Supply Chain Frontiers issue #33. Read all articles in this issue. Tara Faulkner has joined MIT CTL as Director of Communications, with full responsibility for all aspects of the center’s communications with corporate and research partners, industry contacts, the media, and the MIT community. Tara comes to the center from...
Supply Chain Frontiers issue #33. Read all articles in this issue. The MIT Center for Transportation & Logistics (MIT CTL) will present two keynote sessions at the Annual Global Conference 2009 of the Council of Supply Chain Management Professionals (CSCMP) in Chicago, September 22, 2009. The early-morning major session will...
Supply Chain Frontiers issue #33. Read all articles in this issue. A major logistics hub is taking shape in Latin America. Panama has embarked upon a far-reaching development plan, and is widening its famous canal to keep pace with the growth in international trade. Students from a new logistics program...
Supply Chain Frontiers issue #33. Read all articles in this issue. The sheer complexity of an international supply network makes it vulnerable to a wide range of disruption risks. But this weakness can be turned into a competitive advantage if managers know how to marshal the supply chain’s considerable resources...
Articles Include: Alltel Rewires Its Supply Chain for Profitability A supply chain that steps up profits Adapting Supply Chains to a New Service Model Brightstar rises with the wireless industry Options to Weigh When Choosing a TMS Solution A guide to moving transportation [Re] Searching for Answers: Fulfilling the Promise...
There has been much research on how to make the production of renewable energy more economically viable, but relatively little on the delivery of this vital resource. A collaborative effort between MIT CTL, the MIT-Zaragoza Program in Spain, and wind energy company Acciona, is addressing this imbalance with a research...
Each year companies work with students from the MLOG and ZLOG programs on thesis projects from August to June. Students benefit by being able to work closely with professionals on a challenging supply chain problem that will turn into their thesis. Companies benefit by having a student team bring new...
The percent increase in greenhouse gas (GHG) concentration in the atmosphere maybe harmful. There is no single preferred method for measuring GHG output. How can one classify and choose an appropriate method? This thesis offers a classification of current methods used by companies to measure their GHG output. Author: Suzanne...
Lockheed Martin designs and builds commercial satellites to customers’ specifications. The customers, such as telecommunications companies and weather forecasters, are very price sensitive and, usually, award contracts to the lowest priced bids. Lockheed manufactures satellites using a combination of in-house manufacturing, purchasing, and subcontracting (for subcontract parts). The subcontract parts...
This project developed an optimization model to assess the benefits of hub capability in an international distribution network. Our model shows that a hub in this setting can provide savings of both holding and transportation costs. Hub capability can also provide companies with the flexibility to take advantage of potential...
The pharmaceutical industry creates products which often have more than one supply chain channel, defined as a route through the supply chain network from sourcing to the end market. Each channel’s specific cost characteristics are important to the pharmaceutical industry’s ability to maintain positive profit margins while meeting high customer...
This thesis discusses the tradeoff between transportation cost and the level of service in cold chain transportation. Regression models are built to quantify the additional cost of superior quality cold chain for both the shipper and its carriers, and analyze the relationship between such cost and customer service level. No...
This project performed an assessment of the costs of multiplicity in the public health supply chains in Burundi in the context of proposed structural reform from a province-based to a district-based system. The study demonstrated that significant cost-savings and improved service levels can be realized with better transportation and inventory...
The SmartWay Transport Partnership is an innovative collaborative voluntary program between the Environmental Protection Agency (EPA) and the freight industry designed to improve energy efficiency and lower greenhouse gas (GHG) emissions and air pollution. Started in February 2004, the partnership aims to create strong market-based incentives that challenge companies shipping...
This paper examines the logistical challenges and inventory management issues a prospective operator of a floating offshore wind farm would encounter in generating electricity. The author studied economic distance from shore to locate a wind for optimal electricity generation and examined suitable inventory policies for a floating offshore wind farm...
For detailed business decisions like forecasting which involve precise quantitative information, our experiment involving 169 participants in 20 Prediction Markets at General Mills found Prediction Market Forecast accuracy to be comparable to General Mills’ collaborative forecasting process. Author: Rajaram Narayanaswamy and Kai Trepte Advisor: Larry Lapide
In early Spring I wrote the foreword to Charlie Chase’ forthcoming book, Demand-Driven Forecasting (John Wiley & Sons). It was an honor to be asked to do it, as I’ve known Charlie since the early 1990s and consider him not only a well-respected colleague, but also a close friend. In...
Political instability, rebel activity, ethnic tensions, and poor infrastructure plague the Somali region of Ethiopia and consequently endanger and delay the World Food Programme’s (WFP’s) food-aid supply chain. Our study quantifies the risk in the region and proposes methods by which the WFP, and other humanitarian organizations, can use to...
Cost evaluations do not always include the costs associated with risks when organizations make strategic sourcing decisions. This research was conducted to establish and quantify the impact of risks and risk-related costs on sourcing decisions for the automotive industry. The focus is on comparing distant, global suppliers entailing long supply...
This thesis presents a road map for companies to follow as they manage multi-tiered suppliers in the high-tech industry. Our research covered a host of sources including interviews and publications from various companies, consulting companies, software companies, the computer industry, trade associations, and analyst firms among others. While our review...
We propose a carrier performance measurement framework for a specialty chemical manufacturer to assess and compare the performance of various carriers in a dynamic fashion. Author: Weixia Cheng Advisor: Mahender Singh
Using an analytical framework this research project establishes that initiatives to improve responsiveness contribute to growth in sales. The framework uses an econometric model and a causal model to verify and explain relationships between measures of responsiveness and sales. The research also identifies measures that drive sales and measures driven...
This thesis examines a distribution multi-echelon production-inventory system subject to stochastic demand in the steel industry. The sponsor company, Ternium (a South American steel producer), needs to provide short service times under low inventory costs. The goal of this thesis is to generate a model and conclusions to determine where...
Many supply chain management decisions continue to be made as though driving with the rear-view mirror. This project offers a set of metrics that provide supply chain managers with a forward-looking approach to predict supply chain future performance and align their strategy with performance outcomes. Author: Linda Haydamous Advisor: Larry...
