@Risk

For Toyota, the bad news just keeps coming.

Now, ABC News is reporting that U.S. regulators are reviewing more than 60 complaints that the fixes made on Toyota cars recalled for unintended acceleration have not solved the problem.

Toyota says a partial review of these complaints has found no evidence of failure in the electronic throttle system or in the repairs. The company also says it hasn’t found problems in the brake override system.

Still, there’s no doubt that news like this is making a very bad situation even worse.  As Toyota technology chief Takeshi Uchiyamada told ABC News, “The Toyota brand is in a deep crisis.”

How did we get to this point, where long-revered Toyota supply chain management strategies are now a cautionary tale? What lessons can be learned from this devastating series of global safety-related recalls? (more…)

The most cost-efficient US retailers manage many of their supply chain operations internally, and their costs in this area are 22 percent less than the median, according to new research from Deloitte Consulting LLP.

The research, conducted by Deloitte’s Global Benchmarking Center, was designed to quantify store operations and general and administrative (SGA) cost-improvement opportunities in retail. The study included more than 60 high-profile retail organizations and analyzed retail-specific functions such as store operations, merchandising, supply chain and marketing across 120 different performance metrics.

I found it intriguing that, in addition to their strategic supply chain management, Deloitte also found that low-cost performers differentiate themselves from median performers with: (more…)

Kraft has revised its offer for Cadbury, and the new bid is expected to win the approval of Cadbury’s board, perhaps as early as today, reports The Independent. (See update below.)

If approved, this new deal would end the sometimes bitter bid battle that has persisted for nearly six months. However, trade unions fear that an agreement with Kraft equates with job losses. They say that 7,000 jobs at Cadbury –and as many as 20,000 in the supply chain –are at risk. (more…)

I expected the percentage to be low, but when the final results were calculated, I have to admit, my jaw dropped.

In a recent survey of financial, procurement and risk executives who participated in Aravo’s supply chain risk webinar series, we found that: (more…)

New data from the Institute for Supply Management (ISM) indicates that economic activity in the U.S. manufacturing sector expanded in December for the fifth consecutive month, while the overall economy grew for the eighth consecutive month.

The “Manufacturing ISM Report On Business,” issued Monday,  shows that the manufacturing sector PMI rose to 55.9 percent, its highest reading since April 2006 when it registered 56 percent. In addition, both the New Orders and Production Indexes are above 60 percent (65.5 percent and 61.8 percent, respectively).

In December, nine of the 18 manufacturing industries reported growth. These nine industries — listed in order — are: (more…)