Wednesday, December 2, 2009
Warehousing Services in Southern California
Warehousing Services
- 24 hour operation
- Warehousing in close Proximity to All Southern California Sea, Rail and Air Terminals
- Foreign Trade Zone, U.S. Customs Bonded
- C-TPAT Certified Warehousing Facility
- Warehouses are Haz-mat, Alcoholic Beverage Control Certified Type 14 and we also have Food Grade Public Warehouses
- Advanced Internet Based W.M.S. (Warehouse Management System):
- Fully integrated online, real-time processing for rapid order turnover
Warehousing Locations
- Carson, California
- Compton, California
-Wilmington, California
International Offices
-New Delhi, India
-Ho Chi Minh City, Vietnam
Tuesday, November 3, 2009
Outsourcing and respect
Of course, there are other times when the outsourcing conversation is sparked by the urgent need to reduce headcount.
The transportation teams that feel especially threatened are those that lack the experience, leadership, talent, knowledge, process excellence, and contingency strategies to guide their companies through today's global market. They often fail to anticipate and prepare themselves for tomorrow's challenges. And it often takes just one unpleasant and costly surprise to jumpstart the outsourcing movement in teams like these.
When I hear transportation leaders tell me that their companies keep reminding them that they're just another cost center, I tell them that it's their fault that management doesn't see them as a value-add to the organization. This tends to lead into the question: How do I get some respect?
The answer is simple. It's all about education and managing expectations—neither of which start in the middle of a crisis. Earning respect starts with your knowledge and command of the marketplace and your transportation governance, and it ends with programs that you have created to educate senior management and other organizations on a regular basis. As a quick reminder, I define transportation governance as “the direction and control associated with creation, administration, oversight, and enforcement of your company and supply chain's policies, regulations, and procedures related to the legal, safe, efficient, and service-effective movement of freight it controls either directly or indirectly.”
Transportation governance has both direct and indirect aspects. Direct governance includes: your carrier criteria and operating protocol/guidelines; selection and management of your carrier base; carrier due diligence evaluations, contract models and supporting documents; process with defined/flows/inputs-outputs; metrics and measures and dashboards; carrier performance reviews and process improvements; a carrier council to streamline processes and improve carrier and company productivity; greenfield projects and process improvements; and, of course, audits and benchmarking. Indirect governance, on the other hand, includes your command of the transportation industry including regulatory and political issues as well as a comparison of your approach to industry challenges versus that of your peers.
Read the rest of the logisticsmgmt.com article here.
Friday, October 2, 2009
New Study Highlights Role of Third-Party Logistics Providers in Helping Shippers Adapt to Economic Challenges
* The economic downturn has created significant challenges for both shippers and third-party logistics providers (3PLs) – 82% of shippers are employing cost-cutting tactics and 60% are rethinking their supply chains and relationships with 3PLs
* 88% of shippers feel that IT-based logistics services are important, but only 42% are satisfied with the capabilities of their provider – as a result of this IT capability gap, shipper respondents reported a lack of the key performance indicators, alerts and visibility required for an adaptive supply chain and 3PLs reported similar difficulties in getting the data and commitment they need from shippers
* There are significant differences between how 3PLs evaluate their role in the supply chain and how they are viewed by shippers – 59% of shippers feel their use of 3PLs has a positive effect on customer service compared to 88% of 3PL respondents
* Shipper respondents devote an average of between 47% (in North America) and 66% (in Europe) of their total logistics expenditures to outsourcing and this is expected to increase in the next five years.
“Shipper-3PL relationships are being impacted significantly by the prevailing uncertainty and economic volatility in global markets,” said Dr. C. John Langley Jr., Professor of Supply Chain Management, Georgia Institute of Technology. “It is very important for 3PLs to mitigate or reduce any financial risk or service level impact that this may cause.”
Economic uncertainty and the use of 3PLs
Economic volatility has challenged shippers and 3PLs alike to contend with factors such as unpredictable demand, instability in fuel costs and currency valuation, and excess inventory. In response, not only are shippers attempting to cut costs, 77% are also seeking to improve forecasting and inventory management.
Cost reduction and improved reliability in services are the main factors likely to increase shipper respondents’ use of 3PLs. This includes converting fixed to variable costs (59%), expanding to new markets or offering new products (56%), and restructuring the supply chain network to improve financial performance (48%).
Read the rest of the mhia.org article here.
Wednesday, September 2, 2009
Logistics and manufacturing business: ISM report indicates manufacturing finally growing
Norbert Ore, chair of ISM’s Manufacturing Business Survey Committee, said his reaction was “relief” to see the PMI, ISM’s composite index which covers the overall health of the manufacturing sector, rise four percentage points to 52.9 percent, marking the first time the index has climbed above 50 since the recession began.
Typically, the 50 percent mark is the dividing line between “growth” and “contraction,” whether in reference to the PMI or any other indices covered by the monthly ISM report.
It wasn’t exactly a surprise. August’s number represents the eighth straight month of increase for the index, and both Ore and ISM have been predicting the index would push past 50 in either the third or fourth quarter this year.
The ISM has also predicted that growth would continue through the rest of the year, paving the way for a stronger sign of recovery in 2010. The PMI alone, Ore said, will most likely stay above 50 until at least the end of the year. Even if it slips, it would have to fall 2.9 percentage points to go back to contraction, which Ore said is unlikely to happen.
Read the rest of logisticsmgmt.com article here.
Tuesday, August 4, 2009
Why 3PLs need to build their brand
These changes have fostered a degree of buyer confusion in the marketplace, and many large 3PLs fear a possible “commoditization” of their services in the eyes of those who currently buy their services or are considering doing so. If this is indeed occurring, existing and potential customers will become increasingly indifferent when choosing between logistics service providers. And this, in turn, will intensify the price compression pressures that already plague the 3PL industry.
A key question that needs to be asked here is: What are executives of those 3PL companies doing in response to these market developments? Specifically, what steps have large 3PLs taken in recent years to differentiate their service offerings in the marketplace while strengthening their brands? Further, is there more that those executives should be doing in those areas?
This article addresses the typical steps that companies should take in building, refining, and strengthening their brands—and in particular examines recent attempts by major 3PLs to do so. Branding literature forms the basis for discussion of the general case, and the branding steps taken by large 3PLs were documented through data generated during 2006 and 2007 in surveys of the CEOs of major 3PLs operating in three geographic regions: North America, Europe, and the Asia-Pacific region. (For more on the surveys, see accompanying sidebar). We conclude with suggestions for 3PL industry executives concerning their future branding efforts—and the potential positive implications of these efforts on the buyers of these services.
Read the rest of the scmr.com article here.
Monday, July 6, 2009
ISM: Slow but steady economic improvement
Norbert Ore, chairman of ISM’s manufacturing business survey committee, said many economic indicators are still below 50 on the 0-100 scale, meaning they are technically “contracting,” but there are signs of steady improvement. Ore said June marked the second month in a row that “the overall economy has experienced some slight growth.”
For example, Ore noted that seven out of 18 industries—Petroleum and Coal Products; Printing & Related Support Activities; Wood Products; Nonmetallic Mineral Products; Miscellaneous Manufacturing; Chemical Products; and Primary Metals—reported growth in June.
In addition, the Purchasing Managers Index (PMI) rose two percentage points to 44.8 percent in June, according to the report. Production and prices both rose sharpest of all, by 6.5 points each. Even employment, which traditionally lags behind everything else, rose 6.4 percentage points to 40.7 percent.
“The worst of the worst is over,” Ore said. “Everything is moving in the right direction.”
Ore also noted good news in inventories. Raw materials inventories continued to drop, this time by 2.1 percentage points to 30.8 percent, while customers’ finished goods inventories also went down, by 2.5 points, to 43.5 percent.
Dropping inventories has been one of the first and strongest signs of recovery, as it shows companies are depleting their inventories by making and selling products, which leads to new orders.
“It indicates a very strong liquidation still taking place,” he said.
Within a few months, both categories will likely level off in the upper 40s Ore said, but not before these drops give the economy a shot in the arm.
“The de-stocking phase is just about over,” he said.
Earlier this year, Ore and ISM predicted the economy would be showing strong signs of recovery, yet still have a long way to go, in the third or fourth quarters this year. Those prediction, Ore said today, are still on track. In the next few months, Ore said he will be watching to see if the employee and inventory indices continue to rise, and that new orders and production indices stay above 50.
All of those conditions will add up to an improving economy, and Ore said he believes that will keep happening.
“I think those trends are fairly deeply embedded,” he said.
Read the rest of the scmr.com article here.
Tuesday, June 2, 2009
Manufacturing and logistics news: ISM report shows that its recent upward trend continues
TEMPE, Ariz.—The positive trend in the manufacturing sector continued in May, with the highlight being new orders, which reached its highest level since November of 2007.
May’s report, produced by the Institute for Supply Management (ISM), showed new orders had risen to 51.1 percent, up 3.9 points over April’s numbers.
That’s good news both for the manufacturing sector and for the economy as a whole, said Norbert Ore, chair of ISM’s Manufacturing Business Survey Committee.
“New orders are considered the leading indicators of trends,” he said.
In addition, he said, customer inventories continued to drop, down 0.7 points to 32.9 percent, also a sign that new orders will continue to rise.
“Some of the supply chains that were absolutely stuffed with inventory are starting to work through that,” Ore said.
All this is reflected in the Purchasing Mangers Index (PMI), which has also continued its upward trend. The May report showed it was at 42.8 percent, up 2.7 points from April, a growth trend that has been steadily continuing since the beginning of this year.
Read the rest of the logisticsmgmt.com article here.
Tuesday, May 5, 2009
NASSTRAC Notes: Multi-modal executives say shipper-carrier collaboration is the best long-term strategy
ORLANDO, Fla.—A panel of freight transportation executives in various modes offered up ways in which shippers and carriers can best collaborate during these uncertain economic times during a panel discussion at last week’s NASSTRAC (National Shippers Strategic Council) annual conference.
The panel, entitled “Multimodal Carrier Executives: Viewpoints from all angles,” featured Derek Leathers, chief operating officer of Werner Enterprises Inc., Jim Hertwig, president of CSX Intermodal, and Brian Taylor, president of Horizon Logistics.
With transportation costs front and center for shippers and carriers possibly more now than at any other time, many transportation service providers are experiencing hefty cost fluctuations, coupled with tight credit and cash flow, which forces shippers to ensure they have stable supply chains replete with reliable transportation services. Werner’s Leathers explained that this premise has resulted in shippers getting pressure from their senior management to drive costs down, while at the same time losing sight of meaningful economic sustainability.
“[Shippers and carriers] are making decisions without a long term eye in some cases,” he said. “You want a supply chain with reliable economic sustainability built in and to do that you have to take a look at partnering with your underlying carriers, whether that is rail, ocean, or truck. You have to be engaged in dialogue with those providers about their overall health.”
Read the rest of the article here at logisticsmgmnt.com.
Monday, April 6, 2009
Need Space? We've Got It!
Monday, March 9, 2009
Port Gives Green Light To Incentive Package
Wednesday, March 4, 2009
About Schafer Logistics
Established in 1952, Schafer Logistics has been providing quality service to our customers for more than fifty years. Located in close proximity to the port of Long Beach/Los Angeles, LAX, and rail yards, Schafer Logistics is a full-service 3rd party logistics company. We provide quality logistics services for our customers by integrating our experience, flexibilities, and knowledge.
At Schafer Logistics we offer our customers a broad range of freight management and customized logistics solutions. Our services are backed by an extensive global network, a team of local experts, and dedicated customer service. We strive to meet our customers’ individual logistics needs at both the local and global levels. As a Logistics provider we view ourselves as your supply chain partner, Contact Us today!