Is the future clear?

Senior Allport executive, Clyde Buntrock, talked about collaboration in the supply chain at Multimodal this week. He light-heartedly suggested that if sea containers and road trailers were see-through, industry minds would soon concentrate on ensuring that all transport legs were optimised.

Clyde was only partly joking; for a generation growing up with social networking, collaboration and sharing information is an inherent part of their world, and cooperation becomes much more likely.

A member of the expert panel in the lively debate on "Collaboration in the supply chain" Clyde's comments attracted a great deal of interest at the event and subsequently, being highlighted by leading trade publications.

See press release below, or follow this link to the IFW article

Shippers' Voice Seminar Told That Most Manufacturers and Retailers Would Collaborate ...

News from Multimodal lecture - collaboration with major competitors in their supply chain

Apr 29, 2010 - Most manufacturers and retailers would be willing to collaborate with a direct competitor, was the general consensus of the Shippers' Voice seminar on collaboration at the Multimodal Exhibition in Birmingham. Although the definition of collaboration was not so clear.

Joel Ray, a director with Transport Intelligence, presented the results of a survey which showed that 94% of respondents would be willing to collaborate with a major competitor in terms of their supply chain.

"About 40% had already done so in the past and most saw transport, rather than warehousing, as the main area with potential for collaboration," he told delegates.

However, the vast majority of the people who would consider collaboration say they would need to do it through a third party in order to maintain commercial confidentiality.

"Ninety percent say that 3PLs could play an important role in brokering and managing the process," he said.

Clyde Buntrock, Head of Business Solutions at Allport, said that the relatively new phenomenon of social networking sites was helping many people, especially the new generation, to be much freer in sharing information - an essential element of collaboration.

He suggested, only slightly tongue in cheek, that one way of making transport more transparent would be to have all sea containers and road haulage trailers made of clear perspex. "That would rapidly concentrate minds on reducing empty running."

Daniel Fernandez, secretary general of TIACA (The International Air Cargo Association) said the new security rules would also drive more visibility and closer collaboration through the supply chain. But he stressed that "lots of sacred cows" in terms of co-operation and collaboration would have to be looked at again for it to work in any meaningful sense.

Philip Damas, Director, Drewry Supply Chain Advisors, says that while everyone talks about partnership and collaboration, it very rarely happens in the true sense. "In many cases it is simply a vendor - supplier transactional relationship. "Collaboration is a mostly marketing speak. Maybe about 10% of it is real collaboration and added value."

The Transport Intelligence survey showed that 65% of respondents said cost was the main driver for considering collaboration with a competitor. All the panellists agreed while many companies spoke about the environmental benefits, this was a by-product rather than the reason for collaboration.

"The 'green' element gets lip service but it goes out the window when times are difficult and it is a questions of survival. It is all about cost," said Joel Ray.

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For more information on Allport Supply Chain Management contact Emma Clarkemail