Economic strategy

Recession kill "just in time" strategy. The bottlenecks will ask for new strategy in supply chain. Any war in our history was won by the part with best supply chain management on land. Now is over the ocean !

in reference to:

"Shipping, air cargo and trucking companies scaled back capacity and cut prices sharply as sales slowed in the recession. As demand has picked up this year, carriers' capacity has not kept pace,"
- Growing shipping bottlenecks delay deliveries to retailers - USATODAY.com (view on Google Sidewiki)

Growing shipping bottlenecks delay deliveries to retailers

By Paul Davidson, USA TODAY

Shipping bottlenecks within and outside the U.S. are delaying deliveries of everything from steel and grain to consumer products. The snags have affected retailers, distributors and manufacturers, and boosted transportation costs as much as 150%.

Shipping, air cargo and trucking companies scaled back capacity and cut prices sharply as sales slowed in the recession. As demand has picked up this year, carriers' capacity has not kept pace, says Rosalyn Wilson, a transportation consultant and author of a recent logistics report sponsored by the transportation services company Penske.

 Also, ships have been running at slower speeds to save fuel, effectively cutting capacity.

Recession kill "just in time" strategy. The bottlenecks will ask for new strategy in supply chain. Any war in our history was won by the part with best supply chain management on land. Now is over the ocean !