Tag Archives: Capacity

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 →

Posted in Ecommerce, Service Operations, Supply Chain Issues | Tagged , , , , , , , , , | Leave a comment

Caterpillar’s US plant labor costs vs Canadian costs

Posted on January 10, 2012 by aviyer2010

An article in the Wall Street Journal (Jan 7, 2012) describes Caterpillar’s assertion tha labor costs in its US plants are 50% of the costs in Canada. Given the Canadian plant’s lack of global competitiveness due to labor rule inflexibility, … Continue reading →

Posted in Global Contexts, Operations Management, Supply Chain Issues, Sustainability | Tagged , , , , , , | Leave a comment

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 →

Posted in Operations Management, Service Operations, Supply Chain Issues | Tagged , , , , , , | Leave a comment

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 →

Posted in Collaboration, Operations Management, Service Operations, Supply Chain Issues | Tagged , , , , , , , | Leave a comment

Indian Reverse Auctions for Solar Power and Impact

Posted on December 29, 2011 by aviyer2010

An article in the New York Times (Dec 29, 2011) describes the reverse auctions run by the Indian government, with solar power providers bidding to win the contract, that decreased costs 30 % compared to the previous year. These lower … Continue reading →

Posted in Global Contexts, Operations Management, Supply Chain Issues, Sustainability | Tagged , , , , , , , | Leave a comment

New Chinese rare earth quotas for 2012 and consequences

Posted on December 28, 2011 by aviyer2010

An article in the Wall Street Journal (Dec 28, 2011) describes China’s announcement of separate rare earth metals export quotas for 2012 – light rare earths (used in magnets) will have quotas separate from heavy rare earths (used in high … Continue reading →

Posted in Global Contexts, Operations Management, Supply Chain Issues, Sustainability | Tagged , , , , , , , , | Leave a comment

Yuan currency swaps and trade with Pakistan, Thailand and Argentina

Posted on December 28, 2011 by aviyer2010

An article in the Sourcing Journal (Dec 28, 2011 news@sourcingjournalonline.com) describes a decision by the Chinese govt to permit yuan currency swaps with Pakistan, Thailand and Argentina. For example, 10 billion yuan were exchanged for 140 billion Pakistan rupees. Thus … Continue reading →

Posted in Global Contexts, Operations Management, Supply Chain Issues | Tagged , , , , , , | Leave a comment

The impact of HR 2245 “Preserving Access to Life Saving Medications Act 2011”

Posted on December 25, 2011 by aviyer2010

Bill HR 2245 plans to require drug manufacturers to notify the Federal govt, 6 months in advance, of potential shortages. Shortages are defined as situations where the total supply is less than observed demand. The Federal govt is then required … Continue reading →

Posted in Global Contexts, Operations Management, Service Operations, Supply Chain Issues | Tagged , , , , , , , , | Leave a comment

Business Class seat comfort based airline competition and supply chain impact

Posted on December 23, 2011 by aviyer2010

An article in Bloombergbusinessweek (Dec 19,2011) describes airline competition to attract business class passengers, who pay 3 to 10 times the economy fare, are 15 % of the seats but 50% of the flight revenue.Business class seats, with new features, … Continue reading →

Posted in Operations Management, Service Operations, Supply Chain Issues | Tagged , , , , , , , , | Leave a comment

How many domestic automakers does China need ?

Posted on December 23, 2011 by aviyer2010

An article in Bloombergbusinessweek (Dec 19, 2011) describes China’s auto sector has having 70 automakers with 55 of them accounting for 11 % of sales.  Foreign automakers account for 58% of sales.  The Chinese government plans to further concentrate the … Continue reading →

Posted in Global Contexts, Operations Management, Supply Chain Issues | Tagged , , , , , , | Leave a comment