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The New Silk Road: What should shippers of goods expect from the new era of Trans-Eurasian Freight Forwarding

The New Silk Road: What should shippers of goods expect from the new era of Trans-Eurasian Freight Forwarding

The New Silk Road is a resurrection of the ancient trade route called to action by President Xi Jinping. Its purpose is to reinvigorate the once ancient commerce relationship between the east and west and to streamline the transport of goods from Asia to Europe by connecting European cities and Chinese metropolies. The initiation of this double trade corridor covering both land and sea routes is intended to open up and facilitate trade between the two regions through investment in infrastructural development. The multi-billion-dollar project is estimated to encompass over 60 countries benefitting a large chunk of the population and affecting the global GDP. The Belt and Road initiative, as the Silk Road of the 21st century, is otherwise termed, covers both the land going Silk Road and the Maritime Silk Road. Part of the vision for the new Silk Road is a long-distance rail connection...

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Supply chain visibility solutions: The key to mitigating food supply chain risk

Improving supply chain transparency is a high priority for companies, especially in industries such as the food and beverage industry where consumers and regulators are pushing for more information on how products are made and transported from the point of manufacture to the point of delivery. Supply chain visibility has significant benefits for supply chains operations. An effective supply chain visibility solution together with a well-developed traceability strategy allows organizations to see where each ingredient came from and where the finished product is heading. This end-to-end visibility is the key to resilient supply chains and becomes especially important when facing disruptions in the supply chain or crisis situations such as recalls. The visibility and the data provided by IoT solutions in the food chain allow organizations to significantly reduce supply chain risk by...

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How Can IoT Help Make Supply Chains More Sustainable?

In a 2016 report, the global consulting firm Ernst & Young proclaimed that “supply chain sustainability can no longer be ignored.” The report, titled “The state of the sustainable supply chain,” was based on interviews with supply chain, procurement and sustainability specialists from over 70 companies around the world. Ernst & Young found that all businesses they asked, from mid-sized firms to multinationals, are taking action to adapt to geopolitical changes, raw material shortages, and changing weather patterns, as well as to improve the impact of their activity on communities and the environment. One important aspect of supply chain sustainability is the carbon footprint. Merriam-Webster’s dictionary defines carbon footprint as “the amount of greenhouse gases and specifically carbon dioxide emitted by something (such as a person’s activities or a product’s manufacture and...

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Chain of Custody: The source of control in global supply chains? – IoT Beyond the Buzz

Chain of custody is a term often thrown around as a buzzword. In combination with the latest technology hypes like IoT, the chain of custody is magnified to address everything from supply chain security to regulatory compliance. What is chain of custody? How and why is it relevant for supply chains? You may find multiple definitions of a chain of custody by governments, associations, agencies, logistics service providers, shippers. All of them take a slightly different viewpoint on the topic. The simplest way to define the chain of custody in the context of supply chains could be to name it as a certification mechanism that enables goods to come with a digital passport that serves as a verifiable transcript of the product’s life-cycle and journey. The chain of custody certification offers the ability for public and private entities to chronologically document (physically or...

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IOT enabled Supply Chain Visibility: The Holy Grail of Supply Chain Managers

End-to-end supply chain visibility empowers supply chain and logistics managers to make educated decisions. It helps companies to decrease the impact of disruptions on the supply chain by providing actionable data. Supply chain leaders recognize the importance of visibility as it streamlines operations, reduces business risk, increases efficiencies and enables better decision making and forecasting based on insights offered by real-time data. KPMG’s study reveals that the industry is expected to see a rapid growth of investment into technologies such as IoT to monitor, manage and improve the supply chain operations. When considering the fact that the key beneficiaries of visibility solutions are multiple business functions such as logistics, supply chain, finance, quality management and security the results of the study are not surprising. Source: Global Manufacturing Outlook: Low...

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The Carbon Footprint in the Logistics Chain

The news called it a historic agreement, when U.S. President Barack Obama and Chinese President Xi Jinping announced in a historic climate change deal, that both countries would curb their greenhouse gas emissions over the next two decades. The agreement will give confidence to both companies and investors to support clean energy investment and technological innovation that will ensure the necessary capacity to meet or exceed the stated targets. To quote Nike again: Just do it! The idea and the objective is not new, but the agreement sends a powerful signal to the business community, which is pushing more forcefully for coordinated policies and clear market signals to deal with climate change. For example: Nike’s environmental goal for logistics and transportation is to achieve a 30% reduction in carbon emissions by 2020. This is a pretty aggressive goal taking into account a growing...

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Fighting for Enhanced Supply Chain Security

Cargo theft has been around for centuries; unfortunately, though the crime has evolved together with transportation methods. Bandits on horseback have been replaced by gangsters that are organized in international crime syndicates. Cargo theft is a global problem affecting manufacturers, logistics providers as well as customers. It is a complex problem influenced by factors ranging from local laws to the global economy. Jim Yarbrough, Global Intelligence Program Manager at the supply chain specialist BSI commented: “Companies have always faced a wide range of challenges to their supply chain, but [the] latest figures indicate how severe the impact of violent theft can be. “These events are creating extreme levels of risk for organizations, both directly affecting the bottom line and disrupting the supply chain in ways which, if not tackled, could do serious harm to a company’s...

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Optimizing food supply chains and preventing recalls – IoT beyond the Buzz

The Internet of Things (IoT) along with Big Data is around us everywhere. It is the buzzword that is deemed to be the next big thing and will affect the way we communicate, travel, work, equip our homes and take care of our health. While we are well aware of the cool new IoT technologies affecting our daily life such as wearable devices, smart watches, activity trackers and smart home appliances; there are less visible, less talked about IoT related tech solutions for businesses that could prove to have some of the most significant impact. IoT can not only benefit individual customers but it has the potential to transform industries as it affects the ways we are doing business. The real value of IoT for businesses lies in data that it generates that can be analyzed in real-time via cloud-based applications. Thanks to the smart data and insights provided by IoT sensing devices, key...

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The Inspection Chimera

The US Congress has mandated that all Containers be tested for radiation prior to dispatch for export to the US by 2012. Many in Congress have advocated 100% inspections of all Containers bound for the US, for all threats. None of this makes any sense nor will it ever be realized. 100% inspections of Containers for any threat will drive cost exponentially and bring trade to a halt while not markedly improving US safety. Calls for such stringent inspections is political pandering at its worst, insulting to the trade community and to the American voter. The technology to inspect is flawed and the process of inspecting every container will impede trade. No one denies that the US (and EU and Asia) needs to protect itself and that protecting global trade is critical. Nor dose anyone in the Trade Community discount the need to improve the security of ocean Containers. The debate is not about...

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Eco-Responsible Rail-Freight

In one of our previous blog articles, we already mentioned the Arviem capability of carbon footprint analysis based on real-time cargo monitoring data. Real-time cargo monitoring could provide the relevant information and help to select areas of improvement. Improvements in the logistics chain are not only good for the environment. Lowering emissions usually also translate to lowered logistics cost, lowered capital cost, lowered insurance, etc. Today we publish a blog contribution from TK’Blue Agency. The European TK’Blue Agency is a labeling and rating agency of eco-responsible transportation organized as a collaborative platform. by Cassandre Hamel The transport sector is known to be one of the biggest CO2 emitters. On this subject, only rail freight can claim to have a low environmental footprint. However, slightly resting on its “CO2” laurels, rail freight has never really brought...

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100% container scanning is not reasonable

In a JOC.com article from last week a US congresswoman is quoted as following: “I have said it once and I will say it again, we need 100 percent scanning at our ports. The risks are too high not to.” I’d like to use an analogy in the discussion about 100% container scanning. Imagine you have your house inspected by the police to make sure no thief is in the house who could harm you or steal your valuable goods. After successful inspection, the police move away and your house remains unguarded and unlocked. There is a short moment the house can be considered secure and trusted. But shortly after, the house is wide open again for any gatecrasher. Even worse. Because of the inspection, you feel secure and you lose any usual caution, which could lead to the situation of being negatively surprised easily. The discussion about the 100% container scanning is comparable with the house...

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The challenge of schedule reliability in international supply chains

According to JOC.com, SeaIntel Maritime Analysis recently reported, that the trans-Atlantic vessel reliability hit a three-year low. “Only 42 percent of ships in the trade arrived within one day of their scheduled calls.” This figure represents the performance on the trans-Atlantic service level for April 2015 only. Based on the shipments monitored over the last twelve months, Arviem’s performance analysis concludes on a similar figure. The percentage of vessels, which have arrived within one day of their scheduled calls, is at 60 percent (shipments monitored globally and not only trans-Atlantic shipments). If the most capital-intensive service providers in logistics can’t sail in time, it is probably safe to say, that the other service providers are even worse, which has ripple effects on the end-to-end supply chain schedule reliability. Arviem’s analysis shows, that only 37 percent...

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Transparency and integrity for your supply chain

The package delivery turns out to be a wrong delivery, the new LCD TV screen ordered remains black, the auctioned designer piece turns out to be plagiarism - in everyday life, we are often suffering the effects of improper handling of goods. Which is a minor inconvenience for the private citizen, causes in industry and trade high economic damage. Today's supply chains are polynomial and international with a high degree of complexity anda lack of transparency. The causes of integrity violations are often not found. Who is responsible for the transport damage, who pays the cost of lost production? The clarification of the question of guilt is time consuming and expensive. Avoid such scenarios, by having your supply chain under control. Ideally, the supply chain manager always knows where and in which condition his merchandise is. To collect the plurality of information different...

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ARVIEM

Arviem solves the challenges of obtaining visible and intelligent trade by offering real-time end-to-end cargo monitoring services. As the only full-service provider for real-time cargo monitoring on the market, Arviem provides exceptionally accurate location and quality condition monitoring of cargo throughout the global supply chain. Our leading-edge solution will provide global supply chain stakeholders with on-demand access to real-time, transport-related data.

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