The big news this week was IBM’s planned acquisition of Sterling Commerce. We shared our viewpoint on this news earlier this week, so today we’ll focus on other interesting developments.
I watched a Walmart television commercial recently that linked its ongoing efforts to transport goods more efficiently with its private fleet to its efforts to benefit the environment, lower its operational costs, and improve its ability to offer lower prices to consumers (its price rollback program).
I couldn’t find this commercial on YouTube or on Walmart’s web site, but I did find other ads and videos, with the… Continue reading
I attended the JDA user conference last week, FOCUS 2010 , which took place at Caesars Palace in Las Vegas. JDA completed its acquisition of i2 Technologies at the end of January, and what was most interesting to me was to see how the merger was proceeding.
Historically, i2 and JDA have had very different cultures. i2 tackled some of the most complex supply chain problems from… Continue reading
IBM announced yesterday that it will acquire Sterling Commerce from AT&T for $1.4 billion in cash. According to the analyst call yesterday, IBM was the catalyst for the deal, approaching AT&T with the opportunity. IBM views this acquisition as a path to growing its WebSphere business. After the acquisition is finalized, Sterling Commerce’s approximately 2,500 employees will be integrated into the WebSphere organization within IBM’s Software Group, managed by… Continue reading
If you were to conduct a cost waterfall analysis of most manufacturers, you would find that their manufacturing-related costs are greater than their distribution costs. And in distribution, transportation-related costs outweigh warehousing costs. So, a one percent cost saving in manufacturing saves a lot more money than the same one percent improvement in warehousing. This is one key reason why at many companies supply chain personnel still have a lot… Continue reading
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