It’s the evening of Christmas day. I’ve retreated to my home office after enjoying an outstanding day filled with family, great food, and the sharing of presents. Being a supply chain wonk, I’ve already pondered the Christmas magic of how all these goodies find their way to their final destinations. Yes Virginia, it is all about logistics.
Each month we write several articles on some aspect of logistics management. It’s always interesting to look back at the end of the year and see which ones had the highest readership. This year, a cost-saving blog topped the list (no surprise), but it was followed by two blogs focused on talent recruitment, illustrating what a key challenge this is for logistics organizations.
Topics: Supply Chain Challenges
At the recent CSCMP Conference in Anaheim, CA, the top challenge on most people’s minds was the difficulty in hiring qualified workers to a logistics career – across all job titles.
No news there. We’ve been talking about this for years, and as an industry we’re making progress. But we’re a long way from solving the problem.
What did you do to celebrate CX Day earlier this month?
Wait…what?! You’ve never heard of it?
CX, of course, is short for Customer Experience. CX Day celebrates those customers. You know, the people who keep the lights on. The day itself moves around a bit, making it hard to get traction for this particular celebration.
Lip Service. According to Merriam-Webster, it’s a belief “expressed in words but not backed by deeds.”
There’s a lot of that going on when it comes to programs for continuous improvement in logistics. Some companies do quite a good job presenting the image of a quality-driven operation. But too often the banners, slogans and award certificates – the eye candy – don’t translate into real cultural change.
Every logistics operation will say safety programs are a priority. But many such claims are lip service only. Safety solutions, over and above OSHA-mandated programs, cost money – for training, equipment and software. Many companies struggle to invest money in things that might happen.
Noted logistics educator Dr. Thomas J. Goldsby is the Harry T. Mangurian, Jr. Foundation Professor in Business, Professor of Logistics, and Chair of the Department of Marketing & Logistics at the Fisher College of Business, The Ohio State University. He is an academic advisory board member to the National Center for the Middle Market located at Ohio State. We recently talked to Dr. Goldsby about some of the challenges and opportunities associated with logistics for middle market companies.
Topics: Supply Chain Challenges
Distribution network optimization has become a white-hot topic these days as “the Amazon effect” leads businesses to evaluate how quickly they can get products to customers.
Warehouse optimization modeling exercises examine the upside of being closer to customers versus the downside of carrying more inventory in more locations. The biggest mistake companies make in this area is relying too much on the modeling software itself to provide an answer to the question: “How many warehouses should I have and where should they be?”