Tuesday, April 19, 2011

Logistics!

Darren Prokop’s discussion on logistics hit an economical chord that came strongly to light for me in the summer of 2009 while travelling across Europe. As I toured Europe on planes, ships, trains, streetcars, buses, and automobiles, passing through airports and seaports that dwarf in scale and operation Anchorage’s ports, I didn’t just see mass amounts of humanity on the move but also unimaginable quantities of goods and services being traded simultaneously. And instead of marveling at the amazing systems before my eyes that were in place to distribute all of these goods, I thought further about how all of these goods were assembled and what they are made of. I remember flashing on equilibrium prices, how the market for all of this economic activity quietly and inconspicuously found a value that everyone involved was willing to pay. I thought about the extraction of resources used in the making of all the goods we use on this planet and how the ownership or control of resources directs the economic, social, and political behaviors of countries. I thought I was becoming an economics nerd and wondered whether I should go back to taking the ASD Summer Academy classes for professional development requirements rather than UAA’s renown economics class!

I like Mr. Prokop’s ideas about value added services as goods pass through Alaska. I do believe we are somewhat indoctrinated to the idea that this can’t happen in Alaska because it costs so much more to do business of any sort in this state. There are so many distribution systems currently in place just in Anchorage alone that the process could be incorporated easily enough. If one was to visit American Fast Freight, Food Services of America, Alaska Commercial, Lynden Transport, and a whole host of others, you would be highly enlightened about the efficiency by which goods are moved in this state. They are beehives of intense activity and redistribute a phenomenal amount of freight that keeps the shelves of our stores stocked all over this state. Someone needs to take Prokop’s thoughts and run the next mile! 

Lynn Buchheit

2 comments:

  1. If the Anchorage Port is to expand, what are the possibilities for Ship Creek region? Is this prime real estate or what often looks like old time derelicts? There are some great active businesses there and then there are some tired ones...in prime location. I know an increased level of attention has been given to this area. It will be interesting to see how it changes. Salmon stream and all.

    Kevin Brownsberger

    ReplyDelete
  2. I agree that Alaskan economy can benefit from Dr. Prokop's ideas. I believe we can not rely only on natural resources of Alaska. Improving our transportation system and adding manufacture, we might find another, "fourth leg" to the Alaskan economy chair.

    ReplyDelete