Five years ago, the thought of $55-a-barrel oil would have given Piotr Galitzine heartburn. Now it's keeping one of his steel-pipe shops in Houston open 24/7 and fueling a flurry of orders.
The U.S. chalked up its largest trade deficit since March 2012 as a jump in merchandise imports in January exceeded a smaller gain in shipments overseas.
Analyst Insight: The most important resource for the supply chain moving forward is people. However, the outlook is grim. The world's labor supply is shrinking, which has huge implications at a macro level on GDP and economic growth and at a business level in terms of available talent. The world labor supply hit an inflection point in 2012, when the proportion of nonworking age population "growth" became greater than the working age population. – John Johnson, senior content specialist, Gartner
Analyst Insight: Concern over a potential economic slowdown in 2017 is showing up in both government policy and business strategy in ways that positively impact the logistics sector. Government policies are showing concern for profitability of businesses. Many of the new incentives are centered around logistics. Meanwhile, businesses are taking a harder look at where to make profit in sectors which have thus far shown little margin, such as e-commerce logistics. – Jim Serstad, managing director, Asia, Tompkins International
Analyst Insight: The lines between consumer products and retail are more blurred than ever. But for large CPG companies, the challenge remains to create seamless, responsive supply networks optimized to sense demand and respond efficiently, whether shipping to a major retailer or an individual customer. The next five years will see increased adoption of digital technology, heightened M&A activity, and new competition from unexpected sources, all jockeying for a place in customers' homes. – Matt Gunn, manager of Industry Solutions, GT Nexus
China's government pledged to dramatically slow a coal-power building binge that is threatening its environment, saying it would shut down dozens of coal-power plants and stop some new construction.
Analyst Insight: As companies adjust their business strategy to the dynamically changing marketplace, many seek direction when investigating options for supply-chain improvement. With help from data insights obtained through supply-chain analysis, more companies are achieving greater flexibility for meeting demand by leveraging their supply chain as a competitive advantage. – John Richardson, vice president, Supply Chain Analytics, Transportation Insight
The global container shipping industry is undergoing unprecedented upheaval, with industry restructuring and consolidation, supply and demand imbalances and convergence of e-commerce and transport logistics, says the Business Performance Innovation (BPI) Network. The group is seeking insights on emerging trends through its survey, Competitive Gain in the Ocean Supply Chain: Innovation That's Driving Maritime Operational Transformation.
Asian factories extended a global manufacturing revival as activity picked up steam in February, though the outlook for many of the region's export-reliant economies remained uncertain in the wake of U.S. President Donald Trump's protectionist stance.