LinkedIn published my 100th Influencer article last month. The inaugural post appeared on March 4, 2014, and was about the rising status of the supply chain profession. Reaching this milestone got me thinking about how the profession might change over the next decade. Some events and trends driving the supply chain’s standing back in 2014 remain just as influential in 2023. What strikes me as different today is that the new challenges we face are turning points for supply chains — and, hence, the world. Common interests My 2014 post noted how the profession has evolved beyond its tr ..read more

In these unstable times, keeping most of your sourcing eggs in the China basket has become inadvisable, and companies appear to be putting a lot more energy and resources into finding alternatives to the world’s workshop. In these unstable times, keeping most of your sourcing eggs in the China basket has become inadvisable, and companies appear to be putting a lot more energy and resources into finding alternatives to the world’s workshop. In a survey of the US-China Business Council’s member companies, 28% expressed pessimism about the outlook in China, up from 21% last year. The number of o ..read more

The bankruptcy of trucking company Yellow has attracted considerable attention since the story broke early this month. But an aspect of the story that is under-reported is how the demise of a 99-year-old trucker and the loss of an estimated 30,000 jobs offers essential lessons about the transition to the workplace of the future. Old habits die hard Since Yellow’s bankruptcy was announced on August 6, 2023, the company’s management team and Teamster union officials have been at odds over the causes. Management blames union intransigence over the operational reforms needed to put debt ..read more

Supply chain management is a people business and will remain that way even amid the rise of AI and automation. My previous blog post explains why the flexibility of human workers will play a critically important role in the automated workplace of the future. In this post, I argue that humans will be an essential part of the external work environment in an AI-driven world. Again, the arguments are put forth in more detail in my new book, The Magic Conveyor Belt: Supply Chains, A.I., and the Future of Work. As the book explains, algorithms will not replace the human interactions and communities ..read more

Pressure from various stakeholders to make supply chains more sustainable has grown steadily over the last three years and shows no signs of abating. by David Correll and Ken Cottrill The uncertain economic and political outlook might persuade some companies to dial back their efforts to improve the sustainability of their supply chains. Some enterprises may even be more amenable to bolstering their sustainability credentials with greenwashing. Our extensive research shows that both courses of action are ill-advised. The pressure from various stakeholders—notably investors — to incr ..read more

Labor relations are in the spotlight with employers at Los Angeles and Long Beach ports, management teams at FedEx, and UPS engaged in critically important contract negotiations with trade union representatives. Any one of these talks has the potential to hurt the US economy should the negotiators fail to reach an agreement and protracted industrial action ensues. The talks cover a range of issues, but a key theme is flexibility. For example, UPS management wants more flexible work contracts that allow the company to flex with changing market conditions. Port employers want the flexibili ..read more

In such an uncertain environment, resilience attracted much attention, yet the task of building and sustaining resilient supply chains remains extremely challenging for many companies. The fallout from the Covid-19 pandemic and related disruptions, like shortages of both labor and products, tested companies throughout 2022. In such an uncertain environment, resilience attracted much attention, yet the task of building and sustaining resilient supply chains remains extremely challenging for many companies. There are various reasons why resilience-building is far from straightforward, but one o ..read more

Supply Chain Can Teach Us Much About the Future of Professional Education Labor issues command a lot of attention right now, and notably the challenge of how to find enough talent to meet current and future market demands. Central to this challenge is developing educational models that meet the changing needs of professionals and their employers. The supply chain industry is no exception in this sense. However, in some ways, it also offers a case study of how new, innovative approaches to professional education are emerging, especially models that leverage the advantages of online learning. F ..read more

Companies are trying all manner of ways to rid themselves of bloated inventories at a time when they typically build inventory for the end-of-year holiday season. How did they find themselves in such a mess? Companies are trying all manner of ways to rid themselves of bloated inventories at a time when they typically build inventory for the end-of-year holiday season. How did they find themselves in such a mess? Several factors caused these problems: Delays in fulfillment from Asian factories due to congestion in ports and other parts of the transportation system meant that many re ..read more

Companies need to map these critical linkages in their supply chains when evaluating risk and resilience. When one element is disrupted, it is likely that other parts of the system will be impaired as well. by James B. Rice Jr. and Ken Cottrill Last month, General Motors announced that shortages of microchips were partly to blame for a 40% drop in revenues in the second quarter of 2022. GM’s troubles are symptomatic of the supply shortages that continue to disrupt supply chains worldwide. In such an environment, it is hardly surprising that fixing supply capacity issues is a top pri ..read more