Can Transportation Management Reduce Litigation?

Can Transportation Management Reduce Litigation?

February 27, 2019

Here’s an unusual top 10 list: The top 10 areas in transportation management that could have a positive impact on decreasing supply chain litigation.

Coming from an attorney specializing in transportation and logistics-based litigation, half of this list involves truck technology such as event data recorders, collision management systems, semi-electric trucks, automatic transmissions and self-driving trucks.

This post is based on the Supply Chain Management Review article, Supply Chain Attorney Shares Top 10 Transportation Issues to Track, by Alycen A. Moss, February 12, 2019. Image source: Comstock Images / Alamy.

Discussion Questions:

1. Will the truck technologies listed in the top 10 list encourage or discourage people to seek jobs as drivers in the future? Why or why not?

Guidance: Students will likely enjoy the debate about becoming a truck driver in the future.  Some will no doubt argue that truck driving will be boring if technology makes driving too easy.  Others will naturally take the view that the driver shortage may be eliminated by having technology make the job easier and thus more appealing.

The instructor may want to follow up the discussion by asking who envisions a larger labor pool, vs a smaller Continue reading

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Warehousing Trend: Use Trailers

Warehousing Trend: Use Trailers

February 26, 2019

Trailers seem to be the next trend in warehousing. It costs 50% less than brick-and-mortar to use trailers as storage space.  The issue is that trailers are only able to help with pallet inventory.

They’re not feasible for some businesses. E-commerce operations require larger brick-and-mortar footprints for picking operations.

Trailers do offer several benefits:  temporary storage to expand capacity, mobile operations as trailers can support inventory surges wherever needed, and utility in reverse logistics.

This post is based on the Supply Chain Dive article, Are trailers the next big warehousing trend?, by Gary Wollenhaupt, February 12, 2019. Image source: Prasit photo/Getty Images.

Discussion Questions:

1. How could a company determine the optimum number of trailers to own?

Guidance: Review the capacity cushion concept; this question can help to stimulate discussion about capacity cushion planning.  Students should recognize that the trailers are supplementary to brick-and-mortar operations.  Trailers could represent storage capacity cushion for a company.

2. What are the limitations to using trailers for reverse logistics?

Guidance: Possible limitations could include lack of space for a trailer at a retail location such as a mall, items that may require special handling for safety, Continue reading

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Strengthening the Supplier Relationship

Strengthening the Supplier Relationship

February 24, 2019

What are your thoughts on supply chain finance (SCF) programs? In these programs, companies extend access to low-cost capital to their suppliers.  The goal is stronger suppliers, with higher production volumes and better production capabilities. The end result is a stronger supplier relationship.

This post is based on the Supply Chain Brain article, Three Cost-Effective Reasons to Invest More in Your Suppliers, by Nathan Feather, February 11, 2019. Image source: Shutterstock / Ieva Geneviciene.

Discussion Questions:

1. Do a quick web search of a retailer such as Wayfair or IKEA. How would a supply chain finance program improve supplier relations?  Be specific in naming suppliers. (This activity may require a web search of several of the suppliers to the retailer firm chosen).

Guidance: Students choose a retailer and then research at least one supplier to the retailer.  Have students describe how a supply chain finance program would increase production and/or improve production capabilities for the supplier that would benefit the retailer.

2. Why would a supplier be hesitant to accept a supply chain finance program arrangement from a major retailer?

Guidance: Students should consider the risks of being so tightly aligned with any Continue reading

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