Browsing: Logistics & Supply Chain

The internet could play a bigger part than you think in the car of our dreams. The networked car could soon be a reality. If you’re a manufacturer, dealer or supplier, take a look into the future, imagine this…

For car manufacturers the World is a tough place. The bottom line is, demand no longer outstrips supply. And that puts the customer firmly in the driving seat.

The major car manufacturers rely on a business model unsuited to today’s mature car markets – demand is no longer greater than supply. Clearly, a new strategy to make and supply is required if manufacturers are to pull out of the red.

Though still cost-obsessed, the auto industry’s inbound supply chain has slipped from its pre-eminent position and could now learn a few things from other sectors. Perhaps the delivery standards of supermarkets could apply?

With little sign that the automotive industry is going to solve its overcapacity problems anytime soon, supply chain efficiency will remain one of the prime areas for maintaining margins – and that means a focus on information visibility.

Manufacturers are going to have to do more to earn a crust from the lucrative auto after-market with the lifting of block exemption. Dealers will be flying their own flags.

One area of the supply chain where value can be created and recovered at marginal cost is reverse logistics. Steve Butler highlights some of the key drivers that have placed this much overlooked subject at the top of supply chain agendas.

The last month has seen many of the largest European logistics companies release their financial results for the full year 2003. Largest of them all, Deutsche Post, announced that it exceeded €40 billion in revenues for the first time.