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Helpful Articles - Supply Chain

The Auto Industry’s Semiconductor Chip Shortage: A Look at This Massive Supply Chain Disruption

Empty dealership lots. Long waiting lists for new vehicles. Higher prices for both new and used cars. The semiconductor chip shortage hit the auto industry hard, impacting manufacturers, dealers, and consumers alike: Consulting firm Alix Partners has estimated that the shortage will cost the automotive industry $210 billion in lost revenue in 2021, $100 billion more than the firm’s initial estimates. AutoForecast Solutions projects that 11.3 million vehicles will be cut from production plans before the crisis is resolved. Additionally, some experts anticipate that shortages will last at least into 2023, with Cox Automotive estimating that it will take at least until 2025 for the...

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Establishing Your Strategic Advantage Through Supply Chain Integration

In a competitive environment, many businesses search in earnest for anything that can offer them a strategic edge. In these situations, their eyes often turn to their supply chains. Some organizations consider optimizing what they already have. Others, look further afield to ask how supply chain integration strategies can help them gain a stronger foothold in their niche. In this article, we’ll take a closer look at the concept of supply chain integration. What is it? And how can your business leverage supply chain integration to get an edge in your marketplace? We’ll start by setting the groundwork with a few definitions. What Is Supply...

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Why Are Containers Still Backed Up at the Ports of Los Angeles and Long Beach?

A little while ago, we tackled the question, “Why is the supply chain so messed up?” Despite efforts from local officials, California Governor Gavin Newsom, and even President Joe Biden’s administration, there’s still significant congestion at the Ports of Los Angeles and Long Beach. For our part, we’ve been hearing from a number of shippers looking for drayage solutions to get their containers out of the ports. A few key statistics lay out the current state of affairs: 82% increase in average end-to-end transit time from China to the U.S. Due in large part to port congestion, U.S.–China ocean freight transit time has increased considerably,...

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How a Transportation Management System Can Improve Your Supply Chain

As a business grows, its supply chain operations can get geometrically more complex. If you’re only shipping a few loads a week, though, you might not need a transportation management system (TMS). However, if you move a significant number of loads via several different modes from several different origin points, a TMS could be a vital tool to help you plan, execute, and analyze all of your supply chain activities.  Transportation Management System (TMS): A software platform that helps businesses optimize their supply chain activities, specifically around the movement of goods. Both shippers as well as 3PLs may leverage these systems to streamline operations.  If you’re considering a transportation management system for your business, we’ll walk you through the major benefits. You’ll see how other operations leverage...

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Master the Latest Supply Chain Concepts with our Glossary of Terms

While your managing and optimizing your organization’s supply chain, you’ll encounter a number of terms. Some might be old, familiar friends. Others might leave you puzzled.  Enter our Approved Glossary of Supply Chain Terms.  Below, you’ll find our definitions of some of the most common supply chain terms you’ll hear, plus links to further resources if you want to dive deeper. Use this glossary to decode the lingo you’ll hear—and sound like the supply chain expert you aspire to be.  Interested in Freight & Transportation Terms? Check out our Transportation Glossary for our definitions of freight, logistics, and transportation terms.  Read More3PL – An acronym that stands for 3rd–Party Logistics. When someone...

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3 Global Events That Highlight the Importance of Diversification in Your Supply Chain

The pandemic—and its effects on global supply chains—held insights for manufacturers, suppliers, and retailers alike. Some questioned the validity of the popular just-in-time model for supply chain management. Others are seeking ways to make their supply chains more resilient, so they’re able to flex in response to future global incidents.   Diversification can be a key strategy for reducing the effect of disruptions on your supply chain. Simply put, supply chain diversification is the real-world application of the old adage, “Don’t put all your eggs in one basket.” It asks supply chain managers to reduce their reliance on single sources for components, supplies, and/or finished goods. That way, if one source...

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