Inventory… What a Waste

Inventory is a necessity – but at what levels? How much of a backlog is necessary to keep production moving at a steady rate? In his Inbound Logistics blog post, Inventory…What a Waste, Paul A. Myerson makes a strong case for reducing excess inventory, pointing out that “excess inventory is a symptom of underlying problems in a process.” “In lean…

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Good News for U.S. Logistics Providers

In his Logistics Management blog post, Good news for U.S. logistics providers, editor Patrick Burnson wrote that the ever-shrinking total landed cost gap may be the tipping point that results in an acceleration of reshoring. Many large companies, he indicated, have already made public plans to reshore portions of their manufacturing to the U.S. -- including Caterpillar, Nissan, NCR, Yamaha,…

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The End of Cheap China: World Must Adjust to New Reality

“China's evaporating cheap labor pool will disrupt supply chains and consumption habits around the world. Executives and policymakers need to prepare ahead of the curve, to evolve and take advantage of the changes — or else face extinction." In The End of Cheap China: World must adjust to new reality, Alexander Heffner, discusses assertions made by Shaun Rein, managing director…

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Rising Labor Costs in China and Their Impact on the Supply Chain

“Do we move out of the Asia sphere, or is this actually where a supply chain needs to be positioned—close to an emerging market? Why would you disregard a market of this size and continue to view this portion of the globe as an export-driven manufacturing base to support western consumerism?” In, Rising Labor Costs in China and Their Impact…

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Applying Lean Principles in Process Industries

Interested in some outside perspective on applying Lean and Six Sigma process improvements in a Process Manufacturing environment? In, Applying Lean Principles in Process Industries, posted recently by Reliable Plant, the author puts forth the argument that although Lean and Six Sigma were pioneered by discrete manufacturers, the principles can be applied in a Process Manufacturing environment as well, stating,…

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House Passes Measure to Maintain Tractor-Trailer Sizes

Potential changes in legislation could dramatically affect the nature of transportation costs associated with logistic and supply chain operations. Last week CNN ran a report highlighting the passing of a house measure maintaining current tractor-trailer sizes and weights for three years. The House committee is waiting three years until a study can be completed on the potential costs incurred by…

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