Guest Post: Amazon’s Next Act–Supply Chain as a Service
Amazon has launched Amazon Supply Chain Services (ASCS), a “supply chain as a service” platform that opens its global logistics network to businesses of any size, including competitors’ sellers. In 2025, Amazon’s logistics revenue hit roughly $172 billion, far outpacing traditional 3PLs such as DSV ($37 billion) and DHL Supply Chain ($35 billion). Early adopters like Procter & Gamble, 3M, Lands’ End and American Eagle Outfitters are already using the integrated freight, warehousing, fulfillment and last‑mile capabilities. Analysts compare ASCS’s potential to AWS, suggesting it could reshape physical commerce and logistics competition.
OM Podcast #49: An Interview with the CEO of the Florida Semiconductor Engine About Reshoring
In the latest Heizer Render Munson OM Podcast, Barry Render interviews Dr. Ron Piccolo, CEO of the Florida Semiconductor Engine, about the strategic importance of reshoring semiconductor capabilities. The discussion highlights that while high‑volume chip fabrication will stay global, advanced...
OM in the News: The AI Splurge and Big Tech’s Workforce
Tech giants are slashing staff to fund AI ambitions, announcing 45,800 layoffs in March 2026—the steepest month in two years. Microsoft trimmed its workforce by 7%, Block by 40%, and Meta eliminated 8,000 positions. The cuts fund accelerated investment in...
OM in the News: Making Renewable Natural Gas Directly From Waste
Washington State University researchers added a high‑temperature, high‑pressure oxygen pretreatment to sewage sludge before anaerobic digestion, tripling renewable natural gas (RNG) yields and cutting treatment costs by about 50% to $253 per ton of dry solids. The method converts up...
OM in the News: Understanding Manufacturing AI Terminology
Industry Week’s latest guide demystifies the AI buzzwords flooding manufacturing and supply‑chain meetings, from machine learning and large language models to copilots, agents, and embeddings. It outlines concrete use cases—demand forecasting, email summarization, ERP navigation, autonomous inventory actions—and warns that...
OM in the News: Running a Factory on Recycled EV Batteries
Rivian will power its Normal, Illinois factory with more than 100 second‑life EV batteries, creating the largest repurposed‑battery storage system for a U.S. automaker. The 10 megawatt‑hour installation will supply on‑site electricity during peak‑demand periods, reducing reliance on the grid and...
OM in the News: UPS Turns to RFID
UPS is investing $100 million to roll out RFID technology across its U.S. parcel network, embedding tags in shipping labels and installing readers on every delivery truck, at more than 5,500 retail stores and final‑mile hubs. The system provides near‑real‑time visibility...
Guest Post: Why the Union Pacific – Norfolk Southern Merger Could Reshape U.S. Rail
Union Pacific and Norfolk Southern have filed a joint application with the Surface Transportation Board to merge, creating the first true coast‑to‑coast Class I railroad in the United States. The combined entity would control roughly 466,000 freight cars, dwarfing the...
Good OM Reading: The Algorithm– How Tesla Drives Innovation
Jon McNeill’s book *The Algorithm* outlines a five‑step operational framework that Elon Musk uses at Tesla and SpaceX to drive hypergrowth. The steps—question every requirement, delete at least 10 % of parts or processes, simplify and optimize, accelerate cycle time, and...
OM in the News: Delta’s Vertical Integration Risk Pays Off
Delta Air Lines’ ownership of a Pennsylvania refinery, purchased for $150 million in 2012, is now delivering measurable cost advantages as jet‑fuel prices have roughly doubled since February. The higher crack spread lets Delta offset fuel cost spikes, saving $785 million in...
OM in the News: Weight-Loss Drugs Crush Food Demand as Farmers Face Dumping Mountains of Potatoes
Weight‑loss drugs such as Ozempic, Wegovy and Zepbound are suppressing appetite, with users eating up to half as much as before. The resulting dip in food demand is already creating surpluses, exemplified by a UK farmer with 1.3 million pounds of...
Guest Post: Rita’s Italian Ice and Seasonality
Rita’s Italian Ice, the nation’s largest Italian‑ice franchise, operates roughly 600 locations in 30 states, traditionally opening in March and closing in September. This seasonal model forces franchisees to shoulder year‑round fixed costs while generating revenue for only about seven months....
OM in the News: The Robotics Supply Chain
Industry Week highlights that the next two decades of robotics will be defined less by software breakthroughs than by the physical components that power machines. Cost analysis shows actuators and gearboxes consume 35‑40% of a robot’s bill of materials, followed...
OM in the News: Bringing Mac Mini Production Stateside
Apple announced a major expansion of its Houston manufacturing hub, moving Mac mini production to the United States for the first time. The plan also scales AI server output at the Texas site and launches an Advanced Manufacturing Center to...
Guest Post: Martin Guitars and Operations
Martin Guitar, founded in 1833, remains a leading acoustic‑guitar maker alongside Fender, Gibson, Yamaha, Ibanez and Taylor. The company operates two plants—in Nazareth, Pennsylvania and Sonora, Mexico—producing about 500 guitars per day, six days a week. Demand has surged during...