Tag Archives: Cost

Slower, larger, less polluting but on time ships

In an interview with Nils Anderson, CEO of Moller-Maersk, in Fortune (Nov 7,2011), he claims that ships have a 50% on time arrival rate.  His company is now adding larger but slower ships, which will emit 50% less CO2, but … Continue reading

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

A closed loop CO2 Supply chain?

An article in Fortune (Oct 17,2011) describes the mismatch between demand for CO2, its indequate supply in pure form, but its prevalence in the air.  Demand for CO2 is from soda manufacturers to make bubbles, greenhouse gases to speed plant … Continue reading

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

The impending demise of vertical integration amongst oil companies ?

An article in bloombergbusinessweek(14 nov, 2011) describes the conundrum faced by Marathon Oil, whose oilfields in Angola and Norway were not close to its refineries and transportation assets. The result, most of the oil the company refined was purchased from … Continue reading

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

Rare earth price surge and global supply chain response

An article in Fortune (Nov 7, 2011) describes the impact of the 1500 % price increase for rare earth metals from 2009 to 2010, the result of a 50 % cut in Chinese exports of rare earth metals.  With China … Continue reading

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

Immigrant networks, trust and supply chain speed

An article in the Economist (Nov 19,2011) describes a hypothetical example of a Chinese trader in Indonesia who, seeing a market opportunity for umbrellas, uses his cousin in Shenzhen to quickly source and ship product for sale in Indonesia.  Contract … Continue reading

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

Crashing rare earth prices and impact

An article in the New York Times (Nov 15,2011) describes the 67% drop in prices for several rare earths including neodymium, cerium etc.  The rapid price increase in recent years was caused by China, which produces 97% of the world’s … Continue reading

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

In Alabama -conflict between competitive agricultural products and strict immigration laws

An article in bloombergbusinessweek (Nov 14,2011) describes the impact of stricter immigration laws in Alabama – the near disappearance of workers from Guatemala who worked in the tomato fields and fish processing plants.  Given retail competition from importers who pay … Continue reading

Posted in Global Contexts, Operations Management, Supply Chain Issues | Tagged , , , , | 1 Comment

Apple’s supply chain strategy – more insights

An article in bloombergbusinessweek (Nov 7,2011) describes Apple’s plans to invest $ 7.1 billion in its supply chain and commit $ 2.4 billion in prepayments to suppliers. It describes Apple’s decisions to buy such large volumes of high-end drills that … Continue reading

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

US auto jobs growth and supply chain impact

An article in bloombergbusinessweek (Nov 7,2011) describes growing employment in the us auto industry, projected to be 88,000 by 2015. The reasons – a 10 % sales increase this year, production to rebuild inventory lost due to the earthquake in … Continue reading

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

Fair trade usa vs fair trade international – flexibility or selling out ?

An article in bloombergbusinessweek (Nov 7,2011) describes a decision by the Fair Trade USA group to break away from Fair Trade International and enable growth of large OEMs and retailers. This requires permitting fair trade labels on chocolate bars that … Continue reading

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