Supply Chain Optimization

Carriers Make Money From Diesel + We Are Helping Ukraine

Diesel topics worth repeating: Street prices react to oil’s rise quickly — but when oil falls, the price you pay lags far behind. In traditional contracts, carriers make incremental income out of fuel surcharges: Their real mpg vs. that contracted ...

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Unintended Consequences + Diesel $4.849

The unintended consequences of developing Electric Vehicles (EVs) are numerous. Sometimes collateral damage is self-inflicted. Here are examples. The push for Electric Vehicles and “clean” power has the unintended consequence of: Large mines must be ...

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Diesel Prices—No Relief In Sight

On Monday afternoon, the future price for Ultra Low Sulfur Diesel (ULSD) was $2.94. Recall that this is the price in NY Harbor if you buy 42,000 gallons next month. The graph below shows it is even more expensive than ARA – ARA (Amsterdam, ...

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When Will We Get Real Reform?

The US Postal Service (USPS) has lost $92 Billion since 2007. USPS has claimed these losses stem from being forced by law to fund retiree healthcare costs. It hasn’t made a retiree healthcare payment since 2010 and now has $52 Billion in unfunded ...

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Oil At $95 — Is Relief In Sight?

As stocks fell on Monday, Oil jumped to $95/barrel. As stocks fell on Monday, Oil jumped to $95/barrel. At the same time, predictions of $100/barrel now seem “achievable.” But wait, the EIA, in January, predicted a price decline: “the price of Brent ...

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Labor Adds To Woes

Previous entries have outlined California’s stance on independent contractors: “Someone cannot be considered a contractor if they are in the same line of business as the employer. As a result, a plumber working for a retail store can be considered a ...

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Gartner Speaks: Transform Warehousing

“[To help supply chain leaders get a competitive advantage,] Gartner has identified multiple technology innovations poised to transform warehousing and distribution operations.” One technology identified is what they call “warehouse resource ...

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The COLA Acronym Returns

Just as J.B. Hunt is paying nearly $10 million in holiday bonuses to truck drivers and other workers, the… Just as J.B. Hunt is paying nearly $10 million in holiday bonuses to truck drivers and other workers, the American Trucking Association, an ...

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Merry Christmas! Here Is Your Freight Cost Increase..

I hate to ruin your Christmas, but I want to give you my predictions about what will happen next year to freight contracts. Here is my take: Ocean containers: Contract rates will more than double, given the spot price to ship a 40-foot container ...

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Supply-Chain Financing

As companies push out their payables – some as far as 180 days – they are offering vendors a way to get their money earlier called supply-chain financing. How it works: The vendor sends a bill The customer approves it A bank then offers terms ...

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