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Tag Archives: Global Supply Chain

Walmart 2015

Last week we participated in the Walmart US Manufacturing Summit in Bentonville, Arkansas. Walmart has taken the lead and has ignited the Reshoring movement in America by committing to spend $250 Billion for products Made in the USA over the next few years. The annual Summit was an amazing event again this year, with an important “Open Call” day for suppliers pitching their American-made products to Walmart buyers.
Walmart estimates that 1 million new US jobs will be created through this initiative, including direct manufacturing job growth of approximately 250,000 jobs and indirect job growth of 750,000 in the support and service sectors. This alone is important for rebuilding the US economy, but because of Walmart’s size and influence, other retailers are likely to follow Walmart’s lead and establish initiatives of their own that will also result in more job creation in the US. And as we know, Retailers are the “Mothers of all Supply Chains.” These initiatives will affect manufacturers and their global supply chains.
Walmart is quickly becoming a catalyst for the Reshoring movement for another important reason. By igniting the US manufacturing movement, suppliers and their supply chains will cause the reshoring and redevelopment of key industries needed to support manufacturing in general. Take small motor manufacturers, for example. These small motors are in many consumer products such as lawn mowers, vacuums, hair dryers, and small appliances. Yet most of the small motor production was offshored to China in the early 2000s. Bringing back the production of these motors will help boost US content for many US manufactured industrial products.
Plastic injection molding, cut-and-sew equipment and other component parts will be reshored as a result of this movement. The skills to support all kinds of manufacturing were offshored too, and now skilled labor is in very high demand in America. So the Reshoring movement will drive the redevelopment of these industries and skills in America.
The federal government is supporting innovation through the bi-partisan Revitalize American Manufacturing Act of 2014 and the establishment of 45 Innovation Institutes, bringing together companies and universities to co-invest in advanced manufacturing technologies.
Walmart is the company that will make the difference because it is basing the need for innovation on the demand of its customers, and that is powerful.

I am proud to announce the publishing of my 3rd book, 42 Rules for Superior Field Service.

Writing a book is a daunting task.  It may look easy and hundreds of thousands of people try it, but it is tougher than you think. 

First you have to submit a book proposal to a publisher and hope your idea is good enough to be accepted. If your book proposal is accepted, you sign a contract and then your publisher or executive editor will work with you to determine a timeline and milestones for the book-writing process. Then you have to get busy and start researching and writing. If you prefer to outline your book first, this task must be accomplished early on.

 If you are writing non-fiction, there is a lot of research to do.  You must be able to write about a topic, plus back up your writing with facts and evidence, and perhaps some statistics.  You may even conduct interviews with experts and surveys for data. 

Armed with research, you begin the writing process.  If you have a full-time job, this means being disciplined enough to write on some sort of schedule whethe42RulesForSuperiorFieldService_Jacket_X1A_050313r it’s weekends or nights or early mornings.  Unfortunately, I find that after working all day, I am often too tired to write effectively at night.  This means that my writing time stretches out longer than it should.  Chapters that should take days to research and write often take weeks to finish.

Once the main body of writing is done, you must add “front matter” and “back matter” including an introduction, dedication, table of contents, appendices, contributors’ bios and an author’s bio.  You must also obtain endorsements from colleagues or well-known people who can recommend your writing.  Endorsements are printed on the back or inside flap of the book.

But don’t do a happy dance just yet…next comes the editing cycles.  First there is executive editing, where your editor reviews the manuscript and gives feedback regarding the content.  She makes suggestions about the flow and the way you have supported your information.  When she’s done, you have a few re-write cycles that may take many weeks to complete. 

After executive editing comes copy editing.  In this stage, the grammar and style sheet police pick at every period, awkward phrase, tense agreement, capitalization, etc.  The copy editor also checks facts and questions every detail that isn’t footnoted or attributed.  When she’s done you have several more re-write and correction cycles.

Finally comes the lay-out process.  Once again you edit the manuscript after it is laid out in book-form and again there are a few edit cycles.  Once you are satisfied, the book goes to print.  Only then you can do a happy dance!

Of course, once the book is published, the marketing cycles begin…

I spend most of my time working on global supply chain consulting engagements.  But from time to time, I also do Expert Witness work for legal cases involving supply chain issues.  At the moment, I am working on a legal case involving agri-business across Malaysia and Indonesia.

palm oil fruit

Arriving after midnight last night, I couldn’t help feeling a little creepy as we sped from the airport to town in a rickety old taxi.  The third world flew by the windows.  The ancient driver was going 140km/hr until I begged him to slow down. What if we broke down or had an accident?  Were there headhunters lurking? The $50 “best hotel in Sabah” turned out to be rather scruffy around the edges and even the bottled water looked suspicious.  But in the morning, things looked better. Our driver arrived with cold water and a 4-wheel drive Jeep to take us the 50 miles to the plantation, over rutted dirt roads. Finally, we arrived at the estate plantation, a bit rattled from the very bumpy ride.

As remote as this plantation is, in the hot and humid jungles of Borneo, it strikes me that the supply chain issues faced by this company are not that different from any other company large or small, rural or in a metro area.  Here, in the wilds, the managers are worried about planning and forecasting, raw materials such as fertilizer and seeds, labor and transportation.  Harvested product needs to be processed within 48 hours; shipped to the processing plant via rag top trucks.  Then, processed product must get to market to meet customer demand.   The managers worry about IT systems to capture production data and pay the workers.  They do analysis for continuous process improvement.

The plantation workers live in plantation housing and their bare-foot children attend plantation schools.  The people are poor, but very friendly.  Hopefully, the year-round harvest is good, and too much of it won’t be eaten by tree rats or monkeys.  Even rain can ruin the workday.

This is indeed the third world, but they must deal with first world global supply chains and technology. It is gratifying to know that the topics we master as supply chain professionals are truly universal.  The skills we learn apply across industries and continents and cultures.  The differences are fewer than we might expect.

It was an interesting adventure and about as far away from my Silicon Valley home as one could possibly get. At least at home, I don’t have to deal with monkeys…at least not that often.