Yusen Logistics Opens Logistics Center in Myanmar to Expand Contract Logistics Service

The event was attended by Thilawa SEZ Management Committee Vice Chairman Cho Cho Win; Ambassador Extraordinary and Plenipotentiary Embassy of Japan in Myanmar Tateshi Higuchi; Myanmar Japan Thilawa Development Limited (MJTD) Chairman Thein Han; Mitsubishi Corporation Chief Representative for Myanmar Mitsuo Ido, Yusen Logistics Co., Ltd.; Kenji Mizushima; Yusen Logistics (Myanmar) Co., Ltd. President Yasuhiko Nojima; and Yusen Logistics (Thilawa) Co., Ltd. President Tatsuhiko Saeki.

“This logistics center will be a cornerstone of our logistics business in Myanmar and an important part of our global network including the connection to surrounding countries,” said Kenji Mizushima, President, Yusen Logistics Co., Ltd.

“We can provide full logistics service from this center which has 6,300 ㎡of warehouse space, including temperature control and bonded areas, together with an assembled vehicles yard area. We will contribute to the development of the Myanmar economy by providing high-quality logistics service that meets our customer’s needs.”
The logistics facility is in the Thilawa SEZ in Yangon District, covering an area of approximately 6,300m2 out of a total area of 30,000m2.

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Top 20 Supply Chain Management Software Suppliers 2017

The market for supply chain management (SCM) software, maintenance and services continued its growth in 2016, generating more than $11.1 billion, a 9% increase over 2015 revenues, according to the research firm Gartner.

That total includes applications for supply chain execution (SCE), supply chain planning (SCP) and procurement software. Since the market’s 2% decline in 2009, the market has posted double-digit growth in four of the past six years, according to Gartner. The SCM market is expected to exceed $13 billion in total software revenue by the end of 2017 and exceed $19 billion by 2021, Gartner forecasts, with software as a service (SaaS) enabling new growth opportunities.

“It continues to be a good year for the supply chain overall,” says Chad Eschinger, managing vice president of Gartner. “The Cloud-based segment grew 20%, which is consistent with what we’ve seen in recent years.”

The push for Cloud capabilities also fueled some of the acquisition activity over the last year. Eschinger cites examples such as Infor’s acquisition of GT Nexus, Kewill’s acquisition of LeanLogistics, Oracle’s acquisitions of LogFire and NetSuite, and E2open’s acquisitions of Terra Technology and, more recently, Steelwedge.

“Broadly speaking, we’re seeing cyclical consolidation,” Eschinger says. “For some companies it’s a land grab, for others it’s an effort to add functional and technical underpinnings to go to the Cloud or provide a fuller complement of Cloud capabilities.”

Suite vendors are increasingly inclined to offer end-to-end solutions, Eschinger says, tying in customer relationship management capabilities, replenishment, network design, clienteling and more. In addition to supply chain efficiency, these solutions are also aimed at improving and standardizing the consumer’s experience.

“The Amazon effect continues to wreak havoc in retail and for manufacturers selling direct-to-consumer,” Eschinger says. “Everyone wants real-time visibility into inventory, so data and the associated analytics continue to be front and center for most organizations.”

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What to Expect from the Logistics & Shipping Sectors as E-Commerce Grows Up

Driven by new technologies and e-commerce growth, changes in the global supply chain are expected to impact industrial real estate for the foreseeable future.

Since 2012, Amazon has been aggressively expanding its logistics and shipping services worldwide, disrupting traditional supply chain operators with direct competition for their business.

Chinese “e-tail” giant Alibaba, meanwhile, has deployed technology that cuts into a portion of third-party logistics (3PL) operator profits.

Alibaba’s “One Touch” platform automates export-related services, such as customs clearance and logistics, to make it cost-efficient for small/medium-sized merchants to participate in the global marketplace.

Cyclical and structural factors, including overcapacity in the container shipping industry and greater use of technology in manufacturing, retail and logistics industries, are also disrupting the sector.

Automation and robots are replacing manufacturing, logistics and warehouse workers. A survey by PwC found that 59 percent of all U.S. manufacturers are using robots for some tasks.

A recent report from real estate services firm Colliers International analyzes how these changes are impacting the logistics landscape. The report also looks at the impacts on industrial and logistics properties.

Report author Bruno Berretta, associate director with Colliers International who leads the firm’s pan-European research activities, says that Amazon Prime has entered the logistics market to take control of its supply chain and improve delivery times. He notes that unofficially Amazon is becoming a 3PL service to third parties.

The company is making a big push to establish a logistics network, opening smaller distribution facilities near customers, according to Berretta, who suggests that Amazon is likely to start competing with traditional 3PL services as it opens new markets.

Additionally, Amazon wants to reduce shipping costs, which have a big impact on profits. The Colliers report notes that in 2015 Amazon spent $11.5 billion on shipping costs, which equated to 10 percent of its global sales. By delivering its own goods and using technology to streamline deliveries, the company estimates it would save $3 per package, or $1.1 billion annually.

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2017 Parcel Express Roundtable: Paying for peak performance

It can be hard to believe that very much happens in a year, but that theory is put to the test when it comes to the parcel express market.

In fact, over the past 12 months we’ve seen major changes in pricing from the parcel duopoly of FedEx and UPS; the accelerated emergence of regional parcel players; and don’t forget we’re all watching the increasing power and reach of e-commerce giant Amazon as it grows its own delivery capabilities globally.

These developments require parcel shippers to do whatever it takes to stay on top of their parcel game from both a financial and operational perspective. To help them along, Logistics Management has gathered Jerry Hempstead, president of Hempstead Consulting, a parcel advisory firm; David Ross, transportation and logistics director at investment firm Stifel; and Rob Martinez, president and CEO at Shipware, an audit and parcel consulting services company.

Over the next few pages, our experts offer their insight into what’s driving parcel market trends and offers some practical advice for how shippers need to re-adjust to ever-changing market conditions.

Logistics Management (LM): How would you describe today’s parcel marketplace?

Jerry Hempstead: All of the parcel carriers are doing well in volume and earnings—even the USPS is making money if you back out the Congressional mandates. And it’s clear that e-commerce is driving the volumes. To top it off, service levels this year are at record levels and are predictable and consistent.

My observation is that there’s no statistical difference between the service performance offered by FedEx and UPS across a year’s worth of activity, although FedEx offers a faster delivery on ground to about 25% more city pairs than UPS. This pressure on speeding up the promise and refining the networks to make the magic happen will only improve the consumer experience in parcel services.

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Big data analytics technology: disruptive and important?

Of all the disruptive technologies we track, big data analytics is the biggest. It’s also among the haziest in terms of what it really means to supply chain. In fact, its importance seems more to reflect the assumed convergence of trends for massively increasing amounts of data and ever faster analytical methods for crunching that data. In other words, the 81percent of all supply chain executives surveyed who say big data analytics is ‘disruptive and important’ are likely just assuming it’s big rather than knowing first-hand.

Does this mean we’re all being fooled? Not at all. In fact, the analogy of eating an elephant is probably fair since there are at least two things we can count on: we can’t swallow it all in one bite, and no matter where we start, we’ll be eating for a long time.

So, dig in!

Getting better at everything

Searching SCM World’s content library for ‘big data analytics’ turns up more than 1,200 citations. The first screen alone includes examples for spend analytics, customer service performance, manufacturing variability, logistics optimisation, consumer demand forecasting and supply chain risk management.

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How IoT logistics will revolutionize supply chain management

As with many other areas of the economy, the digital revolution is having a profound effect on delivery logistics.

The combination of mobile computing, analytics, and cloud services, all of which are fueled by the Internet of Things (IoT), is changing how delivery and fulfillment companies are conducting their operations.

One of the most popular methods for fulfilling deliveries today is through third-party logistics, which involves any company that provides outsourced services to move products and resources from one area to another. Third-party logistics, or 3PL, can be one service, such as transportation or a warehouse, or an entire system that maintains the whole supply chain.

But the IoT is going to change how this process operates. Below, we’ve outlined the impact of IoT on supply chain, and how IoT management will transform inventory, logistics, and more.

Internet of Things Supply Chain Management

One of the biggest trends poised to upend supply chain management is asset tracking, which gives companies a way to totally overhaul their supply chain and logistics operations by giving them the tools to make better decisions and save time and money. Delivery company DHL and tech giant Cisco estimated in 2015 that IoT technologies such as asset tracking solutions could have an impact of more than $1.9 trillion in the supply chain and logistics sector.

And this transformation is already underway. A recent survey by GT Nexus and Capgemini found that 70% of retail and manufacturing companies have already started a digital transformation project in their supply chain and logistics operations.

Asset tracking is not new by any means. Freight and shipping companies have used barcode scanners to track and manage their inventory. But new developments are making these scanners obsolete, as they can only collect data on broad types of items, rather than the location or condition of specific items. Newer asset tracking solutions (which we’ll get into shortly in the next section) offer much more vital and usable data, especially when paired with other IoT technologies.

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How Big Data And Analytics Are Transforming Supply Chain Management

Supply chain management is a field where Big Data and analytics have obvious applications. Until recently, however, businesses have been less quick to implement big data analytics in supply chain management than in other areas of operation such as marketing or manufacturing.

Of course supply chains have for a long time now been driven by statistics and quantifiable performance indicators. But the sort of analytics which are really revolutionizing industry today – real time analytics of huge, rapidly growing and very messy unstructured datasets – were largely absent.

This was clearly a situation that couldn’t last. Many factors can clearly impact on supply chain management – from weather to the condition of vehicles and machinery, and so recently executives in the field have thought long and hard about how this could be harnessed to drive efficiencies.

In 2013 the Journal of Business Logistics published a white paper calling for “crucial” research into the possible applications of Big Data within supply chain management. Since then, significant steps have been taken, and it now appears many of the concepts are being embraced wholeheartedly.

Applications for analysis of unstructured data has already been found in inventory management, forecasting, and transportation logistics. In warehouses, digital cameras are routinely used to monitor stock levels and the messy, unstructured data provides alerts when restocking is needed.

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A Portrait of the Supply Chain Manager

It’s been written that a career in supply chain management can be like climbing a mountain.

While there is often a map for the path forward in professions like accounting, medicine and the law, in supply chain management – as with mountaineering – there are any number of paths that can reach the summit.

Those were among the findings from a research series conducted for the Council of Supply Chain Management Professionals (CSCMP) and published in the July/August 2015 issue of Supply Chain Management Review, and reinforced by research conducted by McKinsey & Company and Kuhne Logistics University.

The latter, for instance, found that while many supply chain management executives had experience in logistics, procurement and sales/marketing, “… a surprising number of supply chain executives are appointed without any previous exposure to SCM…in our sample, supply chain executives spent 88% of their previous career span outside the SCM function.”

Are those findings consistent with readers of Supply Chain Management Review and members of APICS Supply Chain Council? And, if so, who is today’s supply chain manager? And, how did he – or she – navigate to their position on the mountain?

Did they start out in the supply chain going back to their college days, or, as in the McKinsey study, did they come into the profession from other parts of the organization?

Moreover, what are their duties today and how do they see the job changing?

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One step ahead: How data science and supply chain management are driving the predictive enterprise

DHL, the world’s leading logistics company, today launched its latest white paper highlighting the untapped power of data-driven insight for the supply chain. The white paper has revealed that most companies are sitting upon a goldmine of untapped supply chain data that has the ability to give organizations a competitive edge. While this wealth of supply chain data already runs the day-to-day flow of goods around the world, the white paper has revealed a small group of trailblazing companies are utilizing this data as a predictive tool for accurate forecasting.

“The predictive enterprise: Where data science meets supply chain” is a white paper by Lisa Harrington, President of the lharrington group LLC that was commissioned by DHL to identify the opportunities available to companies to anticipate and even predict the future. It encourages companies to get ahead of their business and direct their global operations accordingly.

Data mining, pattern recognition, business analytics, business intelligence and other tools are coalescing into an emerging field of supply chain data science. These new intelligent analytic capabilities are changing supply chains – from reactive operations, to proactive and ultimately predictive operating models. The implications extend far beyond just reinventing the supply chain. They will help map the blueprint for the next-generation global company – the insight-driven enterprise.

Jesse Laver, Vice President, Global Sector Development, Technology, DHL Supply Chain, said, “At DHL, we’re helping our customers get ahead of the competition by working with them to harness the wealth of data information from across their businesses, allowing us to develop smarter supply chain solutions that factor in their wider business operations. For our technology customers, we use data analytics to predict what’s going on in the supply chain, such as what products are in high demand, so we can tailor our solutions accordingly.”

While supply chain analytics technologies and tools have come a long way in the last few years, integrating them into the enterprise is still far from easy. Companies typically progress through several stages of maturity as they adopt these technologies. The descriptive supply chain stage uses information and analytics systems to capture and present data in a way that helps managers understand what is happening.

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How data science and supply chain management are driving the predictive enterprise

DHL, the world’s leading logistics company, today launched its latest white paper highlighting the untapped power of data-driven insight for the supply chain. The white paper has revealed that most companies are sitting upon a goldmine of untapped supply chain data that has the ability to give organizations a competitive edge. While this wealth of supply chain data already runs the day-to-day flow of goods around the world, the white paper has revealed a small group of trailblazing companies are utilizing this data as a predictive tool for accurate forecasting.

“The predictive enterprise: Where data science meets supply chain” is a white paper by Lisa Harrington, President of the lharrington group LLC that was commissioned by DHL to identify the opportunities available to companies to anticipate and even predict the future. It encourages companies to get ahead of their business and direct their global operations accordingly.

Data mining, pattern recognition, business analytics, business intelligence and other tools are coalescing into an emerging field of supply chain data science. These new intelligent analytic capabilities are changing supply chains – from reactive operations, to proactive and ultimately predictive operating models. The implications extend far beyond just reinventing the supply chain. They will help map the blueprint for the next-generation global company – the insight-driven enterprise.

Jesse Laver, Vice President, Global Sector Development, Technology, DHL Supply Chain, said, “At DHL, we’re helping our customers get ahead of the competition by working with them to harness the wealth of data information from across their businesses, allowing us to develop smarter supply chain solutions that factor in their wider business operations. For our technology customers, we use data analytics to predict what’s going on in the supply chain, such as what products are in high demand, so we can tailor our solutions accordingly.”

Read more at One step ahead: How data science and supply chain management are driving the predictive enterprise

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