Category Archives: Supply Chain Issues

Toshiba Chip Plant Power Surge and Impact

Posted on January 10, 2011 by aviyer2010

A Wall Street Journal article (Dec 10, 2010) described a 0.07 second power interruption at Toshiba’s Yokkaichi plant. The level of this power interruption was beyond anything planned for, thus causing a shut down of equipment and a potential 20 … Continue reading →

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Reducing Material usage to compensate for rising commodity prices

Posted on December 9, 2010 by aviyer2010

An article in the Financial Times (Page 11, Dec8,2010) discusses the impact of commodity price increases – prices of cotton, copper, agricultural inputs.  It summarizes several options – forward buying of commodities, reducing costs by changing formulations, changing processes, substituting … Continue reading →

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India Supply Chain Costs of 12 % of GDP

Posted on October 23, 2010 by aviyer2010

A recent report (http://www.moneylife.in/article/4/8786.html) summarizes the CII report on “Global Competitiveness of Retail Strategies”. It lists India’s supply chain inefficiencies as costing the country over $ 65 billion each year and supply chain costs of 12-13 % as compared to … Continue reading →

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Caterpillar and Supply Chain Collaboration

Posted on October 22, 2010 by aviyer2010

Bloomberg News (Oct 20,2010) reports on a collaboration between Caterpillar and a supplier, Tenneco, to improve the overall manufacturing process, and decrease overall costs by 20 %.  The article reports plans by Cat’s CEO to leverage suppliers by decreasing the … Continue reading →

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Expensive iPad case, free iPad

Posted on October 17, 2010 by aviyer2010

The Oct 11 issue of Bloomberg Businessweek has an interesting story of auctions on Yahoo by companies in Taiwan. Apple currently does not sell the iPaDs in Taiwan. But savvy companies are selling iPad cases for over $ 1000 and … Continue reading →

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Quidsi, Diapers.com and $ 500 million of diapers

Posted on October 17, 2010 by aviyer2010

Bloomberg Businessweek (Oct 11, 2010) has a story about Quidsi, the holding company that owns Diapers.com and Soap.com. The story reports on how a focus on diapers, with low 5-7 % margins, has enabled the company to build a loyal … Continue reading →

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“The New Oil” privatizing global water supply chains

Posted on October 17, 2010 by aviyer2010

The Oct 18, 2010 edition of Newsweek has an article titled “The New Oil” and describes a private supply chain to take water from Sitka, send it to a bottler near Mumbai, India for sale to customers in the Middle … Continue reading →

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iPad Sales Growth and Global Supply Chain Impact

Posted on October 13, 2010 by aviyer2010

iSuppli (weblink http://www.macrumors.com/2010/07/20/isuppli-boosts-ipad-sales-estimates-through-2012-to-nearly-100-million/) suggests a three year demand for iPads of 100 million units.  Even from the start of the year 2010 through the end, for a product whose category did not exist before its launch, the estimate is close … Continue reading →

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Supplier Diversification and survival

Posted on October 13, 2010 by aviyer2010

A Financial Times article (“Suppliers Shift Gears to Survive”, FT, Oct 5,2010) describes small to medium sized firms struggle for survival. But it brings up an interesting issue – can firms that monitor participants in the supply chain (that they … Continue reading →

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Forever 21 and dual sourcing

Posted on October 10, 2010 by aviyer2010

The Oct 5 edition of the Wall Street Journal described “fast fashion” at Forever 21, a chain started by Korean immigrants in Los Angeles. The store was reported to have revenues of over $ 3 billion in 2010. The company … Continue reading →

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