E-commerce isn’t to blame for disappointing holiday retail sales data
Good morning! Happy National Cheese Lover's Day! 🧀 It’s also Friday, so no need to curdle under pressure! Let’s get this day started.
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DHL Supply Chain, a division of DHL, is one of the world's largest logistics and supply chain management companies. The company provides a wide range of services to help companies manage their supply chains, including transportation, warehousing, and logistics. In recent data provided by DHL, the core retail consumer market held back for traditional “wild spending” over the most recent holiday period. However, DHL President of Transportation Jim Monkmeyer is holding strong to e-commerce, stating that the retail holiday sales numbers are not a great indicator of the health of e-commerce.
Check out today’s featured article from CNBC to read about the disappointing retail data from the most recent holiday season and what it may mean for e-commerce sales into the new year. ☕️
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Featured Article:
Holiday retail sales tanked, but trucking data shows e-commerce wasn’t the issue | CNBC
“DHL Supply Chain is investing heavily in North American e-commerce operations.”
Trade & Demand Issues 📲
TSMC Q4 revenue increased, regardless of global declining chip demand
Taiwan Semiconductor Manufacturing Co., the company calling much of the shots in the United States semiconductor industry, is projecting a revenue drop over the next twelve months. C.C. Wei, the TSMC CEO, advised that although the semiconductor supply chain has a big future ahead, the company expects that demand will begin to normalize.
There are a few factors that have led to a decrease in demand for semiconductor chips in recent times. One major factor is the ongoing global economic downturn, which has led to a slowdown in consumer spending and a decrease in demand for electronics. Additionally, many companies have been cutting back on their technology spending in response to the economic downturn, which has also led to a decrease in demand for semiconductor chips. Another factor is the trade tensions between the United States and China, which have led to tariffs on imported semiconductor chips and other technology products. This has made it more expensive for companies to import these products and has led to a decrease in demand for semiconductor chips.
Company Culture & Warehousing 🎉
Warehouse workers can benefit from mobile tech, both operationally and mentally
Handheld technology, such as mobile devices or warehouse management systems, can provide a number of benefits for warehouse workers. These technologies can help workers be more efficient and productive by providing real-time information about inventory levels, order status, and other important data. They also can improve communication and collaboration between workers, supervisors, and other stakeholders.
In terms of mental health, handheld technology can help to reduce the mental stress and physical strain caused by manual tasks, such as walking long distances or carrying heavy loads. For example, a warehouse worker using a mobile device with a barcode scanner may be able to complete the task of inventory counting with less time and effort than with a manual process.
However, it is important to note that the use of technology in the workplace is not a one-size-fits-all solution and it is important to evaluate the specific needs and conditions of the warehouse workers. The technology should be designed to improve the worker's experience, not to add to their burden, if not properly implemented it can add more stress and fatigue to workers. Additionally, it's important to train the workers on how to use the technology properly and efficiently and to provide them with ongoing support and maintenance to ensure that the technology is working as intended.
Let’s Get Global 🌎
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👾 Global instability hints at a massive cyberattack within the next two years. At least, according to a survey conducted by the World Economic Forum - which found that 93% of cybersecurity experts and 86% of business leaders are wary of this issue. Companies should take a multi-faceted approach to prepare for and protect against global cyberattacks. Some of the key steps they can take include conducting regular risk assessments, implementing strong security controls, educating employees, and preparing an incident response plan. It's important to note that companies need to continuously re-evaluate their security measures and protocols as the cyber threat landscape is constantly evolving.
🇪🇺 Diesel cargos are being diverted away from the EU, days before Russian bans. After months of preparation, the European Union is banning almost all imports from its top diesel supplier, Russia. Vessels hauling about 3 million barrels of fuel are rerouting their ships to the United States, instead - signaling that the United States may have a more dire diesel-supply situation than the EU. The United States is dependent on diesel fuel for a variety of reasons: one major reason is that diesel fuel is used extensively in the transportation sector, particularly in the trucking and shipping industries. Diesel-powered trucks and ships are a crucial part of the country's supply chain.
😵💫 If Taiwan is invaded by China, what is at risk? It is difficult to predict exactly what would happen if China were to invade Taiwan, as it would depend on a variety of factors, such as the military capabilities of both sides, the level of international support for Taiwan, and the political and economic consequences of such an action. However, it is likely that a Chinese invasion of Taiwan would result in a significant military conflict, with significant loss of life on both sides. There is also a high probability that there would be a lot of economic consequences as well, a Chinese invasion could result in disruptions to global trade and economic markets, as well as a significant decline in investment in China and Taiwan.
🛢️ Oil storage tank demand is soaring in Singapore. Singapore is expected to be blending Russian fuel and reexporting the shipments, a method that can hide the cargo’s origin in a world filled with Russian sanctions. Singapore hasn’t joined the west in banning the import of Russian oil and other petroleum products, but financial institutions in the city-state are not allowed to conduct business with Russian companies. Singapore and Russia have a strong economic relationship, with Singapore being one of Russia's key trading partners in Southeast Asia.
iLevel With You 🏡
More topics for the average American household to consider…
💰 The U.S. Treasury Department is nail-biting over federal government borrowing. The imposed “cap” on the federal government’s debt has been increased over and over again over the last sixty years. The current legal capacity is $31.381 trillion, and that limit is quickly approaching. Treasury Secretary Janet Yellen is urging Congress to protect the United States’ credit in order to maintain the country's ability to borrow money at low-interest rates. A strong credit rating can also boost investor confidence in the country's economy, which can lead to increased foreign investment and economic growth.
✈️ Prepare yourselves, air travelers: United Airlines predicts rough skies ahead. CEO Scott Kirby is speculating that many airlines won’t be able to manage the number of flights on their rosters this year. Kirby cites the shortage of pilots and other workers in the industry and severely outdated technology within the Federal Aviation Administration (FAA) as reasons for major concern. Without dropping names (although we all know the airline he was referring to), Kirby also mentioned the 17k flights during the holiday season that were delayed or canceled. Could this be a warning of what’s to come?
⛰️ Denver, CO welcomes new Hertz-sponsored EV-charging infrastructure. Plans to build more public EV chargers are officially in place as the rental car company prepares to add more than 5,000 electric vehicles to its fleet in the mile-high city. The plans with the city are part of the company’s “Hertz Electrifies” program, which they hope to expand to other cities in the U.S. The company is additionally planning to purchase up to 340,000 electric vehicles by 2027, including models from Tesla, General Motors, and Polestar.
Get Smart 🧠
Ramp up that brain power for these advanced topics…
🏆 CEO of Fortna Rob McKneel is sharing wisdom. The supply chain company executive spoke with David Maloney of DC Velocity about the effect the economy has on the industry. Fortna is a company that provides consulting, engineering, and software solutions for the supply chain and logistics industry. They help their clients design, build, and optimize their distribution centers, warehouses, and e-commerce fulfillment centers. They also provide software solutions to help manage and optimize warehouse operations such as warehouse control systems and warehouse management systems.
📦 Warehousing has an “ROI” problem, but there are ways to solve it. There are several ways that companies can increase their return on investment (ROI) in warehousing - by optimizing the layout and design of the warehouse, companies can improve the flow of goods and reduce the amount of time and labor required to move and store products. Automating warehouse processes such as picking, packing, and inventory management can help to increase efficiency and reduce labor costs, and warehouse management systems (WMS) can help companies to better track inventory levels, manage orders and shipments, and optimize warehouse operations.
♻️ Decarbonization plans have been unveiled by four key U.S. government agencies. The U.S. National Blueprint for Transportation Decarbonization has made landfall, laying out a strategic framework for addressing the emission output of the transportation sector with a goal of zero emissions by 2050. The Departments of Energy, Transportation, Housing and Urban Development, and the Environmental Protection Agency linked arms and signed a memorandum of understanding (MOU) for the strategy. Together they aim to create an “affordable and equitable transportation future.”
The Workday Dash is an aggregation of articles regarding the transportation logistics, trucking, and supply chain industries for November 28, 2024, from iLevel Logistics Inc.