Rick Blasgen, President and CEO of the Council of Supply Chain Management Professionals, talks about the value CSCMP provides and invites supply chain professionals worldwide to join the organization.
The Council of Supply Chain Management Professionals (CSCMP) is your home for all things supply chain management. Headquartered in Lombard, Illinois, USA, CSCMP is the preeminent worldwide professional association dedicated to the advancement and dissemination of knowledge and research about supply chain management. With over 8,500 individual members and 115 corporate members representing nearly all industry sectors, governments, and academic institutions from 67 countries, CSCMP members are the leading practitioners and authorities in the fields of logistics and supply chain management.
Simply put, CSCMP is about "connecting, developing, and educating the world's logistics and supply chain management professionals."
CSCMP operates on a not-for-profit, self-supporting basis. An organization "by the discipline, for the discipline," we're volunteer-driven on many fronts. The organization is led by an elected group of officers, and our board of directors and committees are made up of dedicated professionals who willingly give of their time, their expertise, and their resources to help drive our community forward in countless ways. They, along with our staff, produce unbiased research and a plethora of publications and timely content, design and deliver our online and face-to-face educational and certification programs, develop and produce our conferences, and keep the organization current and relevant.
Many industry groups have advocacy arms and conduct lobbying efforts to support their agenda. We at CSCMP do not lobby; rather, we serve the community at large. We do not take political positions, yet we fight hard to influence both public and private opinion about the value of our field and what it does to elevate the world's standard of living. For example, I chair the Advisory Committee on Supply Chain Competitiveness for the U.S. Department of Commerce. CSCMP also publishes the annual "State of Logistics Report," the definitive and widely read study of logistics costs and trends in the United States.
Person to person
CSCMP offers many other valuable programs and resources, and you can learn about them at cscmp.org. But I'd like to talk now about some of the other ways the organization provides value to you, your team, your company, or your institution.
As befits a global organization, CSCMP is open to all and serves individuals representing a wide variety of geographic, experiential, and educational backgrounds. We work hard to ensure that the organization develops the diversity of its members, and that both the organization and its members benefit from that diversity. Our goal is an enthusiastic membership that views interactions with CSCMP as a true partnership that is professionally and personally fulfilling.
One of CSCMP's primary "value propositions," if you will, is that our members come together to share insights into the latest supply chain management trends, best practices, opportunities, and challenges. There are so many ways we, as a professional society, are able to connect members who can help each other. For example, I recall receiving a request from a member in Europe who needed some information about rail freight activity. He asked if I knew of anyone who might help. I connected him with another of our members who had the exact expertise needed. The European member later called to tell me that the connection had played out perfectly: He had not only gotten valuable information from the discussion, but his company also had hired the rail expert.
We have many similar examples of how our organization connects people who can share knowledge and information. I'm proud of our members' willingness and commitment to take a call, provide advice or feedback, deliver a solution to a problem, or make an introduction to another CSCMP member. The unwavering attention given by busy people to those in need in our community is remarkable and worthy of applause.
Today it's easy to use the Internet to conduct research and to use social media like LinkedIn to connect with people. I understand the value that social media provides. But when you need more than a name and a job history on a website, when you need a referral to a fellow member with the right knowledge and experience who is willing to advise you or a vetted connection through a trusted colleague, that's when our association's broad and deep resources can make all the difference. We know who can help and how to bring you together.
We recognize that for logistics and supply chain professionals, resources like time and money for professional development and education are increasingly limited. But we encourage you—and your company—to view membership in CSCMP not just as something that provides benefits for an individual (although it certainly does that) but also as a long-term investment in developing critical knowledge within the discipline, supporting academic programs, encouraging students' interest in the field, producing valuable research and publications, and bringing supply chain knowledge into the boardroom. Companies that support the organization financially and by giving their employees the resources to participate on committees and to attend the annual conference and local roundtable meetings will reap great benefits for themselves while supporting the development of the discipline. Supply chain excellence is firmly established as a critical competitive advantage, so supporting the development of supply chain leaders makes good business sense.
It's our responsibility to ensure that our members and prospective members know we're working hard for them and delivering value for their hard-earned membership dollars. In fact, the proceeds from memberships, conference registrations, and fees for certifications, educational programs, and publications all make it possible for CSCMP to continue to connect, develop, and educate the world's current and future logistics and supply chain professionals.
We hope you will consider becoming a member of the Council of Supply Chain Management Professionals and supporting this dedicated group of logistics and supply chain professionals. Membership and contact information as well as details about our many programs and services are available at cscmp.org. I look forward to hearing from you.
“ExxonMobil is uniquely placed to understand the biggest opportunities in improving energy supply chains, from more accurate sales and operations planning, increased agility in field operations, effective management of enormous transportation networks and adapting quickly to complex regulatory environments,” John Sicard, Kinaxis CEO, said in a release.
Specifically, Kinaxis and ExxonMobil said they will focus on a supply and demand planning solution for the complicated fuel commodities market which has no industry-wide standard and which relies heavily on spreadsheets and other manual methods. The solution will enable integrated refinery-to-customer planning with timely data for the most accurate supply/demand planning, balancing and signaling.
The benefits of that approach could include automated data visibility, improved inventory management and terminal replenishment, and enhanced supply scenario planning that are expected to enable arbitrage opportunities and decrease supply costs.
And in the chemicals and lubricants space, the companies are developing an advanced planning solution that provides manufacturing and logistics constraints management coupled with scenario modeling and evaluation.
“Last year, we brought together all ExxonMobil supply chain activities and expertise into one centralized organization, creating one of the largest supply chain operations in the world, and through this identified critical solution gaps to enable our businesses to capture additional value,” said Staale Gjervik, supply chain president, ExxonMobil Global Services Company. “Collaborating with Kinaxis, a leading supply chain technology provider, is instrumental in providing solutions for a large and complex business like ours.”
For example, millions of residents and workers in the Tampa region have now left their homes and jobs, heeding increasingly dire evacuation warnings from state officials. They’re fleeing the estimated 10 to 20 feet of storm surge that is forecast to swamp the area, due to Hurricane Milton’s status as the strongest hurricane in the Gulf since Rita in 2005, the fifth-strongest Atlantic hurricane based on pressure, and the sixth-strongest Atlantic hurricane based on its peak winds, according to market data provider Industrial Info Resources.
Between that mass migration and the storm’s effect on buildings and infrastructure, supply chain impacts could hit the energy logistics and agriculture sectors particularly hard, according to a report from Everstream Analytics.
The Tampa Bay metro area is the most vulnerable area, with the potential for storm surge to halt port operations, roads, rails, air travel, and business operations – possibly for an extended period of time. In contrast to those “severe to potentially catastrophic” effects, key supply chain hubs outside of the core zone of impact—including the Miami metro area along with Jacksonville, FL and Savannah, GA—could also be impacted but to a more moderate level, such as slowdowns in port operations and air cargo, Everstream Analytics’ Chief Meteorologist Jon Davis said in a report.
Although it was recently downgraded from a Category 5 to Category 4 storm, Milton is anticipated to have major disruptions for transportation, in large part because it will strike an “already fragile supply chain environment” that is still reeling from the fury of Hurricane Helene less than two weeks ago and the ILA port strike that ended just five days ago and crippled ports along the East and Gulf Coasts, a report from Project44 said.
The storm will also affect supply chain operations at sea, since approximately 74 container vessels are located near the storm and may experience delays as they await safe entry into major ports. Vessels already at the ports may face delays departing as they wait for storm conditions to clear, Project44 said.
On land, Florida will likely also face impacts in the Last Mile delivery industry as roads become difficult to navigate and workers evacuate for safety.
Likewise, freight rail networks are also shifting engines, cars, and shipments out of the path of the storm as the industry continues “adapting to a world shaped by climate change,” the Association of American Railroads (AAR) said. Before floods arrive, railroads may relocate locomotives, elevate track infrastructure, and remove sensitive electronic equipment such as sensors, signals and switches. However, forceful water can move a bridge from its support beams or destabilize it by unearthing the supporting soil, so in certain conditions, railroads may park rail cars full of heavy materials — like rocks and ballast — on a bridge before a flood to weigh it down, AAR said.
The North American robotics market saw a decline in both units ordered (down 7.9% to 15,705 units) and revenue (down 6.8% to $982.83 million) during the first half of 2024 compared to the same period in 2023, as North American manufacturers faced ongoing economic headwinds, according to a report from the Association for Advancing Automation (A3).
“Rising inflation and borrowing costs have dampened spending on robotics, with many companies opting to delay major investments,” said Jeff Burnstein, president, A3. “Despite these challenges, the push for operational efficiency and workforce augmentation continues to drive demand for robotics in industries such as food and consumer goods and life sciences, among others. As companies navigate labor shortages and increased production costs, the role of automation is becoming ever more critical in maintaining global competitiveness.”
The downward trend was led by weakness in automotive manufacturing, which traditionally leads the charge in buying robots. In the first half of 2024, automotive OEMs ordered 4,159 units (up 14.4%) but generated revenue of $259.96 million (down 12.0%). The Automotive Components sector was even worse, orders 3,574 units (down 38.8%) for $191.93 million in revenue (down 27.3%). Declines also happened in the Semiconductor & Electronics/Photonics sector and the Plastics & Rubber sector.
On the positive side, Food & Consumer Goods companies ordered 1,173 units (up 85.6%) for $62.84 million in revenue (up 56.2%). This growth reflects the increasing reliance on robotics for efficiency in food processing and packaging as companies seek to address labor shortages and rising costs, A3 said. And the Life Sciences industry ordered 1,007 units (up 47.9%) for revenue of $47.29 million (up 86.7%) as it continued its reliance on robotics for efficiency and precision.
The warm waters of the Gulf of Mexico are brewing up another massive storm this week that is on track to smash into the western coast of Florida by Wednesday morning, bringing a consecutive round of storm surge and damaging winds to the storm-weary state.
Before reaching the U.S., Hurricane Milton will rake the northern coast of Mexico’s Yucatan Peninsula with dangerous weather. But hurricane watches are already in effect for parts of Florida, which could see heavy rainfall, flash and urban flooding, and moderate to major river floods, according to forecasts from the National Oceanic and Atmospheric Administration (NOAA).
As it revs its massive engines with fuel from the historically warm Gulf of Mexico, Hurricane Milton could possibly hit Tampa as a Category 5 storm, according to the FEWSION Project at Northern Arizona University, which tracks supply chains throughout the country.
With that much power, Milton could shut down the port and seriously disrupt the fuel supply into western and central Florida, which could then hinder recovery efforts. That’s because fuel supplies for much of Florida, especially central Florida, arrive from Texas and Louisiana through the Port of Tampa. That means that anyone who depends on generators or fuel for critical functions should plan for an extended period without access to fuel. And recovery crews and logisticians should consider bringing their own fuel when responding to the storm, FEWSION said.
One of those disaster recovery efforts will be led by nonprofit group the American Logistics Aid Network (ALAN), which is already mobilizing its forces for Hurricane Milton, even as it devotes other energy to the Hurricane Helene response. “In an ideal world we’d have plenty of time to focus all of our efforts on Hurricane Helene clean-up and recovery,” Kathy Fulton, ALAN’s Executive Director, said in a release. “But in the real world, major hurricanes don’t always wait for their turn. As a result, we are officially activating for Hurricane Milton.”
In the meantime, many weary residents of the region are thinking of moving to another part of the country instead of getting hit by vicious storms several times a year. Nearly one-third (32%) of U.S. residents aged 18-34 say they’re reconsidering where they want to move in the future after seeing or hearing about the damage caused by Hurricane Helene, according to a survey commissioned by real estate brokerage Redfin.
“Scores of Americans flocked to the Sun Belt during the pandemic because remote work allowed them to take advantage of the region’s relatively low cost of living. Some thought Appalachia was insulated from hurricane risk, not realizing that the area is prone to flooding and that hurricanes can sometimes cause flash flooding far away from the ocean,” Redfin Chief Economist Daryl Fairweather said in a release. “Americans are beginning to realize that nowhere is truly immune to the impacts of climate change, and we’re starting to see that impact where people want to live—even people who haven’t experienced a catastrophic weather event firsthand.”
The report is based on a commissioned survey conducted by Ipsos on Oct. 2-3, fielded to 1,005 U.S. adults. After making landfall in Florida in late September, Hurricane Helene wreaked havoc across Appalachia, becoming the deadliest storm to hit mainland America in almost two decades. In North Carolina, the death toll has surpassed 100 and the city of Asheville has been devastated.
Shippers and carriers at ports along the East and Gulf coasts today are working through a backlog of stranded containers stuck on ships at sea, now that dockworkers and port operators have agreed to a tentative deal that ends the dockworkers strike.
In the meantime, U.S. importers and exporters face a mountain of shipping boxes that are now several days behind schedule. By the latest estimate from Everstream Analytics, the number of cargo boxes on ships floating outside affected ports has slightly decreased by 20,000 twenty foot equivalent units (TEUs), dropping to 386,000 from its highpoint of 406,000 yesterday.
To chip away at the problem, some facilities like the Port of Charleston have announced extended daily gate hours to give shippers and carriers more time each day to shuffle through the backlog. And Georgia Ports Authority likewise announced plans to stay open on Saturday and Sunday, saying, “We will be offering weekend gates to help restore your supply chain fluidity.”
But they face a lot of work; the number of container ships waiting outside of U.S. Gulf and East Coast ports on Friday morning had decreased overnight to 54, down from a Thursday peak of 59. Overall, with each day of strike roughly needing about one week to clear the backlog, the 3-day all-out strike will likely take minimum three weeks to return to normal operations at U.S. ports, Everstream said.