"A journey of a thousand miles begins with a single step." — Lao Tzu
5 min read · January 2024
Good Morning, Good Evening, and Good Night — wherever you're reading this from. Welcome back to the Daiiv Journal.
Welcome to the first Daiiv Journal of 2024. I'm excited to announce that all journals are now published on my personal website: daiviksuresh.com. This is the start of what I believe will be a transformative year for supply chain, technology, and markets. Let's dive in.
The Manufacturing PMI jumped from 47.9 in December to 50.3 in January — crossing above the critical 50 threshold into expansion territory for the first time in months. This signals renewed optimism for domestic manufacturing. New orders are up, production is recovering, and sentiment is improving.
Crude oil prices are fluctuating around $76.55/barrel. The ongoing Red Sea crisis — Houthi rebels escalating tensions and attacking commercial shipping — is driving ocean freight rates higher and extending transit times as vessels reroute around Africa.
UPS is leveraging AI in their ORION (On-Road Integrated Optimization and Navigation) system to anticipate shipment delays and proactively reroute deliveries. The result? A 15% reduction in transit times. Fun fact: a UPS driver makes at least 130 stops a day — AI is making every stop count.
Ford is deploying AI-powered robots for precision assembly, boosting production speed by 20%. The integration of robotics and AI in manufacturing is no longer experimental — it's operational and delivering results.
Amazon's robotic fleet now handles over 60% of capacity in some warehouses. Drones are being tested by DHL for remote delivery locations. The warehouse of the future is here today.
"The rise of automation, AI, and blockchain, coupled with adaptable businesses and cautious optimism, offers a glimmer of hope for navigating the road ahead."
The SEC approved the first spot Bitcoin ETF ($BITO and others) in January — a landmark moment for crypto and institutional adoption. I've been slowly adding $BITO shares as it fits my current risk appetite. The blockchain technology underlying crypto continues to make quiet but significant progress in supply chain transparency, customs clearance, and supplier trust networks.
Annual inflation came in at 3.4% for the 12 months ending December 2023 — above the Fed's 2% target but dramatically down from the 9.1% peak. Core CPI dropped from 5.7% to 3.9% year-over-year. Rate cuts were penciled in for March 2024, but with geopolitical volatility and stubborn services inflation, that timeline is looking uncertain.
"The rise of automation, AI, and blockchain, coupled with adaptable businesses and cautious optimism, offers a glimmer of hope for navigating the road ahead."
— Daivik Suresh, January 2024-DAIVIK SURESH-
Supply Chain + Business Analytics Enthusiast · January 2024