Yearly Archives: 2012

Distribution and Transportation

DEFINITION of 'Transportation Sector' A category of stocks relating to the transportation of goods or customers. The transportation sector is made up of airlines, railroads and trucking companies.

Ascend and its experts has worked inside the Distribution and Transportation markets, including ownership, for over 25 years. Businesses at every stage of the life-cycle have been turned around, enhanced, or sold, with our unique style of achieving results. Ownership is completely involved and in fact, control the process through their objectives.

There are eight critical factors in this sector that must be front of mind as you navigate your way to your ultimate end game:

  1. Filling the Workforce Capacity and Future Leadership Voids
  2. Building and Maintaining Infrastructure
  3. Fixing the Highway Trust Fund and/or Re-evaluating the Federal Role
  4. Improving Intermodal/Multimodal Connectivity
  5. Maximizing the Utilization of Passenger and Freight Infrastructure
  6. Incentivizing Expanded Use of Private Capital in Transportation Infrastructure
  7. Responding to Changes in Energy Markets
  8. Understanding the Changes in Manufacturing and Sourcing

These issues and more can plague a small business and the inability to have economies of size must be mitigated.

Warehouse and Logistics

Industry Snapshot Warehousing and Logistics. ... Logistics is the management of the supply chain, controlling the movement of goods from the point of origin to the point of destination using the most efficient, cost effective methods.

Some of the key issues facing the Warehouse and Logistics space:

  • Warehousing has suffered from a poor image. It has often been viewed as a career with limited options and therefore has not generated a lot of interest from prospective job seekers.
  • This industry, like many other transport sectors is faced with the challenge of an ageing workforce.
  • The lack of Language Literacy and Numeracy skills is preventing further career progression of some workers and as technology is incorporated into operations, there are concerns that some workers may fall further behind. The skills and aptitude required of workers has risen as the duties are becoming more complex.
  • With the growing need for technology within businesses to deliver real time information for analysis, companies are further investigating how to integrate items such as tablet computers into their day-to-day operations. Some of the challenges associated with this include the durability of devices in high impact environments and implications of downtime during maintenance.
  • As the number of workers from culturally diverse backgrounds is increasing, a greater level of sensitivity is needed from management when engaging and communicating with workers.
  • A greater level of investment is needed to train people at higher levels eg managers, but industry is faced with the challenge of not being able to release key members of staff for prolonged periods of time.

Ascend has worked with hundreds of clients in this space over the years and has unique knowledge, applications, and solutions to cover the myriad of issues facing this sector.

Wholesale

Wholesaling, jobbing, or distributing is the sale of goods or merchandise to retailers; to industrial, commercial, institutional, or other professional business users; or to other wholesalers and related subordinated services. In general, it is the sale of goods to anyone other than a standard consumer.

According to the United Nations Statistics Division, "wholesale" is the resale (sale without transformation) of new and used goods to retailers, to industrial, commercial, institutional or professional users, or to other wholesalers, or involves acting as an agent or broker in buying merchandise for, or selling merchandise to, such persons or companies. Wholesalers frequently physically assemble, sort and grade goods in large lots, break bulk, repack and redistribute in smaller lots. While wholesalers of most products usually operate from independent premises, wholesale marketing for foodstuffs can take place at specific wholesale markets where all traders are congregated.

Year in Review:

Total U.S. Wholesale Trade during the 12 months through November 2016 totaled $5.3 trillion, down 0.9% compared to the level one year ago. Low com-modity prices in 2016 created headwinds for many wholesaler-distributors as they felt the pain of declines in the dollar value of revenues related to Wholesale Trade of Petroleum, and Wholesale Trade of Metals and Minerals, down 14.7% and 12.8%, respectively. However, not all wholesaler-distributors shared the same experience. Total U.S. Wholesale Trade excluding Petroleum, Metals, and Minerals (up 1.2% year-over-year) avoided a recession altogether, supported by the growth in consumer-facing segments. Such segments include Wholesale Trade of Lumber and Other Construction Materials (up 6.5% year-over-year), Wholesale Trade of Furniture and Home Furnishings (up 6.2%), and Wholesale Trade of Hardware, Plumbing, and Heating Equipment and Supplies (up 4.3%). U.S. Wholesale Trade Employment averaged 5.9 million workers in 2016 as a whole, up 0.9% from the 2015 level. However, the pace of growth is slowing.

Network of Partners

Network of Partners
Whether looking for capital, searching for a buyer, or needing assistance in legal matters such as restructuring, Ascend has surrounded itself with partners that achieve results for you. Most have a shotgun approach, we fire sniper shots with our network which breeds speed and success both are typically luxuries small business cannot afford when it…
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