Supply Chain Merger Evolves as Glen Road Systems and Invata Intralogistics Announce Agreement

GRSI and Invata Intralogistics, Inc. have merged their two companies to further benefit their already 10-year long working relationship in hopes to achieve synergies and benefits from their partnership.

GRSI is a global provider of supply chain execution software, distribution center automation and system integration. Invata Intralogistics, Inc. is a global supplier of supply chain optimization, facilities integration, software and controls.

The two conducted thorough research into the needs of the marketplace in preparation for their merger. Results of the study were a key factor in the unanimous agreement by both company directors to conclude in this merger agreement.

Many supply chain and C-level leaders across a broad range of target markets were interviewed about their attitudes and experiences related to large asset-based system integrators, those with in-house supply chain software and controls and dealer channel integrators, as well.

CEO of GRSI, Steve Martyn, says their approach to managing inventory in motion is essential as companies implement more sophisticated automation projects. Martyn also notes that traditional WMS suppliers are simply too removed from these sophisticated devices to manage them efficiently or cost-effectively.

Invata is a system integrator with in-house software products and services, in addition to its focus on logistics network optimization. CEO, Ryan Sheehan, says the company views the market through a different lens than typical integrators as they approach the market with a focus on inventory, transportation, infrastructure and labor. The company is able to invest in the best people and technology to meet the needs of their clients.

GRSI is the developer of FastTrak WM+, a warehouse management suite that seamlessly integrates traditional WMS functionality with a Warehouse Control System, Order Management System and Packaging Integration applications.

Supply Chain Examined for Gasoline Costs

An Energy Information Administration study was done a few years ago and remains relevant today with its results. In their weekly report, they highlighted how crude prices work their way through the system in about eight weeks.

Usually, it takes only two weeks for the pump prices to increase and analysts say that for every $10 bbl increase in the price of crude it will usually translate to a 24 cent increase in the per gallon cost of gasoline.

The report showed a 0.5 cents decline in the U.S. retail gas price average for regular grade as of March 21, but at $3.562 gallon, that is little consolation for American drivers.

Likely, the average will again move higher after this brief pit stop due to the fact that wholesale costs are still moving through the supply chain.

In recent weeks, wholesale gasoline costs moved higher across the country, climbing alongside the advance by crude features. Weekly data released on March 23 by the EIA showed a sharp increase in implied demand and big drop in domestic supply levels.

The EIA shows there is increased demand and data shows a year-on-year growth through March 18 at 0.8% higher than that comparable to 2010. The data further shows acceleration in that growth, up 1.2% from a year ago.

However, what really caught the market’s attention was a steep 5.3 million barrel drawdown in U.S. commercial gasoline inventory. The drop is 2.2 percent less than a year ago at this time.

Gasoline stocks have fallen to 21.4 million a barrel or 8.9 percent from a 21-year high registered on Feb. 11th of this year and are now near the five-year average.

Historically, gasoline prices move higher from winter into spring as the market anticipates increased demand as the weather warms so this will be a factor to watch.