Each week we look for the best blog posts, articles, and commentary on supply chain orchestration, logistics innovation, and industry news to share.
This week we're reading about digitization and the skills that will be required to manage and analyze supply chains in the future, notable figures and trends from CSCMP's annual State of Logistics report, recent survey report results on the state of UK omnichannel retail fulfillment and delivery, the factors supply chain managers believe are the driving forces behind industry innovations, and interesting highlights from the new Kantar-Retail Powerankings report.
The Death of Supply Chain Management - By Allan Lyall, Pierre Mercier (@Pierremercier), and Stefan Gstettner, Harvard Business Review (@HarvardBiz) - Corporate logistics and supply chain functions are beginning to benefit from innovations like robotics, predictive analytics, and AI. As supply chains continue to evolve and require less human intervention, the authors discuss what the roles of the future supply chain function will include and what skills and experience will be necessary for them.
Companies Spent a Record $1.5 Trillion on Shipping Costs in 2017 - By Erica E. Phillips, (@EEPhillips_WSJ) Wall Street Journal (@WSJ) - Highlighting key figures and insights from the 29th Annual State of Logistics Report. In 2017, total spending on logistics rose to nearly $1.5 trillion, up 6.2% from the year before, and about $250 billion more than companies spent on logistics in 2008. Rising e-commerce sales, increasing 15.5% year over year to $448 billion in 2017, drove up parcel delivery costs for businesses to $99 billion, a rise of 7% from 2016.
The Need for Speed in the Race for the Last Mile: A Third of Retailers Still Don’t Offer Next Day Delivery - By Manufacturing & Logistics IT (@LogisticsIT) - A recent study of UK omnichannel retailers and consumers showed 59% of consumers want retailers to offer faster fulfillment and 39% don't expect to have to wait more than 24 hours for a delivery whereas more than 30% of omnichannel retailers still don't offer next day delivery and almost 60% don't offer same day delivery.
3PLs Weakest Drivers of Supply Chain Development, Research Reveals - By James Henderson, Supply Chain Digital (@SupplyChainD) - From a recent survey of senior-level management of retail, manufacturing, logistics companies and technology providers, 86% of respondents cited technology providers as the main drivers of change and 76% said they thought that LSPs should be contributing a lot more. Not entirely clear from the story how technology providers was defined for respondents but commentary from report author, SCALA, cites players like Amazon who are raising the bar for everyone else.
Manufacturers Think Walmart and Kroger Manage Supply Chains Best - By Kate Patrick, (@katepatrick_) Supply Chain Dive, (@SupplyChainDive) - In Kantar Retail's survey of more than 550 manufacturing respondents, almost 80% think Walmart manages its supply chain best while almost 40% believe Kroger does. When ranking they honed in on several key qualities as well, citing things like data-centric practices, supply chain management, clear branding and treating retail as a service for customers. Get the free full report from Kantar.
That's our five for the week. Did we miss any? Tweet to us @MPObjects and let us know!