LowesRail Express ⏰
Good morning! We hope this newsletter finds you in high spirits and thriving in your professional endeavors! As we gear up for another exciting edition of our supply chain and logistics updates, we can't help but take a moment to express our gratitude to the unsung heroes behind the scenes - the System Administrators.
July 28th marks National System Administrator Appreciation Day, and we believe it's the perfect occasion to recognize and celebrate the hard work and dedication of these tech-savvy professionals who keep our digital infrastructure running smoothly day in and day out. Their tireless efforts ensure that our supply chain and logistics operations stay connected, efficient, and secure, enabling us to deliver top-notch service to our customers. 👩🏻💼🧑🏽💼💻
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Lowe's has partnered with OneRail to expand its same-day delivery service nationwide, offering in-stock products at nearby stores, including building materials and outdoor living items, for delivery to job sites and homes on the same day if ordered by 2 p.m. local time. The service is part of Lowe's "Total Home strategy" to enhance its online business and position itself as a one-stop shop for both DIY and professional customers.
The company has been retooling its delivery operations for more efficient e-commerce fulfillment, including a more streamlined model for delivering larger products. Rival retailer The Home Depot has also made strides in delivering e-commerce orders quickly, with options for same-day and next-day delivery from its own facilities.
Check out today’s featured article from Supply Chain Dive to learn more about Lowe’s new same-day delivery expansion. Will OneRail be the key to Lowes’s success? How much more money will this make Lowes?
Featured Article:
Lowe’s expands same-day delivery nationwide with OneRail | Supply Chain Dive
“The expansion aligns with the company’s “Total Home strategy” to drive long-term financial growth, Chairman and CEO Marvin Ellison said.”
Healthcare & Shortages
Syphilis Emergency Looms in the U.S. as Drugs Run Low
A severe shortage of penicillin, the recommended treatment for syphilis, has U.S. health officials considering a public health emergency declaration. Major medical centers are rationing the drug due to supply constraints, with some prioritizing pregnant patients and babies. The surge in syphilis cases has raised alarms, and the Department of Health and Human Services is forming a federal task force to address the crisis. The shortage is part of a broader trend of drug shortages, resulting from under-investment in manufacturing and unexpected changes in demand.
Pfizer, the only producer of penicillin G benzathine in the U.S., expects supply disruptions to continue until the second quarter of 2024. The shortage is particularly concerning as syphilis cases have been rising, with rates in 2021 being the highest since 1990. The disease disproportionately affects gay and bisexual men, and congenital syphilis cases are also on the rise. As a result of the shortage, the CDC is advising doctors to turn to alternative antibiotics, raising concerns about treatment adherence and effectiveness. The rise in sexually transmitted diseases and the diversion of public health resources during the COVID-19 pandemic have further compounded the syphilis crisis.
Biden Administration & Fuel
Biden's $250 Billion Initiative includes Cleaning Up the Dirty Legacy of Fossil Fuels
The International Energy Agency predicts that solar investments will reach a staggering one billion dollars per day in 2023, surpassing global investment in oil production for the first time in history. Jigar Shah, Director of the Loan Programs Office at the US Department of Energy, believes his office played a pivotal role in kick-starting the solar revolution. The Loan Programs Office, which was established in 2005 and later expanded in 2009, provided crucial loans for large-scale solar projects, paving the way for the industry's remarkable growth.
Now, the Loan Programs Office has been reinvigorated with an expanded mandate under the Energy Infrastructure Reinvestment program (EIR), aiming to distribute up to $250 billion in loans to "retool, repower, repurpose, or replace energy infrastructure." This ambitious program seeks to transform existing fossil fuel infrastructure, such as pipelines, gas stations, and power plants, into clean energy solutions. The projects funded by EIR could significantly reduce carbon emissions, fostering a new market for retrofitting and repurposing the infrastructure. However, the success of the program relies on navigating potential pitfalls and ensuring timely and effective investments to meet the 2026 deadline.
Let’s Get Global 🌎
Checking out the scoop outside of the United States…
🧑🏽💼 Pentagon Initiates Search for Chip-Mineral Gallium as China Restricts Export Access. The Pentagon plans to issue its first contract to U.S. or Canadian companies by the end of 2023 to recover gallium, a crucial mineral used in semiconductors and military radar systems after China restricted its exports. The move is part of China's technology trade war with the U.S. and Europe. The Defense Production Act will be utilized to prioritize awards for recovering gallium from existing waste streams of other products, aiming to make the mineral more readily available in the U.S. Recycling is seen as a fast and reasonable strategy to reduce reliance on Chinese gallium while waiting to ramp up production from raw ore.
🔥 Fire Continues to Blaze on Car-Carrying Cargo Ship Near Dutch Bird Sanctuary. A cargo ship carrying cars remains ablaze near a Dutch bird habitat, and firefighters and salvage crews are waiting for the flames to subside before attempting to board the vessel. The ship, named Fremantle Highway, caught fire on its journey from Bremerhaven, Germany, to Singapore. One crew member died, and the rest of the crew, composed of 21 Indian nationals, has been evacuated. The cause of the fire is yet to be determined. The ship is close to the Wadden Sea, a vital habitat for migratory birds, raising concerns about a potential environmental disaster.
iLevel With You 🏡
More topics for the average American household to consider…
💊 Bipartisan Senate Bill Seeks to Strengthen Drug Supply Chain Through U.S. Manufacturing Prioritization. A bipartisan group of senators has introduced a bill aimed at strengthening the pharmaceutical supply chain by increasing drug manufacturing in the U.S. and allied countries. The bill was drafted in response to a report that revealed over 295 medications, including critical treatments, were facing shortages in the country. The legislation would require the Department of Health and Human Services to award contracts for generic drug manufacturing to U.S.-based companies or those from the Organization for Economic Co-operation and Development. Recipients of these contracts would be required to enhance production capacity and maintain sufficient drug reserves, with the goal of ensuring the country's preparedness for future health threats and reducing reliance on foreign providers. The bill also seeks to address concerns over national security, especially related to overreliance on Communist China for vital medications.
🔋 Google-backed Waymo Via is temporarily scaling back its efforts in the autonomous trucking industry. Alphabet Inc.'s Waymo, the autonomous driving company backed by Google, has decided to shift its focus to its ride-hailing service and delay the expansion of Waymo Via, its autonomous commercial trucking arm. The company will continue collaborating with Daimler Truck North America (DTNA) to advance the development of an autonomous truck platform. Waymo will invest in improving its Waymo Driver capabilities for both ride-hailing and trucking applications. The decision comes as autonomous driving software faces regulatory scrutiny, and Waymo aims to achieve commercial success in the ride-hailing business, especially in San Francisco, Phoenix, and Los Angeles. However, Waymo still sees significant future commercial opportunities for its trucking solution alongside other applications of the Waymo Driver technology.
🚛 California Nears Ban on Driverless Trucks Amid Regulatory Concerns. The California Senate Transportation Committee approved Assembly Bill 316, aiming to ban driverless trucks in the state, even for testing purposes. The bill has gained significant support, and if passed, it would solidify California as the most stringent regulatory environment for autonomous vehicles (AVs) in the country, potentially denying its residents the safety and mobility benefits of AV technology. California, once a leader in AV policy, has fallen behind other states in terms of AV testing and deployment due to burdensome permitting approaches. The bill has faced opposition from unions concerned about potential job losses, but proponents argue that embracing innovation and allowing heavy-duty AVs to be safely integrated into existing regulations is the way forward.
Get Smart 🧠
Ramp up that brain power for these advanced topics…
🏆 Jim Vena Takes Over as CEO of Union Pacific, Replacing Lance Fritz. Union Pacific, the second-largest freight railroad company in the U.S., has announced a change in its leadership. Jim Vena will take over as CEO on August 14, replacing Lance Fritz, who has been in the role for eight years. Beth Whited, the executive vice president for sustainability and strategy and chief human resources officer, has been appointed as president, reporting to Vena. Mike McCarthy, the lead independent director, will become the chairman of the board. Vena, with over 40 years of industry experience, previously served as Union Pacific's chief operating officer and a senior advisor to the chairman. Fritz led the company through significant challenges, and stock investors have approved of Vena's appointment.
🪧 Strike Averted, but UPS Customers May Face Higher Shipping Rates After Teamsters Deal. The Teamsters and UPS have reached a tentative labor agreement, averting a potential strike that could have disrupted the supply chain. However, the new agreement is likely to result in higher shipping rates for customers. The deal includes significant pay raises and benefits improvements for UPS Teamsters, but the cost is expected to be passed on to customers through rate increases. Analysts suggest that UPS may follow a rate increase trend, similar to last year's 6.9% increase, which could see rates rise by at least 8% following the new contract. The agreement is subject to voting and ratification by union members, with UPS Teamsters expected to vote on the offer electronically in August.
🚗 Congress Urged to Regulate Self-Driving Vehicles for Safety and Uniform Standards. Advocates for the self-driving vehicle industry have urged Congress to take action and regulate autonomous cars and trucks. They argue that years of regulatory inaction are putting American manufacturers at a competitive disadvantage. The 2017 bill on AV regulations, which passed the House but stalled in the Senate, needs to be revisited and updated to address safety and liability concerns. Currently, AV manufacturers are limited to deploying a maximum of 2,500 self-driving vehicles for testing, hindering the industry's growth. One proposal suggests providing exemptions for manufacturers to deploy thousands of autonomous vehicles without meeting existing auto safety standards. However, concerns about liability in case of accidents caused by malfunctioning AVs remain a major sticking point. Industry advocates claim that accidents involving self-driving vehicles are exaggerated and that AVs are more reliable than human drivers. Auto safety advocates, on the other hand, challenge these safety claims and urge caution in implementing regulations.
The Workday Dash is an aggregation of articles regarding the transportation logistics, trucking, and supply chain industries for November 27, 2024, from iLevel Logistics Inc.