Friday, February 23, 2018

E-COMMERCE AND SELF-SABOTAGE

Do retailers and manufacturers self-sabotage their e-commerce success, including not transforming their supply chains?




CHANGING SUPPLIER RELATIONSHIP DYNAMIC

The e-commerce supply chain and its velocity  includes a new supplier relationship dynamic that transcends purchase orders, changes, and lower price demands.  E-tailers acting in traditional ways face problems.




SUPPLY CHAIN PERFORMANCE OPPORTUNITY


The biggest performance opportunity and often the most complex area with supply chain management is outside the four walls.  Technology.  Lean.  Inventory.  Process.  For starters.



Thursday, February 22, 2018

LOGISTICS BLOCKCHAIN'S TWO SEGMENTS

Logistics blockchain has two applications.  Internal.  External--with regard to customers.  The external segment needs supply chain input and design if it is to achieve the Blockchain Supply Chain potential.  For the latter, domain expertise is with SCM.




THE BUSINESS DUALITY OF E-COMMERCE

E-commerce is about Business Duality. Online selling combined with the supply chain that meets Customer Expectations. A new reality.







MANUFACTURERS AND THE MESSAGE FROM RETAIL CLOSINGS

Is the message from Toys R Us and others that manufacturers are overdue to move from mono-channel selling to omnichannel? Take control of their sales and strategy. Determine role of retailers as customer intermediaries. Implement the required e-commerce supply chain for success.




SYSTEMIC SUPPLY CHAIN INVENTORY

Many retailers and manufacturers have built a "culture" and "safety net" of systemic inventory throughout the supply chain.  Does the benefit of the New Supply Chain with its end-to-end velocity and reduced dependency on an inventory surplus create uncertainty and hesitation to transform their supply chains?




INVESTORS AND LOGISTICS DISRUPTION

The disruption in the logistics provider segments also impacts investors. Much is unknown and evolving adding to understanding and perception of what is happening--and risks and opportunities.




LOGISTICS AND SUPPLY CHAIN TECHNOLOGY CHALLENGE

Challenge for logistics providers and supply chain management is that technology is moving faster than companies.  What will happen? Is it Technology Explosion vs Organization Implosion?





Wednesday, February 21, 2018

STOP AND START INVENTORY

The traditional supply chain often uses inventory as a build up/stock-drawdown-replenish (node/link or stop-start) approach which has both over stock and out of stock. Different from the e-commerce supply chain with end-to-end velocity.




DISCONNECT BETWEEN LOGISTICS PROVIDERS AND SCM

The gap between supply chain people and logistics providers seems to be widening as SCM transforms. See a disconnect emerging in articles and posts. Relationships moving backward to buyer-seller. Seems like few logistics leaders with the disruption and transformation.




LOGISTICS TECHNOLOGY AND ASSET LITE LOGISTICS PROVIDERS

Logistics technology has the potential for disintermediation--reducing the role of or need--for forwarders?  What about the impact on asset-lite logistics providers?




CHANGING ROLE OF LOGISTICS PROVIDERS

With the required Supply Chain Velocity for e-commerce and with developing technologies, the role of logistics providers is changing to supply chain providers. And if you impede required supply chain velocity, then... 






Tuesday, February 20, 2018

LOGISTICS COSTS VS SUPPLY CHAIN PERFORMANCE

Defining and measuring supply chain performance by logistics costs held back the evolution of SCM. That evolution issue created additional shortcomings with meeting the supply chain revolution and requirements of e-commerce. Now need supply chain transformation.




SUPPLY CHAIN CHALLENGES


The biggest challenges to supply chain transformation needed to meet e-commerce customer expectations may be internal.  Not external.



END-TO-END SUPPLY CHAIN VISIBILITY


A weakness in many omnichannel businesses is the lack of dynamic end-to-end supply chain visibility.  Whether for order delivery or click and collect.



BIGGER THREAT FOR RETAIL?

Besides e-commerce/Amazon, what is the future of retail as manufacturers sell online direct to end-customers--disintermediation? Is the latter a bigger threat for retail than adapting to online selling?




Monday, February 19, 2018

RISING TRUCKING COSTS


Let's see.  Years of low rates and no comments about it now becomes "crisis"?  Flaw of measuring supply chain performance by logistics costs.  A poor measure.

BLOCKCHAIN AND DOMAIN EXPERTISE

Much Blockchain about Supply Chain seems to be missing Domain Expertise by SCM professionals. Agree? Or not?




VELOCITY, PLANNING, AND FORECASTING

Imagine what Supply Chain velocity can do for planning and forecasting?