Category Archives: Service Operations

Economies of scale vs risk in concentrating hard drive production in Thailand

Posted on January 27, 2012 by aviyer2010

An article in the New York Times (Jan 20, 2012) describes the quandry faced by hard drive manufacturers in Thailand whose plants were deluged during the floods.  Slow recovery of manufacturing raises the benefit of concentration of this industry (40-45 … Continue reading →

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From China to Cambodia – shifts in the global apparel supply chain

Posted on January 14, 2012 by aviyer2010

An article in Bloombergbusinessweek (Jan 16,2012) describes the impact of the rising yuan, environmental rule enforcement and rising wages (18 to 20% annually the past three years) driving manufacturing to locations out of China – such as Cambodia. With weekly … Continue reading →

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Global Apparel Sourcing Trends

Posted on January 11, 2012 by aviyer2010

An article in Sourcing online (http://www.sourcingjournalonline.com/wheres-and-whys-2012-apparel-sourcing-trends) describes rising labor costs in China and its impact. The article cites lead time, flexibility and variety as issues to consider in sourcing. Vietnam benefits from being close to mills in China, Bangladesh has … Continue reading →

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Solarthermal approach to store solar energy and supply chain impact

Posted on January 10, 2012 by aviyer2010

An article in the New York Times (Jan 4, 2012) describes solarthermal techonolgy- using  salt to store the heat generated from solar energy, with release of this heat to create electricity at a later time.The resulting heat can be used … Continue reading →

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Free ecommerce shipping, online sales, supply chain impact

Posted on January 10, 2012 by aviyer2010

An article in the New York Times (Jan 4, 2012) describes the 15 % growth in ecommerce sales this year compared to last year. 92% of the online sites offered free shipping and retruns. The resulting surge caused FedEx to … Continue reading →

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Real time analytics and Schwan food sales growth

Posted on January 10, 2012 by aviyer2010

An article in the Wall Street Journal (Jan 4,2012) describes Schwan Foods network of        6,000 home delivery drivers and their use of real time data analytics. Operasolutions, an analytic consulting company, mines purchase patterns to identify a … Continue reading →

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Dynamic Pricing of taxicab fares and fairness

Posted on January 10, 2012 by aviyer2010

An article in the New York Times (Jan 9,2012)  describes taxi pricing at Uber, a company that charged $27 per mile at the start of New Year’s Eve and $135 per mile late night.  Prices were revealed at the wnd … Continue reading →

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Corn Storage Capacity increase and supply chain impact

Posted on January 10, 2012 by aviyer2010

An article in Bloombergbusinessweek (Jan 9, 2012) describes a significant increase in corn storage capacity at the farm level. The result, farmers hold their crop to sell at the best price, thus corn prices have increased 23 % over the … Continue reading →

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DEA, FDA coordination issues and ADHD drug shortages

Posted on January 1, 2012 by aviyer2010

An article in the New York Times (Dec 31, 2011) describes shortages of ADHD drugs and root causes. The Drug Enforcement Agency (DEA) , concerned about use of ADHD drugs among college students as a memory stimulant, forecasts overall demand … Continue reading →

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Ad Free product cost and Supply Chain Impact

Posted on December 30, 2011 by aviyer2010

An article by Michael Schulder in CNN.com (Dec 29, 2011 http://www.cnn.com/2011/12/29/tech/gaming-gadgets/kindle-ads-schulder/index.html?hpt=hp_bn6) describes the choice between an ad free Kindle for $ 109 and one with ads for $ 79. Clearly Amazon is estimating the ad related revenues as $ 30 … Continue reading →

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