How significant is freight to your bottom line? For example, when I was a VP of Operations for an absorbent healthcare products manufacturer (adult diapers, hospital underpads), freight was a BIG concern.
Where would you prefer to locate your operation? Most likely as close to customers and your supply base as possible. In this case, it means rates are going through the roof - if you can even get them.
At the Southern California E-Commerce and Logistics Summit, there was much discussion on e-commerce.
When we look back over the last 13 years of consulting with closely-held building products manufacturers to medium, private-equity backed food and beverage firms to large aerospace corporations, every single client has one goal in common – achieving scalable, profitable growth. It sounds somewhat easy but is far from simple in reality.
Keep innovation and future disruptors top of mind.
Although we should consider potential impacts of 3D printing in our industry, the more important consideration is to let our minds think about the future. What technological innovations are likely to impact your industry?
Have you put thought into what has become commonplace - subscription services like Prime?
Are you paying attention to the Amazon effect? You should be!
Are your suppliers ready to grow with you? Will they run into quality issues? Cash issues? Supply issues? Or will they enable you to be ahead of the curve?
