Supply chain and economics, in plain language.
Written for owners and operators who run a supply chain without a dedicated supply chain manager. Each article explains one economic report or supply chain idea and shows how to apply it to your own purchasing, inventory, and freight numbers.
Economic Reports
How releases such as the Producer Price Index and the Purchasing Managers' Index translate into your input costs and supplier quotes.
Buying and Inventory
Practical methods for setting order quantities, safety stock, and reorder points when you have no planning team.
Freight and Trade
How freight rates, tariffs, and transit times show up in your landed cost, explained with worked examples.
Latest articles
Little's Law From Factory to Customer: Lowest Landed Cost at a 95 to 99% Service Level
Every day between your supplier's factory and your customer's dock is inventory you finance. This article applies Little's Law to each stage of the chain and compares China and Mexico supply on total landed cost, duty included, at a 99% service level.
Read the article →Little's Law and Lead Time: Where Your Operation Is Leaking Cash
Every process has an equilibrium. Once the bottleneck is fully loaded, extra work in process adds no output, only lead time and tied-up cash. This article shows how to find that balance point with Little's Law and what the excess is costing you.
Read the article →Economic Order Quantity for Importers: How Much to Order
EOQ finds the order size where ordering and holding costs add up to the lowest total. This article shows where that optimum sits, then fits it to full containers, supplier price breaks, and overseas lead times with a worked example.
Read the article →How the Producer Price Index Affects Your Input Costs
The PPI is a free monthly measure of what producers receive for their goods. This article gives a four-step method for turning a PPI release into a dollar estimate for your own purchasing budget, with a worked example.
Read the article →Have a question about your own numbers?
Bring your purchasing, inventory, or freight data to a free 30-minute call and we will show you where the biggest opportunities sit.
Book a Discovery Call →