DEAR SANTA,
Well, this year has been frustrating for many of us. The economic
recovery has been slow, and many Americans still don’t have the kind
of jobs they’d like or are qualified for.
With tens of thousands trying to buy or keep health insurance and
others curious about who is reading their e-mail, you probably will be
inundated with non-supply chain requests this Christmas. Even so, I do
have a few things I would appreciate your considering.
First of all, I bet you thought you had the truck driver hours-of-service issue taken care of. The new rules took effect on July 1, and while
many are still not happy with them, they have been litigated enough.
However, three congressmen are trying to make an end run around the
courts and have introduced legislation that would
roll the restart provisions back to the pre-July 1 rules
until the Government Accountability Office can
review the matter. Enough is enough! Please see what
you can do to put an end to this once and for all. We
should be searching for ways to operate efficiently
within the rules rather than trying to change them. I
suspect even the reindeer are growing tired of hearing about when their rest periods should take place.
Next year, Congress will be considering a new surface transportation authorization bill, and an 11-
member panel from the House Transportation &
Infrastructure Committee recently issued its report.
Problem is, in many respects, the report just gave us a blinding glimpse
of the obvious. We know that infrastructure is a problem and that the
highway trust fund is almost depleted. What we still don’t know is how
we’re going to fund the needed improvements, nor do the panel members. While in Memphis, they met with FedEx (who let them play with
the simulator) and predictably recommended that “adequate funding
and programmatic support” be devoted to the air-traffic control
upgrade known as the “Next Generation Air Transportation System.”
Already 10 years and billions of dollars have been spent on this program, and it seems to encounter obstacles at every turn. More budget
cuts are likely, but if this panel can make this happen, it will have
earned its keep. However, before Congress considers the new funding
bill, it is going to need a much better plan than it has now. Your help is
going to be crucial. I realize dealing with this Congress on anything is
difficult, but as long as you control their toys, you can control them.
On another subject, I just returned from my 45th
NCPDM/CLM/CSCMP annual conference. I have never been to a bad
one, but the recent Denver meeting was quite different in one major
respect—the prominence of technology and technology vendors. Of
BY CLIFFORD F. LYNCH fastlane
My annual letter to Santa Claus
the 100-plus exhibitors, a large proportion were
promoting systems of some type. A number of
breakout sessions did as well. I fully realize how
important technology is to the supply chain.
Without TMS, WMS, and all the other sophisticated tools, supply chain management would
still be in the Dark Ages. However, let’s not forget our trucks, trains, and warehouses. Without
them, we wouldn’t need the technology.
Perhaps a word to the 2014 program chair
might be helpful.
Finally, I’m sure you are aware of the same-day delivery trend being
nudged by Amazon, WalMart, e-Bay Now, and others.
I’m not sure what impact this
will have on you but feel certain it will be an issue for
some of the other retailers. In
my decades in this industry, I
have never seen a better
opportunity for a logistics
service provider (LSP). By
establishing—in a densely
populated area—a consolidation program for smaller retailers and offering same-day deliveries, an LSP can fill a major
(and profitable) void. I mentioned it to a
prominent LSP owner, who said, “I agree. It is
the wave of the future.” Yet he doesn’t want to
jump on his surfboard. I am betting you can
find someone who’s willing to make an innovative move. Please see what you can do.
Be sure and tell the reindeer not to keep two
logbooks. The CSA 2010 police are watching you.
Merry Christmas!
Cliff Lynch
Clifford F. Lynch is principal of C.F. Lynch & Associates, a provider
of logistics management advisory services, and author of Logistics
Outsourcing – A Management Guide and co-author of The Role
of Transportation in the Supply Chain. He can be reached at
cliff@cflynch.com.
