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Supply Chain by the Numbers

- Jan. 13 , 2011


Supply Chain by the Numbers for Week of Jan. 13, 2012


Truckload Carriers Had Pricing Power; December Retail Sales Disappoint; Smiths Medical "Sees" Lower Inventory; The New Ships Keep Coming and Coming...



Amount of average increase in US truckload rates in 2011, according to the latest Cass Freight Linehaul Index this week. The index is for straight linehaul only, and does not include the impact of accessorials or fuel. All told, a good year for carriers, not so good for shippers when overall volumes were basically flat, as continued asset discpline by carriers pays off.




The surprisingly weak number for retail sales in December, after removing auto purchases, according to this week's report from the Commerce Dept. That number was below forecasts, and is blamed in part based on deep discounting by retailers during the Holiday season to lure customers. “While there were several media reports suggesting holiday shopping was solid, [year-on-year] growth in chain store data did disappoint," said said David Sloan, an economist at IFR Economics.

139 Million

The amount of new container capacity in TEUs that are expected to be delivered to ocean carriers in 2012, according to a new estimate from the analysts at Alphaliner. That will lead to about an 8.3% increase in total capacity, up from 7.9% growth in 2011. Again, that growth will exceed the increase in demand, with container volumes expected to be up just 6.5% for the year, as exports to Europe slow dramatically. Expect ocean rates to stay very low.



The amount by which equipment maker Smiths Medical was able to reduce its inventory levels, among other benefits, after it implemented a new cloud-based supplier visibility and collaboration platform, helping it became more demand-driven. Rich Flynn of Smiths Medical will tell this story during a new videocast next week. For more information, go to: Smiths Medical Videocast.

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