todays announcements made by the Trump Administration regarding added import tariffs. Tariff Announcements Late this afternoon , the White House announced the imposition of 25 percent tariffs being imposed on imported materials from Canada and Mexico.
In a prior industry specific commentary, SupplyChain Matters highlighted the implications of last weekends temporary product specific U.S. import tariff exemptions granted to high tech and smartphone supply networks. are assembled in Canada and Mexico, and will likely be impacted by the added 25 percent tariff levels.
According to various published reports, these tariffs will be widely applied to all US imports of steel and aluminum, including from Canada and Mexico , reportedly the top two foreign suppliers of the metals to the U.S. Mexico reportedly accounts for $6.5 and foreign based manufacturers and for customers and consumers.
The announcement follows an early March announcement of 25 percent import tariffs being imposed on imported goods from Canada and Mexico , which was subsequently delayed by 30 days in a later announcement in lieu of global financial market reactions. either in Mexico or Canada. The implication seems is that U.S.
trade practices, including persistent trade deficits and unfair currency practices, along with the flow of migrants and drugs from Canada, China and Mexico into the United States. industrial and manufacturing base to assess whether further national security-related tariffs are warranted.
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