Business Facilities - December 2007 - (Page 25)

LOCATIONS FOR THE LOGISTICS INDUSTRY Seeking Supply Chain Solutions Where you choose to put your distribution centers plays a crucial role in the health of your supply chain. These locations can help keep your logistics in order. By Ellen James. Introduction courtesy of Rick Underwood, Vice President of contract logistics services in the Americas for APL Logistics. M aking accurate supply chain predictions is a risky proposition—especially when you’re headed for a new calendar year. However, here’s one that’s practically guaranteed to come true: Regardless of where your company operates distribution centers (DC) or how long you’ve occupied them, you’re probably headed for at least one DC-related fork in the road in the coming year. Some of these forks are obvious. For instance, a lease agreement that’s about to expire presents a prime opportunity to consider whether the center in question is still the best choice for your company. Others are more subtle. For example, how does the pressure to keep logistics costs down in spite of higher supply chain expenses relate to the DC you use? Either way, you can’t afford to ignore these decision points when you come to them, because few things are more important in terms of supply chain performance than DC locations. It’s always smart to reevaluate and tweak your DC network when you get the chance. Unfortunately, my predictions must stop there; because every supply chain is so distinct, there are no absolutes about which logistics locations are ideal for everyone. So, you’ll have to do the hard work yourself. Do the math by conducting frequent DC optimizations or simulations (or both). Benchmark against the logistics networks of other companies whose supply chains you particularly admire. Seek site selection advice from companies that work with a wide variety of supply chains and industries—3PLs, warehouse development experts, and logistics consultants. And by all means, make site visits when you’ve narrowed your choices down to a few key areas. L-1 PHOTO CREDIT: KUEHNE & NAGEL A S P E C I A L A D V E RT I S I N G S E C T I O N O F B U S I N E S S FA C I L I T I E S A N D L O G I S T I C S M A N A G E M E N T

Table of Contents Feed for the Digital Edition of Business Facilities - December 2007

Business Facilities - December 2007 Contents First Word Snapshots Metro Spotlight: Albuquerque, New Mexico Corporate Moves: North Carolina 2007 Ecomonic Development Deal of the Year Awards State of the Year Seeking Supply Chain Solutions Mississippi Means Business Corporate Moves: South Carolina Biomedical Momentum in Florida's High Tech Corridor Trends in Offshoring Metro Spotlight: Stillwater, OK Metro Spotlight: Atlanta, GA Advertiser Information 2007 Salary Survey

Business Facilities - December 2007

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