Volume 3, Issue 1
January 2005

Map of The Month

an apparent change in the direction of an object caused by a change in observational positioning that creates a new line of sight.
From the Greek: to change
Para: to see.
Rocky Mountain Institute presents:
Winning the Oil Endgame
By Amory B. Lovins, E. Kyle Datta, Odd-Even Bustnes, Jonathan G. Koomey, and Nathan J. Glasgow
US oil dependence can be eliminated with proven technologies that create wealth, enhance choice, and strengthen common security.
Read the Article

Of Tsunamis and Supply Chains:
Getting the Right Aid to the Right People…
at the Right Time
By Melis Jones and Margaret Gardener
In the wake of the devastating tsunami disaster, a secondary distribution disaster is unfolding. Read how one organization is solving this problem using supply chain technology.
Read the Article

At ChainLink Research, we, like the rest of you, were deeply shocked and sadden by the sudden disaster of the Tsunami, the continued violence in Darfur, as well as the turbulent weather in the US. But obviously there is no comparison, though each loss of life and the creation of new orphans is truly a disaster for each human on our planet. In spite of the challenges in the US, we are still a truly wealthy nation. We must not forget those most desperately in need, or which organizations live to serve the neediest. Not just now, but ongoing.

The challenge for us here is how to help. Aidmatrix is another organization that will pass all the funds onto the needed victims. In addition, it is heart warming to see former Presidents Clinton and Bush unite in helping to support the efforts—which will continue beyond whatever press coverage will be dedicated on an ongoing basis—or not.

So, we decided, since we have a huge distribution list, we would dedicate part of this issue to support the Tsunami and Darfur victims. Supply Chain people know better than anyone about the challenges associated with getting people and supplies into devastated areas.

The Economy Again?

Last month I wrote a feature on the economy (A Midwinter’s Nightmare), for which I received some very ardent emails. Since publishing Parallax View, I have been accused of being ultra right wing, ultra left and some other categories. We must be getting to some hearts and minds, since we get many letters on Supply Chain; and in the time we have begun (just shy of two years), we have reached about eighty thousand subscribers. Let us hear from you!

Although one letter accused us of faulty thinking, I can’t let this topic go, since I keep seeing these headlines in so many prestigious business journals:

Trade Gap Balloons to $60.29 Billion[1] …from the Wall Street Journal WASHINGTON -- The U.S. trade deficit roared to yet another record, hitting $60.29 billion in November amid strong demand for imported petroleum and consumer goods. The news pushed the dollar down sharply on foreign-exchange markets, with the U.S. currency slipping a cent versus the euro, and falling to its lowest level versus the Japanese yen in more than a month.
Today's release ... continues to confound the 'experts' who have constantly predicted that a weaker dollar would be the cure for America's exploding trade imbalance," said Peter Schiff, president of Euro Pacific Capital Inc. in Newport Beach, Calif. "If anything, the statistical record is showing an inverse relationship between the dollar and the deficit: The more the dollar falls, the higher the deficit goes."
The ballooning trade gap underscored an underlying phenomenon in the U.S. economy, as Americans continued to consume more than they were able to produce.”

Again, paying down the debt might be a good idea vs. buying cheap consumer goods! Our government is merely a reflection of our own approach to money!

Included in the spending habits of Americans is our over dependencies (and therefore huge expenditures) of energy. The Rocky Mountain Institute has published a significant study on how we can Win at the Oil Endgame. We are missing out here in the policy game, with energy policy being so critical to national security, economics and environmental sustainment.

Moving on from here, we have some great articles this month. This New Year we are thinking forward and backward, as well as about supply chain strategies and successes – in particular, the past (remember APS) and the future (third paradigm) of planning systems. There is still so much for companies to do in their supply chains!

We also continue to reach a bit outward beyond our borders, this time to Peru. We will continue to literally explore the world, as we at ChainLink Research spread our wings on a global basis, with first hand accounts of the way the rest of the world lives…

Welcome to 2005! My sincerest hopes for a prosperous year for all!

[1] Staff Reporter of THE WALL STREET JOURNAL, January 13, 2005; Page A2