Amazon exceeded second-quarter profit expectations by earning $7.8 billion, or $15.12 per share, but it failed to meet analyst expectations for sales, which increased 27% year over year to $113.1 billion. The company's performance was fueled by continued diversification into different business segments, such as cloud computing and advertising.
Starbucks' purchasing strategy means it won't have to raise menu prices despite a surge in commodity coffee prices related to bad weather in the growing regions of Brazil, CEO Kevin Johnson said. "It gives us a significant advantage relative to our competitors who, if they don't buy this far in advance, will certainly not have that cost structure that we put in place," Johnson said.
The growth in e-commerce will drive the share of in-store sales down from roughly 70% this year to 62.4% by 2025, according to research firm Edge by Ascential. David Gordon, director of omnichannel insights at Edge Retail Insight, says the shift will require stores to act as "a physical portal into brand and product experiences" while also becoming "an increasingly vital part of last-mile fulfillment."
Terraboost ramped up production of antiviral wipes during the pandemic, and it's adapting to shifts in demand by finding new manufacturing markets for wipes and touting its domestic production, says CEO Brian Morrison. "We wanted to have more control over our supply chain and to be able to flex our muscles when we needed to," Morrison says.
Manufacturers and plant managers are still grappling with pandemic-related supply challenges, highlighting the need for supply chain resilience, inventory visibility and extended asset life spans, writes Joe Berti of IBM Cloud and Cognitive Software. "Working together, the predictive capability of artificial intelligence (AI) and the accountable track-and-tracing provided by blockchain can promote supply chain resilience in a number of ways," Berti writes.
Independent distributors can best compete against the likes of Amazon Business by selling on more than one B2B online marketplace, say Alex Moazed and Nick Johnson of Applico. "We think that the best outcome for distributors would be if there is not that dominant, multi-category generalist that has 40% to 50% of online sales in B2B," Johnson says.
The pandemic has increased trust in organizations that brought employees into planning and decision-making, writes Randy Conley in analyzing survey data. "Openly, honestly, and transparently sharing information about workplace metrics on productivity, collaboration, and innovation are paramount to creating trust in the organization's decisions," Conley writes.
Hybrid work will ultimately evolve into human-robot collaboration, and today's environment is an early test of our readiness for that workplace future, says Tsedal Neeley of Harvard Business School. While there's a reason for in-person work, "when you bring people into the office, it better be for collaboration efforts where you're working together, standing side-by-side, looking at a smart board together," Neeley says.
Sens. Joe Manchin, D-W.Va., Jeanne Shaheen, D-N.H., and Susan Collins, R-Maine (Alex Wong/Getty Images)
The Senate has voted to proceed to debate on a bipartisan infrastructure bill that would provide $550 billion in new spending, $110 billion of which would go toward highways, bridges and major transportation projects. The bill would also allocate $73 billion for electric power upgrades, $65 billion for broadband, $55 billion for drinking water infrastructure, $50 billion for resilience, $25 billion for airports and $17 billion for maritime ports.
Pet food ingredient prices have risen by as much as 20% since the beginning of the pandemic, according to the Pet Food Institute, with shortages in edible oils and workers at food makers -- all of which has left some humans unable to find preferred foods and treats for their pets. The South Shore Pet Food Pantry near Boston has been making more frequent updates to its food wish list so donors have alternatives for sold-out products, says the animal charity's co-founder Kristen Clancy.
CSCMP's 32nd Annual State of Logistics Report® now available -- Download your copy today!
CSCMP's Annual State of Logistics Report®, a collaboration with global strategic management consulting firm Kearney, report author and researcher, and the report's longstanding presenter, Penske Logistics, is now available to download. The report offers a snapshot of the American economy through the lens of the logistics sector in the overall supply chain. The report is complimentary for CSCMP members and available to purchase for non-members. Get your copy today!
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