Tesla Transgression 🔋
Good morning! Today, we have a special reason to celebrate as June 29th marks National Handshake Day—a day dedicated to the time-honored tradition of a firm grip and a friendly greeting. While handshakes may seem like a simple gesture, they hold great significance in the realm of business, particularly in the world of supply chain and logistics. Handshakes symbolize trust, partnership, and collaboration—the core values that underpin successful relationships within our industry.
As we rebuild and reimagine the future of our industry, let's embrace the opportunities to reconnect, share ideas, and work together towards a more resilient and efficient supply chain ecosystem. 🤝
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An 18-year-old driver crashed into the back of a truck on a Pennsylvania highway last week while their Tesla was in Autopilot mode, according to police reports. The Tesla was traveling in the middle lane when it collided with the stationary truck that was providing traffic control for a road work lane closure.
Fortunately, no injuries were reported, but the driver was charged with careless driving. The incident raises further concerns about Tesla's Autopilot technology and its limitations. While Autopilot and Full Self-Driving features to assist with steering, braking, and lane changes, they do not make Teslas fully autonomous, and drivers are expected to remain fully attentive while using the technology. Tesla's Autopilot system has been under scrutiny due to several incidents and fatal crashes involving self-driving software, prompting investigations by the National Highway Traffic Safety Administration (NHTSA) and the U.S. Department of Justice (DOJ).
Check out today’s featured article from IOT World Today to read more about what has been happening with Teslas and why they are raising more fear and concerns than before. Will Elon Musk address these issues? Do you agree with the charges that the 18-year-old driver faced?
Featured Article:
Telsa in Autopilot Hits Truck on Pennsylvania Highway | IOT World Today
“Tesla’s Autopilot has been under scrutiny, following several incidents involving its self-driving software.”
Airline Delays & Holiday Weekend
Escalating Airline Delays and Cancellations Cast a Shadow on the Upcoming Holiday Weekend
Airline delays and cancellations continue to plague travelers in the United States, raising concerns as the long July 4 holiday weekend approaches. As of mid-morning on Wednesday, over 2,000 flights were delayed and more than 700 were canceled, primarily along the East Coast, which has been hit by thunderstorms. The Federal Aviation Administration temporarily grounded flights to major airports in the New York City area and caused disruptions in airports near the nation's capital. A combination of factors including weather conditions, overcrowding, crew availability issues, and even a Delta jet making a belly landing has contributed to the chaotic situation.
The Federal Aviation Administration predicts that Thursday will be the busiest travel day over the holiday period, potentially setting a pandemic-era record for air travelers. However, the surge in passengers is testing the capabilities of airlines that are still struggling to keep up with the increased demand. Transportation Secretary Pete Buttigieg has criticized the airlines for their customer service and scheduling practices, while the airlines, such as United Airlines, blame staffing shortages and operational issues for the disruptions. The FAA has acknowledged being understaffed at key facilities and has limited plans to address the problem. Furthermore, potential interference with 5G wireless service may cause further disruptions if planes are not equipped with new radio altimeters.
Retail & Loans
The Home Depot Unveils Ambitious $500 Million Cost-Savings Initiative
The Home Depot is embarking on a cost-saving initiative worth $500 million to optimize its supply chain and reduce fixed operating costs. The company plans to scale back its supply chain holding capacity, which was expanded to accommodate the surge in demand during the pandemic. The cost-saving efforts will focus on areas beyond product and transportation expenses that were inflated due to increased transactions in 2020 and 2021. The home improvement retailer aims to complete the initiative by fiscal year 2024.
As part of the cost-savings plan, The Home Depot will enhance its downstream supply chain by leveraging technology, and robotics, and improving forecasting and labor management processes. The company has already made significant progress in its upstream network, which involves automation and mechanization to efficiently move products from distribution centers to stores. Despite the cost-cutting measures, Home Depot recognizes the long-term benefits of its supply chain investments, including achieving fast and reliable delivery, reaching 90% of the population with next-day or same-day delivery, and enhancing appliance delivery through in-house management and strategic partnerships.
Let’s Get Global 🌎
Checking out the scoop outside of the United States…
🎶 Why TikTok is outsourcing. TikTok is reportedly working with third-party logistics (3PL) fulfillment service providers to build its own logistics network. The social media platform is partnering with these providers to lease and operate warehouses, store inventory, and handle packing and shipping for merchants selling on TikTok. The fulfillment program is currently invite-only for a small group of sellers during the initial launch period. The move to outsource its fulfillment network comes as logistics costs and warehouse rent continue to rise, and TikTok aims to penetrate social commerce and sell its own products through its TikTok Shop feature. Other social media platforms have also made attempts at incorporating shopping features but with limited success.
💦 Panama Canal Expansion Project Celebrates 7th Anniversary Amidst Significant Challenges. The Panama Canal Authority marks the seventh anniversary of the expanded Neopanamax locks, which have transformed global shipping by accommodating larger vessels. Since its inauguration in 2016, over 20,600 vessels have transited through the expanded canal, contributing to more than 50% of its total tonnage. However, this milestone is overshadowed by a major challenge: a severe drought that has disrupted normal canal operations. The historic drought has led to strict draft restrictions and limited the size and cargo capacity of ships using the canal. The Panama Canal Authority is implementing water-saving measures and closely monitoring weather patterns, but the economic consequences of the drought are unavoidable.
iLevel With You 🏡
More topics for the average American household to consider…
🇺🇸 Assessing the White House's Claims on Supply Chain Normalization. The White House has claimed that supply chains today are more fluid and resilient compared to the disruptions caused by COVID-19. The press release highlights increased access to transportation and warehousing capacity, improved delivery times, greater ocean shipping reliability, and declining transportation costs. Key points include record cargo movement at ports, high stock levels at grocery and drug stores, the establishment of new trucking firms with apprenticeship programs, and positive trends in the Global Supply Chain Pressure Index.
⛏️ Direct Lithium Extraction: The Electric Vehicle Industry's Shale Boom. The lithium industry is set to undergo a significant transformation with the introduction of direct lithium extraction (DLE) technologies, which could revolutionize the supply of lithium from brine projects. These technologies have the potential to tap into brine deposits across the globe and extract up to 90% of lithium, compared to the 50% achieved through conventional methods. One of the biggest advantages of DLE is its ability to supply lithium for electric vehicle (EV) batteries within a matter of hours or days, significantly faster than the traditional 12-18 months required for extraction from evaporation ponds and open-pit mines.
😣 Concerns Mount as Americans Question Affordability Amid Economic Worries and Inflation. As the United States approaches Independence Day and gears up for the 2024 presidential election, many Americans are grappling with the financial strain caused by soaring prices of essential goods and services. A recent USA TODAY/Suffolk Poll revealed that 52% of Americans believe the country is becoming too expensive to live in, while a Pew Center survey found that about 7 in 10 Americans view stifling inflation and the economy as the nation's top challenges. With expenses surpassing paychecks, individuals are experiencing reduced spending power and relying on their savings to make ends meet.
Get Smart 🧠
Ramp up that brain power for these advanced topics…
💼 Yellow Files Lawsuit Against Teamsters Over Contract Dispute. Yellow Corp. has filed a lawsuit against the International Brotherhood of Teamsters, accusing the union of breaching their contract, obstructing the company's restructuring plans, and endangering its operations to the point of potential asset liquidation. Yellow alleges that the Teamsters have failed to cooperate on the implementation of the One Yellow restructuring plan, which aims to regionalize and streamline operations. The company claims that Teamsters leaders, particularly General President Sean O'Brien, have exhibited a hostile attitude and even tweeted a picture suggesting Yellow's demise.
😨 Retail and CPG Executives Rank Supply Chain Disruption as a Major Concern. A recent report by Genpact and HFS reveals that supply chain disruption is a top concern for retail and consumer packaged goods (CPG) executives. The study highlights the challenges faced by companies in keeping up with supply challenges, with only 22% feeling that they have successfully modernized order-management operations. The research emphasizes the need for organizations to transform their supply chain processes and operations to meet evolving consumer needs. Additionally, the study identifies inflation, cybersecurity, and changing consumer expectations as other key concerns. The report also suggests that companies should invest in AI, data, and digital-first business models to navigate the changing landscape successfully.
🚗 U.S. Drivers Express Mixed Feelings Towards Electric Vehicles. U.S. consumers have shown increasing interest and concerns about electric vehicles (EVs), according to a survey by Ernst & Young (EY). The survey revealed that 48% of U.S. car buyers plan to purchase an EV within the next 24 months, a significant increase from the previous year. This surge in interest has propelled the U.S. to seventh place in global EV readiness. Factors contributing to the rise include the recovery from the pandemic and a higher car-buying intent among existing car owners. To cater to the demand, car manufacturers are likely to invest in EV models for larger vehicles, particularly SUVs.