Industry Spotlight: Supply Chain Management ⛓️

Happy Hump Day (do people still say that?). Today, we're talking about Supply Chain Management. Grab your clipboards.

The Biden-Harris administration announced yesterday the key findings and plans of its 100-day review of America’s supply chains. The announcement focused primarily on 4 areas: semiconductor manufacturing, large capacity batteries (for EVs), procurement of critical minerals & materials for technology, and active pharmaceutical ingredients (APIs). The goals tend toward domestically and sustainably sourced goods and production methods as well as an overall strengthening of vulnerabilities in supply chains.

Proposed plans include $4BN to strengthen the diversity of the U.S. food system, a global forum of government officials and private sector stakeholders for addressing vulnerabilities and to develop approaches to challenges, and a recommended $50BN in investments toward domestic manufacturing and $15BN toward EV infrastructure. With these plans in mind, we look at the private sector companies seeking to increase efficiency, safety, and strength of the supply chain at home, and abroad. 

Private Companies in Supply Chain Management:

• Thrasio has been in the news for its VC-magnet business model of acquiring successful Amazon businesses and driving ever-greater success through expertise in scaling, branding, and supply chain management. The Walpole, MA company raised a $100M Round D in April. 

• Convoy provides a digital freight network that connects shippers to carriers, moving millions of truckloads more efficiently, thereby eliminating loads of carbon emissions. The company received a $2.8BN valuation in 2019 after a $400M Round D.

• Flipkart, the India-based and Walmart-backed e-commerce rival to Amazon, is in talks to raise $3BN to strengthen its supply chain and to grow its online grocery service, Supermart. Flipkart is planning an IPO for the 4th quarter of this year, seeking a valuation of $35BN.

• TraceLink is a software company connecting millions of networks into one agile supply chain. The company is promising to reduce manufacturing disruptions by a jaw-dropping 97%. With its headquarters in an American-as-apple-pie small-town, North Reading, MA, the company might make an excellent partner for the administration's domestic efforts.