John McClymont

Talk to an optimization expert about solving a problem, and they will ask about the objective function that quantifies the performance of a set of decisions. Talk to someone in supply chain management, or health, or transportation, and the answer gets complicated.   If you explain that you have more than one metric, they may start talking about “multiobjective optimization” (usually with a grimace on their face), or they might suggest a “utility function” where different metrics are combined into a single metric using weights to be determined.   The first step should be to form a pyramid that ranks the importance of different metrics. Then, we need to realize that there are three ways a metric can enter a problem:   o Objectives to be maximized or minimized, possibly combined into a single utility function. o Upper or lower limits – We might want to limit stockouts or blood sugar. o Targets – This is where we want a metric to be as close as possible to a value (body temperature, unemployment rate).   For a more in-depth discussion, see the examples in chapter 2 and the discussion in chapter 3 in my new book:   Bridging Problems to Models: Volume I: Framing the Problem https://lnkd.in/ezQ_Y5De (“tinyurl.com/” with “BridgingDecisionProblems”)

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Secretary Rubio’s recent X post about pausing worker visas for truck drivers sparked a lot of noise. I wrote this week’s newsletter to clear the air: 🚛 B1 drivers aren’t on worker visas — they can only move international freight. 🍁 Canadian drivers operate under a separate framework. ⛔ Cabotage is illegal — and I don’t support it. What started as a quick reply on X turned into a long back-and-forth with drivers about how cross-border freight really works. So I pulled it all together in a full deep dive. Read it here: https://lnkd.in/gn26Qwsp

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🚛 Embracing the Future: How CJ Darcl is Transforming Logistics with AI 🤖 We often hear how legacy brands must adopt technology to stay ahead. For CJ Darcl Logistics Ltd. , technology has always been at the heart of our growth journey. From early ERP adoption in the 90s to advanced digital tools today, innovation drives everything we do. Now, we are stepping into the next phase: Artificial Intelligence (AI). AI is helping us improve driver safety through real-time fatigue monitoring and smarter behavior tracking. It’s enabling transparent freight pricing, optimizing routes, and reducing risks to make logistics faster, safer, and more reliable. For us, technology is not just about efficiency—it’s about building a sustainable, future-ready ecosystem for everyone in our supply chain. Read the full article: https://lnkd.in/gwNnUSuM #CJDarcl #AI #SmartLogistics #DigitalTransformation #Innovation #SupplyChainExcellence #NikhilAgarwalCJDarcl

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🚨 MASSIVE LOGISTICS SHAKEUP: C.H. Robinson Just Made a Bold Strategic Move That Could Change Everything Global logistics giant C.H. Robinson just announced they're selling their ENTIRE European Surface Transportation business to sennder Technologies GmbH. This isn't just another acquisition—it's a masterclass in strategic focus. Here's what's really happening: 🎯 C.H. Robinson is doubling down on their "get fit, fast and focused" strategy Instead of trying to be everything to everyone, they're laser-focusing on their four core strengths: • North American truckload • Less-than-truckload (LTL) • Global ocean freight • Air freight 💡 The European Surface Transportation division has been with C.H. Robinson since 1994—30 years of operations. But sometimes the smartest business move is knowing when to let go of good to focus on great. 🚀 For sennder Technologies, this is HUGE They're already Europe's leading digital road freight forwarder, and this acquisition gives them: • Massive scale expansion • Enhanced digital capabilities • Immediate market presence across Europe 📈 What this means for the trucking industry: ✅ Digital transformation is accelerating—traditional logistics companies are partnering with tech-forward firms ✅ Specialization beats diversification—companies are choosing depth over breadth ✅ European freight market is consolidating around digital-first players The transaction closes Q4 2024, and C.H. Robinson will still maintain their European Global Forwarding and managed services. Smart move or risky bet? I think it's brilliant strategic positioning. What's your take—is this the future of logistics? More partnerships between traditional giants and digital disruptors? #Trucking #Logistics #FreightForwarding #SupplyChain #Transportation #DigitalTransformation #CHRobinson #Sennder #EuropeanFreight #TruckingIndustry #LogisticsTech #FreightTech

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Mobility looks different for every business and every driver. We’re partnering with Motus, the industry leader in reimbursement solutions, to deliver a smarter, more agile and unified mobility experience for drivers across the U.S. and Canada. Read the full details in the press release: https://bit.ly/3GYvaGL

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All parcel delivery providers carry risk. [the Canada Post strike is the latest example] This risk is amplified with a single-carrier strategy. Some carrier risks aren’t as obvious as with Canada Post. ➡️ FedEx: rate increases, rigid contracts ➡️ UPS: FedEx risks, +labor disruptions ➡️ USPS: rate increases, service quality But the type of risk is variable, situational. And it’s not often seen as a risk. Risk is a product of: impact x probability A couple of examples. 1. Single-sourcing with UPS/FedEx This strategy carries expense risk. [probability = high, impact = can range widely] You have little influence over rate changes. Aside from contract negotiation. Which is far less effective with no competition. So, the probability of this risk materializing is near 100%. The impact depends on how well your contract is managed. But there is a limit to how much risk can be mitigated. 2. Moving 10% of volume to an alternative carrier The risk here (real or perceived) is service quality. And, yes, there is carrier closure risk. As we've seen over the past 18 months. [Point Pickup, Pitney Bowes, Pandion, Maergo, Deliver-It] Probability will range, but let’s say service risk is moderate. On 10% of volume, it’s material but limits impact. Granted there is less certainty compared to UPS/FedEx. But that’s part of the process, to confirm value gained. Or confirm that the carrier is not a fit for your program. It’s a calculated risk. But maybe one that is worth taking. ----- Working with any delivery provider carries risk. Some are obvious [Canada Post] Others aren’t as obvious [FedEx, UPS] It’s up to you to identify the risks. Determine if/how it can be mitigated. And execute a plan to take control of your parcel program. #logistics #ecommerce #retailing P.S. A link to my collaboration with ePost Global on this topic is in the comments. It’s a deep dive into the risks/benefits comparison of single-carrier and multi-carrier strategies.

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