Commentary

How the Hub-and-Spoke Model Transformed the Transportation Industry

In the past, the transportation and distribution industry was guided by the principles of point-to-point or direct-route operations. Transportation networks were disorganized, and shipping, aviation, and transit companies were losing money. As technology has developed, the logistics sector has found faster and more cost-effective ways of shipping freight. The hub-and-spoke model was born from industry’s […]

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Is Your Freight Payment Company Equipped to Audit Your Invoices?

Businesses use freight payment companies (FPCs) to decrease internal administration costs and maintain detailed back-up information for their finance departments. They rely on FPCs to review weekly transportation invoices for accuracy and make payments on their behalf. Some companies also count on FPCs to audit their invoices. Companies can gain several benefits by partnering with […]

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Leading Change and Innovation in Transportation and Logistics

Online retailer Amazon.com has been experimenting with small, unmanned aircraft for package delivery for implementation perhaps as early as 2015. Amazon is not alone in evaluating drones as a means to improve its transportation and logistics. The German Deutsche Post is also currently conducting tests. Time will tell whether or not drones will join other […]

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Georgia’s Supply Chain Industry Steers the Next Generation of Workers

Today’s global economy is a vast competitive network, challenged by increased government regulation, changing technology, jittery financial markets, and a myriad of niche-specific customer requirements. Baby Boomers, Generation Xers, and early Millennials built this system in the 1980s and ’90s, but as they retire it is vital to groom a new generation to pass their […]

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Networked Track Sensors Keep Rails and Workers Safe

The current state of rail integrity and safety is a critical issue for logistics managers who increasingly rely on intermodal transportation. Intermodal rail traffic has significantly increased during the past two decades, according to the U.S. Department of Transportation. In addition to increased rail traffic, aging infrastructure complicate intermodal shipping. In 2011, the Federal Railroad […]

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The Power of Demand-Driven

The inbound logistics concept has a lot of pull in today’s marketplace—and for good reason. Consignees want control. Having visibility to product and processes at different supply chain touch points empowers you to make smart decisions about positioning and moving inventory. Companies embrace this enthusiasm for demand-driven practices in countless ways. For example, some importers […]

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Laying the Foundation For a Long-Term 3PL Partnership

Many companies start working with a third-party logistics (3PL) provider to fix an isolated problem at the lowest possible cost. Unfortunately, these relationships are often short-lived and serve only to fill an operational gap. But thoughtfully planned 3PL partnerships can produce invaluable results using a long-term approach that focuses on sustainable operational gains, rather than […]

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Streamlining Inventory Through SKU Rationalization

While supply chain and logistics managers pursuing Lean operations generally seek to eliminate excess inventory, sales and marketing programs often lead companies to increase the volume of products they keep in stock. During the past few decades, the number of stockkeeping units (SKUs) retailers offer has soared. For example, in 1970, the average grocery store […]

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A New Spin on Global Trade

Some important trends shaping global logistics and supply chain activity may not get the wide coverage they deserve. Sure, plenty of analysis and commentary point to the usual—changing economies and currency values impacting supply lines, nearshoring and reshoring, burgeoning consumer markets affording growth opportunities to those with agile enterprises and flexible supply chains, and lane-altering […]

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5 Lift Truck Innovations That Will Change Your Warehouse

New developments affect the lift truck market every day, and it’s only a matter of time before you’ll see these features and tools in your own warehouse. Here are five lift truck innovations worth knowing about. Device mounts. When warehouse managers first tried using tablet computers and other inventory devices on lift trucks, it didn’t […]

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5 Steps for Improving Your Logistics Training

Training is often viewed as an employee benefit, rather than an investment in the business. That’s why in difficult economic times, training and employee development are among the first budget items to go. To avoid these cuts, you must align educational programs with your company’s business objectives, and position them to drive results. Here are […]

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How to Profit from Outsourcing

More companies outsource the reverse logistics function than any other part of the supply chain. In fact, most Fortune 1000 retailers and consumer goods manufacturers outsource part or all of their reverse logistics processes, and experts expect this trend to continue growing globally over the next 20 years. Why do companies such as Walmart, Dell, […]

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Benchmarking Career Development

When a professional discipline evolves at hyper speed, career development follows. But actually, it should lead. Keeping up with change—often precipitated by new generations of talent, innovation, and technological know-how—instinctively raises expectations, and inspires personal growth and enrichment. That’s particularly true of supply chain management. In a literal sense, learning on the job is part […]

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How the Changing Chassis Market Affects Your Supply Chain

The change in marine chassis provisioning continues to be of concern to maritime shippers, thanks to a long-term trend of separating ocean transportation from inland logistics. That trend began in the mid-2000s, when carriers limited the inland destinations they would serve. As ocean carriers are disintermediated from the market, chassis users and providers will develop […]

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Collaborative Programs: Not a Chore But an Opportunity

Many corporate executives view the supply chain and logistics function as a source of savings through cost reduction. Their position is understandable, as supply chain and logistics costs can represent 50 to 70 percent of a company’s sales dollars. Making these operations more efficient and effective can have a great impact on the bottom line. […]

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Using Operational Analytics to Achieve a Digitized, Visible Supply Chain

To assure a succcessful future, companies must add value to their customers and organizations, and drive competitive advantage. The best way to achieve this is by developing a system based on operational analytics. Operational analytics come from analyses done on the fly as part of standard business processes. Planning, inventory management, and control are examples […]

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Weathering Climate Change and Supply Chain Risk

Companies have become more aware than ever of the considerable risks that climate change poses to their businesses and supply chains. A current or future risk related to climate change was identified by 70 percent of the 2,500 companies responding to Reducing Risk and Driving Business Value, a 2012 survey conducted by the Carbon Disclosure […]

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Five Ways to Drive Efficiency In International Logistics

If your international supply chain partners aren’t able to operate at optimal efficiency, they pass increased pricing on to your company. When partners don’t meet your expectations, it’s difficult to standardize the logistics flow, which reduces efficiency and decreases their level of commitment to your goals. Add the extra time your personnel spend working through […]

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Maximize Nearshoring Value to Minimize Supply Chain Complexity

Latin America—particularly Mexico—continues to gain favor as a sourcing hotspot. Its close proximity to the U.S. border has always been a draw, but recent developments have shifted the global trade landscape in favor of the Western hemisphere. Nearsourcing may never entirely replace production in Asia, but trading partners in the Americas should be an essential […]

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Creating Meaningful Logistics Training Programs on a Budget

Training costs are often among the first budget items to be reduced or eliminated. Smart companies, however, recognize the vital role logistics training plays in keeping their teams ahead of the competition, and choose to manage their training budget carefully. To effectively manage training dollars, every department should distinguish between essential and recommended training. Essential […]

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