Login



For PLUS+ subscription assistance, contact customer service.

Not a PLUS+ Subscriber?

Become a PLUS+ Subscriber today and you'll get access to all Supply Chain Management Review premium content including:

  • Full Web Access
  • 7 Magazine Issues per Year
  • Companion Digital Editions
  • Digital Edition Archives
  • Bonus Email Newsletters

Subscribe Today!

Premium access to exclusive online content, companion digital editions, magazine issues and email newsletters.

Subscribe Now.


Become a PLUS+ subscriber and you'll get access to all Supply Chain Management Review premium content including:

  • Full Web Access. All feature articles, bonus reports and industry research through scmr.com.

  • 7 Magazine Issues per year of Supply Chain Management Review magazine.

  • Companion Digital Editions. Searchable replicas of each magazine issue. Read them in any web browser. Delivered by email faster than printed issues.

  • Digital Editions Archives. Every article, every chart and every table as it appeared in the magazine for all archive issues back to 2009.

  • Bonus email newsletters. Add convenient weekly and monthly email newsletters to your subscription to keep your finger on the pulse of the industry.

PLUS+ subscriptions start as low as $109/year*. Begin yours now.
That's less than $0.36 per day for access to information that you can use year-round to better manage your entire global supply chain.

For assistance with your PLUS+ subscription, contact customer service.

* Prices higher for subscriptions outside the USA.

PLUS+ Customer Service Support


Customer service for all PLUS+ subscribers is available Mon-Fri, 9am-5pm Eastern time.

Email: [email protected]
Phone: 1-800-598-6067 (1-508-663-1500 x294 outside USA)
Mail: PO Box 1496, Framingham MA 01701-1496, USA



You have been logged out of PLUS+


For PLUS+ subscription assistance, contact customer service.

Need to access our premium PLUS+ Content?
Upgrade your subscription now.


Our records show that you are currently receiving a free subscription to Supply Chain Management Review magazine, or your subscription has expired. To access our premium content, you need to upgrade your subscription to our PLUS+ status.

To upgrade your subscription account, please contact customer service at:

Email: [email protected] Phone: 1-800-598-6067 (1-508-663-1500 x294 outside USA)

Become a PLUS+ subscriber and you'll get access to all Supply Chain Management Review premium content including:

  • Full Web Access. All feature articles, bonus reports and industry research through scmr.com.

  • 7 Magazine Issues per year of Supply Chain Management Review magazine.

  • Companion Digital Editions. Searchable replicas of each magazine issue. Read them in any web browser. Delivered by email faster than printed issues.

  • Digital Editions Archives. Every article, every chart and every table as it appeared in the magazine for all archive issues back to 2010.

  • Bonus email newsletters. Add convenient weekly and monthly email newsletters to your subscription to keep your finger on the pulse of the industry.

PLUS+ subscriptions start as low as $129/year*. Start yours now.
That's less than $0.36 per day for access to information that you can use year-round to better manage your entire global supply chain.

This content is available for PLUS+ subscribers.


Already a PLUS+ subscriber?


To begin or upgrade your subscription, Become a PLUS+ subscriber now.

For assistance with your PLUS+ subscription, contact customer service.

Sorry, but your login to PLUS+ has failed.


Please recheck your login information and resubmit below.



For PLUS+ subscription assistance, contact customer service.

The Amazon Effect and the Global Supply Chain

In order to execute fast deliveries, distribution centers have to operate on a continuous fulfillment schedule.

By ·

Latest News

Third Party Risk: Too Close for Comfort
The State of the DC Voice Market
AGVs: Predictably Flexible
Cold Chain Embraces Automated Storage
Rail Customer Coalition calls on White House to fill open STB positions
More News

Latest Resource

Third Party Risk: Too Close for Comfort
You’ve got a handle on many of the potential supply chain "disrupters" that can paralyze your business. But the real risk is embedded in areas you may have overlooked.
All Resources
By ·

Have you been keeping up with the “Amazon Effect” on supply chains? This effect is defined as the impact the digital marketplace has on the traditional business model in retail.  But for supply chain professionals, it is so much more.

We have come to love and maybe even depend on the fast response and delivery of just about anything we can think of. Want to order something at 2 am?  No problem, Amazon is open 24/7 and can deliver overnight. But behind the scenes, in supply chain operations, the Amazon Effect is causing a revolution of epic proportions across the globe.

In order to execute fast deliveries, distribution centers have to operate on a continuous fulfillment schedule. Orders are no longer processed in batches at the end of the day. They are processed instantaneously and sent to pick in the warehouse immediately. Trucks picking up packages for UPS, the USPO, FedEx and others must be ready to take their filled trucks to nearby sort centers for immediately processing.  Gone are the days of order cut-off times, and queuing packages for late-afternoon carrier pick-up.

But that’s not all…in order to keep the fast-moving inventory in stock at the distribution center, more frequent deliveries must be scheduled and that means yard congestion and perhaps a need for yard management software with delivery scheduling.  More people will be needed to manage these processes. Inventory control becomes key to managing the flow of inbound goods and assuring the availability of products.

But that’s not all…in order to make fast, more frequent deliveries, manufacturers must learn to produce in smaller lots with very fast machine change-overs to accommodate a faster demand schedule. Resellers must either build larger warehouses to store more inventory or figure out how to fill orders much more quickly and respond to vendor-managed inventory (VMI) processes.

But that’s not all…to effect very fast change overs in manufacturing, machine tool and robotics makers must develop and redesign their products to accommodate fast changes and smaller-run capability.

But that’s not all…procurement staff will have to adjust the way materials are purchased. To respond quickly to manufacturing needs, purchase orders will become more and more “blanket orders” with fast requisition release capability.  This may even give rise to a preference for local sourcing fueling the reshoring trend, or at least sourcing from local storage locations where inventory is held for rapid response.

But that’s not all…if sources are located in foreign countries like China, they must respond to faster turn-around time and smaller quantities and repeat orders. The traditional model of large lots that are built as the schedule permits, will have to be adjusted to faster, smaller shipment demands.

But that’s not all … transportation carriers are likely to see smaller, but more frequent shipments and demands for faster deliveries. This, in turn, will cause a need for more consolidation centers in foreign locations to load containers and get them moving fast.

The Amazon Effect is causing a revolution in thinking across the supply chain. It’s a wake-up call for supply chain professionals to design new and improved processes and think creatively about the future.

About the Author

Ms. Coates is the Executive Director of the Reshoring Institute and the President of Blue Silk Consulting, a Global Supply Chain consulting firm. She is a best-selling author of: 42 Rules for Sourcing and Manufacturing in China and Legal Blacksmith - How to Avoid and Defend Supply Chain Disputes  Ms. Coates lives in Silicon Valley and has worked with over 80 clients worldwide. She is also an Expert Witness for legal cases involving global supply chain matters.  She is passionate about Reshoring.

 

               

 


Subscribe to Supply Chain Management Review Magazine!

Subscribe today. Don't Miss Out!
Get in-depth coverage from industry experts with proven techniques for cutting supply chain costs and case studies in supply chain best practices.
Start Your Subscription Today!

Latest Whitepaper
Third Party Risk: Too Close for Comfort
You’ve got a handle on many of the potential supply chain "disrupters" that can paralyze your business. But the real risk is embedded in areas you may have overlooked.
Download Today!
From the December 2017
This is a comprehensive guide to services, products and educational opportunities targeted specifically to supply chain professionals. As with years past, we’re also featuring several articles we trust will offer food for thought in your supply chain throughout the coming year.
Transportation Trends: The last mile, history repeating
Economic Outlook: A Complex and Uneven Scenario for Global Supply Chains
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly email newsletter!


Latest Webcast
The Perfect Formula for Determining the Right Amount of Inventory
This webcast explains how the science of theoretical minimums, a new approach to inventory optimization, provides a simple and elegant way to reduce cost and increase customer service levels by monetizing time delays across the extended supply chain.
Register Today!
EDITORS' PICKS
Atradius Issues New Report on Supply Chain Risk in North America
The U.S. shows strong economic performance, but the looming risk that leadership in Washington will...
2018: The year we make meaningful progress on digital transformation
Perhaps it would have been better to describe it as a digital evolution – more of an ongoing...

Industrial and Supply Chain Real Estate Expected to Soar in 2018
Strong economy and insatiable demand for online shopping behind industrial real estate resurgence
Ongoing Supply Chain “Disruptions” Indicated in Latest Ti Survey
According to Logistics Surveys 2017, the express industry has already undergone transformation, not...