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lean transportation

“The most dangerous kind of waste is the waste we do not recognize”: Shigeo ShingoLean is a new way of doing business. For shippers, culture and behavior have to change to apply Lean Transportation thinking. Lean thinking focuses on the elimination of all waste (where waste is defined as any non-value added process) and bringing value to the customer, beyond the customer’s expectations.

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3PL Relationship

Like any outsourced partnership to a service and technology provider, such as in a 3PL relationship, it is vital that all sides are on the same page and speaking the same language in the way of goals, desired outcomes, strategy, and execution for whatever the customer and the outsourced provider are trying to achieve. This model, I like to call an “embedded 3PL relationship.

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The average Supply Chain management professional measures their Supply Chain by reviewing cost reduction. Is cost reduction all that there is in measuring Supply Chain performance? Sure, supply chain cost reduction is important in reducing the cost of goods sold (COGS) and increasing profit, but there are other measurements which should not be forgotten.

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Today our focus has been on KPIs, ERP, WMS, TMS, YMS, EDI, The Cloud, S and OP, 3 D Printing, IoT, IoE, Drones: Same Hour/Day/Time Delivery to Customers, Cyber Security, Theft, Government Regulations, E-Commerce, Omni-Channel, Modeling/Simulation, Risk Management, Tracking, Traceability, Re-shoring, Robotics, et al, but…what about Artificial Intelligence or AI technologies? AI is a controversy

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This is the second part of my series on various ways to reduce overall costs as it relates to logistics and warehouse cost reductions. In the first part I put forth 6 areas of focus in order to reduce logistics costs. Today, I will now address how a focus on inventory will allow for warehouse cost reductions as well.