Supply Chain Collaboration

Admin, January 8, 2015 05:45

Stephen Cain’s most recent blog addition is a fascinating look inside a slightly different manifestation of the RLC model’s premise occurring in Europe right now. The article dives into a recent trend noticed in progressive company’s logistics – a willingness to share logistics networks and assets, even among direct competitors. The benefits are obvious: cost savings, sustainability improvements, and the development of synergies previously unknown among collaborators.

While the RLC model differs from a transport perspective, the spirit, execution, and results are much the same. Sharing a network or capability that has been commoditized (in the RLC’s case, retail return processing and warehousing) facilitates cost savings and improved asset utilization, without compromising any competitive advantages. In fact, participation in the RLC model and the related cost savings actually creates a competitive advantage. Those supply chains missing the RLC opportunity remain saddled with the labor and congestion of a non-core competency product, and forego the significant asset utilization benefits.

Whether it is in Europe or here in the U.S., collaboration is increasingly a key to creating competitive advantages. Propak’s RLC network is ready to help your organization further carve your advantage.