Category Archives: Operations Management

A move from “just in time” to “just in case” supply chain designs ?

An article in the New York Times (February 12,2013) describes claims that the number of distribution centers to satisfy US demand has increased from two to seven, as retailers demand quick deliveries wile cutting their own inventories. In addition, rising … Continue reading

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The 340B discount drug program and supply chain leakage

An article in the New York Times (February 12, 2013) describes problems with the 340B drug program that requires pharmaceutical companies to provide 20 to 50 % discount to hospitals treating low income and uninsured patients and accounts for about … Continue reading

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The cocoa global supply chain and looming issues

An article in Bloombergbusinessweek (February 11, 2013) describes cocoa manufacturing projected shortfalls of 50,000 tons compared to demand in 2012-13, while prices dropped 74% from 2011 to 2012. Production shortfalls were provided by a global stockpile of 1.5 years of … Continue reading

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Manufacturer’s efforts to prevent use of their drugs for lethal injections

An article in Bloombergbusinessweek (February 11,2013) describes efforts by European manufacturers to prevent use of their drugs for lethal injections in US prisons (to enforce the death penalty). Because capital punishment is illegal across Europe, European governments, such as Italy, … Continue reading

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Does “fast fashion” create safety problems for employees at global supplier factories ?

An article in Bloombergbusinessweek (February 7,2013) suggests that the fast (even two week) fashion cycles at Zara, Hennes & Mauritz (H&M) create stress on suppliers in Bangladesh who need to respond rapidly or lose the business. The corresponding stress shifts … Continue reading

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Manufacturing in Italy – choices made by the 300 year old Richard Ginori porcelain factory

An article in the New York Times (February 9,2013) describes the travails of the Richard Ginori porcelain factory in Sesto Fiorentino, Italy and its recent bankruptcy and closure. Once a high end porcelain tableware manufacturer, the trends in Italy away … Continue reading

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Tracking lead batteries recycling supply chain from the US to Mexico

An article in the New York Times (February 9,2013) describes lax tracking of the recycling of lead batteries exported from the US to Mexico. In the absence of treatment of used batteries as hazardous waste, shipments into Mexico are not … Continue reading

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Transporting wine in bulk in plastic bags from Australia to the UK

An article in Bloombergbusinessweek (February 7,2013) describes shipments of Australian wine in 24,000 liter plastic bags that are then packed in the UK. Saving 25 cents per bottle by shipping without the bottle enables the wine to be sold for … Continue reading

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The impact of drought on corn and the beef supply chain

An article in Bloombergbusinessweek (February 4, 2013) describes the impact of the drought on corn yields and thus the beef supply chain. Corn farmers were covered by crop insurance but produce worth billions were destroyed by the drought. The corn … Continue reading

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Tunnel trade – and the impact of demand and supply of goods on either side

An article in Bloombergbusinessweek (February 4, 2013) describes the tunnels (now numbering 500 but up to 1000 at one time) between the Gaza strip and Egypt. Transporting motorcycles, cars, contraband between the two sides enabled owners of these tunnels to … Continue reading

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