The SupplyChainBrain Podcast

Does a big grocery retail chain have anything to learn from a leading automaker? Apparently so. Toyota, with its well-known emphasis on Lean supply-chain practices, was a key inspiration for U.K.-based Tesco, when the latter set out to overhaul its processes. In particular, Tesco was determined to align production and inventory with customer needs – something virtually every company claims to do, but few have managed to achieve with any degree of success. The company's journey is told in a new book, The Lean Supply Chain: Managing the Challenge at Tesco. Its authors, Barry Evans and Robert Mason, join us on this episode to describe the initiatives that Tesco has embraced over the years to build a world-class supply chain. In the process, they challenge some conventional wisdom that has dominated traditional business practice. Evans has held multiple positions at Tesco and is a senior research associate in the Lean Enterprise Research Centre at Cardiff Business School, where Mason is a senior lecturer in the Logistics and Operations Management section. Learn how Lean Six Sigma can be applied to grocery retailing – and the caveats that come with the concept.

Is 3D printing poised to bring about ''the next industrial revolution?'' So says attorney John Hornick, author of a new book on the subject. Titled 3D Printing Will Rock the World, it doesn't mince words about the potential for this emerging technology to transform the manufacturing landscape and consumer purchasing practices. Hornick believes 3D printers are nothing less than ''the most powerful machines human beings have ever invented.'' Is he being hyperbolic, or visionary? On this episode, he explains his reasoning. We discuss the types of industries and products that will be most affected by the 3D printing revolution, the differences between industrial and consumer-grade printers, the state of the technology today, problems of quality and consistency that have yet to be solved, and the ''dark side'' of 3D printing – the ability to create perfect knockoffs of products, thereby undermining intellectual property protection.

Supporters of a longtime proposal to privatize the U.S. Air Traffic Control system have failed again. But the issue is far from dead. The latest measure to reauthorize funding for the Federal Aviation Administration included a proposal to remove the ATC from direct agency control. In its place would be a private, non-profit corporation, funded by fees placed on airlines and owners of private aircraft. Supporters argued that the new body is the only way to rescue a dysfunctional FAA, ensure efficient operations, cut costs, streamline procurement and promote safety of the nation's air routes. But opponents countered successfully that a privately run ATC would raise questions of financial stability, accountability and continuity of service to smaller communities. In short, they said, the public would lose. So the idea was kicked out of the latest funding-extension bill. Laying out the arguments against privatization, and guesting on this episode, is Selena Shilad, executive director of the Alliance for Aviation Across America. She explains why the ATC should remain in FAA's hands – as well as what should be done to fix the agency's chronic problems of funding and bureaucratic inefficiency.

We might not have to wait that long to see self-driving vehicles become a familiar sight on American roads and highways. By some estimates, the so-called autonomous car won't appear in large numbers until sometime between 2020 and 2030. But there are signs that it could be arriving a good deal sooner than that, with limited production beginning as early as 2018. That's the view of Matt DeWolf, director of product innovation at Runzheimer, a provider of programs and technology in support of mobile workforces. On this episode, he lays out five trends that could speed the arrival of the autonomous vehicle. Technology, competition and supply and demand are all factors that could quickly bring it to market, he says. And there are ramifications for commercial vehicles as well. Find out why DeWolf says that, ''step by step, the autonomous car of the future is coming together.''

Disputes with suppliers can be costly. Now there's a guide to avoiding them – and defending against them when they do occur. Legal Blacksmith: How to Avoid and Defend Supply Chain Disputes is the title of a new book by Rosemary Coates and Sarah Rathke, our guests on this episode. Rosemary is president of Blue Silk Consulting and executive director of the Reshoring Institute. Sarah is a trial attorney and partner at the international law firm of Squire Patton Boggs. They have collaborated on a comprehensive guide to forging stable and rewarding relationships between buyers and suppliers. Here, they offer advice on minimizing risk throughout the contracting phase – and maintaining harmonious relationships afterward. Their guidance can help companies to manage an aspect of the supply chain that gets too little attention from top executives – yet can have devastating consequences when it goes wrong.

The reshoring of manufacturing from China is no longer in question. Whether that work ever makes it back to the U.S., however, is another matter entirely. Rising wages in China, coupled with the cost of maintaining long supply lines, are among the reasons why companies are looking for new locations to make their products. If you believe statements by big retailers such as Walmart, a good portion of that capacity is destined for the U.S. Even some apparel production could be coming back. But the trend is by no means guaranteed to stick. On this episode, we speak with Rosemary Coates, executive director of the Reshoring Institute. She traces the extent of the reshoring phenomenon, while laying out the hidden costs that come with shutting down production in China. You don't, for example, want to be that American executive who was held hostage by Chinese workers in a dispute over severance pay. So what will it take to bring manufacturing back to the U.S.? And, for that matter, what kind of work do we want?

The Paris Climate Agreement resulted in a commitment by 195 countries to enact strict policies to address global climate change. Now manufacturers will have to fall into line. Whether they're prepared to do so is another question entirely. A recent study by West Monroe Partners found that 49 percent of North American supply-chain executives don't view sustainability as a strategic priority. And 64 percent have no plans to adopt sustainability initiatives in the coming years. Like it or not, though, they're going to have to take steps to slash their emissions, and fall into line with the goals of the COP21 meeting in Paris. But what exactly will that take? On this episode, we get some guidance from David South, senior principal with West Monroe Partners. He discusses the results of the firm's study, and lays out the challenges facing small and medium-sized manufacturers in their efforts to go green. Is sustainability a financial burden? Or can it bolster the bottom line?

After years of delay, the automation of importer filings, involving multiple government agencies, is upon us. Say hello to the ''Single Window.'' Despite some last-minute pushback of deadlines, U.S. Customs Border Protection's Automated Commercial Environment (ACE) is about to become a reality. Importers and customs brokers stand to benefit from the streamlined handling of documents. But the real news can be found in another name for ACE: The Single Window. It means that one filing will be sufficient to reach 48 U.S. government agencies – nine of which have the power to hold up an import shipment if it lacks the necessary documentation. The road to ACE has long been studded with potholes. Now, though, the importing community will have to come up to speed. On this episode, we're joined by Christopher Logan, president of Livingston International U.S.A., who explains what traders must do to comply with the initiative, when various agencies will fall in line, and what benefits will result. Will we finally realize the dream of a paperless regulatory environment, with a drastic reduction in bureaucracy?

Law enforcement is hot on the trail of cargo thieves. But the thieves are hot on the trail of your shipments. It's a constant game of cat and mouse. The cops and insurance companies are forever coming up with new ways to stop theft. And the thieves are adjusting their methods accordingly. One of the best and most recent techniques for nabbing crooks is the ''sting trailer,'' which is equipped with sophisticated monitoring equipment and designed to send out an alert the moment it's violated. The trailer has had a notable degree of success in capturing thieves, but the issue of theft and pilferage remains a serious one. According to the FBI, it's costing industry between $15bn and $20bn a year in losses. On this episode, we get a sense of the scale of the problem from Scott Cornell, theft investigator with Travelers Cos. He answers some key questions: How much is being lost? Who are the thieves? Which types of products are most susceptible? Which parts of the country pose the highest risk? And how can shippers and carriers act to reduce the possibility that they'll be hit?

Winning $1m on Jeopardy! wasn't good enough for IBM's Watson. Now it wants to predict your buying behavior. Having racked up a victory in the game-show arena, Watson is moving on. It has already been applied to clinical decision support for healthcare, with a focus on treating lung cancer. Now, it's venturing into the world of retail. Introduced in November of 2015, the Watson Trend App is turning its computing power to the identification of buying trends in three key areas of retail: consumer electronics, toys, and health and fitness. With its ability to understand natural language, the app monitors the sentiments of tens of millions of online conversations, drawing on some 10,000 sources across popular social media sites. And it goes beyond merely identifying sales trends to reveal why and how consumers are buying. (It has already predicted the initial success of the Apple Watch, Star Wars-themed Lego sets and a high-tech version of Barbie.) On this episode, we speak with Watson Trend App product strategist Justin Norwood, who explains how it works today, and how it might be deployed in future to create personal interactions between consumers and their favorite brands. We also learn how the app could help retailers and consumer-goods manufacturers to devise more accurate demand forecasts.