E-commerce is driving the demand for smaller, more frequent last-mile deliveries. As a result, parcel rates are soaring at twice the rate of inflation. At the same time, Amazon continues to reinforce consumer expectations for free shipping and more delivery options, even as it loses billions of dollars on shipping. Shippers large and small need to look more closely at parcel transportation costs and are turning to enterprise shipping software with data-driven analytics for answers. […]
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I recently attempted to read a white paper from McKinsey that talked about the value a digitization program can provide; the problem was that after reading the article for ten minutes I still had no idea how they defined “digitization.” Sometimes I get fed up with theory. What follows are ten supply chain case studies published over the last year in Logistics Viewpoints that provide a practical approach to improving supply chain capabilities. Click on […]
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It’s Masters Weekend – one of the most glorious weekends of the year for golf fans. This year’s tournament marks the return of Tiger Woods, who will be competing in his first Masters since 2015, when he finished tied for 17th. While Tiger will clearly be a dominant storyline, one of the feel-good stories has to be Matt Parziale, who is an amateur golfer and firefighter from Brockton, MA. Parziale quialified for the Masters after […]
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Even though 90% of inventory is stationary in the supply chain, inventory accuracy at distribution centers, warehouses, and plants ranges from 89% to 99%*. In retail stores, this number drops to below 60%**. That’s because most of the inventory management process is still a manual activity. Knowing what inventory is on hand at any given time in the supply chain—and then tying that data to transportation and delivery—is a never-ending challenge for most companies. Overcoming […]
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While speaking with a number of WMS product managers, I began to notice that machine learning was called out as a focal point for WMS product development efforts. In general, machine learning is a hot topic in the world of supply chain technologies. Just last week, Chris Cunnane wrote about machine learning for transportation execution. And Steve Banker recently wrote about Vecna Robots use of machine learning to improve its vision system. Naturally, I wanted […]
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Is Uber Freight a going concern? Recent losses at the company, the shut down of UberRush, and the loss of key executives makes this a valid question. Experienced logistics executives are not surprised.
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When it comes to enterprise software, a truism is that the software contains “best practices.” Companies should change their processes to fit the best practices contained within the software. This will lead not just to better efficiency but makes the software easier to implement and upgrade. But as one company’s journey to logistics maturity shows, this often works better in theory than in practice. Some organizations have processes that need to be different and DO […]
The post Convoy of Hope’s Journey to Logistics Maturity appeared first on Logistics Viewpoints.
A few weeks ago, I wrote an article about drone deliveries, and whether or not they were actually close to a reality. In that article, I outlined a few practical applications for drones, as well as some of the more hypothetical uses. Well, this week has shown us that aside form practical uses, companies are looking towards the future for possible applications. Amazon, for example, filed yet another patent for a drone system. This time, […]
The post This Week in Logistics News (March 24 – 30) appeared first on Logistics Viewpoints.
The oil and gas supply chain is complex. One set of complexities involves tank farms. The often-massive storage tanks and extensive auxiliary equipment and instrumentation represent expensive assets. Achieving operational flexibility involves coordinating a large set of technologies and business functions. This article describes oil tank storage and movement best practices.
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I am kicking off some new research on the Transportation Execution and Visibility Systems market in the next week or so. This will be an update on a study Steve Banker did a few years ago, which looked mostly at the execution space, and how the Uber for Freight model was disrupting the market. According to ARC’s definition, transportation execution (TE) systems & marketplaces allow shippers to connect to multiple carriers and then tender, track, […]
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Software as a Service (SaaS) is a rental model that allows you to purchase enterprise software without paying giant upfront license fees. In theory, this means software becomes an operational expense (OPEX) rather than a capital expense (CAPEX). As software markets shifted from CAPEX to OPEX, we were supposed to see dramatic changes to software markets. We have… And we have not. What we have seen is many enterprise software markets make a big transition […]
The post SaaS Makes It Easier for Big Projects to get Approved… Just Kidding appeared first on Logistics Viewpoints.
Supply chain analysts are far more caustious concerning the maturity of blockchain for business applications that the broader tech community. Perhaps too cautious. One day after analysts appeared on a HighJump panel on this topic, an article appeared in the Wall Street Journal that claimed that 1.1 million items from Walmart are being tracked by blockchain, helping the massive retailer trace these products journey from supplier to store.
The post Blockchain: The “Building Block” of the Supply Chain of Tomorrow? appeared first on Logistics Viewpoints.
According to recent research, the “Great Pacific Garbage Patch” may be significantly larger than previously thought? Just how big is it? Well, the plastic waste floating in the Pacific Ocean between California and Hawaii contains at least 79,000 tons of material spread over 1.6 million square kilometers. That’s the equivalent mass of 6500 school buses, and about the size of Mongolia or Iran. About 1.8 trillion plastic pieces make up the garbage patch, the scientists […]
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The “Uberization of Freight” is a hot topic in logistics circles. My colleague Steve Banker wrote an LV blog post in 2016 that discussed the topic and its merits (see The Uberization of Last Mile Freight). It is a business concept that has been receiving large amounts of venture capital funding due to the great growth potential. After all, it is an economical solution to last-mile delivery of e-commerce orders – one of the most […]
The post DHL Parcel Metro Creates Critical Alternative for Last-Mile Delivery appeared first on Logistics Viewpoints.
Urbanization raises a complex set of challenges from moving people around large and congested cities to making sure freight arrives on time. Cities should optimize traffic management and parking systems, improve mobility-as-a-service, and supervise infrastructure and existing asset management. Smart transportation continues to evolve and address these concerns as well as help ensuring the safety of the travelers. Cities with Smart Transportation systems make themselves more desirable as a location for factories, warehouses, and cross docks.
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When it comes to Warehouse Management Systems (WMS), HighJump is one of the three biggest providers of best of breed solutions. Last week, HighJump held their annual user conference – Elevate – in Dallas. This is always a good chance to get caught up with one of the major players in the supply chain execution marketplace. HighJump was acquired by Körber (rhymes with Gerber) from private equity firm Accell-KKR, which had owned HighJump for the […]
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Sásta Lá Fhéile Pádraig! Or, for those of you that don’t speak or read Gaelic, Happy St. Patrick’s Day! While the holiday originated as a celebration of the traditional death date of Saint Patrick (c. AD 385–461), the foremost patron saint of Ireland, it has certainly morphed into something else. It is now a day to celebrate all things Ireland, and as the saying goes, everyone is a little bit Irish on St. Patrick’s Day. […]
The post This Week in Logistics News (March 10 – 16) appeared first on Logistics Viewpoints.
Just how collaborative are your internal departments? If you’re running into issues when one department makes a decision that unintentionally affects one or more aspects of your supply chain, your answer is probably along the lines of “not very.” And it may be holding back your transportation team’s effectiveness due to a lack of supply chain collaboration. In many organizations, transportation is simply the recipient of collaboration that happens in other supply chain functions. Under that model, […]
The post Why Transportation Needs to be Included in Supply Chain Collaboration appeared first on Logistics Viewpoints.
The United States has been lagging behind other parts of the world when it comes to the testing and adoption of drones for last mile deliveries. This is not due to a lack of interest or research and development efforts from some of the largest drone manufacturers. In fact, companies such as Amazon, Google, and UPS have invested incredible amounts of money into how they can deploy drones to make deliveries. These companies have also […]
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