Tag Archives: Cost

GM, Peugeot Alliance

Posted on March 6, 2012 by aviyer2010

An article in the New York Times (Feb 29,2012) describes a decision by General Motors to invest in 7% of Peugeot, creating an alliance. The associated $125 billion spend of the two companies is expected to deliver synergies in the … Continue reading →

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California’s Supply Chain Transparency Act and Enforcement

Posted on March 6, 2012 by aviyer2010

An article in Bloombergbusinessweek (Feb 27,2012) describes the California Supply Chain Transperancy Act requiring retailers with more than $100 million in sales to ensure that their supply chains do not involve slave labor. But  the article reports allegations of slave … Continue reading →

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Fastenal’s variety competition

Posted on March 6, 2012 by aviyer2010

An article in Bloombergbusinessweek (Feb 27, 2012) describes the greatest growth compan since 1987 as Fastenal, a distributor of fasteners. Fastenal’s 10,261 pages of fasteners provides the greatest variety of fasteners, available at 2,600 outlets.  Does variety provide a distributor … Continue reading →

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$ 8 billion in fines but still suppliers

Posted on March 6, 2012 by aviyer2010

An article in USA Today (March 7, 2012) describes the $ 8 billion in fines paid by pharmaceutical companies accused of defrauding Medicare and Medicaid, but with no impact on their supplier status – thanks to them being sole suppliers … Continue reading →

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Regulating copper in brake pads at the state level

Posted on February 6, 2012 by aviyer2010

An article in the New York Times (Feb 3, 2012) describes a proposal that requires that automobile brake pads decrease the copper content to less than 5 % by 2021 in Washington and less than 0.5 % by 2025 in California.  … Continue reading →

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Manufacturer “bonus depreciation” rules and impact

Posted on February 6, 2012 by aviyer2010

An article in the New York Times (Feb 3, 2012) describes the “bonus depreciation” rule that permits capital investments to be treated as costs for the current year and thus subsidizes equipment purchases.  The impact is to incentivize capital investments … Continue reading →

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Asian container flow to the East Coast, Panama canal width and Long Beach

Posted on February 6, 2012 by aviyer2010

An article in the Economist (Jan 28, 2012) describes the impact of increased Panama Canal width to handle large ships and the consequent container shipments to the East Coast being sent directly to East Coast ports, rather than being shipped … Continue reading →

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Commodity Prices change direction and supply chain impact

Posted on February 5, 2012 by aviyer2010

An article in the Wall Street Journal (Feb 1, 2012) describes price declines through the end of December 2011, with fears of European recessionary trends, but price rises though Jan 2012. Copper and corn saw price increases of 15% and … Continue reading →

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Climate change risks and disclosure rules

Posted on February 5, 2012 by aviyer2010

An article in the New York Times (Feb 1, 2012) describes a requirement by California to require insurance companies to report on their plans to mitigate the impact of climate change. The data shows that by June 2011, the insurance claims … Continue reading →

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Bringing manufacturing back to the US — and associated profitability

Posted on February 5, 2012 by aviyer2010

An Accenture report titled “Manufacturing’s Secret Shift” reports a survey that shows that 49 % of respondents faced delivery time issues and 46 % faced quality issues associated with outsourced manufacturing.  In addition, 73 % faced material cost increases and … Continue reading →

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