Economic Development

Business Alliances are Becoming Business Enhancers

November 27, 2012
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The U.S. transportation/logistics industry is undergoing enormous change today. Rapidly shifting global economic, trade and manufacturing trends and patterns mean dynamic supply chain planning and optimization are imperative.   
Danny Slaton

Danny Slaton is Executive Vice President, Business & Product Development at SMC³.

Logistics industry consolidation means more opportunities for fewer companies, all of which must retain their competitive edge. Smart companies are mining a growing mass of actionable data to support enhanced business decision making — not only in logistics and transportation, but across many industries.

 Our educational mandate means SMC³ must keep our carrier, shipper and logistics service provider members apprised and ahead of industry trends and best practices. Recently, we have seen many transportation/logistics companies find creative ways to manage business uncertainty to their benefit. By forming business alliances these partners support their mutual business goals and growth. Some of these alliances are occurring in unlikely places — for example, former competitors have joined forces in sub-segments of the supply chain.

Many times, alliances start small, evolving to a “next stage of mutuality.” As each partner learns about the other’s capabilities and their mutual trust grows, these alliances even expand into non-conventional areas that branch from their business model. Ultimately, these partners also leverage each other’s relationships, expanding their network of business opportunities with their partners’ partners.

 How do these alliances succeed in single mode, multiple modes, domestic and international freight moves or warehousing and distribution? The alliance partners share actionable data in support of reaching their business goals and improving their operations and mutual profitability. Sustainability goals are an increasingly important factor – whether in support good business or good will or both.

 SMC³ and World Trade 100 – alliance partners in our own right – will have more to say over the coming months about how networking and data sharing have become the new operational and business modus operandi for our industry. Please stay tuned. wt

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