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Dr. Dale S. Rogers Professor , Logistics & Supply Chain Management Co-Director , Center for Supply Chain Management

Megatrends. Dr. Dale S. Rogers Professor , Logistics & Supply Chain Management Co-Director , Center for Supply Chain Management Rutgers University Nevada Logistics Institute August 16, 2011 Reno, NV. Megatrends. Introduction Sustainable Supply Chain Complexity & Consolidation

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Dr. Dale S. Rogers Professor , Logistics & Supply Chain Management Co-Director , Center for Supply Chain Management

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  1. Megatrends Dr. Dale S. Rogers Professor, Logistics & Supply Chain Management Co-Director, Center for Supply Chain Management Rutgers University Nevada Logistics Institute August 16, 2011 Reno, NV

  2. Megatrends • Introduction • Sustainable Supply Chain • Complexity & Consolidation • Fuel Costs • Logistics and Transportation • Work Patterns • Systems Evolution

  3. Introduction

  4. Historical Milestones In Conceptualization Shifts in Logistical Thinking • Transportation Efficiency 3000BC • Total Cost Awareness 1950AD • Customer Service 1955 • Comprehensive Outsourcing 1965 • Operational Integration and Quality (Six Sigma) 1975 • Financial Positioning and Operational Excellence 1985 • Globalization 1990 • Customer Relationships and Enterprise Extension 1995 • Supply Chain Integrative Management 2000 • Responsive Supply Chain Management 2005+ Source: Dr. Donald J. Bowersox, FedEx Summit, February 2008, February 2008

  5. Cash Conversion Cycle Q1 or Q2 2011

  6. The Sustainable Supply Chain

  7. Good Social Responsibility Environmental The Sustainable Supply Chain • Organizational Culture • Deeply ingrained • Organizational citizenship • Values and ethics • Quality culture • Strategy • Sustainability as part of an integrated strategy • Long-term view • Doing more with less Economic Better Better Best • Transparency • Stakeholder Management • Supplier Operations • RFP/RFQ Process • Financial Reporting (SOX) • Leadtimes • Visibility • Risk Management • Contingency Planning • Supply Disruptions • Supply Risk • Headline Risk • Agility

  8. Zero Waste

  9. Product Responsibility Curve Product Responsibility Curve Product Life Cycle End of Responsibility End of Life Birth

  10. Secondary Markets • Secondary markets are effective in diverting a large number of products from landfills, creating numerous jobs, resulting in substantial economic value in the process. • Although not reflected in current government metrics, a conservative estimate is that the secondary market represents 2.28 percent of the 2008 U.S. Gross Domestic Product.

  11. Secondary Markets

  12. Logistics & Transportation

  13. U.S. Logistics Costs 2003-2010

  14. U.S. Logistics Flows

  15. BNSF Rail System Map

  16. Union Pacific Rail System Map

  17. 2009 Top 50 World Container Ports • Singapore (Singapore) • Shanghai (China) • Hong Kong (China) • Shenzhen (China) • Busan (Korea) • Dubai (UAE) • Ningbo-Zhoushan (China) • Guangzhou Harbor (China) • Rotterdam (Netherlands) • Qingdao (China) • Hamburg (Germany) • Kaohsiung (Taiwan) • Antwerp (Belgium • Tianjin (China) • Port Kalang (Malaysia) • Los Angeles (USA) • Long Beach (USA) • TanjungPelepas (Malaysia) • Bremen-Bremerhaven (Germany) • New York-New Jersey (USA) • LaemChabang (Thailand) • Xiamen (China) • Guangzhou Harbor (China) • TanjungPriok (Indonesia) • Jawaharial Nehru (India) • Hanshin (Japan) • Tokyo (Japan) • Colombo (Sri Lanka) • Valencia (Spain) • Yokohama (Japan) • GioiaTauro (Italy) • Ho Chi Minh (Vietnam) • Felixstowe (UK) • Algeciras bay (Spain) • Jeddah (Saudi Arabia) • Port Said (Egypt) • Salalah (Oman) • Lianyungung (China) • Manila (Phillipines) • Nagoya (Japan) • Santos (Brazil) • Durban (South Africa) • Georgia Ports (USA) • Barcelona (Spain) • Sharjah (United Arab Emirates) • Le Havre (France) • Port Metro Vancouver, British Columbia (Canada) • Melbourne (Australia) • Marsaxlokk (Malta) • Ambarli (Turkey) Source: The Journal of Commerce, August 3, 2009 edition.

  18. World Logistics Flows

  19. Clean Trucks Initiative

  20. Hours of Service

  21. CSA 2010

  22. Diesel Prices

  23. 2009 U.S. Petroleum Usage

  24. Impact of Large Fuel Cost Increase on Logistics Infrastructure

  25. Impact of Large Fuel Cost Increase on Logistics Infrastructure

  26. 7 Facilities - $2.50 per Gallon

  27. 10 Facilities - $3.50 per Gallon

  28. 11 Facilities - $7.50 per Gallon

  29. 12 Facilities - $7.75 per Gallon

  30. 2002 Annual Average Daily Truck Traffic

  31. 2035 Annual Average Daily Truck Traffic

  32. Work Patterns

  33. Systems Evolution

  34. Logistics Analytics Prescriptive Analytics Predictive Analytics

  35. Mobile Technologies

  36. App Store?

  37. “The Network is the Computer”

  38. 19th Century Electricity Generator

  39. Computing as a Utility

  40. 10 Years 2 Years 2/10 Rule • 2 years of excited “buzz” • 10 years before technology “blossoms”

  41. Complexity & Consolidation

  42. Business Life Cycles

  43. Complexity & Consolidation Focal Firm

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