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Logistics…Key to Turning Dreams into Reality
Prince George, B.C.- Prince George is hosting a four day International Market Forum which showcases the northern gateway transportation corridor and features Prince George as the hub of that transportation loop.Eighteen delegates from China, representing logistics, freight forwarders and air cargo carriers are here to examine the opportunities presented by the Prince George Airport, and the Fairview Terminal in Prince Rupert. This is the first market forum of this type ever held in Prince George.Dr. David Fung, Chair of the Canadian Manufacturers and Exporters Association says the Asia-Pacific corridor will allow Canada to participate both in terms of global marketing and global supply chains is fundamental to Canada’s future prosperity.“The Prince George Airport has a major opportunity to become part of the global supply chain and value chain” says Dr. Fung.The manufacturing and export opportunities are there says Dr. Fung, particularly when it comes to bio-energy “The Alberta oil sands oil is considered dirty oil because of the burning needed to extract the fossil fuel, but Prince George could produce wood pellets and supply Alberta with that clean fuel which would make the Alberta oil sands the cleanest oil in the world.” Dr. Fung says that’s where logistics will play a key role, because it’s all about connecting the product with the market.
Steve Smith, president and CEO, GCommerce, Inc. and Max Buchanan, director of sales, heavy duty and automotive, Datalliance, will discuss Internet data exchange and vendor managed inventory collaboration at the Virtual Aftermarket eForum. These presentations will wrap up the online event on Wednesday, Sept. 30, 2009.
Smith will explain how automated purchasing over the Internet can transform your business and not break your pocketbook. In his presentation, “Internet Data Exchange: Pointing EDI in the Right Direction,” Smith will discuss a new approach to unlocking the ROI and business improvements that can be found in automating document exchange over the Internet. Smith has more 20 years of experience in global supply chain management. His presentation will conclude with a live audience Q&A session.
Upgrading the Supply Chain
Changing suppliers is never easy, being both costly and time-consuming. Nevertheless, when you’re a small manufacturer, without the influence and purchasing power of larger companies, supply chain management is “hugely important,” notes Jim Hilgendorf, buyer/planner of Cardiac Science, a manufacturer of advanced diagnostic and therapeutic cardiology devices and systems. Since the company found itself lacking in some of the key supply chain areas — cost, quality, delivery and service — the potential upside of improving its supply chain outweighed the challenges, he says.
Explaining the value of logistics to the CEO
Is logistics a cost center or a competitive differentiator? Is it a core competency or a function that should be outsourced?
I would argue that most CEOs, at least historically, have viewed logistics as a cost center (trucks, warehouses, overhead, etc.), a business function that falls short of their “core competency” definition. This perspective has led to the ongoing growth (except for this year) of the logistics outsourcing (3PL) industry.
Do You Believe in Supply Chain Environmentalism?
I’m not sure if I do in the recession, but the concept of supply chain environmentalism in the retail sector, outlined in this Reuters’ op/ed, is definitively worth some consideration. On its most basic level, the author, Lawrence Goldenhersh, defines supply chain environmentalism as “the effort of the retailer community to recast the competition in the commodity marketplace by treating carbon dioxide (CO2) content as a differentiator for same-priced commodity products”. In other words, can certain products outperform their peers, even at premium price points, if they pass some level of environmental or sustainability scrutiny? Perhaps, but I’m not entirely sold yet, as it pertains to consumer’s willingness to pay a premium, especially in a time where for the majority of the population, stretching every dollar counts.
70% of Supply Chain Execs Say Environment More Important
Source: Environmentalleader.com
Environmental issues will become more important to the supply chain over the next three years, say about 70 percent of supply chain professionals in a recent survey.About 20 percent expect the importance of the environment to remain the same, and 2 percent expect it to decline, according to the North American Supply Chain Carbon & Sustainability report (PDF download, registration required).
About 57 percent of respondents to the Eyefortransport study expect their environmental initiatives to return financial and public relations dividends, while less than 10 percent expect no return on their investment.
Best supply chain must be systematic, complete, and timely
Gasgoo.com: Mr., can you express your opinions on problems existing in the supply chain of China‘s domestic auto industry?Gordon. Xie: The development trend of China’s auto industry has been in what we call the third phase of the Warring States period, from the Happy Valley enclosure to fight for share, and then to cost-competitive. The leading domestic manufacturers have begun to realize that the evolution of the industry trends, but gap between foreign advanced enterprises still exists in operation. I will talk about this issue from the following three aspects, systematicness, completeness, and timeliness.
AT&T Readies Its Supply Chain for the Future
AT&T* today announced a major change in the way the company sources new technology for its core network. The company launched its Domain Supplier program to facilitate a more collaborative relationship with its equipment and software suppliers, making certain that AT&T has the best technologies in place to serve its customers.The new Domain Supplier program also will ensure that the company’s network technology investment accelerates AT&T’s move toward a network that is well-equipped for the future. As a key part of the program, the company has established a number of “domains” – areas of the future network bounded by a particular technology set, such as wireline access.
Each domain will have two suppliers selected and pre-qualified by AT&T. The selected suppliers will work with AT&T to meet the company’s current and future needs, representing a significant opportunity for them to work in that domain for a set multi-year period, though there is no guarantee of any business award. Within each of these domains are target technologies. For example, the wireline access domain includes technologies such as IP/DSLAM and FTTx.
