Why So Many Supply Chains Are Stuck in the Past — and a Path Forward

If you went to a restaurant with four friends and only two of you got your meals, would you consider that a success? What if your flight from New York to Los Angeles landed in Kansas? As a consumer, you wouldn’t visit that restaurant again and buy eight meals to compensate for the restaurant only delivering 50% of what you ordered. You wouldn’t pay for a flight to Japan to vacation in Hawaii. Paying for twice the product you actually need isn’t just bad business, it’s bad business that costs more than you can afford, not to mention creating a terrible experience for all parties involved. So why are major manufacturing companies doing this with their supply chains? 

https://www.supplychainbrain.com/blogs/1-think-tank/post/32441-why-so-many-supply-chains-are-stuck-in-the-past-and-a-path-forward

Commentary: Amazon isn’t going into 3PL business; it’s already there

The views expressed here are solely those of the author and do not necessarily represent the views of FreightWaves or its affiliates.

Is it even possible to have had a business conversation in the past 10 years without talking about Amazon? Certainly in logistics and supply chain, everyone agrees the Amazon Effect has changed things forever. Amazon’s modus operandi: building solutions first for itself and growing these into solutions for its customers. This idea, plus the knowledge of the spaces...

https://s29755.pcdn.co/news/commentary-amazon-isnt-going-into-3pl-business-its-already-there

Transmission: Incumbent OEMs cutting Tesla’s lead

OEMs may not be that far behind Tesla

Whenever I think about electric vehicles, I can’t help but immediately think of Tesla. The company revolutionized the EV game. Tesla is always looking for new ways to innovate the industry from introducing battery improvements (thanks to heavy investment in R&D) to sustainability woven intricately within its supply chain. It’s the reason the company is so far ahead of competition and why OEMs are working hard to catch up. However,  people often forget one...

https://s29755.pcdn.co/news/transmission-incumbent-oems-cutting-teslas-lead

Blizzard keeps trucking across Midwest

Tractor-trailer heading through snowstorm.

A blizzard continues to slam the Midwest, slowing down truckers making deliveries or trying to get home for the weekend.

A semi got stuck in a snow drift. Snow plows from Urbandale, IA try desperately to keep the roads passable during this intense #blizzard. #IAwx pic.twitter.com/v3xdatqb96

— Nick Stewart (@NStewCBS2) January 15, 2021

Drivers have had a rough time since the storm began Thursday, with some of them skidding off roads, flipping or getting caught in snow drifts. Issues will...

https://s29755.pcdn.co/news/blizzard-keeps-trucking-across-midwest

Online retailers pay almost double in logistics costs

This is an excerpt from Thursday’s Point of Sale retail supply chain newsletter.

(Chart: Gartner)

Retailers with more than 50% of revenue from the online channel have logistics costs as a percentage of sales that are almost double those of their store-focused counterparts, according to Gartner. 

2020 was a year spent primarily expanding online fulfillment capabilities, but now retail supply chain leaders are now looking for opportunities to control, contain and, where possible, reduce their...

https://www.freightwaves.com/news/online-retailers-pay-almost-double-in-logistics-costs

Maersk Witnesses Scant Relief in Congested Supply Chains

With little excess shipping capacity amid high demand, there is scant relief on the horizon in congested supply chains, reports the Wall Street Journal.

Demand to stay at the top

Demand for ocean shipping services is likely to remain unusually high and supply will remain tight for some time as shippers and carriers adapt to shifts in supply chains driven by the coronavirus pandemic, according to Robbert van Trooijen, senior vice president for Latin America and the Caribbean at Maersk Line parent...

https://mfame.guru/maersk-witnesses-scant-relief-in-congested-supply-chains/

Drilling Deep: C.H. Robinson’s O’Brien on the driver for retail supply chain transparency

C.H. Robinson and SAS form an “unprecedented” partnership aimed at the freer flow of information in the retail supply chain.

On this week’s Drilling Deep podcast, Chris O’Brien of C.H. Robinson joins host John Kingston to talk about CHRW’s recent announcement of a sweeping data partnership with SAS that is targeted at a freer flow of information up and down the retail supply chain. 

The partnership, announced this week, was described by both companies as “unprecedented.” It is yet another step to...

https://s29755.pcdn.co/news/drilling-deep-c-h-robinsons-obrien-on-the-driver-for-retail-supply-chain-transparency

French visibility platform secures $32M

French company Shippeo, a supply chain visibility platform, has secured $32 million to continue product innovation and market expansion.

The round, announced on Thursday, was co-led by Battery Ventures, along with existing investors NGP Capital, ETF Partners, Partech and Bpifrance Digital Venture.

Founded in 2014, Shippeo joins a string of visibility platform companies that have landed venture investment as investors plough capital into software that can help companies navigate and execute...

https://s29755.pcdn.co/news/french-visibility-platform-secures-32m

Walmart CEO makes case for retail giant as innovator

Walmart (NYSE: WMT) CEO Doug McMillon delivered a far-reaching keynote address at CES2021, painting in broad strokes the company’s ambitious goals for supply chain innovation, sustainability and equity, as well as the new technologies that are changing the way the world’s largest retailer does business.

“One of the more interesting things in my view is not how any single technology is changing the world but how they all come together,” said McMillon, “and making choices about where we invest and...

https://www.freightwaves.com/news/walmart-ceo-makes-case-for-retail-giant-as-innovator

Logistics real estate activity breaks records in Q4

Logistics real estate stays hot in Q4

Logistics activity continues to dominate the industrial real estate markets, according to global commercial real estate services firm Cushman & Wakefield (NYSE: CWK). The firm’s fourth-quarter outlook report highlighted the impact e-commerce is having on demand for logistics space.

Warehousing, distribution space in high demand

The report said the fourth quarter was the strongest on record for positive net absorption, the amount of space leased over that vacated, at 90 million square feet. The...

https://www.freightwaves.com/news/logistics-real-estate-activity-breaks-records-in-q4

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