Tag Archive: transportation trends

Electric Car Investment Surges Among Big and Unexpected Names

September 29th, 2017

Supply Chain Briefing

Dyson just announced it will build a radically different electric car by 2020. What is particularly interesting is that Dyson is not who you would expect to get into electric cars. They are spending far more (one billion £) to develop the car than they are on the rest of their traditional business lines (vacuums and air filters). Obviously, they see vast potential. Similarly, Mercedes is aggressively targeting Tesla with a $1 billion electric push. Not only that, they are doing it in the U.S. – in Alabama to be specific. Electric car investments are stimulating a billion here and a billion there…

Electric Car Battery Charging

What Should We Consider and/or What Impacts Could Arise?

Whether your business has anything to do with electric cars or not, you should pay attention. It is obvious that executives see potential benefits and will back these sentiments with money. Noticing where investments are flowing can be critical as it will impact your business in one way or another. For example, if you are in Alabama, you might have a harder time finding skilled talent when Mercedes comes to town. If you need the same materials that are required for electric car batteries, you might slide down the supply totem pole. What will you do? Can you consider the R&D of your own business to get ahead of the curve? Or, at a minimum, perhaps you’ll have to incorporate a price increase into your future plans. That actually came up at a client earlier this week so I’ve seen it in action.

Stay abreast of what’s going on around your industry and your business. Think about the potential impacts. For the noteworthy and high-risk items, dig deeper. Discuss with your supply chain partners and trusted advisers. The bottom line: Don’t be surprised by critical potential impacts to your business.




The Strongest Link in Your Supply Chain

July 9th, 2013
Five Transportation Trends. LMA Consulting Group.

Stay on top of the latest transportation trends to avoid weak links in your supply chain.

Five Transportation Trends
I’ve recently spoken at and participated in a few transportation industry events, and was reminded of the importance of transportation trends to the supply chain, so I thought a recap of trends was in order:

1. The importance of systems: As supply chains become more complex, leveraging systems becomes more important to optimizing supply chain networks and minimizing transportation costs.

2. Consider supply chain disruptions: As supply chain disruptions become commonplace – natural disasters, weather, strikes, etc. – it has become essential to build flexibility and agility into supply chains.

3. Alternative fuels: Certainly fuel cost is significant in transportation; thus, selecting the optimal technology is key to success. UPS is expanding its liquefied natural gas vehicle strategy.

4. Logistics trending UP: The US Logistics market grew 6% in 2012, led by growth in domestic transportation management, according to a study by Armstrong & Associates Inc.

5. Panama Canal questions: The Panama Canal expansion (adding a 3rd lane) is scheduled to be completed in 2015 – will it affect the amount of freight going directly to the East Coast? There is much disagreement on this topic.

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Ideas to Minimize Freight Costs in Today’s Economy