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NextEra-Dominion Deal Shows Power Is Becoming a Supply Chain Constraint

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The proposed NextEra-Dominion combination would create the world’s largest regulated electric utility business and a 130-GW large-load opportunity pipeline. The deal highlights a broader industrial reality: AI, data centers, electrification, and advanced manufacturing are making power availability a strategic supply chain issue.

The proposed combination of NextEra Energy and Dominion Energy is more than a utility megadeal. It is a signal that electricity is becoming one of the critical constraints in the next phase of industrial growth.

The companies announced an all-stock transaction that would create what they describe as the world’s largest regulated electric utility business by market capitalization. The combined company would serve approximately 10 million utility customer accounts across Florida, Virginia, North Carolina, and South Carolina, own 110 gigawatts of generation, and operate with a business mix that is more than 80 percent regulated. It would also have more than 130 gigawatts of large-load opportunities in its pipeline.

That last figure deserves attention. Large-load demand increasingly means data centers, AI infrastructure, advanced manufacturing, electrification, and industrial expansion. These are not small incremental additions to the grid. They require generation, transmission, interconnection, land, permitting, financing, grid equipment, and construction capacity at substantial scale.

For supply chain leaders, the lesson is direct: power availability can no longer be treated as a background assumption.

Scale Is Becoming a Utility Supply Chain Advantage

NextEra and Dominion framed the transaction around scale in operations, procurement, construction, and financing. That language matters. This is not only about market capitalization or geographic reach. It is about the ability to buy, build, finance, and operate in a constrained infrastructure environment.

The power sector is facing bottlenecks that will sound familiar to supply chain executives: long lead-time equipment, constrained supplier capacity, permitting delays, scarce skilled labor, rising capital costs, and complex project sequencing. Large transformers, turbines, switchgear, battery systems, transmission components, and grid automation equipment are not infinitely available.

Utilities with larger procurement platforms, stronger balance sheets, and deeper project execution capabilities may be better positioned to secure supply, sequence projects, and manage cost inflation.

NextEra and Dominion are explicit on this point. Their strategic rationale cites a “world-class supply chain,” “unmatched buying power,” and stronger construction, technology, data, and analytics capabilities. The companies also cite a combined rate base of approximately $138 billion expected to grow at about 11 percent through 2032.

In practical terms, the deal is a statement that utility supply chain execution is now a competitive differentiator.

Why the Integrated Utility Model Is Returning

Analysts have described the proposed deal as part of a shift back toward an integrated utility model. That observation gets to the core of the transaction.

For years, much of the energy transition story emphasized modularity: independent power producers, renewable developers, merchant markets, power purchase agreements, and specialized infrastructure providers. But AI-driven load growth is changing the requirements.

Large customers increasingly need a coordinated answer to a basic question: can reliable power be delivered at scale, on schedule, and at a cost that supports the business case?

That answer is difficult to provide through fragmented execution. A hyperscale data center, semiconductor facility, or large industrial campus does not just need a generation contract. It needs confidence that generation, transmission, interconnection, regulatory approval, grid reliability, and long-term service capability will come together.

This is where an integrated utility platform can have an advantage. It can coordinate capital planning, generation development, transmission investment, regulatory filings, customer commitments, and equipment procurement within a more unified operating model.

AI Is Both the Demand Driver and the Operating Tool

There is an interesting duality in the announcement. AI is part of the reason power demand is accelerating. It is also part of how utilities will manage the complexity created by that demand.

The companies describe the combined business as a leader in data and analytics, with the ability to use AI to drive efficiencies in development, construction, and operations.

That is where the utility sector begins to look more like other complex supply chain environments. Utilities must decide which projects to build, where to build them, how to sequence them, how to allocate scarce equipment, and how to balance reliability, affordability, regulatory obligations, and customer demand.

These are complex, multi-variable planning problems. AI can help, but only if it is connected to accurate asset data, project constraints, demand forecasts, permitting status, supplier capacity, and regulatory requirements.

That is the same pattern now emerging across supply chain management. AI becomes valuable when it is connected to trusted data, operational context, and execution workflows. Intelligence without execution does not solve the problem.

For a deeper look at how AI is beginning to reshape operational decision-making across supply chain networks, see our white paper, AI in the Supply Chain: From Architecture to Execution.

The Data Center Load Question

The 130-GW large-load opportunity pipeline is the most striking figure in the announcement. It does not mean every project will be built, approved, or served. But it does show the magnitude of the demand signal.

This demand is concentrated in regions where digital infrastructure, population growth, and economic development are accelerating. Dominion’s Virginia footprint is especially important because Northern Virginia is one of the most important data center markets in the world. NextEra brings one of the strongest generation development platforms in North America, including renewables, battery storage, gas generation, nuclear capacity, and large-scale project development.

That generation mix matters. Data center loads need reliability. Renewables and storage are important, but large-load demand also raises questions about firm capacity, gas generation, nuclear generation, transmission constraints, and grid resilience. The proposed company would be positioned across multiple resource types, giving it more flexibility in serving large-load customers.

Affordability and Cost Allocation Will Be Central

The affordability question cannot be treated as a footnote. The companies are proposing $2.25 billion in bill credits for Dominion customers in Virginia, North Carolina, and South Carolina spread over two years after closing. They also point to potential financing benefits from improved credit metrics and lower financing costs.

But the larger regulatory issue will be cost allocation. If utilities build major generation and grid infrastructure to serve data centers and other large-load customers, regulators will ask who pays.

The announcement directly references large-load tariffs, stating that large-load customers should pay their fair share for generation. That language is important. It suggests the companies understand that the AI power boom will face political and regulatory resistance if residential and small business customers believe they are subsidizing infrastructure for hyperscale users.

The power demand is real. The infrastructure needs are real. But the cost allocation model will determine whether the buildout is economically and politically sustainable.

Regulatory Approval Is Not a Formality

The proposed transaction has been approved by both boards, but the closing path is complex. The companies expect the transaction to close in 12 to 18 months, subject to shareholder approvals, Hart-Scott-Rodino review, Federal Energy Regulatory Commission approval, Nuclear Regulatory Commission approval, and state reviews in Virginia, North Carolina, and South Carolina.

That approval process will test the deal’s central claims: affordability, reliability, local control, customer benefits, employee protections, and economic development.

What This Means for Supply Chain Leaders

For supply chain executives, this deal should be read as a warning and an opportunity.

The warning is that electricity can no longer be assumed. Site selection, automation strategy, cold storage expansion, electrified fleets, robotics deployments, manufacturing reshoring, and AI infrastructure all depend on available and reliable power.

The opportunity is that companies that treat energy as part of supply chain design will make better long-term decisions. Power availability, utility capacity, interconnection timelines, local tariffs, grid reliability, and regional generation mix should increasingly be part of network design.

This is especially true for companies investing in automated distribution centers, electric truck fleets and depot charging, cold chain infrastructure, semiconductor and battery plants, AI-enabled control towers, high-density robotics, and warehouse automation.

The energy supply chain and the logistics supply chain are converging. A warehouse is no longer only a real estate decision. A factory is no longer only a labor and transportation decision. A data center is not only a computing asset. All are power-dependent infrastructure nodes.

The Strategic Readout

The proposed NextEra-Dominion combination may or may not close. But the strategic direction is clear.

AI, data centers, electrification, and advanced manufacturing are creating a new class of power demand. Serving that demand requires more than generation capacity. It requires coordinated execution across capital planning, grid investment, equipment procurement, regulatory approval, construction, and operations.

That is why this deal matters beyond the utility sector. It shows that power is moving into the center of industrial strategy.

For supply chain leaders, the message is straightforward: energy availability belongs in the same strategic conversation as labor, inventory, transportation, automation, resilience, and risk.

Power is now part of supply chain strategy. Companies that recognize that early will make better decisions about where to build, how to automate, and how to compete.

The post NextEra-Dominion Deal Shows Power Is Becoming a Supply Chain Constraint appeared first on Logistics Viewpoints.

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Logistics Viewpoints Is Refocusing on Logistics

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Logistics Viewpoints is getting back to its roots.

Going forward, we are putting more emphasis on logistics and less on trying to cover the entire supply chain.

That may sound like a small distinction. It isn’t.

Supply chain has become an enormous umbrella. It can include sourcing, procurement, manufacturing, planning, inventory, logistics, sustainability, risk, technology, and almost anything that happens between a supplier and a customer.

There is plenty to write about there. But trying to cover all of it can also make it harder for a publication to have a clear point of view.

Logistics gives us that focus.

What We Mean by Logistics

For Logistics Viewpoints, the center of gravity will be the movement and storage of goods and the systems required to make that happen.

That means transportation, warehousing, distribution, fulfillment, automation, robotics, visibility, global logistics, logistics technology, and execution.

It also means we will continue writing quite a bit about AI, data, digital twins, agents, and decision intelligence. But the question will be what those technologies actually mean for logistics.

How does AI change transportation planning or execution?

What happens when warehouse systems can coordinate robots, people, inventory, and material-handling equipment in real time?

Can better visibility actually change a decision before it is too late to do anything about it?

Where can software act on its own, and where should a person remain in the loop?

Those are logistics questions.

This Doesn’t Mean Supply Chain Disappears

There is obviously no clean wall between logistics and the rest of the supply chain.

Inventory decisions affect transportation. Manufacturing decisions affect warehouses and distribution networks. Sourcing changes freight flows. Planning determines what logistics eventually has to execute.

So we aren’t going to stop using the term “supply chain,” and we aren’t going back through years of Logistics Viewpoints articles changing old terminology.

The distinction is more practical.

If a broader supply chain development has a meaningful logistics consequence, we will cover it. If it doesn’t, we don’t necessarily need to.

That gives us a fairly simple editorial test: Where is the logistics story?

The Site Will Change With the Focus

We’re also going through Logistics Viewpoints itself to make sure the site reflects that direction.

Some of the language has gradually become broader over the years. The homepage, About page, Topics pages, newsletter language, navigation, and several other areas still describe LV largely in supply chain terms.

Those will change.

For example, “Independent Intelligence for Supply Chain Leaders” becomes “Independent Intelligence for Logistics Leaders.”

The topics we emphasize will also become more clearly organized around transportation, warehousing, fulfillment, automation, visibility and orchestration, global logistics and trade, logistics technology and AI, and logistics risk and resilience.

ARC Advisory Group will, of course, continue to conduct research across the broader supply chain and industrial technology markets. This change is about giving Logistics Viewpoints a sharper editorial identity, not narrowing ARC’s research coverage.

Two New Series Help Set the Direction

We are also launching two substantial series that reflect where we want to take the publication.

The first is Systems Engineering in Logistics, a 16-part series.

One of the problems with logistics transformation is that companies can approach transportation, warehousing, automation, software, data, and AI as separate projects. But they all eventually have to work together.

The series looks at logistics as a system.

It starts with requirements and operating models and works through process and data architecture, technology selection, AI, digital twins, automation, testing, resilience, and lifecycle management.

The basic idea is simple: before optimizing another piece of logistics, make sure we understand the system we are changing.

The second series is The New Architecture of Logistics, with 10 articles looking at what that system is becoming.

We’ll examine why logistics increasingly looks like an operating system, why the traditional boundary between transportation and warehousing is weakening, the emergence of a logistics control layer, increasingly orchestrated warehouses, computational transportation, the changing economics of visibility, AI agents, decision velocity, and eventually more autonomous logistics operations.

The two series approach the subject from different directions.

Systems Engineering in Logistics is about how we design the system.

The New Architecture of Logistics is about what the system is becoming.

Back to Logistics

Logistics itself is becoming a much bigger technology story.

Warehouses are becoming more automated. Transportation systems are becoming more dynamic. Physical assets are becoming easier for software to observe. AI is moving closer to execution. Decisions that once took hours can increasingly be made in minutes or seconds.

At the same time, none of the physical realities have disappeared. Trucks still have to arrive. Trailers still have to be loaded. Inventory still has to be in the right place. Orders still have to get out the door.

That intersection between the physical world and increasingly intelligent technology is where Logistics Viewpoints has a lot to say.

So the change is not about making LV smaller.

It is about making it clearer what we are here to cover.

Logistics.

The post Logistics Viewpoints Is Refocusing on Logistics appeared first on Logistics Viewpoints.

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Why Most B2B Webinars Fail to Reach Executives

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Most B2B webinars do not fail because they lack registrations. They fail because they do not create enough executive relevance.

A webinar can attract a respectable audience, generate leads, and still make little impression on the senior decision-makers a technology supplier actually wants to influence. The problem is often not promotion or production quality. It is the design of the conversation.

In the latest Logistics Viewpoints Podcast, we look at why issue-first webinar design, analyst-led moderation, and market-focused discussion often outperform traditional product-centric presentations—especially in complex logistics and enterprise technology markets.

Executives Do Not Attend Webinars for Product Tours

The conventional B2B webinar usually begins with the supplier.

Here is our company. Here is our platform. Here are the capabilities. Here is a customer example.

That format can work when prospects are already evaluating a specific solution. It is much less effective when the goal is executive engagement or thought leadership.

Senior executives are usually thinking about larger operating questions: cost, service, resilience, labor, customer expectations, technology risk, capital allocation, and how their operating model needs to change.

A better webinar starts there.

The most important opening question is not:

What does our product do?

It is:

What important problem is changing in the market, and what does an executive need to understand about it?

That shift changes the entire discussion.

Start With the Issue, Not the Solution

An issue-first webinar begins with a problem that matters even if the sponsor’s product is never mentioned.

In logistics, that could be warehouse automation, transportation volatility, decision latency, AI agents, visibility economics, labor constraints, or the convergence of transportation and warehouse execution.

The discussion can then explore what is changing, why it matters, where conventional approaches fall short, and what executives should be thinking about next.

Technology still belongs in the conversation. But it enters as part of the answer rather than as the premise.

That creates a different relationship with the audience.

Instead of asking an executive to spend 45 minutes learning about a vendor, you are offering 45 minutes of useful perspective on a problem that executive already has.

Analyst-Led Moderation Raises the Value

A strong moderator should do more than introduce speakers and move through prepared questions.

The moderator should represent the audience.

That means asking the questions an informed customer would ask, challenging broad claims, drawing distinctions between approaches, and pushing the discussion away from features and toward operating consequences.

An analyst can also provide market context.

If a supplier says customers are increasingly asking for a capability, the moderator can explore why. What changed? Is this isolated or part of a broader shift? What business problem is driving demand? What barriers remain?

The supplier still gets to demonstrate expertise. In many cases, it demonstrates more expertise than it would in a conventional presentation because the value comes through the quality of the thinking.

Credibility Is Part of Webinar ROI

Enterprise technology purchases are rarely driven by a single interaction.

Decision-makers form impressions over time.

Does this company understand my industry? Does it understand the problem beyond its own product? Are its executives credible? Does the company have something useful to say when it is not directly selling?

A strong webinar can influence those perceptions.

That means webinar ROI should not be measured only by registrations, attendance, marketing-qualified leads, or immediate meetings.

Those metrics matter. But executive webinars can also build market credibility.

In long, complex enterprise sales cycles, that credibility can be strategically important even when it is difficult to capture in a lead-generation dashboard.

Do Not Make One Webinar Do Everything

Another common mistake is trying to make a single webinar generate leads, demonstrate the product, educate the market, create thought leadership, produce sales meetings, and satisfy every stakeholder at once.

Those goals can conflict.

A webinar optimized aggressively for immediate lead conversion can become too promotional to attract or retain the senior audience that makes the program valuable.

A better objective is simpler:

Create a conversation worth an executive’s time.

Demand generation can follow.

Build a Content Asset, Not a One-Time Event

A substantive webinar can also become much more than the live event.

A strong discussion can support a podcast episode, article, video clips, social posts, newsletter content, sales enablement material, and follow-up conversations.

That improves the economics of the program.

But repurposing only works when the original discussion contains genuine ideas. There is little value in repackaging the same sales presentation six different ways.

From Webinar Marketing to Market Influence

The best B2B webinars do not begin by asking how quickly they can get to the product.

They begin by identifying an important market issue, framing it around the decisions executives are facing, and creating a discussion that offers useful perspective.

For companies selling complex logistics and enterprise technology, that is where webinars can become more than another demand-generation tactic.

They can build credibility, shape market perception, and establish the company as part of the conversation about where logistics is going.

That is a much higher bar than generating registrations.

It is also a much more valuable one.

Watch the latest Logistics Viewpoints Podcast episode above to explore the full discussion on issue-first webinar design, executive engagement, analyst-led moderation, and improving B2B webinar ROI.

The post Why Most B2B Webinars Fail to Reach Executives appeared first on Logistics Viewpoints.

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Logistics Is Becoming Reconfigurable

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Logistics optimization has traditionally been built around a relatively stable operating network. Transportation managers optimize modes and routes, warehouse operators optimize labor and throughput, and distribution teams position inventory against expected demand. Conditions change, but the underlying logistics architecture has generally been stable enough to optimize around it.

That assumption is becoming harder to defend. Trade disruptions can redirect freight flows, infrastructure constraints can change viable transportation routes, warehouse demand can shift within hours, and automation is becoming capable of adapting to operating conditions in real time. The emerging logistics challenge is therefore not simply optimization. It is reconfigurability: the ability to change how goods move, where they flow, and how logistics resources are deployed while conditions are changing.

When Transportation Routes Change, the Rest of the Network Has to Follow

Recent uncertainty surrounding global shipping routes illustrates the problem. The Port of Los Angeles has been preparing for the possibility of additional cargo moving through the U.S. West Coast as shippers respond to continued Red Sea uncertainty and potential restrictions at the Panama Canal.

The port has discussed a planning scenario involving roughly 5 percent year-over-year cargo growth, while emphasizing that this is a preparedness assumption rather than a guaranteed forecast. More important than the number is the operational preparation behind it. The port has been coordinating with terminal operators, ocean carriers, trucking companies, and labor organizations to determine whether additional freight could be absorbed if global routing patterns shift.

This exposes an important weakness in the way logistics resilience is sometimes discussed. An alternate route on a network diagram is not necessarily a usable alternate route.

A port needs terminal capacity. Containers arriving at the port need chassis and drayage capacity. Inland freight requires available rail or truck capacity. Distribution centers need doors, labor, yard space, and storage capacity. Inventory arriving through a different gateway may also change lead times and downstream replenishment schedules.

The logistics network therefore cannot simply reroute the shipment. It has to understand and manage the consequences of the rerouting across the rest of the network.

That is logistics reconfigurability.

Warehouses Need to Reconfigure During the Shift

The same principle increasingly applies inside distribution centers. Warehouse operations have traditionally been planned around expected order volumes, available labor, established workflows, and known automation capacity. The problem is that those assumptions rarely remain constant throughout the operating day.

Orders arrive differently than expected. Labor availability changes. Automation throughput varies. Inbound trailers arrive early or late. Transportation schedules change. A labor plan that looked optimal at 8:00 a.m. may be badly mismatched with the operation by noon.

Warehouse technology has historically been good at measuring these differences. Labor management systems track productivity, WMS applications monitor work, and automation systems report equipment performance. The emerging opportunity is to use that information to change operations while there is still time to affect the outcome.

Warehouse labor-management and intelligence company Takt recently announced a $9.25 million Series A and says its platform supports more than 100 warehouses. Kenco has deployed the technology across 19 distribution centers, with additional expansion planned.

The performance figures associated with those deployments are company- and customer-reported, but the architectural direction is more significant. Takt says it is developing AI agents capable of rebalancing labor against live order conditions within supervisor-defined limits.

That changes the role of logistics intelligence. Instead of simply telling an operator what happened during yesterday’s shift, the system can increasingly help determine what should change during today’s shift.

The relevant metric becomes decision-to-action latency: the amount of time between detecting an operational change, determining the appropriate response, and actually changing the logistics operation.

Automation Is Becoming More Flexible

Warehouse robotics are moving in the same direction. Robot.com and Sodexo have signed a seven-year commercial agreement expanding autonomous delivery across North American campuses. The length of the agreement is notable because it suggests autonomous delivery is moving beyond short-term pilots toward longer-term logistics infrastructure.

Pudu Robotics has also introduced the MP2000 autonomous pallet-handling robot, which the company says can operate with less fixed infrastructure than earlier generations of automated forklifts. Those performance claims still need to be proven across diverse production environments, but the direction is important.

Traditional automation often required the warehouse to adapt to the automation. Facilities needed fixed infrastructure, tightly controlled workflows, dedicated operating areas, or substantial implementation work. More flexible autonomous systems potentially reverse that relationship by allowing automation to adapt more readily to the facility and changing workflows.

That matters because a highly automated warehouse is not necessarily a flexible warehouse. If changing the operation requires months of engineering and integration work, automation can actually create another form of rigidity.

The more important logistics capability is adaptable automation: technology that can be redeployed, re-tasked, or reorchestrated as volumes, products, labor requirements, and service expectations change.

Inventory Positioning Is Becoming More Dynamic

Reconfigurability also changes the role of inventory. Traditional logistics network design asks where inventory should be positioned to balance transportation costs, inventory carrying costs, and customer-service requirements. Increasingly, the answer may need to change more frequently.

A transportation disruption can make one distribution center less attractive. A demand spike can make inventory in another facility more valuable. A capacity constraint at one warehouse can shift fulfillment toward another node. Changes in delivery requirements can alter which inventory location provides the best combination of cost and service.

This creates a more dynamic fulfillment problem. The logistics system increasingly needs to determine not simply where inventory should reside in the network, but which available inventory should serve each order given current transportation capacity, warehouse conditions, service requirements, and cost.

That is where inventory visibility, transportation management, warehouse management, order management, and decision intelligence begin to converge.

From Logistics Optimization to Continuous Reoptimization

Traditional logistics optimization is essentially a constrained problem: define the orders, inventory, transportation capacity, warehouse capacity, service requirements, and costs, and determine the best way to move the freight.

The emerging problem is more difficult because the constraints themselves keep changing. A transportation lane becomes unavailable. A port becomes congested. A carrier loses capacity. Warehouse labor falls below plan. Orders shift geographically. Automation throughput changes.

The system therefore needs to find another answer and determine whether that answer can actually be executed.

That makes continuous reoptimization coupled with execution an increasingly important logistics capability. A mathematically optimal transportation plan has limited value if operations cannot implement it before conditions change again.

In many situations, the second-best logistics plan that can be executed immediately may be considerably more valuable than the theoretically optimal plan that takes days or weeks to implement.

Logistics Optionality Has Economic Value

This also changes how logistics organizations should think about redundancy. Alternate carriers, ports, warehouses, transportation modes, fulfillment nodes, labor pools, and automation capacity all cost money. Traditional efficiency programs can therefore make redundancy appear wasteful.

But those resources also create options.

An alternate carrier has value when the primary carrier lacks capacity. A second port has value when the preferred gateway becomes congested. Flexible warehouse labor has value when order volume changes. Adaptable automation has value when workflows shift.

The challenge is determining how much optionality is economically justified.

Future logistics optimization will therefore need to answer a more sophisticated question than, “What is the lowest-cost way to move this freight?”

It will increasingly need to determine: What is the lowest-cost logistics network that provides enough operational flexibility to maintain service when conditions change?

The Logistics KPI to Watch: Time to Reconfigure

Logistics organizations already measure transportation cost, warehouse productivity, inventory turns, on-time delivery, order cycle time, capacity utilization, and service performance. Another family of metrics is likely to become increasingly important: how quickly the operation can change.

How quickly can freight move to another carrier or mode? How long does it take to redirect volume through another port? How quickly can fulfillment shift between distribution centers? How rapidly can warehouse labor be rebalanced? How long does it take to redeploy automation or change a warehouse operating plan?

These measurements reveal something traditional efficiency metrics do not: the logistics network’s ability to respond while the disruption is still unfolding.

That may become particularly important as AI enters logistics execution. The value of AI will not ultimately be measured by how many recommendations a system generates. It will be measured by whether those recommendations can safely and economically change transportation, warehousing, fulfillment, inventory, and labor decisions in time to improve the outcome.

The Bottom Line

For decades, logistics excellence largely meant executing a well-designed plan as efficiently as possible. The emerging environment requires something more.

Transportation routes change. Capacity moves. Warehouse conditions change throughout the day. Inventory needs to be repositioned. Automation is becoming more adaptable, while decision systems are becoming capable of responding faster to operational changes.

The strongest logistics operations will therefore not simply execute the original plan better. They will recognize when the original plan is no longer the best one and reconfigure transportation, warehousing, inventory, labor, and automation faster than competitors.

The future of logistics is not simply optimized. It is reconfigurable.

The post Logistics Is Becoming Reconfigurable appeared first on Logistics Viewpoints.

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