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Alexander the Great and the Logistics of the Macedonian Army:
Alexander the Great's mastery of logistics was one of the key factors in his success. He was able to move his army vast distances across difficult terrain and keep them supplied with food, water, and other essentials. This was a remarkable achievement, given the technology of the time.

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The Silk Road:

The Silk Road was the first major trade route that connected the East and the West.

It was an important trade route for over 2,000 years, connecting Asia with Europe via the Middle East.

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Steam engines:

The development of steam engines (Thomas Newcomen and James Watt) initiated, together with Electrification, the First and Second Industrial Revolutions (18th to early 20th century).

Steam-powered machines replaced manual labour, and steamships opened up new trade routes previously impractical for sailing ships.

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Antoine-Henri Jomini (1779 - 1869), the inventor of Logistics:
Antoine-Henri Jomini was a Swiss military officer who served as a general in French and later in Russian service.

He may have coined the term Logistics in his book Summary of the Art of War (1838).

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Suez Canal:
The Suez Canal is an artificial 193.3 km (120.11 mi) waterway in Egypt that connects the Mediterranean Sea with the Red Sea.

It significantly shortened travel times from Europe to Asia, making trade faster and cheaper.

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The Principles of Scientific Management:

In his book The Principles of Scientific Management, Frederick Winslow Taylor (1856 - 1915) developed scientific-based concepts for increasing industrial production efficiency.

It was a major contribution to a broader management philosophy that valued efficiency and data-driven decision-making (see Industrial Engineering)

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Panama Canal:
The Panama Canal is an artificial 82 km (51 mi) waterway in Panama that connects the Atlantic and Pacific oceans.

Like the Suez Canal, the Panama Canal's opening facilitated a surge in global trade.

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Incoterms:

First published by ICC (International Chamber of Commerce) in 1936, Incoterms rules provide internationally accepted definitions and rules of interpretation for most common commercial terms used in contracts for the sale of goods.

The Incoterms rules were last updated in 2020 with the release of Incoterms-2020.

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General Agreement of Tariffs and Trade GATT:
The General Agreement on Tariffs and Trade (GATT) is a legal agreement between many countries that aims to promote international trade by reducing or eliminating trade barriers such as tariffs or quotas.

The GATT agreement has been replaced by the World Trade Organisation WTO in 1995.

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Lean Manufacturing - The elimination of waste:

Developed in the 1950s by Taiichi Ohno and Shigeo Shingo in the Japanese automobile company Toyota (see Toyota Production System), the Lean Manufacturing concept is a widely adopted approach for optimising industrial operations.

It focuses on waste (non-value-adding activities) reduction and continuous improvement.

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Containerisation:

The introduction of containers for transporting goods revolutionised and boosted global trade. Containers standardised the size and handling of goods, allowing faster and easier transfer between ships, trucks, and trains.

Introduced in the 1950s, they were standardised in 1968 (ISO 668) to the Twenty-foot Equivalent Unit (TEU). This standard is based on the volume of a 20-foot-long (6.1 m) intermodal container.

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First Containership Ideal X:

On April 26th, 1956, the Ideal-X set sail from the Port of Newark, New Jersey, to Port Houston, Texas. This groundbreaking vessel developed by Malcolm McLean's company was loaded with 58 35-foot (8 feet wide by 8 feet high) containers. These containers were loaded efficiently—under eight hours—which would have been impossible with traditional shipping methods.

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Early Containerships:

The first generation of containerships comprised modified bulk vessels or tankers that could transport up to 1,000 TEUs (Twenty-foot equivalent unit).

Once the container began to be massively adopted at the beginning of the 1970s, the construction of the first fully cellular containerships (FCC; second generation) entirely dedicated to handling containers started.

Early Containerships (1956-): 500 - 800 TEU

Fully Cellular (1970-): 1,000 - 2,500 TEU

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European Free Trade Association EFTA:
The EFTA plays an important role in promoting free trade and economic integration between its members (Switzerland, Norway, Liechtenstein, and Iceland) and with the EU.

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Logistics - The Economies Dark Continent:

Management expert Peter F. Drucker (1909 - 2005) published 1962 a landmark article about business logistics in Fortune magazine. He emphasised the importance of an integrated approach in logistics and its significant impact on overall business success.

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Silent Spring by Rachel Carson:

Rachel Carson published her highly influential book Silent Spring in 1962 on the environmental harm caused by pesticides.

It sparked the public consciousness about the unintended negative consequences of technological progress on the environment.

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Automated Storage and Retrieval Systems:

The first automated storage and retrieval system (AS/RS) was developed in Germany by Demag for the Bertelsmann publishing house in 1962.

AS/RS consists of a variety of computer-controlled systems for automatically placing and retrieving loads from defined storage locations.

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Council of Supply Chain Management Professionals (CSCMP):

Founded in 1963 under the name of Council of Logistics Management, is an international professional organisation promoting best practices and educational programs.

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Colonial Pipeline:
The longest pipeline in the world consists of more than 8,850 km (5,500 mi), originating in Houston, Texas, on the coast of the Gulf of Mexico and terminating at the Port of New York and New Jersey.

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Druzhba Pipeline:
The Druzhba pipeline consists of more than 5'500 km (3'417 mi) of pipeline, originating in Almetyevsk, central Russia and terminating in Schwedt in northern Germany.

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Material Requirement Planning MRP:
With the advent of powerful computer systems (IBM), MRP was introduced in the late 1960s as a solution to the limitations of manual inventory systems. A significant contributor to the development of MRP was Joseph Orlicky, an engineer who was among the first to integrate production scheduling with inventory management.

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ARPANET - The first Internet:

The Advanced Research Projects Agency Network (ARPANET) was the first wide-area network. It implemented technologies that became the technical foundation of the Internet.

Internet technology has significantly simplified data and information sharing among supply chain partners.

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Hub-And-Spoke networks:
Rather than offer point-to-point services between all city pairs, hub-and-spoke networks operate on the simple but highly effective, principle whereby freight is shipped from all origin points to a central hub, re-sorted and then shipped out to the destination. FedEx was the first logistics company to use this concept extensively (first central hub in Memphis, 1973).

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Circular Economy:

In their 1976 research report "The Potential for Substituting Manpower for Energy," Robert R. Stahel and Genevieve Redeay-Mulvey outlined the core concepts of a circular economy. They focused on extending product lifespan and reducing reliance on resource-intensive production processes.

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Panamax and Panamax Max container ships:

During the 1980s, economies of scale rapidly pushed for the construction of larger containerships. The size limit of the Panama Canal, which came to be known as the Panamax (Max) standard, was achieved in 1985 with a capacity of about 4,000 TEUs.

Panamax (1980-): 3,000 - 3,400 TEU

Panamax Max (1985-): 3,400 - 4,500 TEU

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World Resources Institute WRI:

The World Resources Institute (WRI) is a global research non-profit focusing on six critical areas for achieving a sustainable future: climate, energy, food, forests, water, and cities and transport.

WRI was founded in 1982 in Washington, D.C.. Today, it has offices and partners in over 50 countries and more than 150 ongoing projects and initiatives.

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Keith Oliver, inventor of the term "Supply Chain Management":
In 1982, Keith Oliver, a consultant at Booz Allen Hamilton, introduced the term "supply chain management" to the public domain in an interview for the Financial Times.

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Rainforest Alliance:

The Rainforest Alliance is an international NGO founded in 1987 by Daniel Katz.

The Rainforest Alliance has created a labelling system that works through a certification process, ensuring that products with its seal meet specific sustainability criteria (agriculture standards and social responsibility).

The Rainforest Alliance is a typical Eco-label (symbols or logo) that indicates that a product or service has been produced in an environmentally friendly and socially responsible manner. Other Eco-labels focusing on similar environmental issues are the Forest Stewardship Council FSC and the Marine Stewardship Council MSC.

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The Intergovernmental Panel on Climate Change (IPCC):

The Intergovernmental Panel on Climate Change (IPCC) was established in 1988 to provide policymakers with regular scientific assessments of current knowledge about climate change.

They regularly publish reports on climate change, its impacts, potential future risks, and options for mitigation (reducing emissions) and adaptation (preparing for unavoidable impacts).

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Post Panamax I and II Containerships:
Going beyond Panamax was perceived as a risk regarding the configuration of shipping networks, additional handling infrastructure, and port draft limitations. Ships above the Panamax size required substantial cargo to be used profitably along a service loop.

Post Panamax I (1998-): 4,000 - 6,000 TEU

Post Panamax II (2000-): 6,000 - 8,500 TEU

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Exxon Valdez oil spill:

The Exxon Valdez oil spill, which occurred in 1989, was a major environmental disaster in Alaska's Prince William Sound.

This accident highlighted the dangers of oil transportation and led to tightening regulations to prevent future catastrophes (Oil Pollution Act of 1990).

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Enterprise Resource Planning ERP:
The Gartner Group first used the acronym ERP in the 1990s to define MRP software systems that integrated all enterprise functions and processes (finance, accounting, human resources, manufacturing, project management, etc.).

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Integrated Supply Chains

In 1991, Walmart introduced Retail Link, a software system that, together with an EDI system, facilitated seamless data exchange (orders, sales, and inventory) between Walmart and its suppliers.

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European Union - Treaty of Maastricht:
The 1992 Treaty of Maastricht laid the basis for further cooperation in the fields of foreign and defense policy, judicial and internal affairs, and the creation of an economic and monetary union - including a common currency.

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North American Free Trade Agreement NAFTA:
The NAFTA was a free-trade agreement signed by Canada, Mexico and the USA. The agreement. It also helped to eliminate non-tariff trade barriers and to protect the intellectual property rights of traded products.

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World Wide Web Consortium W3C: Definition of the Web standards (HTML):

Founded in 1994 and led by Tim Berners-Lee, the consortium developed all major protocols and standards of the modern Internet.

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World Business Council for Sustainable Development WBCSD:

The World Business Council for Sustainable Development (WBCSD) brings together transformational organisations to form a global community that shifts the systems they work within towards a better future.

It works with member companies to develop and implement best practices in areas like circular economy, renewable energy, and sustainable consumption.

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World Trade Organization WTO:
Created in 1995, the World Trade Organization (WTO) is the only international organization dealing with the global rules of trade. Its main function is to ensure that trade flows as smoothly, predictably, and freely as possible.

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SCOR -Supply Chain Reference Model:

The Supply Chain Reference (SCOR) model is a reference model developed by the Supply Chain Council, which is now part of ASCM. Its purpose is to give a standardised process view of supply chains that simplifies the development of metrics and the exchange of management practices.

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Nike sweatshops:

In 1996, Life magazine published a report on child labour in Nike factories in Pakistan, making consumers more conscious of the environmental and social impact of the products they buy.

Nike and many other fashion brands have also been accused of using sweatshops (factories or workplaces with deplorable working conditions) and worker abuse to produce footwear and apparel in East Asia.

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International Standard for an Environmental Management System EMS: ISO 14001:

ISO 14001 provides a framework for organizations to design and implement an EMS and continually improve their environmental performance.

It encompasses various aspects, from resource usage and waste management to monitoring environmental performance and involving stakeholders in environmental commitments.

It is part of the ISO 14000 family that is related to environmental management.

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International Standard for Life Cycle Assessment: ISO 14040:

The ISO 14040 standard has been developed to provide a framework for the complex life cycle assessment (LCA) process of products, processes, and services.

LCA considers a product's environmental impact throughout its lifespan, from raw material extraction and processing to manufacturing, transportation, use, and disposal.

Platforms like the European Platform on LCA | EPLCA or the Life Cycle Initiative were created to promote LCA.

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SA8000 Certification:

Developed in 1997 by Social Accountability International (SAI), the SA8000 Certification was created in response to growing concerns about labour practices in global supply chains.

The certification explicitly addresses issues like child labour, forced labour, unsafe working conditions, discrimination, and unfair compensation.

The SA8000 Certification is a typical Eco-label that focuses on social responsibilities and fair trade. The Blue Angel and the World Fair Trade Organisation (WFTO) are other Eco-labels with similar objectives.

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James L. Heskett, one of the main researchers in Business Logistics:
James L. Heskett (1933 - ) worked as a professor at the Harvard Business School and has published one of the most influential books on business logistics (Heskett, Sasser, and Schlesinger. The Service Profit Chain, 1997).

The service-profit chain concept established the relationship between profitability and employee and customer satisfaction.

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Corporate Sustainability Assessment CSA:

The Corporate Sustainability Assessment (CSA), conducted by S&P Global, evaluates a company's performance on environmental, social, and governance (ESG) factors.

across economic, environmental and social dimensions.

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Dow Jones Sustainability™ World Index:

The Dow Jones Sustainability™ World Index (launched in 1999) comprises global sustainability leaders as identified by S&P Global through the Corporate Sustainability Assessment (CSA).

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Carbon Disclosure Projects CDP:

CDP was established in 2000 as the ‘Carbon Disclosure Project’ and is a not-for-profit charity that runs the global disclosure system for investors, companies, cities, states, and regions to manage their environmental impacts.

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China's accession to the WTO:
The consequences of China's accession to the World Trade Organization (WTO) in 2001 have been profound for China and the global economy (rapid economic growth, increased trade and investments, etc.)

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GHG protocol - International standard for corporate GHG accounting:

The Greenhouse Gas Protocol (GHG Protocol) is a set of internationally recognised frameworks that define how to measure and report greenhouse gas (GHG) emissions from various sources.

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Persistent Organic Pollutants:

The Stockholm Convention on Persistent Organic Pollutants aims to minimise the release of such substances into the environment. Persistent organic pollutants (POPs) are toxic organic compounds that are not readily degradable.

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European Union Emissions Trading System (EU ETS):

The European Union Emissions Trading System (EU ETS) is a cornerstone of the EU's strategy to combat climate change. It's a market-based tool (cap and trade system) that aims to reduce greenhouse gas emissions in a cost-effective way.

The EU sets a total cap on the amount of certain greenhouse gases (mainly CO2) that can be emitted by installations (power plants, heavy industries, aviation, etc.) covered by the system.

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Amazon Web Services (Cloud technology):

In 2006, Amazon launched Amazon Web Services (based on cloud technology), which offers online services to other websites or clients and allows individuals to rent virtual computers and use their programs and applications.

The cloud technology has revolutionised the opportunities offered by the Internet, particularly regarding supply chain collaboration and information sharing (web services and Internet of Things IoT).

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VLCS (Very Large Container Ships) Containerships:
By 2006, the third generation of post-Panamax containerships came online when the Maersk shipping line introduced the Very Large Containerships class VLCS with a capacity in the range of 11,000 to 14,500 TEUs.

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REACH - Registration, Evaluation, Authorisation and Restriction of Chemicals:

REACH is a regulation of the European Union adopted to improve the protection of human health and the environment from the risks posed by chemicals.

Companies that manufacture or import more than 1 tonne per year of a substance need to register it with the European Chemicals Agency (ECHA). For substances deemed very hazardous, ECHA can restrict or even ban their use. Companies seeking to use such substances need to apply for authorisation, demonstrate safe use or propose alternatives

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Water Footprint Network:

The Water Footprint Network (WFN) is a non-profit organisation dedicated to promoting sustainable water use practices around the globe.

Founded in 2008 by Arjen Hoekstra, the father of the water footprint concept, it mainly offers training programs and conducts research programs.

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Eastern Siberia-Pacific Ocean Oil Pipeline:
The Eastern Siberia-Pacific Ocean Oil pipeline consists of more than 4'857 km (3'017 mi) of pipeline, originating in central Siberia and terminating in Skovorodino, which is close to the northern Chinese border.

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Eastern Siberia-Pacific Ocean Oil pipeline

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Doughnut Economics:

Kate Raworth, an economist from the University of Oxford, developed the doughnut economics concept, visualised by a doughnut-shaped diagram.

Doughnut economics offers an alternative framework for economic thinking that focuses on human needs and planetary boundaries, by challenging the traditional idea of equating economic success with ever-increasing GDP.

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ULCS (Ultra Large Containerships) Containerships:
A further extension of the post-Panamax design led to the introduction of the 18,000 TEU Ultra Large Containership class.

An additional expansion in 2019 introduced ships with 24 containers across and 24 bays, called Megamax-24 (MGX-24).

ULCS (2013-): 18,000 - 21,000 TEU

MXG-24 (2019-): 21,000 - 25,000 TEU

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New-Panamax Containerships:
New Panamax containerships are designed to fit exactly in the locks of the expanded Panama Canal, which opened in June 2016. These ships have a capacity of about 12,500 TEU.

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Sustainable Development Goals (SDG):

The SDGs are a set of 17 interconnected goals with 169 specific targets to be achieved by 2030. They represent a collective commitment by all United Nations member states to work together towards a more just and sustainable world

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Expansion of Panama Canal:
The Panama Canal expansion project, also called the Third Set of Locks Project, doubled the capacity of the Panama Canal by adding a new lane (Panamax --> New Panamax)

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Remote Container Management (RCM):

Maersk launched RCM for customers in September 2017. Based on the AI-based virtual assistant called Captain Peter, it provides transparent information from 270,000 Maersk refrigerated containers equipped with IoT technology.

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International Standard for Sustainable Purchasing ISO 20400:

The ISO 20400 standard aims to assist organizations of all sizes and sectors in incorporating sustainability principles into their procurement practices.

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Warehouse automation:

A fully automated, humanless warehouse began operations in Shanghai for the Chinese e-commerce giant JD.com. Developed by Mujin, this 40,000-sq-m warehouse extensively uses AI-based controller systems.

Amazon developed in the same period similar fully automated warehouse systems.

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Agreement between the United States of America, the United Mexican States, and Canada USMCA:
The USMCA replaced the NAFTA agreement by:

Reducing dairy tariffs between the US and Canada (milk, cheese, butter, etc.)

Requiring stronger environmental protections

Requiring stronger labor protection

Imposing a higher regional value content (RVC) requirement for vehicles manufactured in North America, from 62.5% under NAFTA to 75% under the USMCA

Improving the protection of intellectual property

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African Continental Free Trade Area (AfCFTA):
The AfCFTA is a free trade agreement between 54 African countries. It was signed in 2018 and came into effect in 2021

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Evolution of World Trade Volume 1950-2022 (+4500%):

The world trade volume in 2022 was around 45 times the level recorded in 1950. Trading volumes and values have surged since the establishment of the WTO in 1995.

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Regional Comprehensive Economic Partnership (RCEP):

The RCEP is the world's largest free trade agreement, covering 15 countries in the Asia-Pacific region (signed in 2020 and came into effect in January 2022).

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MSC Irina Class (MGX-24 Containerships):
The MSC Irina, built in 2023, is currently the largest container ship in the world, with a capacity of 24'346 TEU.

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The German Supply Chain Due Diligence Act: A Crucial Legislation for German Companies

German companies above a specific size (at least 3,000 employees) must look carefully at their suppliers. Reports of human rights abuses in the supply chain are now a significant liability for German companies and their suppliers.

The main obligations under the law are to identify and address any potential risks of human rights violations and environmental damage throughout your entire supply chain. This includes implementing measures to prevent such risks and taking corrective actions if they occur.

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The Corporate Sustainability Reporting Directive (CSRD):

This directive, which took effect in 2023, focuses on transparency and accountability. It requires companies to report their environmental and social impact, including greenhouse gas emissions and social responsibility metrics. This provides stakeholders with a clearer picture of a company's sustainability performance.

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Mandatory climate disclosures for large companies:

Public companies, banks and insurance companies with 500 or more employees and at least CHF 20 million in total assets or more than CHF 40 million in turnover are obliged to report publicly on climate issues.

Public reporting involves disclosures not only on the financial risk that a company incurs due to climate-related activities but also on the impact of the company's business activities on the climate.

The ordinance enters into force on January 1, 2024.

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Fully Autonomous Truck Yard:

A fully autonomous truck yard started operating in 2024 in Texas. This site uses technology developed by ISEE, a US company offering autonomous driving solutions for commercial environments.

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Deforestation Regulation implementation (EUDR):

The Regulation on Deforestation-Free Products (EUDR) is an important turning point in the global fight against deforestation. It will start to apply on 30 December 2024.

All companies that market relevant products (cattle, wood, cocoa, coffee, palm oil, etc.) (including via import) or export them must comply with this regulation.

The key requirements are assessing the deforestation risk of their products throughout the supply chain, establishing a supply chain monitoring system, and implementing risk mitigation strategies.

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Carbon Border Adjustment Mechanism (CBAM):

The objective of the CBAM is to prevent the EU's efforts to reduce greenhouse gas emissions from being offset by increasing emissions outside its borders through relocation of production to non-EU countries or increased imports of carbon-intensive products.

CBAM will apply in its definitive regime from 2026, while the current transitional phase lasts between 2023 and 2025.

The CBAM applies to imports of certain carbon-intensive goods into the EU, like Iron and steel, Cement, Aluminum, Electricity, or Fertilizers. Importers into the EU will need to purchase carbon certificates corresponding to the carbon emissions that would have been generated if the goods were produced under the EU's Emissions Trading System (EU ETS).