Supply Chain Exploration for New Sourcing Options
In light of a fluctuating global economic landscape, logistics and supply chain professionals are actively seeking new opportunities. With concerns about potential recession and rising costs, attention is turning towards emerging markets. This sentiment is reflected in the recently published Agility Emerging Markets Logistics Index.
This index evaluates countries’ overall competitiveness based on various factors such as logistics infrastructure, business environment, and digital readiness. It serves as a guide for third-party logistics providers, freight forwarders, and investors. Here are the key findings from the 2024 Index:
- India, Europe, and North America are preferred destinations for production relocation compared to China.
- Many executives perceive increased risks and decreased rewards in emerging markets.
- While India is seen as a growing producer and market, challenges like inadequate infrastructure and corruption persist.
- There’s anticipation of increased investment in Africa.
- A significant portion of respondents are actively planning or already addressing the impacts of climate change on their businesses.
Public Reaction to New Cybersecurity Executive Order
President Biden recently signed an executive order aimed at bolstering cybersecurity measures for U.S. maritime assets. This move has garnered attention and received mixed reactions from industry experts:
- Abe Eshkenazi, CEO of the Association for Supply Chain Management (ASCM), emphasizes the importance of securing maritime infrastructure.
- Dr. Brett Walkenhorst, CTO of Bastille, highlights the need to address vulnerabilities in wireless technologies.
- Cole Garson, COO of Remcoda, underscores the importance of diligence and verification in mitigating cybersecurity risks.
Assessing the Value of Same-Day Delivery
Despite the challenges associated with implementing same-day delivery services, many companies find the benefits outweigh the drawbacks. Research conducted by Roadie, a UPS Company, indicates:
- 80% of companies reported increased revenue after implementing same-day delivery.
- Benefits include higher customer satisfaction (80%), increased sales (70%), and improved retention rates (66%).
- Most companies offering same-day delivery have been doing so for three years or more.
- A majority report consistent ROI growth each year, which informs decisions regarding product offerings, expansion, and logistics investments.
- However, operational costs are higher with same-day delivery, necessitating innovative pricing strategies to manage expenses.
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