Randall Manufacturing
Archive | Printer Friendly Version | Send to a Friend | www.mhi.org | MHI Solutions magazine July 24, 2013
 
Georgia Tech Supply Chain & Logistics Institute
MHI
Emerging markets have been identified as the primary business growth area for the next century, and organizations with strong demand planning capabilities and segmented supply strategies are better positioned to mitigate risks and capitalize on market opportunities, according to a new report by Gartner, Inc.
 
"Emerging markets present huge opportunities but come with unique characteristics and challenges due to the constant thrust for business growth, volatile demand and low maturity of supply chain processes," said Mike Burkett, research vice president at Gartner. "The ability to plan demand better is a tremendous advantage, as accurate demand plans help supply chain leaders align end-to-end supply chains correctly, and forecast predictable outcomes and profitable responses to demand."
 
Modern Material Handling
The demand for supply chain technicians, a newly created job title that coincides with increasing automation at warehouses, is expected to increase 30% nationwide in the next 24 months, according to a recent report by the National Center for Supply Chain Technology Education.
 
That 30% increase equates to 61,000 jobs, according to the report, "Supply Chain Technicians in the U.S.: Nationwide Employee Survey Results," a first of its kind study that defined supply chain technicians and examined employer hiring preferences for the emerging occupation.
 
Material Handling & Logistics
Optimism among U.S. industrial manufacturers regarding the domestic economic outlook rose to 63 percent during the second quarter of 2013, up from 55 percent in the first quarter and representing the highest level since the first quarter of 2012, according to the Q2 2013 Manufacturing Barometer, released today by PwC US.
 
In addition, 72 percent of respondents believed the U.S. economy grew in the second quarter, up 10 points from the prior quarter. At the same time, sentiment pertaining to the world economy remains guarded with only 31 percent expressing optimism and 59 percent voicing continued uncertainty.
 
Forbes
Relatively speaking, it’s easy to visualize how a company will change on the outside as it grows into an international business. It may need a larger facility, will likely increase its staff, and may ramp up its marketing efforts. Executives and staff may begin to take trips overseas. Even someone outside the business sector would expect to see these highly visible changes happening in conjunction with this kind of growth.
 
What an internationally growing business looks like from the inside is less obvious, which poses a challenge for anyone taking their business global for the first time. Among the more hidden functions of an expanding business is its changing supply chain. If a business’ growth outpaces its supply chain management, all sorts of things can fall to pieces — including the product itself. Scaling up on an international scale only adds to the complications at hand.
 
Industry Week
For U.S. manufacturers, the idea of logistics is nearly synonymous with trucking, which is hardly surprising considering that roughly 70% of all goods are transported on a truck, and nearly 80% of all transportation costs are spent on motor carriers. With so much of the economy dependent on trucks, you might think that ensuring the viability of the trucking industry would be a priority for politicians, but of course nothing is ever that simple.
 
For one thing, trucks burn up a lot of fuel; some U.S. government studies estimate that motor carriers account for 20% of all the carbon emissions related to transportation. The Obama Administration has been particularly insistent on regulating greenhouse gas emissions from medium-duty and heavy-duty trucks. As a result, trucking companies have been purchasing new equipment (mostly to replace aging vehicles) to comply with the regulations, which has led to a declining number of vehicles on the road.
 
Supply & Demand Chain Executive
Grace L. Duffy has a simple message for supply chain management professionals who believe that they can coast through their careers without continuously updating their skill sets. "The profession is going to move whether we want to move or not," she says, "and, as individuals, if we don't move forward with the profession, we will be lost."
 
Duffy is vice president for management and performance systems with the American Society for Quality (ASQ). Her own career over the past 15 years has included work as a specialist in organizational performance, process improvement and leadership, and previously she spent 20 years with IBM, including designing and delivering Big Blue's Executive Quality training in the late 1980s.
 
The Raymond Corporation
MHI
Increased productivity on the manufacturing floor coupled with the large investment required in production line automation has made the maintenance stockroom a critical part of the manufacturing process. Implementing dynamic storage systems from Kardex Remstar in the maintenance and repair stockroom can improve manufacturing uptime.
 
As manufacturers are using more and more automation to increase manufacturing productivity, having the parts in stock to service and maintain the production line directly impacts the bottom line. Losing days, hours, and even minutes in a high speed automated manufacturing line can cost thousands to a manufacturer.
 
EBN
Everyone's seen the ugly images: outdated mobile phones, obsolete monitors, and dated laptops discarded in landfills. There's value in those piles, it turns out.
 
"Reverse logistics" can mean a lot of things -- resale, refurbishing, or harvesting parts -- but the simple way to think of it is recycling. The electronic supply chain, however, has long had an uneasy relationship with the idea. Last year's mobile phone went to the landfill because the profit from recovering components from old or damaged goods wasn't worth the cost to implement a recycling strategy.
 
Industry Week
The proliferation of counterfeit electronic parts into the manufacturing supply chain costs the U.S. government and its contractors billions each year.
 
But the problem is not just limited to those who supply government agencies. Recent reports show consumer and industrial businesses are losing approximately $250 billion each year because of counterfeit components.
 
One report notes the automotive industry alone lost $3 billion in sales, while another shows the semiconductor industry takes a $75 billion annual hit.
 
Packaging World
To state the obvious, contract packaging is rapidly evolving. The core outsourced-packaging function is easily understood, but the form and function of the contract packaging organization is a moving target. Decades ago, a co-packer was defined by the machines the company had on the floor.
 
Packaging-specific services remain a much needed, much in-demand core competency. Consumers want the benefits of the latest primary containers, pouches, blisters, pillows, stick packs, and/or the latest secondary innovations in POP, club packs, multi-packs and the like.
 
Supply Chain @ MIT
The additive manufacturing revolution is underway, and product supply chains lie directly in its path of creative destruction. Which ones, if any, will survive?
 
In additive manufacturing – also known as 3D printing – a computer-controlled laser melts materials such as plastic or a mixture of alloys according to a blueprint that is programmed into the machine. An object is made by building up ultra-thin layers of the material one by one.
 
The technology reduces waste to a minimum because material is added (hence the term "additive") in the precise quantities needed to make an item. Also, additive manufacturing is incredibly flexible both in terms of the types of objects that can be manufactured and where the process takes place.
 
Material Handling & Logistics
The importance of diesel power to the expansion of freight transportation and the continued growth of the U.S. economy was outlined for the Congressional Panel on 21st Century Freight Transportation by the Diesel Technology Forum.
 
The panel, which was created by the U.S. House Transportation and Infrastructure Committee and is chaired by U.S. Rep. John Duncan Jr., conducted a roundtable meeting - "Effectively Coordinating Freight Planning Activities" – this week with federal and state officials including Polly Trottenberg, the Under Secretary for Policy for the U.S. Department of Transportation.
 

Modern Material Handling
The customer is always right. We’ve all heard that saying hundreds if not thousands of times. When it comes to order fulfillment, it turns out, the saying is true.

That’s one of the takeaways from a survey of 375 companies representing 6 key countries released this week by Intermec. The surveyed looked at the potential savings from the deployment of mobile technologies across the supply chain and to what extent companies had re-engineered their processes to reap those benefits. You can read the key findings on Modern’s website.
 
SupplyChainBrain
The biggest differences between order fulfillment by electronic commerce versus the traditional retail store are turnover and volume, Hedges says. E-commerce typically involves much smaller orders and fewer items. At the same, it gives retailers another valuable opportunity for reaching their customer base.
 
E-commerce’s high level of throughput activity translates into higher labor requirements and additional travel time within the distribution center. Companies must cope with the change by finding new efficiencies within their warehouse operations.
 
World Trade
As stated in a recent Entrepreneur article by Catherine Clifford, one way manufacturers can "green" their operations is by minimizing transportation miles of both inbound and outbound materials and products. Reduced mileage equates not only to energy-savings, but also fewer emissions released into the atmosphere.
 
These green benefits, however, need not end once a shipment arrives at its destination. By automating the delivery process, manufacturers can ensure a green process for managing inbound and outbound shipments.
 
Naylor, LLC
 

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