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It's a brave new world.

Sound Bites: The Post Pandemic World

Adapt. Improvise. Overcome.

“Going back to a pre-Covid-19 economy isn’t going to happen. So the supply chain sector is adapting to new trading conditions. 2021 will see the continuation of a short-term focus on rapid changes and a need for agility, balanced against a need to adapt to longer-term trends that are redrawing the rule book of what is ‘normal’.” - Huq Jones, ninefeettall.com

“From an industry standpoint, nearly every supply chain responded with the explosiveness of a Michael Jordan spin move. Companies rapidly established remote work capabilities and modified safety protocols to protect essential workers in distribution centers and on the roads. Retailers ramped up e-commerce fulfillment to handle the tidal wave of online orders. Manufacturers modified sourcing locations and transportation lanes to keep production lines running.” - Brian Gibson, Auburn University


"One core competence of firms that can flexibly respond is innovation." - Ted Stank, the University of Tennessee

Industry has adapted, and the government needs to catch up. Don’t look in the rear-view mirror. You’ll never see that place again.

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It’s almost Halloween, and if your town is anything like mine, your neighbors’ yards are already littered with ghosts, witches and tombstones. 

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Keep a clear focus on enterprise priorities.

"Spot solutions are needed to help a company get through a sudden shock, but the only way to ensure agility and resilience going forward is by addressing systemic issues in a way that is intentional and focused on the long term and brings together clear priorities, well-designed repeatable processes, robust governance, and a skilled team." - Harvard Business Review

From Low Cost to Best Cost

An article published by McKinsey & Co. in August observed, “over the past year, many companies have made structural changes to their supply networks by implementing dual or multiple sourcing strategies for critical materials and moving from global to regional networks.”

This structural change pivots on the difference between low cost and best cost.  The shift extends through Tier 1 Suppliers through lower tiers.  The intent of a low-cost supply chain strategy is to present a low price to customers. A best-cost strategy adds factors beyond cost to the equation, like risk, lead time, and responsiveness.

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Digital Freight Execution: Making Win-Win Connections

As global supply chains become increasingly complicated, there are now more digital connections and business collaborations in the global shipping industry than ever before. Holding freight data in opaque, disconnected silos and relying on outdated methods of communication is not just inefficient - it’s unsustainable.

The global supply chain is no longer a linear process. Whereas before it was simply about moving freight from point A to B, now there is now a multitude of options for transporting that freight, each with its own unique set of capabilities and constraints. 

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No wonder we are short of labor in the supply chain.

America’s posture in world trade, and the underlying supply chains, are more than robust.  According to the U.S. Census Bureau and the U.S. Bureau of Economic Analysis, the United States balance of trade in goods and services deficit dropped to $70.6 billion in July.  Exports hit the highest level in real dollars since tracking began over 70 years ago.  During the recovery from Covid,, with reshoring and shifting market demands, are holding imports flat..

This success is happening despite the global disruption caused by Ukraine.  Expect our labor shortages to continue.  Expect wage pressure to continue.  Expect inflationary pressures across the supply chain to continue.

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