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Think Tank
Logistics Outsourcing: Page 258
India's Supply Chain Is Improving, But Still Has a Long Way to Go
Analyst Insight: India has one of the world's fastest-growing economies. Based on the country's 12th Five-Year Plan, manufacturing in India is expected to grow at a healthy CAGR of 9.5 percent. However, according to a World Bank Survey, India ranks 46th in global trade logistics performance and 13th in GDP growth worldwide. Despite the generally positive economic outlook, estimates indicate that the country's inefficient supply chain results in an approximately $65bn loss per year. - Neelam Singh, Senior Analyst, and Steve Banker, Service Director, Supply Chain Management, both of ARC Advisory Group
US Airways Appoints General Sales Agent in France for Cargo Operations
Expanding on its existing relationship in other countries, US Airways has appointed EFIS Air, a subsidiary of ECS Group, as its cargo general sales agent in France. The two already work together in the UK, Belgium and the Netherlands.
81 Percent of Surveyed Ocean Shippers Look to Cut Costs Through E-Invoicing This Year
A global study of high-volume shippers and freight forwarders that included four of the top five global logistics providers found that 81 percent of respondents want to receive invoices electronically in 2013.
BizSlate Launches Small Business Supply Chain Assistant
New York-based BizSlate is launching its cloud-based resource planning tool to give small business a hand with their supply chain challenges. Unlike legacy vendors in that sector, including SAP and Netsuite, the technology is specifically designed for department stores, retail chains, small boutiques and the like. Chief executive Marc Kalman says BizSlate is ideal for companies that have "outgrown QuickBooks" but don't have ample resources at their disposal for IT.
Evolving the 3PL-Shipper Relationship
Analyst Insight: The talk in outsource circles these days continues to revolve around the need for bigger and better collaboration and innovation. Some articles talk about the end of outsourcing, but what they mean - and a better way to put it - is to think about the end of outsourcing relationships as we know them. - Kate Vitasek, faculty, University of Tennessee's Center for Executive Education. and Founder, Supply Chain Visions
Supply Chain Is the Weakest Link in Indian Retail Industry
Analyst Insight: With the government of India recently liberalizing foreign investment into the country's retail sector, many global retailers are eyeing the country as the next expansion opportunity. The experience of early entrants into India's organized retail has shown that supply chain inefficiencies are among the top hurdles to profitability. The unique Indian context requires creative sourcing approaches and significant investment in training and retaining local skilled supply chain talent. - Viktoria Sadlovska, Chief Research Officer, Prameya Research
Reasons for Selecting 3PLs Are Changing
Analyst Insight: Third-party logistics providers continue to be the recipients of outsourcing requirements and have grown to provide a critical business capability, but the business rationale in selecting an outsourcing partner appears to be changing. The use of 3PLs remains compelling, with shipping companies continuing to report productivity gains - along with cost reduction and service enhancement - but in discussions with clients, increasingly manufacturers are looking to leverage industry best practices and process knowledge as a first priority. - Simon Ellis, Director, Supply Chain Strategies Practice, IDC Manufacturing Insights
UK Freight Forwarding Sector Annoyed by Trade Negotiations
As talks are announced regarding a potential free-trade agreement between the two continental powers, which could simplify and revolutionize the €450 per annum trans-Atlantic trade there are rumblings in UK freight forwarding circles that another agreement, potentially a precursor to the main agreement and involving the security concerns when shipping goods between the partners, does not appear to hold all that it originally seemed to promise.
UPS and Jabil Will Provide Reverse Logistics Services
United Parcel Service of America (UPS) has formed a partnership with electronic circuit boards manufacturer, Jabil Circuit, to provide reverse logistics services globally. Under the partnership, UPS's logistics and distribution business unit and Jabil's aftermarket services division will provide optimized reverse logistics solutions for return and repair programs to original equipment manufacturers, service providers and enterprises.
ABB To Cut Costs to Counter Market Volatility
Swiss manufacturer ABB has said it will focus on reducing cost to offset economic uncertainty. In order to combat the sluggish global economy that has damaged sales for many providers of industrial equipment, ABB has focused on the bottom line. "In the short term, there are still a lot of questions around the pace of growth in Europe and the U.S. and the timing of the rebound in China," said Joe Hogan, chief executive officer of ABB.
Ahold To Share Data With CPGs
Ahold USA plans to launch a vendor collaboration initiative next month that will include sending POS, supply chain and merchandising data via a third-party to some number of its CPG suppliers in order to improve product availability and customer satisfaction.
USDA Funds NC State Study to Develop Global Food Supply Chain
The Supply Chain Resource Cooperative (SCRC) in North Carolina State University's Poole College of Management is one of several partners in a five- year, $3.9m grant-funded project to build and evaluate supply chains for local farmers and fishers to supply large-scale markets in North Carolina. The project is led by the Center for Environmental Farming Systems (CEFS) in NC State's College of Agriculture and Life Sciences (CALS), which has been awarded the first year's funding of the grant by the Agriculture and Food Research Initiative (AFRI), part of the U.S. Department of Agriculture's National Institute of Food and Agriculture.
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