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LSCMS Blog

Blog for updates and happenings in logistics in the Asia-Pacific region

April 28, 2014

CPG Suppliers: Drowning in the Sea of Big Data

Filed under: Newsletter,Supply Chain Management — admin @ 6:53 pm

No doubt about it – consumer packaged goods companies are drowning in data today.

It’s the age of Big Data, which is supposed to give companies unprecedented control over their supply chains. But how can they even begin to get a handle on this massive amount of information?

There are a myriad of solutions to consider, with many different types of logistics networks. Consider the following example from Teradata:

[An] example where speed is of the essence is in the area of store-based fulfillment, which is becoming increasingly popular as Retailers realize the value of their existing store network in getting products into customers’ hands. However, operating such a fulfillment network requires Retailers to establish business rules that analyze all the costs involved in fulfillment and have a direct relationship with CG suppliers to fulfill specific orders and ensure on-time, in-full replenishment.

In some cases, the shortest geographic distance between two points might not be the most cost-effective route. Drop-shipping an item from a CG manufacturer or distribution center, even one located a few states away, could conceivably be better for the Retailer’s bottom line than shipping it from a store located in the same city as the customer – particularly if the store risks an out-of-stock situation if the item is taken off the shelf or out of the backroom.

Even Harvard Business Review weighs in on the conversation stating the the CPG industry is still “gut-based” (as indicated in the tweet above), but argues that the use of intuition to drive the direction of analysis of big data is still a very common practice. Given the sheer volume of data available, it might be good to know that the human still has a role to play in navigating the ocean of big data.

[Read more… Curated from Supply Chain Brain]

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April 27, 2014

Supply Chain’s Carbon Impact: More Than a Footprint

Filed under: Newsletter,Supply Chain Management — admin @ 11:13 am

Carbon footprint: What a misleading metaphor that is. How could such a small description be used for something so large and complex?

This year saw publication of a powerful tool for evaluating the environmental impact of one’s major suppliers: the Supplier Climate Performance Leadership Index. Supply Chain Brain takes a look at what this tool does to reduce the complexity of calculating the impact of not only a company’s own emissions, but those of multiple suppliers and service providers.

This may not be the entire answer, as this tweet points out with employee carbon footprints, but it may be a start to making companies more willing to make the effort to measure accurately.


[Read more… Curated from Supply Chain Brain]

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Freight Rates Set to Improve

Filed under: Logistics,Newsletter — admin @ 10:54 am

20140427-104004.jpgFreight rates are forecast to improve or maintain existing levels over the next 12 months, and an increase in private equity funding is expected to have a major impact on the industry. This is according to the latest Moore Stephens Shipping Confidence Survey results.

From the Moore Stephens blog:

In February 2014, the average confidence level expressed by respondents in the markets in which they operate was 6.5 on a scale of 1 (low) to 10 (high), compared to the 6.1 recorded in the previous survey in November 2013. This is the highest figure since the 6.8 recorded when the survey was launched in May 2008.

[Read more… Curated from Lloyd’s Loading List]

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April 26, 2014

Singapore Manufacturing Output Up in March

Filed under: Logistics,Newsletter — admin @ 11:11 am

Output grew a stronger-than-expected 12.1 per cent in March, compared with March 2013.

Singapore’s manufacturing output grew a stronger-than-expected 12.1 per cent in March from a year ago. This was helped by a surge in the production of oil rigs, pharmaceuticals and petrochemicals.

On a seasonally adjusted month-on-month basis, manufacturing output increased by 6.1 per cent in March, a tad below the 6.5 per cent expansion reported in February, the Economic Development Board (EDB) said on Friday.

The output of the electronics cluster grew 8.7 per cent year-on-year in March.

According to EDB, growth was mainly contributed by the other electronic modules and components and semiconductors segments.

[Read more… Curated from Logistics Insight Asia]

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The Power of Demand-Driven

Filed under: Newsletter,Supply Chain Management — admin @ 11:11 am

Demand-driven supply chains strive for synchronicity between functions and among partners to ensure optimal performance.

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.

The closer you are to market, the more time is compressed. So the risks of failure are greater because you have less time to react. Control is even more important—whether it’s crossdocking to expedite retail replenishment and avoid stockouts, or dynamically routing last-mile shipments to meet delivery demands.

These examples demonstrate the myriad ways demand-driven DNA is woven through the supply chain. The demand-driven concept accommodates strategic business processes such as postponement, and sales and operation planning; but it also guides tactical execution as rudimentary as following an inbound routing guide.

[Read more… Curated from Inbound Logistics]

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Banish Bias From Your Demand Forecast!

Filed under: Newsletter,Supply Chain Management — admin @ 11:11 am

Demand forecasting would be a snap – if only people weren’t involved.

Check out the podcast from supplychainbrain.com!

[Read more… Curated from Supply Chain Brain]

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Shipping Experts Call for Collaboration and Consolidation

Filed under: Logistics,Newsletter — admin @ 6:51 am

ship-in-the-harbor-4-1005126-mMaritime industry leaders have today called for greater collaboration and consolidation in Asia to tackle challenges such as the rise over capacity, talent shortages and environmental sustainability, which are impacting the potential of the industry.

Experts in the World Maritime News article emphasised the softer side of logistics, as per the following:

“We are seeing ships continuing to get bigger and bigger and a lot of focus on scale. However we need to remain equally focused on the ‘softer side’ of shipping such as customer service and information technology,” he said.

The LSCMS saw this echoed in the recent LogiSYM 2014 conference, with a call to universities to educate graduates in “real life skills” to better support companies and their own careers.

[Read more… Curated from World Maritime News]

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April 24, 2014

GEFCO Upgrades Multimodal Offerings Between Asia & Europe

Filed under: Logistics,Newsletter — admin @ 6:53 pm

locomotive-5-1195935-mAs reported in Logistics Insight Asia:

This new door-to-door service allows ocean freight collected from the major ports in China and overland cargo to be directly loaded onto the extensive national rail tracks and then delivered to over 10 Asian and European countries via Alashankou or Manzhouli, including Kazakhstan, Kyrgyz Republic, Tajikistan, Uzbekistan, Turkmenistan, Russia, Ukraine, Belarus, Poland, Germany and Hungary. Customers will benefit from the new offering by over 50 percent lead-time saving compared to ocean freight. The costs can be significantly down by 90 percent in comparison to air freight, whilst the CO2 emission will be drastically reduced to only one percent of it.

This fits in with GEFCO’s overall strategy, with an increase in automotive freight as reported in Automotive Logistics Magazine:

During 2013 the company opened new branch offices in Chengdu, where OEMs including Volvo have recently launched factories, and where DPCA will build a fourth plant together. Another office opened in the southern city of Shenzhen, home of a new CAPSA joint venture factory that builds premium DS vehicles, which together with branches in Hong Kong and Guangzhou are important hubs for freight forwarding.

The company is also looking to expand in South-East Asia.

[Read more… Curated from Logistics Insight Asia]

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April 22, 2014

Infrastructure Freeze in Thailand Threatens Logistics

Filed under: Logistics,Newsletter — admin @ 12:53 am

bangkok-statue-1403978-mA move to cut logistics costs now “unlikely to bear fruit” with the 2-trillion-baht infrastructure bill frozen according to reports.

From the Bangkok Post:

The huge investment required for infrastructure development and the hefty financial burden of populist policies such as the rice pledging scheme have stoked fears that the country’s public debt will outstrip the Finance Ministry’s threshold in the coming years and pose a threat to Thailand’s credit rating.

[Read more… Curated from the Bangkok Post]

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April 20, 2014

Blockbuster Acquisition Deal by Zebra to Acquire Enterprise Business from Motorola

Filed under: Logistics,Newsletter — admin @ 5:22 pm

zebra-1439498-mZebra Technologies and Motorola Solutions have announced that they have entered into a definitive agreement in which Zebra will acquire Motorola’s Enterprise business for $3.45 billion in an all-cash transaction.

The Supply Chain Management Review article tweeted below considers some of the interesting aspects of the acquisition, including the consideration that Zebra now has to incorporate an organisation that is more than twice its size. However as stated below, the instant access they now have to complementary technologies makes for a formidable competitive advantage:

View the Press Release from Zebra

[Read more… Curated from Logistics Insight Asia]

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