The Logistics of Logistics Market Insights with Supply Chain Economist Jason Miller
Jason Miller and Joe Lynch discuss market insights. Jason is a professor of supply chain at Michigan State University, which is ranked as one of the top supply chain schools in the world.
Summary: Market InsightsIn this podcast, Jason Miller, a professor at Michigan State University, shares his expertise on the current state of the supply chain and logistics industry. He discusses the ongoing freight recession, the impact of Trump tariffs on the US economy, and the potential effects of reshoring. The podcast also covers recent disruptions in the container shipping market and air freight volumes from Asia to the US. Additionally, Jason Miller emphasizes the importance of understanding data quality and expresses skepticism about the revolutionary potential of AI in certain domains. The discussion highlights the significance of making informed decisions based on real-time data and qualitative forecasts.
#SupplyChainInsights
#FreightMarketOutlook
#DataDrivenDecisions
About Jason MillerJason Miller (PhD The Ohio State University) is a tenured Associate Professor of Logistics and the John D. and Dortha J. Withrow Endowed Emerging Scholar at Michigan State University's Eli Broad College of Business. His primary research stream examines firms' logistics operations, with an emphasis on studying motor carrier safety, productivity, pricing dynamics, and driver turnover. Jason has been recognized with multiple awards for research and teaching. He was recognized as the undergraduate faculty member who had the greatest impact on students based on the 2017 graduating senior survey. The website Poets & Quants has recognized him as one of the top 40 undergraduate professors.
About Michigan State University, Department of Supply Chain ManagementMichigan State University is a public research university in East Lansing, Michigan. MSU was founded in 1855. Today, MSU is one of the largest universities in the United States and has approximately 634,300 living alumni worldwide. MSU’s Department of Supply Chain Management is the consistently ranked as the top supply chain management school in the country. The department educates students to succeed in careers such as procurement, manufacturing, inventory management, warehousing, transportation, and customer service. Students graduate with foundational knowledge across all areas of SCM, positioning them to work in multiple capacities for the top global companies. The business world views Broad’s graduates and faculty as the voice of the SCM field.
Key Takeaways: Market Insights- Jason Miller shares insights on the current state of the supply chain and logistics industry, discussing freight rates, inventory levels, and consumer spending.
- The freight market has been in a recession since late 2022, with spot rates and demand moving along a trough.
- The impact of reshoring on the US economy depends on the location of the parts ecosystem, and interest rate cuts by the Fed will likely be needed to stimulate freight volumes and housing activity.
- Air freight volumes from Asia to the US, particularly from India and China, have seen a significant increase due to ecommerce demand for cheap goods.
- AI will revolutionize fields like drug discovery and engineering but may struggle with economics and human-related activities due to unpredictability and measurement difficulties.
- Making informed decisions involves understanding data sources, forming a coherent narrative, and using qualitative forecasts based on experience and intuition.
(00:00:01) Market Insights with Supply Chain Economist
(00:00:17) Supply Chain Challenges and Economic Outlook
(00:01:09) The Supply Chain Economist
(00:03:26) Freight Markets: Trough, Capacity, and Demand Surges
(00:10:27) Tariffs' Negative Impact on the Economy
(00:19:06) Reshoring, Interest Rates, and Freight Volumes
(00:21:14) Container Shipping Demand Surges, Rates Soar
(00:24:22) Navigating Disruptions in Global Shipping Routes
(00:27:55) The Surprising Surge in Air Freight
(00:32:20) Freight Recession Amidst Economic Stability
(00:40:40) The Limitations of AI and Data
(00:49:57) The Potential and Limitations of AI
(00:57:57) Freight Markets, Recession, and AI Readiness
(00:59:21) Making Sense of Data and Decision-Making
(01:01:10) Data-Driven Decisions in a Transforming World
(01:03:05) Engaging with Logistics and Supply Chain Leaders
Learn More About Market InsightsMSU Supply Chain Management Program
Jason’s profile on MSU’s website
The Logistics of Logistics Podcast