Supply chain

“ A sustained commitment to supply chain resiliency: The government will commit to a regular, ongoing process of reviewing supply chain resilience, including a quadrennial review process. Consultation with external stakeholders: The government cannot secure supply chains on its own. It requires partnership and consultation with the American people. The E.O. directs the Administration to consult widely with outside stakeholders, such as those in industry, academia, non-governmental organizations, communities, labor unions, and State, local, territorial, and Tribal governments. ”

“ The term mid-tier value chain means a local and regional supply network that links independent producers with businesses and cooperatives that market value-added agricultural products in a manner that— (i) targets and strengthens the profitability and competitiveness of small- and medium-sized farms that are structured as family farms; and (ii) obtains agreement from an eligible agricultural producer group, farmer cooperative, or majority-controlled producer-based business venture that is engaged in the value chain on a marketing strategy. (B) Producer– The term producer means a farmer. ”

“ The Executive Order launches a comprehensive review of U.S. supply chains and directs federal Departments and Agencies to identify ways to secure U.S. supply chains against a wide range of risks and vulnerabilities. Building resilient supply chains will protect the United States from facing shortages of critical products. ”

“ Imports can also benefit the United States by increasing consumer choice while lowering prices for millions of working families. In addition, imports can support employment for retailers, distributors, the transportation sector, and domestic manufacturers which rely on global supply chains to make products for both the U.S. and international markets. We must ensure that the benefits of trade are spread more widely. This can be achieved by training and supporting Americans and ensuring that trade agreements provide the economic opportunities that Americans deserve. ”

“ The system, in fact, is a gigantic one, and its professors are legion. It is as thriving an industry (save the mark) as any in the world. It is as perfectly organised in every department as any legitimate business. Its markets are regulated by the same inexorable laws of supply and demand, competition and coöperation, which govern the development of every branch of commerce. It has its manufacturers, its wholesale houses, its canvassers and retail dealers, all in regular form. ”

“ As we have seen above, one branch of production works for another. To make production systematic it is necessary that each branch should be supplied with as much material as it requires; one enterprise getting more, another less. That means that each product should be distributed regularly, according to plan, in correspondence with the demands of the branches in question. The various organs of supply, that is to say, such working organisations as deal with distribution of products, must be in direct communication with the organs dealing with its production. ”

“ It is the interest of the farmer to have the production of the raw material promoted by counteracting the interference of the foreign material of the same kind. It is the interest of the manufacturer to have the material abundant and cheap. If, prior to the domestic production of the material in sufficient quantity to supply the manufacturer on good terms, a duty be laid upon the importation of it from abroad with a view to promote the raising of it at home, the interest both of the farmer and manufacturer will be disserved. ”

“ The Community Department of Exchange then shipped it directly to the place where it was needed.
Under this system of distribution, products passed directly from the producer to the consumer and were never handled but once. The producers held their surplus in their own possession until they had orders from consumers by whom it was needed. The Commissioner of Exchange at Orbitello had a tabulated report of the surplus held by each district, and each district had its clerks in the Order and Supply Department of the Continental Exchange. ”

“ The major problem in planning has been posed by the need to balance supply and demand, not only with regard to the final consumers but also at all stages of the production process and for each individual enterprise. This task entails detailed decisions on the allocation of thousands of different materials, machinery and equipment items, specialized labor skills, energy, and investment funds. With the expansion and growing complexity of the economy and, more particularly, of industry, the balancing task has assumed dimensions that defy solution by traditional means. ”

“ It would make no difference whether one company or one individual owned all the factories fabricating the component parts of a single product, or whether such part were made in our independently owned factory, if only all adopted the same service methods. If we can buy as good a part as we can make ourselves and the supply is ample and the price right, we do not attempt to make it ourselves—or, at any rate, to make more than an emergency supply. ”

“ If, however, he should fall into error by importing an excess above the public wants, he could readily correct its evils by availing himself of the benefits and advantages of the system thus established. In the storehouse the goods imported would await the demand of the market and their issues would be governed by the fixed principles of demand and supply. ”

“ Keeping economy in distribution constantly in view as an essential for material progress, the tendency is also everywhere to dispense to the greatest extent with the "middle-man," and put the locomotive and the telegraph in his place. Retail grocers, as before shown, now buy their teas directly of the Chinaman, and dispense with the services of the East Indian merchant and his warehouses. Manufacturers deal more directly with retailers, with the result, it is claimed, of steadying supply and demand, and preventing the recurrence of business crises. ”

“ The accumulation of many large manufacturing establishments in the same district has a tendency to bring together purchasers or their agents from great distances, and thus to cause the institution of a public mart or exchange. This contributes to diffuse information relative to the supply of raw materials, and the state of demand for their produce, with which it is necessary manufacturers should be well acquainted. ”

“ It is the centre of the raw materials for manufactures, cotton, wool, metals, coal, gas, oil fields, all sorts of food. And as it is the centre of supply, so it is of distribution—60 railroads and branches bring freight and carry out manufactured products to every part of the country—to say nothing of the great number of lines of water transportations—connecting with all parts of the world. ”

“ When things have to be brought from a distance, the same person cannot effectually superintend both the making and the retailing of them; when they are best and most cheaply made on a large scale, a single manufactory requires so many local channels to carry off its supply, that the retailing is most conveniently delegated to other agency ”

“ We have already shown the bad results of the system upon the interests of the people, and do not intend to repeat it here. Ordinarily, the laws of trade, of demand and supply, will regulate and equalize the distribution of the circulating medium over the country. ”

“ Some businesses show a tendency to pass out of the hands of small producers or dealers into a smaller number of larger ones; but the cases in which this happens are those in which the possession of a larger capital permits the adoption of more powerful machinery, more efficient by more expensive processes, or a better organized and more economical mode of carrying on business, and this enables the large dealer legitimately and permanently to supply the commodity cheaper than can be done on the small scale ”

“ By regulating and equalizing the output in the different localities, it can run more nearly full time. Being acquainted with the entire situation it can reduce the friction. A strong combination has advantages in shipment. It can have a clearing-house for orders and ship from the nearest source of supply. The least efficient factories can be first closed when demand falls off. Factories can be specialized to produce that for which each is best fitted. The magnitude of the industry and its presence in different localities strengthens its influence with the railroads. ”

“ If a replicating factory system is used to flood a market with products, the prices of these products will fall, carrying profits downward as demand saturates in an unregulated economic environment. On the of her hand, in a tightly controlled economy the well.known problem of inferior production control feedback would be exacerbated, leading possibly to wild fluctuations in supply and demand for SRS products. ”

“ Moreover, it is observable that advance in organization, as well as advance in growth, is conducive to a better equilibrium of industrial functions. While the diffusion of mercantile information is slow, and the means of transport deficient, the adjustment of supply to demand is extremely imperfect: great over-production of each commodity followed by great under-production, constitute a rhythm having extremes that depart very widely from the mean state in which demand and supply are equilibrated. ”

“ If one nation were in a condition to supply manufactured articles, on better terms than another, that other might find an abundant indemnification in a superior capacity to furnish the produce of the soil. And a free exchange, mutually beneficial, of the commodities which each was able to supply, on the best terms, might be carried on between them, supporting, in full vigor, the industry of each. ”

“ It is true, their system is exclusive, and commerce with them is carried on under numerous restrictions; yet if such a vast mass of people exist and must be clothed; and if our merchants and manufacturers can furnish them with the necessary articles cheaper and better than they can supply themselves, the trade must extend, and our manufactures gain admission. ”

“ When the demand arises, the agencies of supply, namely production and distribution, usually respond. One of the great tasks of economic organization, therefore, is to estimate the probable demand and so influence production and distribution that the supply will neither be excessive nor fall short. If there is an over-supply of any commodity, prices normally will fall. That means that goods may bring less than it costs to produce and to distribute them. One reason for the organization of industry on a large scale under great corporations is that supply can thus be kept closer to demand. ”

“ For example, this customer might be such a large customer that the volume of his orders would yield such a return to the producer that the producer, by distributing his fixedc harges over the resultingly increased volume of business, could absorb the freight differential without loss of profit to his business as a whole and without raising any charges to his other customers. The securing of this particular business might even enable the producer to reduce his own basic factory price to all his customers. ”

“ But in many towns, and especially in America, the supply is considerably greater, but also in many cases a good deal of the supply is lost by leakage of the mains. The supply through the branch mains of a distributing system is calculated from the population supplied. But in determining the capacity of the mains the fluctuation of the demand must be allowed for. ”

“ These revenue duties, including freights and charges, which the importer must pay before he can come in competition with the home manufacturer in our markets, amount on nearly all our leading branches of manufacture to more than one-third of the value of the imported article, and in some cases to almost one-half its value. With such advantages it is not doubted that our domestic manufacturers will continue to prosper, realizing in well-conducted establishments even greater profits than can be derived from any other regular business. ”

“ In differing degrees for different end uses manufacturers in each industry take into consideration the price of the containers of the opposing industry in formulating their own pricing policy. [8] Thus, though the interchangeability of use may not be so complete and the cross-elasticity of demand not so immediate as in the case of most intraindustry mergers, there is over the long run the kind of customer response to innovation and other competitive stimuli that brings the competition between these two industries within § 7's competition-preserving proscriptions. ”

“ Under the law, industrial and trade enterprises must enter into contracts with suppliers for all products and services needed to fulfill the tasks of the next year's economic plan. In theory, the demands of final consumers for consumption and capital goods would determine the nature of the contracts through all stages of production down to the producers of raw materials. ”

“ It enables the consumer to obtain fresh products, as they are shipped direct from the point of production to the place of consumption. The plan carries other benefits which are of great moment to the producer. He is enabled to sell in carload lots at shipping point, thus saving to himself the cost of transportation, which ranges from 7 to 15 per cent of the gross selling price. The exchange secures a much wider distribution of the crop, with the result that overstocked markets are much less likely than under the consignment system. ”

“ They simply lay in storage areas awaiting use. To say that the goods 'were actually being used to supply, the daily requirements of the plant,' simply affirms the obvious fact that the imports, unaffected in the form in which they were brought in from abroad and deposited, awaited their intended, but not begun, manufacturing process. ”

“ Producers, manufacturers, wholesalers and retailers naturally all desire to extend their sales, to reach further markets in competition with their rivals, and are supported in this desire by the communities to whose welfare [106] they contribute. Any difference in freight rates that gives a producer of raw material, a manufacturer, a wholesale distributer, or a retail merchant an advantage over a competitor of another locality is therefore promptly made the subject of complaint. ”