Analyst Insight: With stories of Ebola and Boko Haram dominating the news, it would be easy to dismiss Africa from a supply chain perspective. Risk is clearly high and traditional reasons to engage supply chain - either for low-cost sourcing or new market entry - may seem absent. The truth, however, is that many supply chain leaders should start thinking now about how to engage this vital emerging market. - Kevin O’Marah, Chief Content Officer, SCM World
The evidence of strengthening in African manufacturing is increasingly persuasive. Between 2000 and 2010, the share of the African population living on less than $1.25 per day fell from 58 percent to 48 percent. In no small part, the falling rate of extreme poverty is driven by much-improved output performance.
The International Air Transport Association released full-year air cargo data for 2014 showing 4.5 percent demand growth compared to 2013 measured by freight tonne kilometers, a significant acceleration from the 1.4 percent recorded in 2013 over 2012.
A long, long time ago, in a land not so far, far away, a world existed where logistics was linear: Pangaea. On this supercontinent, moving products from China to the United States, door to door, was simple. The goods would move over the road, heading southwest from lands where people spoke Chinese and stopped when people spoke American.
"An army marches on its stomach," Napoleon famously said.
While the high-technology sector captures the headlines, the supply chain sector is responsible for the heavy lifting, behind the scenes. The books, clothing, and goods that we purchase are increasingly made in Asia or Mexico; transported through multiple modes including air, ocean, rail and truck; passed through warehouses or cross-dock facilities; and delivered to your home via a last-mile delivery company.
Roughly seven months into the Los Angeles and Long Beach ports slowdown with, unfortunately, no end in sight, and manufacturers in just about every industry, from electronics to home goods, are feeling the pain.
The Centre on Regulation in Europe (CERRE) has published a series of studies designed to understand why competition in the European railroad industry has been successfully implemented in some cases but in others has led to a decline in the modal share for rail freight.