Few things represent the "face" of a company more than that transportation portion of the supply chain often called last-mile logistics. It's unfortunate, then, that so many companies seem to treat it as an afterthought. That may be changing.
A serious component shortage five years ago led Hewlett-Packard to develop Procurement Risk Management, a combination of new processes and technology designed to help HP manage supply chain risk. This project was named 2005 winner of the Supply Chain Innovation Award.
Capacity is stretched thin and costs for fuel and drivers are accelerating, and that's not likely to change in the near term. It's time that businesses become more strategic in their transportation decisions.
Companies need to look beyond best practices to find competitive advantage in their supply chains. A project at MIT called Supply Chain 2020 is searching for the hidden principles that will guide supply chains now and into an uncertain future.