Supply Chain Process Improvement
Accredited Consulting Service for Mr. Hendricks MBA BBA Accredited Senior Consultant (ASC)
Executive Summary Video
The Appleton Greene Accredited Consultant Service (ACS) for Supply Chain Process Improvement is provided by Mr. Hendricks and provides clients with four cost-effective and time-effective professional consultant solutions, enabling clients to engage professional support over a sustainable period of time, while being able to manage consultancy costs within a clearly defined monthly budget. All service contracts are for a fixed period of 12 months and are renewable annually by mutual agreement. Services can be upgraded at any time, subject to individual client requirements and consulting service availability. If you would like to place an order for the Appleton Greene Supply Chain Process Improvement service, please click on either the Bronze, Silver, Gold, or Platinum service boxes below in order to access the respective application forms. If you have any questions or would like further information about this service, please CLICK HERE. A detailed information guide for this service is provided below and you can access this guide by scrolling down and clicking on the tabs beneath the service order application forms.
Bronze Client Service
Monthly cost: USD $1,500.00
Time limit: 5 hours per month
Contract period: 12 months
SERVICE FEATURES
Bronze service includes:
01. Email support
02. Telephone support
03. Questions & answers
04. Professional advice
05. Communication management
To apply – CLICK HERE
Silver Client Service
Monthly cost: USD $3,000.00
Time limit: 10 hours per month
Contract period: 12 months
SERVICE FEATURES
Bronze service plus
01. Research analysis
02. Management analysis
03. Performance analysis
04. Business process analysis
05. Training analysis
To apply – CLICK HERE
Gold Client Service
Monthly cost: USD $4,500.00
Time limit: 15 hours per month
Contract period: 12 months
SERVICE FEATURES
Bronze/Silver service plus
01. Management interviews
02. Evaluation and assessment
03. Performance improvement
04. Business process improvement
05. Management training
To apply – CLICK HERE
Consultant Profile 
Mr Hendricks is an approved Senior Consultant at Appleton Greene and he has experience in production, management and globalization. He has achieved a Masters of Business Administration, a Bachelor of Business Administration and is Certified in Production and Inventory Management. He has industry experience within the following sectors: Aviation; Aerospace; Automotive; Transport and Logistics. He has had commercial experience within the following countries: United States of America, or more specifically within the following cities: Ann Arbor MI; Detroit MI; Toledo OH; Cleveland OH and Cincinnati OH. His personal achievements include: developed strategy trained associates SAP; facilitated improvement scrap rate; implemented lean manufacturing processes; improved cycle count accuracy and JIT sequencing supplier. His service skills incorporate: SAP implementation; master scheduling; inventory management; work management and performance optimization.
To request further information about Mr. Hendricks through Appleton Greene, please CLICK HERE
Executive Summary
Supply-Chain
The need for this Unique Service Proposition is because companies need to focus on Communication, Supply Analysis, Manufacturing Planning, Manufacturing Control and Strategies / Applications.
John Wooden was a Basketball Coach at UCLA from 1948 to 1975. Wooden coached UCLA to 10 NCAA Men’s Basketball Championships in 12 years between 1963 and 1975. The best high school basketball players in the United States of America came to UCLA to study and play basketball. The players would shoot baskets from 25 to 30 feet. Coach Wooden told them that is great but now I want you to make 100 layup baskets in a row.
Having worked with Companies with poor supplier ratings, I discovered the need to go back to and review the basics, indeed it is essential for success. I worked with a Supplier that was scrapping 80 to 90% on a certain product line. A team approach was taken that consisted of the Executive Management Team, a Customer and 3 tiers of Suppliers, that collectively changed the results to 0% Scrap. I have also experienced working with a Customer and Supplier where the relationship was very tenuous. The Supplier could only produce 50% of their Customer’s requirements during the startup of a new product launch. I was able to work with a team that eventually made it possible for the Supplier to meet all of the Customer’s Requirements.
About Zapp! The lightning of empowerment. Most managers know that revitalization in their companies must occur from the ground up. But how do you get that message across to employees without applying the kind of pressure that makes them even less productive? The answer is empowerment. In this very motivational service, you will find specific strategies designed to help you encourage responsibility, acknowledgment, and creativity so that employees feel that they “own” their jobs.
Service Methodology
The Methodology of this Unique Service Proposition (USP) will be to review the basics. As a Professional Tennis Instructor and Student of Sports, I recommend reviewing the basics at all times so that people do not lose sight of the goal or mission.
The Peter Drucker theory of management embodies many modern management practices. Peter Drucker, also known as the Father of Modern Management Theory, coined terms and strategies that are still used today. He advocated for a more flexible, collaborative workplace, and the delegation of power across the board. According to Drucker, “management is doing things right; leadership is doing the right things.” Unlike many early management theorists, Drucker thought that subordinates should have the opportunity to take risks, learn and grow in the workplace.
Drucker’s management theory embodies many modern concepts, including: Decentralization (He wanted all employees to feel valued and empowered, like their work and voice mattered. He believed in assigning tasks that inspire workers, and bringing supervisors and their subordinates together to achieve common, company goals.), Knowledge work (Knowledge workers are those whose jobs require handling or using information, such as engineers or analysts. Drucker placed high value on workers who solved problems and thought creatively. He wanted to cultivate a culture of employees who could provide insight and ideas.), Management by objectives (process that encourages employees of all levels to work together. Each worker has an equal say, sharing their own insight and opinions to reach common ground. From there, teams establish shared goals and delegate tasks according to skill sets and interests. There are five steps of MBO: Review goals, Set objectives, Monitor progress, Evaluate performance, and Reward employees), and S.M.A.R.T. (The acronym calls for each objective to be: Specific, Measurable, Achievable, Relevant, and Time-Oriented).
Service Options
Companies can elect whether they just require Appleton Greene for advice and support with the Bronze Client Service, for research and performance analysis with the Silver Client Service, for facilitating departmental workshops with the Gold Client Service, or for complete process planning, development, implementation, management and review, with the Platinum Client Service. Ultimately, there is a service to suit every situation and every budget and clients can elect to either upgrade or downgrade from one service to another as and when required, providing complete flexibility in order to ensure that the right level of support is available over a sustainable period of time, enabling the organization to compensate for any prescriptive or emergent changes relating to: Customer Service; E-business; Finance; Globalization; Human Resources; Information Technology; Legal; Management; Marketing; or Production.
Service Mission
Coach John Wooden, the legendary UCLA coach who led his teams to numerous championships and double-digit winning streaks, began learning the rules of success at an early age. His father taught him that it was better to be the best person he possibly could rather than strive to be better than everyone else.
The Service Mission of the Unique Service Proposition (USP) is to be the best one can be rather than striving to be better than everyone else. If Team Members focus on being the best they can be they will achieve their goals. If not, they will be frustrated with not being better than everyone else. Frustration is realizing we need to deal with the way things are rather than the way we wish they were. Team members need to play the cards they have been dealt rather than the cards they were not dealt.
The aim is to be the best we can be and not be frustrated because of the way things are. We need to look at our circumstances and rise above the difficulties we encounter. “Discipline yourself and others won’t need to.” –John Wooden It is a very challenging instruction when we give it to ourselves. Sometimes when a leader lacks self-discipline, there is no one watching. “I coined my own definition of success, which is peace of mind attained only through self-satisfaction in knowing you made the effort to do the best of which you’re capable,” Wooden said he considered every practice session to be a journey, an opportunity for daily improvement.
The purpose is to help, to prevent, to correct, to improve, rather than to punish. Criticism is not meant to punish, but rather to correct something that is preventing better results. The only goal is improvement. For an athlete to function properly, he must be intent. There has to be a definite purpose and goal if you are to progress. If you are not intent about what you are doing, you aren’t able to resist the temptation to do something else that might be more fun at the moment.
Service Objectives
The following list represents the Key Service Objectives (KSO) for the Appleton Greene Supply Chain Process Improvement service.
- Communication
Communication is crucial to supply chain success and yet it is surprisingly one of the biggest areas in need of improvement. When it comes to cooperating with staff in other departments, many procurement professionals admit it is very difficult. And when it comes to communicating with those outside the organization, i.e. the suppliers, communications can become even further strained. The Importance Of Communication In Supply Chains: It all boils down to the simple fact that with proper communication between stakeholders and external suppliers, more creative ideas can be brought to the table, thus improving the process. If people from different points of the process are able give ideas for improvements based on firsthand experience, it stands to reason that this will made for a much better managed process. If communication is limited, so is the ability of the procurement department to influence the end to end procurement process. Steps To Improving Procurement Communications: If we are to tackle this communication issue in supply chains, there are some steps that procurement professionals need to consider: Prioritize stakeholders/suppliers. Assess how supportive your stakeholders are and their importance to the organization. Suppliers; consider the impact it would have on your business if they stopped supplying and how strategic they are. Regularly meet with stakeholders and suppliers. By getting together with them on a regular basis (weekly for instance) you can highlight and tackle their concerns and worries as they occur. Don’t be scared to over-communicate, make sure they are regularly updated even if it’s just a quick summary email. With suppliers it’s also important to regularly asses how you can improve your relationship from both sides, and offer constructive feedback to the supplier as well as asking for it yourself. Always offer options. After negotiations, produce a list of options and relevant cases that back up each. This way, you are giving the stakeholders some influence and aren’t taking the decision out of their hands, making them feel they have status. When it comes to the communication method itself, you should assess which method best suits the situation and will deliver the optimum results. There are also some basic principles to consider when it comes how you communicate with stakeholders and suppliers: Be clear. This may sound like an obvious basic principle, but it’s vital to make sure the ‘narrative’ of the proposal comes across, so stakeholders understand and are excited by what you are proposing. Use a brief headline to sum up the proposal and focus on the benefits the project will deliver as well as how they will be achieved. Tailor it. When getting across the key benefits of the project, don’t just focus on general benefits and costs. Consider the stakeholders you are addressing and tailor it to show how you will tackle their own individual concerns. Be personal and pragmatic. Often with stakeholders, it’s more beneficial to give them a call or pay a quick visit than to send less direct communication such as emails. A personal and pragmatic approach will get faster and better results when aiming to implement change. The importance of communication both with internal stakeholders and external suppliers cannot be overlooked. With the right steps taken and changes applied you can turn around poor communication and improve the procurement process. - Supply Analysis
Supply Analysis is a research and analysis done to understand the supply trends and responses to changing market and production variables. Supply Analysis considers the production costs, raw material costs, technology, labor wages etc. The analysis helps the manufacturers and companies to understand the impact of these variables on supply and eventually demand. The goal of demand-supply chain is to make sure that the supply and demand work properly. The demand should be met, and supply should not be more than what expected. There are lot of variables which are considered in demand analysis and supply analysis. Supply Analysis helps manufacturers to analyze the impact of production changes, policies on increase or decrease in supply of finished goods. e.g. newer upcoming technology can help produce more goods in same amount of time. The analysis can help determine if this new technology should be adopted or not. Also if this technology can help produce more, is the demand there for more products. What impact will it have on the current labor and how would be it impact supply in the market. - Manufacturing Planning
Planning is an essential part of every manufacturer’s life and the key to effective inventory and resource management. Even engineer-to-order and lean make-to-order manufacturers must plan for materials and resources (equipment, capacity, people/skills) to be available to satisfy customer requirements. Manufacturing planning is a coordinated process involving demand management, forecasting, master scheduling, material planning (MRP), and capacity planning, fully integrated with operational management applications including production control, inventory management, and procurement. Planning is all about turning customer demand, a combination of real orders and forecasted demand, into production schedules and planned purchases mapped out in time to assure that the materials, parts and products are available when needed but only in the quantity needed and at the time needed to keep the plant operating efficiently with minimal excess inventory. Execution applications – in production and purchasing – ensure that all activities are coordinated and work is completed on time, maximizing the efficient use of resources. The result is on-time shipment, happy customers, and minimal costs. This coordinated planning and execution ‘closed loop’ also keeps things coordinated in the face of changing demand, unexpected disruptions and other challenges. - Manufacturing Control
Manufacturing control is the activity of monitoring and controlling a large physical facility or physically dispersed service. It is a “set of actions and decision taken during production to regulate output and obtain reasonable assurance that the specification will be met.” The American Production and Inventory Control Society, nowadays APICS, defined production control in 1959 as: Production control is the task of predicting, planning and scheduling work, taking into account manpower, materials availability and other capacity restrictions, and cost so as to achieve proper quality and quantity at the time it is needed and then following up the schedule to see that the plan is carried out, using whatever systems have proven satisfactory for the purpose. Production planning and control in larger factories is often run from a production planning department run by production controllers and a production control manager. Production monitoring and control of larger operations is often run from a central space, called a control room or operations room or operations control center (OCC). The emerging area of Project Production Management (PPM), based on viewing project activities as a production system, adopts the same notion of production control to take steps to regulate the behavior of a production system where in this case the production system is a capital project, rather than a physical facility or a physically dispersed service. Production control is to be contrasted with project controls. As explained, project controls have developed to become centralized functions to track project progress and identify deviations from plan and to forecast future progress, using metrics rooted in accounting principles. - Strategy / Applications
Supply chain management operates at three levels: strategic, tactical, and operational. At the strategic level, company management makes high-level strategic supply chain decisions that are relevant to whole organizations. The decisions that are made with regards to the supply chain should reflect the overall corporate strategy that the organization is following. The strategic supply chain processes that management has to decide upon will cover the breadth of the supply chain. These include product development, customers, manufacturing, vendors, and logistics. Product Development: Senior management has to define a strategic direction when considering the products that the company should manufacture and offer to their customers. As product cycles mature or products sales decline, management has to make strategic decisions to develop and introduce new versions of existing products into the marketplace, rationalize the current product offering, or developing a new range of products and services. These strategic decisions may include the need to acquire another company or sell existing businesses. When making these strategic product development decisions, the overall objectives of the firm should be the determining factor. Customers: At the strategic level, a company has to identify the customers for its products and services. When company management makes strategic decisions on the products to manufacture, they need to then identify the key customer segments where company marketing and advertising will be targeted. Manufacturing: At the strategic level, manufacturing decisions define the manufacturing infrastructure and technology that is required. Based on high-level forecasting and sales estimates, company management has to make strategic decisions on how products will be manufactured. The decisions can require new manufacturing facilities to be built or to increase production at existing facilities. However, if the overall company objectives include moving manufacturing overseas, then the decisions may lean towards using subcontracting and third-party logistics. As environmental issues influence corporate policy to a greater extent, this may influence strategic supply chain decisions with regards to manufacturing. Suppliers: Company management has to decide on the strategic supply chain policies with regards to suppliers. Reducing the purchasing spend for a company can directly relate to an increase in profit and strategically there are a number of decisions that can be made to obtain that result. Leveraging the total company’s purchases over many businesses can allow company management to select strategic global suppliers who offer the greatest discounts. But these decisions have to correspond with the overall company objectives. If a company has adopted policies on quality, then strategic decisions on suppliers will have to fall within the overall company objective. Logistics: As well as strategic decisions on manufacturing locations, the logistics function is key to the success of the supply chain. Order fulfillment is an important part of the supply chain and company management needs to make strategic decisions on the logistics network. The design and operation of the network have a significant influence on the performance of the supply chain. Strategic decisions are required in warehouses, distribution centers which transportation modes should be used. If the overall company objectives identify the use of more third-party subcontracting, the company may strategically decide to use third-party logistics companies in the supply chain. Strategic decisions determine the overall direction of the company’s supply chain. They should be made in conjunction with the companies overall objectives and not biased towards any particular product or regional location. These high-level decisions can be refined, as required, to the specific needs of the company at the lower levels which allow for tactical and operational supply chain decisions to be made. Summary: The primary and overriding goal of any supply chain is to make sure a company is delivering the orders its customers want when its customers want those orders—and accomplish this by spending as little money as possible. Only by lowering costs and improving performance can a supply chain be truly optimized. When a supply chain is managed at the operational, tactical and strategic levels—it has the best chance of helping its company reach its goals. When the strategic supply chain is optimized, a company is delivering what its customers want, when its customers want it—and spending as little money as possible getting that done.
Testimonials
Faurecia
“As a Material Planner, Mr. Hendricks was responsible for creating and updating supplier releases, ensuring on time delivery of production material, and supplier performance. In his role as a SAP Key User, he played an instrumental role in transitioning legacy processes and procedures to the SAP environment and developing the SAP cycle process for the plant. Additionally, Mr. Hendricks effectively scheduled and managed the daily cycle count process, coordinating the activities of 4 cycle checkers across a 24×7 operation. Mr. Hendricks was always willing to offer his assistance and had an excellent rapport with the many constituents served by Production Control & Logistics, including production, suppliers, material handling, and other stake holders. I would highly recommend him for any position or career that he may now choose to pursue.”
MTU-Online
“This is my personal and professional recommendation for Mr. Hendricks. In my previous assignment at MTU, as the Manager in charge of Parts Customer Service and Material Planning, I had the pleasure of hiring Mr. Hendricks for Material Planning and Scheduling. He immediately brought a lot of enthusiasm and commitment to the job. His attention to detail and willingness to take on new assignments have assisted him to adapt quickly to the changing work environment at MTU. Mr. Hendricks’ knowledge of SAP, material planning skills and can-do attitude, made him a well-respected member of the After Sales Team. His daily contacts with the offices in Germany and his coordination of emergency parts drop shipments, gave him valuable experience in dealing with German business culture and in tracking international shipments. I highly recommend Mr. Hendricks.”
Valeo North America
“I highly recommend Mr. Hendricks as a candidate for employment. He was employed as Supply Chain Material Planning & Production Control Supervisor. Mr. Hendricks was responsible for coordination and management the MPS ( master production schedule) & SIOP ( Sales, inventory and operation plan) process. He managed the load of the plant and proposed resources regarding customer demands, recognizing and managing all demand for products from customers by driving SIOP & MPS as well to manage the material procurement from suppliers. Mr. Hendricks has excellent communication skills. In addition, he is extremely organized, reliable and computer literate. Mr. Hendricks can work independently and is able to follow through to ensure that the job is done. He is flexible and willing to work on any project that is assigned to him. Mr. Hendricks would be a tremendous asset for any company and has my highest recommendation.”
More detailed achievements, references and testimonials are confidentially available to clients upon request.
Industries
This service is primarily available to the following industry sectors:
Aviation
Consumers will see a substantial increase in the value they derive from air transport in 2019. The average return fare (before surcharges and tax) of $317 in 2019 is forecast to be 61% lower than in 1998, after adjusting for inflation. The number of new destinations is forecast to rise further this year, with frequencies up too; both boosting consumer benefits. We expect 1% of world GDP to be spent on air transport in 2019, totaling $899 billion. RPK growth, which has been running well above trend, is forecast to slow further as economic growth weakens and fuel prices rise. But the major new weakness in the business environment is world trade, as a result of the trade disputes. GDP growth has slowed but by much less than trade, as domestic demand remains strong. Economic development worldwide is getting a significant boost from air transport. This wider economic benefit is being generated by increasing connections between cities – enabling the flow of goods, people, capital, technology and ideas – and falling air transport costs. The number of unique city-pair connections has exceeded 22,000 this year, more than double the connectivity by air twenty years ago. The price of air transport for users continues to fall, after adjusting for inflation. Compared to twenty years ago real transport costs have more than halved. Air transport is vital for manufactures trade, particularly trade in components which is a major part of cross border trade today. We forecast that the value of international trade shipped by air next year will be $6.7 trillion. Tourists travelling by air in 2019 are forecast to spend $909 billion. Another impact on the wider economy comes through the influence increased airline activity has on jobs in the sector, in its supply chain, and the jobs generated as spending ripples through the economy. These ‘supply chain’ jobs around the world are estimated to rise to more than 70 million in 2019. Governments have also gained from the good performance of the airline industry. Airlines and their customers are forecast to generate $129 billion in tax revenues this year. That’s the equivalent of 45% of the industry’s GVA (Gross Value Added, which is the firm-level equivalent to GDP). But in many countries the value that aviation generates is not well understood. The commercial activities of the industry remain highly constrained by bilateral and other regulations. Moreover, regulation is far from ‘smart’, leading to unnecessarily high costs. Visa requirements discourage inbound tourism and business travel. Encouragingly visa openness levels are improving. But the number of individual ticket taxes has risen to 237, while the level of many existing taxes continues to ratchet upwards.
Aerospace
In 2018, the global aerospace and defense (A&D) industry recuperated and experienced a solid year as passenger travel demand strengthened and global military expenditure continued to rise. The industry is expected to continue its growth trajectory in 2019, led by growing commercial aircraft production and strong defense spending. This outlook reviews the performance of the A&D industry in 2018 and forecasts its growth in the coming years. It also outlines performance across major A&D markets and discusses trends that will impact the industry. Key findings: The commercial aircraft order backlog is at its peak of more than 14,000 with about 38,000 aircraft expected to be produced globally over the next 20 years; Geopolitical tensions are continuing to intensify and demand for military equipment is on the uptick, driving defense spending across the globe; Changes in the international trade agreements likely to disrupt the global supply chain and increase costs; M&A activity to remain strong as pressure on suppliers to reduce costs and increase production rates continues; Though A&D industry growth is primarily led by the United States, few other regions including China, France, India, Japan, the Middle East, and the UK, will be contributing to the industry’s performance in the near term. In 2014 the global aerospace manufacturing market is expected to maintain the overall 5% growth rate that has been seen in 2012 and 2013. The growth will be driven by the continued expansion of the civil aviation sector while the military sector is expected to continue its contraction. Boeing forecast a long-term demand in global civil aviation for 35,280 new airplanes between 2013 and 2032, valued at $4.8 trillion. 14,350 of these new airplanes will replace older, less efficient airplanes. The remaining 20,930 airplanes will be for fleet growth, stimulating expansion in emerging markets and innovative airline business models. Approximately 24,670 airplanes (70 percent of new deliveries) will be single aisle airplanes, reflecting growth in emerging markets such as China, and the continued expansion of low-cost carriers throughout the world. Wide body share will also increase, from 23 percent of today’s fleet to 24 percent in 2032. With these growth rates there is a possibility that a new major manufacturer may enter the civil aviation market based in one of the emerging economies. The anticipated rate of expansion in civil aviation will pose significant challenges for the supply chain across the global economy. In 2014 the recent rate of revenue contraction for defense contractors of around 2% p.a. may well be sustained. European defense equipment manufacturers face particular problems – McKinsey has estimated that European governments could save over 30% by joint procurement of equipment and services. Defense programs have become extraordinarily expensive and affordability has become a major issue. Next generation technologies must be developed and maintained in service at a much lower cost than hitherto. According to Deloitte, the UK industry has utilized two major business model innovations to help fund new requirements in this challenging environment – public private financing initiatives and performance-based logistics – which are making acquisitions more affordable. Some defense companies have also been anticipating defense budget cuts by reducing staff, cutting overhead costs, and getting lean. Automation is being used to reduce labor costs. Digital product development and computer aided design are creating significant efficiencies in product development. Lean manufacturing and Six Sigma have cut waste in the production process. Such initiatives will almost certainly accelerate in 2014 as companies in the defense sector seek to maintain margins and profitability.
Automotive
The automotive industry is America’s largest exporter. Over the past six years, automakers and suppliers have exported over $775 billion worth of vehicles and parts. They beat the next best performing sector (aerospace) by $125 billion. Last year alone, automakers and suppliers out-exported the aerospace industry by $6 billion. The U.S. auto industry is one of the largest consumers of domestic raw materials and parts. Last year, automakers sold more than 17 million cars in the U.S., and each contained between 8,000 to 12,000 parts, using more than 3,000 pounds of iron, steel, rubber, glass and semiconductors. Approximately 734,000 Americans work at the plants, offices and research labs that produce those parts and materials. Designing those 8,000 to 12,000 auto parts and helping put them together makes autos among the most engineering-intensive industries in the world. In fact, seven out of the world’s top 25 corporate investors in research and development are automakers. FCA US, Ford and General Motors each invest more each year on research and development than HP, Boeing, and AT&T – and 80 cents of every dollar they invest in research and development is spent here in the U.S. Thanks largely to this investment, nearly one in 10 engineers and scientists in private sector R&D work for an automaker or auto supplier. Global sales of passenger cars are forecast to hit 78.6 million vehicles in 2017. Along with China, the United States is counted among the largest automobile markets worldwide, both in terms of production and sales. About 6.9 million passenger cars were sold to U.S. customers in 2016, and around four million cars were produced here in the same year. The United States became a key automotive market in the early 1900s, when Ford introduced assembly line car production to mass-manufacture its Model T. Today, the Ford Motor Company still ranks among the leading manufacturers of passenger cars, its most popular passenger car model currently being the Ford Focus, which was also one of 2016’s best-selling light vehicles worldwide. In terms of revenue, Toyota, Volkswagen, and Daimler topped the list of major automobile makers in 2016, while the automotive supplier industry was dominated by Bosch, Continental, Denso and Magna. Prompted by global initiatives, such as the Paris Agreement, several countries around the globe are enacting stricter emissions controls on new vehicle models. As such, automakers are beginning to expand their business into the electric mobility sector. Germany is expected to lead the way with projected electric car production to reach some 1.3 million units by 2021. Over the next decade, Internet-connected car technologies and autonomous vehicles are set to stir up yet another revolution in the automotive sector. In 2016, some 40 percent of U.S. respondents stated that they were willing to use fully autonomous vehicles, presumably because they consider autonomous vehicles to be safer than conventional cars. The global market for autonomous driving hardware components is expected to grow from 400 million U.S. dollars in 2015 to 40 billion U.S. dollars in 2030.
Transport
The logistics and transportation industry in the United States is highly competitive. By investing in this sector, multinational firms position themselves to better facilitate the flow of goods throughout the world’s largest consumer market. International and domestic companies in this industry benefit from a highly skilled workforce and relatively low costs. United States Business Logistics Costs reached $1.6 trillion in 2018 (8 percent of GDP that year). Analysts expect investment to correlate with sector-specific growth in the U.S. economy. America’s highly integrated supply chain network links producers and consumers through multiple transportation modes, including air and express delivery services, freight rail, maritime transport, and truck transport. To serve customers efficiently, multinational and domestic firms provide tailored logistics and transportation solutions to ensure coordinated goods movement from origin to end user through each supply chain network segment. Logistics services: This subsector includes inbound and outbound transportation management, fleet management, warehousing, materials handling, order fulfillment, logistics network design, inventory management, supply and demand planning, third-party logistics management, and other support services. Logistics services are involved at all levels in the planning and execution of the movement of goods. Air and express delivery services (EDS): Firms offer expedited, time-sensitive, and end-to-end services for documents, small parcels, and high-value items. An $87 billion industry in the United States, EDS firms also provide the export infrastructure for many exporters, particularly small and medium-sized businesses that cannot afford to operate their own supply chain. Recent EDS industry growth has been generated by the expansion of electronic commerce use by businesses and consumers. Freight rail: High volumes of heavy cargo and products are transported long distances throughout the United States via rail network. Each day, this 140,000-mile system delivers an average of 5 million tons of goods and serves nearly every industrial, wholesale, retail, and resource-based sector of the economy. In 2017, Freight rail moves more than 70 percent of the nation’s coal, about 58 percent of its raw metal ores, 1.6 million carloads of wheat, corn, and other agricultural products, and 13.7 million intermodal containers and trailers that transport consumer goods. Maritime: This subsector includes carriers, seaports, terminals, and labor involved in the movement of cargo and passengers by water. Water transportation moves nearly 70 percent of all U.S. international merchandise trade, including 72 percent of U.S. exports by tonnage. Trucking: Over-the-road transportation of cargo is provided by motor vehicles over short and medium distances. According to the American Trucking Associations, trucking revenues were $700 billion in 2017. That year, trucks moved almost 11 billion tons of freight.
Logistics
Global logistics is expected to reach US$12 trillion in value by 2025, recording a 6% CAGR over the period. The key opportunities lie in construction industry and transportation of cement, metals, textiles and electronic components. Retail and wholesale, in the meantime, will become an increasingly challenging area with limited potential and growing supply chain complexity. 2015 was a difficult year for global logistics companies. However, accelerating Asia Pacific economies and recovering manufacturing in Western Europe are expected to have a positive effect on global logistics, which started to recover in 2016 and is expected to continue solid growth in the next 10 years. Retail and wholesale growth is expected to stand at 4% CAGR over 2015-2025 -lowest among key logistics customers. China and the US are expected to remain lucrative markets that will account for over 50% of future value growth in retail and wholesale until 2025. Following growth of e-commerce, logistics companies will have to adopt innovative delivery solutions and integrate delivery systems. The most significant elements that enable us to understand economic growth and development levels of nations are economic indicators of the country of interest. As much as these indicators have positive and high values, they affect the economic, social, psychological and cultural texture of the nation positively. These effects increase the culture, living and welfare levels of the individuals in the society. Logistics is one of the tools that play an important role in the change and improvement of economic indicators. Logistics industry provides significant macro contributions to national economy by creating employment, and creating national income and foreign investment influx. On the micro scale, logistics industry is a key industry in increasing the competitive power of corporations. Furthermore, the logistics industry has an important mission in revitalizing and improvement of the competitiveness of other industries. Today, all industries are dependent on logistics sector. The present study aimed to investigate how the logistics variables of transportation and communication affected economic growth in 34 OECD countries. The effect of both transportation industry variables and communication industry variables that form the logistics industry on the increase in per capita income in OECD countries was identified.
Locations
This service is primarily available within the following locations:
Ann Arbor MI
In 2017, Ann Arbor, MI had a population of 119k people with a median age of 27.5 and a median household income of $61,247. Between 2016 and 2017 the population of Ann Arbor, MI grew from 118,087 to 119,303, a 1.03% increase and its median household income grew from $57,697 to $61,247, a 6.15% increase. The population of Ann Arbor, MI is 68.6% White Alone, 15.9% Asian Alone, and 6.89% Black or African American Alone. 21.9% of the people in Ann Arbor, MI speak a non-English language, and 88.4% are U.S. citizens. The largest universities in Ann Arbor, MI are University of Michigan-Ann Arbor (14,000 degrees awarded in 2016) and Concordia University-Ann Arbor (111 degrees). The median property value in Ann Arbor, MI is $271,600, and the homeownership rate is 45.9%. Most people in Ann Arbor, MI commute by Drove Alone, and the average commute time is 18.9 minutes. The average car ownership in Ann Arbor, MI is 2 cars per household. The economy of Ann Arbor, MI employs 61.4k people. The largest industries in Ann Arbor, MI are Educational Services (20,095 people), Health Care & Social Assistance (9,377 people), and Professional, Scientific, & Technical Services (6,416 people), and the highest paying industries are Utilities ($78,958), Manufacturing ($67,681), and Mining, Quarrying, & Oil & Gas Extraction ($61,008). Median household income in Ann Arbor, MI is $61,247. Males in Ann Arbor, MI have an average income that is 1.37 times higher than the average income of females, which is $46,762. The income inequality in Ann Arbor, MI (measured using the Gini index) is 0.476, which is lower than the national average. Households in Ann Arbor, MI have a median annual income of $61,247, which is more than the median annual income of $60,336 across the entire United States. This is in comparison to a median income of $57,697 in 2016, which represents a 6.15% annual growth. Michigan (and the nation) is now enjoying the longest economic recovery in more than a century. Yet several factors are emerging that could leave the state more vulnerable to the next downturn, from transformations in the automotive industry that are costing some manufacturing jobs, to ongoing talent challenges, to international trade skirmishes Michigan has limited power to control. The ongoing national expansion surpasses the previous record, from March 1991 to March 2001, and economists say it isn’t expected to end anytime soon. Put simply, a growing economy doesn’t die just because it’s old. While economists don’t forecast a recession is imminent, they caution that Michigan’s economy remains tied to the cyclical fate of the auto industry, even if the state is less reliant on manufacturing than it used to be. American consumers are buying fewer new cars as the industry restructures toward more electric and self-driving vehicles — a transformation that has led to layoffs even amid near-record low unemployment rates. As home base to Ford, General Motors and Chrysler, Michigan also is more likely than other states to be harmed by escalating global trade disputes because the auto industry is a global business. Uncertainty surrounding federal trade policy, more than any other factor, is emerging as a cautionary sign tempering economists’ otherwise optimistic forecasts.