Archive for Logistics Outsourcing

How Transparent Is Your 3PL Network?

When dealing with the nuances of complex transportation networks, an organization often relies upon multiple transportation-focused 3PL providers, ultimately resulting in a fragmented network that lacks visibility and effective communication. Often this isn’t by design, but organically manifests itself due to different parts of the business being run by different groups. Furthermore, it can be seen frequently in companies that have grown through acquisition or consolidation. In these instances, one business unit used 3PL A […]

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UPS and Additive Manufacturing: Managing a Megatrend

UPS Invests in a 3D Printing Firm to Learn UPS actively monitors emerging technologies including 3D Printing. 3D Printing, also known as additive manufacturing, was not that interesting to UPS initially. But as industrial manufacturers began making components, not prototypes for R&D, but direct material components used in finished products, UPS began to become interested. In time, they realized that this could be a megatrend that could reshape the face of the logistics industry. Alan […]

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SingPost – A Smart Transformation to E-Commerce Logistics Solutions

Two decades ago, I didn’t know postal operators in foreign countries unless I had a pen pal in the region. The role and range of services offered by postal companies have changed considerably since the advent of e-mail, the internet, and most importantly, the exponential growth of e-commerce. Singapore Post (SingPost) is one such domestic provider that has been in the press for its increasing presence in today’s digital economy. In 2014, Chinese e-commerce giant […]

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Softening Global Trade Continues to Hurt the 3PL Market

Organic growth (without the effect of acquisitions) in the non-asset section of the 3PL industry declined by about 6.9 percent, mainly due to softening global trade. This market continues to struggle.

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Hostess Brands Turnaround Driven by a Supply Chain Transformation

…as a supply chain guy, I just love hearing about a business turn around that was largely driven by a more effective supply chain. That, as Tuesday’s financial news proves, was clearly the case with Hostess Brands.

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Creating Carrier Partnerships is Key to Procurement Success

It’s been a busy year for procurement events. A lot of shippers are realigning their rates and commitments with their carriers in what has been a “soft” market. This has proved cost effective with shippers reducing their rates between 5 and 15 percent. But as we all know, the market is ever changing and the favor will swing the other way eventually, so it’s important not to place all of the focus on cost savings. […]

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Competing on Analytics: A Supply Chain Case Study

This logistics services company manages hundreds of millions of supply chain assets for its clients, has hundreds of thousands drop off and pick up points, and make over 10,000 deliveries per day moving through over 100 logistics centers. To manage this complexity in a manner that insures high service levels, a sustainable/green supply chain, and profitability, the company has committed itself to a variety of analytic solutions.

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How the Mexican Peso Is Impacting Cross-Border Transportation

The devaluation of the Mexican peso over the past two years has been rather extreme. Two years ago, one U.S. dollar was worth about 13.5 pesos, and today it’s worth about 18. As a result of this severe drop in value, U.S. goods have become very expensive for Mexicans, and Mexican goods have become cheap for Americans. In fact, many markets across the globe have become cheaper as the dollar has gotten stronger – making […]

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Hostess Brands Builds a Unique, New Supply Chain

Hostess went bankrupt. But Hostess products are back in stores. This happened after the brands and certain factories were purchased out of bankruptcy in April of 2013. The brand was then relaunched in July of 2013. That left just a few months to build a unique, new supply chain from scratch.

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3PL Acquisitions Make Selecting a Managed Transportation Partner Risky

There have been a number of acquisitions involving 3PLs that offer managed transportation services (MTS) solutions over the last year. Cumulatively, these acquisitions involve companies that have over 40 percent of the total MTS market.

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