Feature Stories – Inbound Logistics https://www.inboundlogistics.com Mon, 28 Oct 2024 21:06:09 +0000 en-US hourly 1 https://wordpress.org/?v=6.6.2 https://www.inboundlogistics.com/wp-content/uploads/cropped-favicon-32x32.png Feature Stories – Inbound Logistics https://www.inboundlogistics.com 32 32 Strengthening the Port-Rail Connection https://www.inboundlogistics.com/articles/strengthening-the-port-rail-connection/ Mon, 28 Oct 2024 04:06:30 +0000 https://www.inboundlogistics.com/?post_type=articles&p=41975 The United States is home to more than 300 ports. In 2022, these ports handled nearly 43% of U.S. international trade by value, worth more than $2.28 trillion, the Bureau of Transportation Statistics reports. Waterborne vessels are the leading mode of transportation when it comes to product trade between the United States and other countries.

Once goods arrive at the ports, most need to move to markets farther inland. Rail can move many types of cargo quickly, efficiently, and with fewer emissions than most over-the-road options. Around half of rail intermodal volume consists of imports or exports, according to the Association of American Railroads.

The benefits of rail and intermodal are gaining more importance as cargo volumes at many ports increase. For example, the number of twenty-foot equivalent units (TEUs) moving through the Port of Long Beach and the Port of Los Angeles is projected to swell to 41 million by 2040, up from 16.6 million in 2023, says Mario Cordero, chief executive officer with the Port of Long Beach.

“A reality for many port authorities is limited land,” Cordero says. “The question becomes, how do you get more productivity out of what you have?”

For the Port of Long Beach, a major element of the solution is on-dock rail, which enables it to move more cargo, more quickly and with fewer emissions.

Transporting cargo in ways that produce fewer emissions not only helps the environment, but it also improves the quality of life for those living near ports and roadways, says Doug Thiessen, ports and maritime leader in the western U.S. with HDR, an architecture and engineering firm. For most longer distances, rail is also more cost effective.

Investments Needed

Process automation technologies reduce human involvement in optimizing, tracking, or communicating container movements within a port. For example, an automated gate system uses sensors to collect information from trucks and containers that pass through a port’s gates. Or, digital ledgers can record transactions and provide real-time monitoring of container location instead of a worker manually recording this information into a physical ledger.

Fully leveraging rail will require continued investment. Many on-dock intermodal rail yards were built when double stack trains were 7,500 to 8,000 feet long. Today, railroads can operate trains twice that length.

“Many ports’ intermodal rail yards are undersized and need additional and longer tracks, plus the capacity to manage and operate these railcars and additional locomotives,” Thiessen says.

Power switches, signals, and other types of equipment are also being designed to accommodate bigger trains.

Along with capital projects, investing in technology, such as automation and networking, is also critical. A March 2024 report from the U.S. Government Accountability Office (GAO) examined the use of process automation systems and automated cargo handling equipment at the 10 largest U.S. ports (see charts, next page). While all have adopted some of these systems, foreign ports have generally adopted more automation technologies.

A mix of reasons accounts for the generally lower investment at U.S. ports, says Josh Brogan, partner in the strategic operations practice of Kearney, a global management consulting firm. They can include labor agreements and laws that may date back centuries.

The GAO report cites the generally larger volumes of cargo handled at foreign ports, which lowers the bar to achieving a return on any capital investments. Shipment type is another factor. Foreign ports tend to have higher numbers of transshipments moving from one ship to another, rather than to rail or truck. That may make these ports more conducive to automation, as their operations are less complex than those at ports that move containers between different transportation modes.

Changes in Funding

Process automation technologies reduce human involvement in optimizing, tracking, or communicating container movements within a port. For example, an automated gate system uses sensors to collect information from trucks and containers that pass through a port’s gates. Or, digital ledgers can record transactions and provide real-time monitoring of container location instead of a worker manually recording this information into a physical ledger.

Funding for investments is also often challenging. “Through USDOT’s Consolidated Rail Infrastructure and Safety Improvements (CRISI) and Mega grant programs, our freight system and supply chain infrastructure have made many needed improvements over the past few years that America’s ports can be proud of and are grateful for,” says Cary S. Davis, president and CEO of the American Association of Port Authorities.

However, every port has unique needs and geographic constraints, and the grants tend to be over subscribed. “As we near the end of the Infrastructure Investment and Jobs Act authorizations, there’s no question that our ports would benefit from a more robust long-term commitment from our federal government partners to help finance upgrades for years to come,” Davis says.

Despite the challenges, many U.S. ports are making investments in multiple areas, including port-rail projects. The following projects are scheduled to come online in the next year or two, and will help shippers move their goods more efficiently and securely.

Georgia Ports Authority

The Georgia Ports Authority’s Mason Mega Rail Terminal at the Port of Savannah is the largest on-terminal intermodal facility in North America. Cargo moves from vessel to rail in 24 hours.

Network Georgia, an initiative of the Georgia Ports Authority (GPA), is establishing a series ofinland ports aimed at shifting long-haul truck routes to rail, eliminating millions of truck miles through the state each year.

Inland terminals allow cargo to be staged at the end customer’s doorstep, while the satellite rail ramps allow GPA to flow more cargo through marine terminals by providing additional container storage and freeing up capacity at the Port of Savannah, says Wesley Barrell, general manager of inland operations at GPA.

In Gainesville, Georgia, the GPA is constructing a second inland rail terminal, the Blue Ridge Connector (BRC). The facility will have a maximum throughput capacity of 200,000 containers annually.

The BRC will have capacity to store and operate 18,000 feet of rail cars on terminal, with the average length of the arriving and departing trains expected to be approximately 3,000 feet. It will be served by 14 rubber-tired gantry cranes.

When operations start in 2026, the facility will link northeast Georgia with the Port of Savannah’s 39 weekly global containership services. Shippers will no longer need to truck containers from this region of the state to the port.

Located along the manufacturing and logistics corridor of Interstate 85, the BRC will serve a region critical to the production of heavy equipment, and food and forest products. It’s also important for retail warehousing.

To cover the $134 million project costs, GPA invested $80.1 million. In addition, the project secured a $46.8 million grant from the Maritime Administration and $7 million from Norfolk Southern.

Port of Long Beach

The state-of-the-art Pier B On-Dock Rail Support Facility at the Port of Long Beach will move freight faster and more sustainably. It will double the size of the existing Pier B rail yard to 171 acres and more than triple the volume of on-dock rail capacity handled annually.

The biggest capital investments at the Port of Long Beach over the next decade will be improvements to the rail system, Cordero says. These changes will make it possible for a greater share of the cargo to move through the port via on-dock rail, or directly from marine terminals to trains.

The centerpiece project is the $1.57 billion Pier B On-Dock Rail Support Facility. The new Pier B, which is beginning construction, expands an existing rail yard where the switching railroad builds trains.

The project, which is expected to be finished by 2032, will double the yard from its current 82 acres, and will more than triple the rail yard’s volume to 4.7 million TEUs annually.

In the meantime, the $40-million track realignment at Terminal Island Wye will eliminate switching conflicts and boost efficiency, particularly at Terminal Island, which houses Pier T, the port’s largest container terminal. The project includes the construction of new tracks and the enhancement of a triangular rail junction where long trains can be turned and staged. It’s expected to finish this year, Cordero says.

In 2020, the Port of Long Beach was awarded a $14.5-million grant from the U.S. Department of Transportation’s Maritime Administration to help fund this project. The port itself was expected to cover the remaining project cost of $25.5 million.

Another project is the removal of a bottleneck through the Fourth Track at Ocean Boulevard, which was completed in 2023. In 2022, the port completed the $35 million Pier G-J Double Track Access project, adding a second rail line of 8,000-feet between two major piers.

“These projects are already generating results,” Cordero says. During the first half of 2024, the port moved 25% of cargo using on-dock rail, 6% more than in 2023. Average rail dwell time in July 2024 was four days, compared to 16 days during the supply chain disruption in October 2022.

Port of Los Angeles

A $52-million project to improve on-dock rail capacity at Pier 300 at the Port of Los Angeles will add new loading and unloading tracks to increase efficiency and reduce emissions. (PHOTO: COURTESY OF PORT OF LOS ANGELES)

The Port of Los Angeles has multiple rail-related projects underway or about to start. In July 2024, the port completed construction on a $73-million rail expansion project on Pier 400. The project included the addition of 31,000 linear feet of track, with five new railroad storage tracks; a concrete rail bridge with lighting; an asphalt access roadway; and new crossovers and turnouts, along with other changes, says Eric Caris, director of cargo marketing.

The project also relocated a portion of the lead track onto the Port of Los Angeles property, realigned the track connection to the rail storage yard, and relocated the at-grade crossing from Nimitz Avenue to Reeves Avenue, among other changes.

By increasing use of the Pier 400 on-dock rail yard, the project will create additional rail capacity. The expanded rail yard is projected to eliminate an estimated 1,200 daily truck trips by 2040, Caris says.

To help cover the costs, the port received a $21.6-million grant from the California Trade Corridor Enhancement Program (TCEP). The port funded the remaining cost of nearly $51.6 million.

Along with infrastructure enhancements, the Port of Los Angeles is investing in digital tools. The Port Optimizer, a cloud-based information portal that digitalizes maritime shipping data, enables shippers, cargo owners, terminal operators, and others to better predict and plan cargo movement, and to respond to issues more quickly.

In July 2024, the Port of Los Angeles announced it had been awarded $8 million from the California Governor’s Office of Business and Economic Development to accelerate Port Optimizer technology. The grant will provide funding to develop a new California Ports mobile application. This will make it easier for California ports to send and receive data on issues such as cargo status, Caris says.

Another enhancement will be the addition of an online gateway for collecting the carbon impact of port operations. Users will be able to access a near-real-time Green Asset Score based on rail, trucking, vessel, and on-port equipment particulate and greenhouse gas emissions. Based on this score, Port Optimizer users can select routes that balance cargo speed and emissions impacts.

Port Authority of New York and New Jersey

One of many projects underway by the Port Authority of New York and New Jersey is the Southbound Connector. This will add a second egress point to the ExpressRail Elizabeth terminal. Currently, trains can only exit the facility’s terminal to the north.

“Right now, trains go north to go back south. We want to streamline that,” says Nicol Polidoro, manager, multi-modal logistics.

This investment will increase operational efficiency and is expected to streamline train movements and reduce congestion during peak hours. ExpressRail connects every major container terminal in the complex with Norfolk Southern and CSX

The Southbound Connector project received $6.85 million in grant funding from the New Jersey Department of Transportation for planning and construction. It’s also funded in part by Maher Terminals and APM Terminals, which together operate the facility through their Millennium Marine Rail joint venture.

South Carolina Ports

Growth at South Carolina’s two rail-served inland ports has driven the percentage of containers moved inland by rail back up to pre-pandemic levels, with 23% of total marine containers traveling by rail during calendar year 2023.

South Carolina ports currently don’t offer an on-dock or near-dock rail option at their ocean terminals, says Laura Clifton, spokesperson with South Carolina Ports Authority. That will change when the Navy Base Intermodal Facility (NBIF) opens in June 2025. It will have a lift capacity of one million and the ability to handle more than 14,000-foot trains.

“This will be a busy facility once it gets moving, and we’ll be able to serve customers more efficiently,” Clifton adds.

The NBIF also will have 78,000 linear feet of railroad track, as well as six rail-mounted gantry cranes to move containers on and off CSX and Norfolk Southern trains. These two lines will serve the NBIF, creating a direct connection between port terminals in Charleston and inland ports in Greer and Dillon, as well as to markets in the Southeast and Midwest.

A dedicated drayage road, one mile long, will connect the NBIF to the Leatherman Terminal, providing a way to move cargo more quickly from the dock to the rail and on to inland markets.

In addition, a future barge will transport containers between the Leatherman and Wando Welch terminals. The overall project budget is about $550 million.

Another project is the $5 million, five-year expansion at Inland Port Greer. In 2022, 8,000 additional feet of track were added. The expansion of the west yard was completed in spring 2024, and the east yard expansion is slated to be complete by fall 2024, Clifton says. The new terminal operations and maintenance building will be completed in spring and summer of next year.

“We’ve seen a lot of success with our inland ports,” Clifton says. Inland Port Greer moved 175,873 containers on and off trains in 2023, a 26% jump from the previous year. Once it’s complete, the expansion will provide enough additional capacity to meet projected cargo demands through 2040. “Rail helps us get things off the dock and inland to our inland markets much more efficiently,” Clifton adds.


Top 10 U.S. Ports by Volume (2023)

1. Port of Los Angeles, California
2. Port of New York/New Jersey
3. Port of Long Beach, California
4. Port of Savannah, Georgia
5. Port of Houston, Texas
6. Port of Oakland, California
7. Port of Virginia
8. Port of Charleston, So. Carolina
9. Port of Seattle, Washington
10. Port of Miami, Florida


]]>
The United States is home to more than 300 ports. In 2022, these ports handled nearly 43% of U.S. international trade by value, worth more than $2.28 trillion, the Bureau of Transportation Statistics reports. Waterborne vessels are the leading mode of transportation when it comes to product trade between the United States and other countries.

Once goods arrive at the ports, most need to move to markets farther inland. Rail can move many types of cargo quickly, efficiently, and with fewer emissions than most over-the-road options. Around half of rail intermodal volume consists of imports or exports, according to the Association of American Railroads.

The benefits of rail and intermodal are gaining more importance as cargo volumes at many ports increase. For example, the number of twenty-foot equivalent units (TEUs) moving through the Port of Long Beach and the Port of Los Angeles is projected to swell to 41 million by 2040, up from 16.6 million in 2023, says Mario Cordero, chief executive officer with the Port of Long Beach.

“A reality for many port authorities is limited land,” Cordero says. “The question becomes, how do you get more productivity out of what you have?”

For the Port of Long Beach, a major element of the solution is on-dock rail, which enables it to move more cargo, more quickly and with fewer emissions.

Transporting cargo in ways that produce fewer emissions not only helps the environment, but it also improves the quality of life for those living near ports and roadways, says Doug Thiessen, ports and maritime leader in the western U.S. with HDR, an architecture and engineering firm. For most longer distances, rail is also more cost effective.

Investments Needed

Process automation technologies reduce human involvement in optimizing, tracking, or communicating container movements within a port. For example, an automated gate system uses sensors to collect information from trucks and containers that pass through a port’s gates. Or, digital ledgers can record transactions and provide real-time monitoring of container location instead of a worker manually recording this information into a physical ledger.

Fully leveraging rail will require continued investment. Many on-dock intermodal rail yards were built when double stack trains were 7,500 to 8,000 feet long. Today, railroads can operate trains twice that length.

“Many ports’ intermodal rail yards are undersized and need additional and longer tracks, plus the capacity to manage and operate these railcars and additional locomotives,” Thiessen says.

Power switches, signals, and other types of equipment are also being designed to accommodate bigger trains.

Along with capital projects, investing in technology, such as automation and networking, is also critical. A March 2024 report from the U.S. Government Accountability Office (GAO) examined the use of process automation systems and automated cargo handling equipment at the 10 largest U.S. ports (see charts, next page). While all have adopted some of these systems, foreign ports have generally adopted more automation technologies.

A mix of reasons accounts for the generally lower investment at U.S. ports, says Josh Brogan, partner in the strategic operations practice of Kearney, a global management consulting firm. They can include labor agreements and laws that may date back centuries.

The GAO report cites the generally larger volumes of cargo handled at foreign ports, which lowers the bar to achieving a return on any capital investments. Shipment type is another factor. Foreign ports tend to have higher numbers of transshipments moving from one ship to another, rather than to rail or truck. That may make these ports more conducive to automation, as their operations are less complex than those at ports that move containers between different transportation modes.

Changes in Funding

Process automation technologies reduce human involvement in optimizing, tracking, or communicating container movements within a port. For example, an automated gate system uses sensors to collect information from trucks and containers that pass through a port’s gates. Or, digital ledgers can record transactions and provide real-time monitoring of container location instead of a worker manually recording this information into a physical ledger.

Funding for investments is also often challenging. “Through USDOT’s Consolidated Rail Infrastructure and Safety Improvements (CRISI) and Mega grant programs, our freight system and supply chain infrastructure have made many needed improvements over the past few years that America’s ports can be proud of and are grateful for,” says Cary S. Davis, president and CEO of the American Association of Port Authorities.

However, every port has unique needs and geographic constraints, and the grants tend to be over subscribed. “As we near the end of the Infrastructure Investment and Jobs Act authorizations, there’s no question that our ports would benefit from a more robust long-term commitment from our federal government partners to help finance upgrades for years to come,” Davis says.

Despite the challenges, many U.S. ports are making investments in multiple areas, including port-rail projects. The following projects are scheduled to come online in the next year or two, and will help shippers move their goods more efficiently and securely.

Georgia Ports Authority

The Georgia Ports Authority’s Mason Mega Rail Terminal at the Port of Savannah is the largest on-terminal intermodal facility in North America. Cargo moves from vessel to rail in 24 hours.

Network Georgia, an initiative of the Georgia Ports Authority (GPA), is establishing a series ofinland ports aimed at shifting long-haul truck routes to rail, eliminating millions of truck miles through the state each year.

Inland terminals allow cargo to be staged at the end customer’s doorstep, while the satellite rail ramps allow GPA to flow more cargo through marine terminals by providing additional container storage and freeing up capacity at the Port of Savannah, says Wesley Barrell, general manager of inland operations at GPA.

In Gainesville, Georgia, the GPA is constructing a second inland rail terminal, the Blue Ridge Connector (BRC). The facility will have a maximum throughput capacity of 200,000 containers annually.

The BRC will have capacity to store and operate 18,000 feet of rail cars on terminal, with the average length of the arriving and departing trains expected to be approximately 3,000 feet. It will be served by 14 rubber-tired gantry cranes.

When operations start in 2026, the facility will link northeast Georgia with the Port of Savannah’s 39 weekly global containership services. Shippers will no longer need to truck containers from this region of the state to the port.

Located along the manufacturing and logistics corridor of Interstate 85, the BRC will serve a region critical to the production of heavy equipment, and food and forest products. It’s also important for retail warehousing.

To cover the $134 million project costs, GPA invested $80.1 million. In addition, the project secured a $46.8 million grant from the Maritime Administration and $7 million from Norfolk Southern.

Port of Long Beach

The state-of-the-art Pier B On-Dock Rail Support Facility at the Port of Long Beach will move freight faster and more sustainably. It will double the size of the existing Pier B rail yard to 171 acres and more than triple the volume of on-dock rail capacity handled annually.

The biggest capital investments at the Port of Long Beach over the next decade will be improvements to the rail system, Cordero says. These changes will make it possible for a greater share of the cargo to move through the port via on-dock rail, or directly from marine terminals to trains.

The centerpiece project is the $1.57 billion Pier B On-Dock Rail Support Facility. The new Pier B, which is beginning construction, expands an existing rail yard where the switching railroad builds trains.

The project, which is expected to be finished by 2032, will double the yard from its current 82 acres, and will more than triple the rail yard’s volume to 4.7 million TEUs annually.

In the meantime, the $40-million track realignment at Terminal Island Wye will eliminate switching conflicts and boost efficiency, particularly at Terminal Island, which houses Pier T, the port’s largest container terminal. The project includes the construction of new tracks and the enhancement of a triangular rail junction where long trains can be turned and staged. It’s expected to finish this year, Cordero says.

In 2020, the Port of Long Beach was awarded a $14.5-million grant from the U.S. Department of Transportation’s Maritime Administration to help fund this project. The port itself was expected to cover the remaining project cost of $25.5 million.

Another project is the removal of a bottleneck through the Fourth Track at Ocean Boulevard, which was completed in 2023. In 2022, the port completed the $35 million Pier G-J Double Track Access project, adding a second rail line of 8,000-feet between two major piers.

“These projects are already generating results,” Cordero says. During the first half of 2024, the port moved 25% of cargo using on-dock rail, 6% more than in 2023. Average rail dwell time in July 2024 was four days, compared to 16 days during the supply chain disruption in October 2022.

Port of Los Angeles

A $52-million project to improve on-dock rail capacity at Pier 300 at the Port of Los Angeles will add new loading and unloading tracks to increase efficiency and reduce emissions. (PHOTO: COURTESY OF PORT OF LOS ANGELES)

The Port of Los Angeles has multiple rail-related projects underway or about to start. In July 2024, the port completed construction on a $73-million rail expansion project on Pier 400. The project included the addition of 31,000 linear feet of track, with five new railroad storage tracks; a concrete rail bridge with lighting; an asphalt access roadway; and new crossovers and turnouts, along with other changes, says Eric Caris, director of cargo marketing.

The project also relocated a portion of the lead track onto the Port of Los Angeles property, realigned the track connection to the rail storage yard, and relocated the at-grade crossing from Nimitz Avenue to Reeves Avenue, among other changes.

By increasing use of the Pier 400 on-dock rail yard, the project will create additional rail capacity. The expanded rail yard is projected to eliminate an estimated 1,200 daily truck trips by 2040, Caris says.

To help cover the costs, the port received a $21.6-million grant from the California Trade Corridor Enhancement Program (TCEP). The port funded the remaining cost of nearly $51.6 million.

Along with infrastructure enhancements, the Port of Los Angeles is investing in digital tools. The Port Optimizer, a cloud-based information portal that digitalizes maritime shipping data, enables shippers, cargo owners, terminal operators, and others to better predict and plan cargo movement, and to respond to issues more quickly.

In July 2024, the Port of Los Angeles announced it had been awarded $8 million from the California Governor’s Office of Business and Economic Development to accelerate Port Optimizer technology. The grant will provide funding to develop a new California Ports mobile application. This will make it easier for California ports to send and receive data on issues such as cargo status, Caris says.

Another enhancement will be the addition of an online gateway for collecting the carbon impact of port operations. Users will be able to access a near-real-time Green Asset Score based on rail, trucking, vessel, and on-port equipment particulate and greenhouse gas emissions. Based on this score, Port Optimizer users can select routes that balance cargo speed and emissions impacts.

Port Authority of New York and New Jersey

One of many projects underway by the Port Authority of New York and New Jersey is the Southbound Connector. This will add a second egress point to the ExpressRail Elizabeth terminal. Currently, trains can only exit the facility’s terminal to the north.

“Right now, trains go north to go back south. We want to streamline that,” says Nicol Polidoro, manager, multi-modal logistics.

This investment will increase operational efficiency and is expected to streamline train movements and reduce congestion during peak hours. ExpressRail connects every major container terminal in the complex with Norfolk Southern and CSX

The Southbound Connector project received $6.85 million in grant funding from the New Jersey Department of Transportation for planning and construction. It’s also funded in part by Maher Terminals and APM Terminals, which together operate the facility through their Millennium Marine Rail joint venture.

South Carolina Ports

Growth at South Carolina’s two rail-served inland ports has driven the percentage of containers moved inland by rail back up to pre-pandemic levels, with 23% of total marine containers traveling by rail during calendar year 2023.

South Carolina ports currently don’t offer an on-dock or near-dock rail option at their ocean terminals, says Laura Clifton, spokesperson with South Carolina Ports Authority. That will change when the Navy Base Intermodal Facility (NBIF) opens in June 2025. It will have a lift capacity of one million and the ability to handle more than 14,000-foot trains.

“This will be a busy facility once it gets moving, and we’ll be able to serve customers more efficiently,” Clifton adds.

The NBIF also will have 78,000 linear feet of railroad track, as well as six rail-mounted gantry cranes to move containers on and off CSX and Norfolk Southern trains. These two lines will serve the NBIF, creating a direct connection between port terminals in Charleston and inland ports in Greer and Dillon, as well as to markets in the Southeast and Midwest.

A dedicated drayage road, one mile long, will connect the NBIF to the Leatherman Terminal, providing a way to move cargo more quickly from the dock to the rail and on to inland markets.

In addition, a future barge will transport containers between the Leatherman and Wando Welch terminals. The overall project budget is about $550 million.

Another project is the $5 million, five-year expansion at Inland Port Greer. In 2022, 8,000 additional feet of track were added. The expansion of the west yard was completed in spring 2024, and the east yard expansion is slated to be complete by fall 2024, Clifton says. The new terminal operations and maintenance building will be completed in spring and summer of next year.

“We’ve seen a lot of success with our inland ports,” Clifton says. Inland Port Greer moved 175,873 containers on and off trains in 2023, a 26% jump from the previous year. Once it’s complete, the expansion will provide enough additional capacity to meet projected cargo demands through 2040. “Rail helps us get things off the dock and inland to our inland markets much more efficiently,” Clifton adds.


Top 10 U.S. Ports by Volume (2023)

1. Port of Los Angeles, California
2. Port of New York/New Jersey
3. Port of Long Beach, California
4. Port of Savannah, Georgia
5. Port of Houston, Texas
6. Port of Oakland, California
7. Port of Virginia
8. Port of Charleston, So. Carolina
9. Port of Seattle, Washington
10. Port of Miami, Florida


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Smart Sailing: Maritime Success Strategies https://www.inboundlogistics.com/articles/smart-sailing-maritime-success-strategies/ Mon, 14 Oct 2024 11:18:53 +0000 https://www.inboundlogistics.com/?post_type=articles&p=42015 “Our industry is facing a polycrisis environment,” says Trine Nielsen, vice president, global head of ocean freight at Flexport, a San Francisco-based global freight forwarder and non-vessel operating common carrier (NVOCC). Certainly, the challenges in ocean transportation flow from many directions these days.

Take the attacks by Yemen’s Houthi rebels on commercial shipping in the Red Sea. The situation has prompted shipping lines to forsake the route through the Suez Canal, detouring vessels in the Asia-Europe trade around South Africa.

“There is no additional capacity to deploy to the Cape of Good Hope routing, absorbing all normally planned buffer capacity,” says Ursula Wallace, director, ocean product, North America at SEKO, a forwarder and NVOCC in Schaumburg, Illinois. “Shipping lines try their best to ensure consistent service, but without having additional ships to deploy, schedules will continue to be impacted.”

These detours also affect transportation in other parts of the world. With vessels and containers tied up in longer transits, capacity is tight throughout the global shipping network, and rates have increased accordingly.

Ocean carriers and shippers are also keeping a nervous eye on looming future disruptions like port strikes. Concerned about getting products to market in time for the holiday season, many companies are booking space early, causing a demand spike.

Some shippers have pushed that spike even higher by double-booking the same cargo with different carriers to make sure they can secure the space they need. “Everyone thinks there’s twice as much demand, and the pricing goes up. It reinforces the panic,” Nielsen says. Double-booking also forces carriers to deal with last-minute cancellations and no-shows.

A Spectrum of Strategies

In the face of such varied, interconnected challenges, ocean carriers are doing their best to maintain their networks, provide containers where shippers need them, and offer sufficient space on vessels in order to deliver the best possible service.

The strategies shipping lines employ vary, as do the results. “Some carriers have been successful in deploying vessels at the right time, so they’ve not been constrained in how much cargo they could move out of Asia and into the United States, for example,” Nielsen says.

“Some carriers have been strategically positioned on how they’ve managed their ships,” she adds. “Other carriers have made sure equipment—the fleet of containers—is available where it needs to be.”

Equipment imbalances stem in part from the long detours around South Africa that keep containers on the water longer. To compensate, some carriers have purchased additional equipment.

To help carriers match capacity to demand as precisely as possible, Flexport tries to discourage shippers from double-booking, Nielsen says. At the same time, the company advises customers on how to make sure they can secure capacity and get cargo to its destination on time.

“For example, we have been advising customers to book earlier than they usually do, and plan very early for longer lead times,” she says.

Prepping for Scarce Supply

To ensure it can provide ample capacity to its shipper customers and to boost sustainability efforts, Crowley has added to its fleet four new vessels, all powered by liquid natural gas.

Vessel-owning carrier Crowley, based in Jacksonville, Florida, doesn’t have to worry about avoiding the Suez Canal. It serves shippers in the Caribbean and Central America, generally using smaller container vessels, with a capacity of 2,000 TEUs (twenty-foot equivalent units) or less.

But Crowley could also eventually feel the impact of the global capacity shortage, in part because it relies on chartered vessels for part of its fleet.

Currently, barely any vessels are available for charter in the Caribbean region. And with scarce supply, charter rates are likely to go up.

“We are a bit insulated from short-term swings, but if there’s a long-term impact on the charter market, we will be impacted,” says Brett Bennett, senior vice president and general manager of the Crowley logistics division.

Crowley is compensating by buying more ships of its own. In 2023, the company ordered four new vessels of about 1,400 TEUs each, powered by liquid nitrogen gas (LNG).

“That’s part of our sustainability journey,” Bennet says. “But it also gives us additional capacity and capabilities to serve our customers. And it further insulates us from a volatile charter market.”

Crowley also maximizes its existing capacity by using its own Crowley Engineering Services to manage its ships. “We invest in our vessels and keep them operating top-notch,” Bennett says.

Besides transporting goods with its own fleet within its own service area, Crowley also serves as an NVOCC. It partners with global ocean carriers to ship cargo between its own service footprint and other parts of the world.

In that role, as of September 2024, Crowley was also keeping its eye on the labor dispute on the East and Gulf Coasts and routing to the U.S. West Coast when possible. That’s not a panacea, though.

“We’ve seen in the past that the U.S. West Coast, as big as it is, can get quickly congested,” Bennett says.

Visibility Solutions Are Key

Hapag-Lloyd’s visibility solutions and services enable more effective container tracking and help recover stolen cargo.

With greater complexity in ocean transport, it’s especially important for shippers to monitor the status of cargo in transit. To meet that need, global ocean carrier Hapag-Lloyd recently introduced Live Position, a service that lets shippers and supply chain partners know where their containers are, with updates every 15 minutes.

Shippers already get this information from ocean carriers while containers are at sea. But as various trucking, rail, or barge companies take charge of containers, those providers might or might not offer updates.

“There’s a big black hole in terms of everything that happens to a container while it’s on the inland journey,” says Olaf Habert, director, strategy office at Hapag-Lloyd.

Hapag-Lloyd can fill that hole because it places tracking devices on all of its containers. No matter where in the world a shipment is, or what transportation mode it’s using, if it’s inside a Hapag-Lloyd container, the ocean carrier can track its location and share that data with shippers and intermediaries through its website.

Hapag-Lloyd is also developing an application programming interface (API) so shippers, logistics partners, and solution developers can integrate the location data into their own systems.

Besides simply monitoring a shipment’s progress, Live Position can help recover cargo when something goes wrong. If a marine terminal loses track of a customer’s container while it is parked in the port, for instance, Hapag-Lloyd can identify the container’s location with Live Position, making it quick and easy for the terminal to recover it.

At a time when cargo theft is all too common, Live Position can also help recover freight when thieves, masquerading as legitimate drayage drivers, make off with containers.

“We’ve been able to chase down these containers and help law enforcement get them back,” Schmidt says.

Crowley also uses digital technology to give customers better insights into their shipments. For instance, it has developed a container availability tool, powered by AI and machine learning.

Cutting Carbon

As ocean carriers and shippers navigate a complex transportation environment, they also need to consider their impact on the earth’s physical environment.

Some of Crowley’s latest efforts to reduce emissions focus on its vessels’ hulls. “We look at the latest coatings to put on the bottom of the ships to reduce emissions and keep them running as efficiently as possible,” says Bennett.

The company is also piloting the use of robotic devices that clean marine growth off the ship as it travels. “That can make the vessel anywhere from 7% to 12% more fuel efficient,” he says.

As part of its drive to reach net-zero carbon emissions by 2040, Danish shipping company A.P. Moller-Maersk is renewing its fleet of large container ships with 24 new vessels that incorporate dual-fuel engines. These ships can run on bio-methanol as well as on traditional marine fuel, helping to reduce carbon footprint.

By 2027, Maersk expects to have 25 large, dual-fuel vessels on the water. At that point, Maersk’s greenhouse gas abatement will equal about 3 million tons, says a company spokesperson.

With additional orders in the future, Maersk plans to bring its total dual-fuel fleet to between 50 and 60 vessels, including both owned and chartered ships, with a total capacity of 800,000 TEUs.

Before Maersk began deploying ships that run on bio-methanol, the company used other biofuels and gave shippers the chance to decarbonize their supply chains through a service called ECO Delivery.

“ECO Delivery gives customers the ability to choose to ship their ocean cargo with lower carbon fuels,” says a Maersk spokesperson. The carrier uses a chain of custody model called “mass balance” to offer ECO Delivery on all its routes.

“Even if a specific vessel is not using ECO Delivery fuel, other vessels in the network are, and those emissions savings are attributed to the ECO Delivery customer,” he says.

In 2024, Maersk added ECO Delivery Inland, which uses electric trucks for drayage service, in several U.S. markets.

Although today’s global transportation marketplace often churns up rough seas, the solutions that carriers bring to bear can help companies keep their shipments on course.


Ports Move Ahead With Upgrades

As ocean carriers add new services and technology tools to keep cargo flowing, U.S. ports are working to improve the transfer of goods between land and sea.

For instance, the Port Authority of New York and New Jersey committed $82 million in 2024 to two major upgrade projects. In one initiative, worth $50 million, the Port Authority and the Army Corps of Engineers are performing berth maintenance dredging, berth rehabilitation, and berth construction. In the second, the Port is investing $32 million to widen its Gravesend Anchorage and deepen it from 47 feet to 50 feet. This will provide new anchorage space for the largest container ships, say port officials.

In April 2024, the Port of Brownsville, Texas received $1.1 million from the U.S. government to fund its Port of Brownsville Suitability Analysis and Feasibility project. This study will lay the groundwork for a series of infrastructure improvements aimed at receiving larger vessels efficiently and safely.

The Port of Galveston broke ground in July 2024 on $90 million in construction to improve and expand its West Port Cargo Complex. This will give the port 30 new acres of cargo-handling space and a new berth. The port will also enclose two obsolete slips and demolish an old grain elevator, making more space for roll-on/roll-off cargo, wind turbine components, and other cargo.

A $3 million grant from the California Department of Transportation will help the Port of Oakland and the City of Oakland develop a plan to mitigate the risk of flooding from sea level rise and groundwater intrusion. A second $3 million grant from the state will help the port develop its Port Integrated Data Environment, a platform to unite various digital services to improve cargo flow and visibility.

The Port of Virginia is continuing work on its $650 million project, launched in 2023, to renovate the North Berth at Norfolk International Terminals, creating three terminals capable of handling the world’s largest cargo ships. The port is also preparing to open a new, 55-foot deep shipping channel in 2025. This channel is estimated to be the deepest on the U.S. East Coast.


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“Our industry is facing a polycrisis environment,” says Trine Nielsen, vice president, global head of ocean freight at Flexport, a San Francisco-based global freight forwarder and non-vessel operating common carrier (NVOCC). Certainly, the challenges in ocean transportation flow from many directions these days.

Take the attacks by Yemen’s Houthi rebels on commercial shipping in the Red Sea. The situation has prompted shipping lines to forsake the route through the Suez Canal, detouring vessels in the Asia-Europe trade around South Africa.

“There is no additional capacity to deploy to the Cape of Good Hope routing, absorbing all normally planned buffer capacity,” says Ursula Wallace, director, ocean product, North America at SEKO, a forwarder and NVOCC in Schaumburg, Illinois. “Shipping lines try their best to ensure consistent service, but without having additional ships to deploy, schedules will continue to be impacted.”

These detours also affect transportation in other parts of the world. With vessels and containers tied up in longer transits, capacity is tight throughout the global shipping network, and rates have increased accordingly.

Ocean carriers and shippers are also keeping a nervous eye on looming future disruptions like port strikes. Concerned about getting products to market in time for the holiday season, many companies are booking space early, causing a demand spike.

Some shippers have pushed that spike even higher by double-booking the same cargo with different carriers to make sure they can secure the space they need. “Everyone thinks there’s twice as much demand, and the pricing goes up. It reinforces the panic,” Nielsen says. Double-booking also forces carriers to deal with last-minute cancellations and no-shows.

A Spectrum of Strategies

In the face of such varied, interconnected challenges, ocean carriers are doing their best to maintain their networks, provide containers where shippers need them, and offer sufficient space on vessels in order to deliver the best possible service.

The strategies shipping lines employ vary, as do the results. “Some carriers have been successful in deploying vessels at the right time, so they’ve not been constrained in how much cargo they could move out of Asia and into the United States, for example,” Nielsen says.

“Some carriers have been strategically positioned on how they’ve managed their ships,” she adds. “Other carriers have made sure equipment—the fleet of containers—is available where it needs to be.”

Equipment imbalances stem in part from the long detours around South Africa that keep containers on the water longer. To compensate, some carriers have purchased additional equipment.

To help carriers match capacity to demand as precisely as possible, Flexport tries to discourage shippers from double-booking, Nielsen says. At the same time, the company advises customers on how to make sure they can secure capacity and get cargo to its destination on time.

“For example, we have been advising customers to book earlier than they usually do, and plan very early for longer lead times,” she says.

Prepping for Scarce Supply

To ensure it can provide ample capacity to its shipper customers and to boost sustainability efforts, Crowley has added to its fleet four new vessels, all powered by liquid natural gas.

Vessel-owning carrier Crowley, based in Jacksonville, Florida, doesn’t have to worry about avoiding the Suez Canal. It serves shippers in the Caribbean and Central America, generally using smaller container vessels, with a capacity of 2,000 TEUs (twenty-foot equivalent units) or less.

But Crowley could also eventually feel the impact of the global capacity shortage, in part because it relies on chartered vessels for part of its fleet.

Currently, barely any vessels are available for charter in the Caribbean region. And with scarce supply, charter rates are likely to go up.

“We are a bit insulated from short-term swings, but if there’s a long-term impact on the charter market, we will be impacted,” says Brett Bennett, senior vice president and general manager of the Crowley logistics division.

Crowley is compensating by buying more ships of its own. In 2023, the company ordered four new vessels of about 1,400 TEUs each, powered by liquid nitrogen gas (LNG).

“That’s part of our sustainability journey,” Bennet says. “But it also gives us additional capacity and capabilities to serve our customers. And it further insulates us from a volatile charter market.”

Crowley also maximizes its existing capacity by using its own Crowley Engineering Services to manage its ships. “We invest in our vessels and keep them operating top-notch,” Bennett says.

Besides transporting goods with its own fleet within its own service area, Crowley also serves as an NVOCC. It partners with global ocean carriers to ship cargo between its own service footprint and other parts of the world.

In that role, as of September 2024, Crowley was also keeping its eye on the labor dispute on the East and Gulf Coasts and routing to the U.S. West Coast when possible. That’s not a panacea, though.

“We’ve seen in the past that the U.S. West Coast, as big as it is, can get quickly congested,” Bennett says.

Visibility Solutions Are Key

Hapag-Lloyd’s visibility solutions and services enable more effective container tracking and help recover stolen cargo.

With greater complexity in ocean transport, it’s especially important for shippers to monitor the status of cargo in transit. To meet that need, global ocean carrier Hapag-Lloyd recently introduced Live Position, a service that lets shippers and supply chain partners know where their containers are, with updates every 15 minutes.

Shippers already get this information from ocean carriers while containers are at sea. But as various trucking, rail, or barge companies take charge of containers, those providers might or might not offer updates.

“There’s a big black hole in terms of everything that happens to a container while it’s on the inland journey,” says Olaf Habert, director, strategy office at Hapag-Lloyd.

Hapag-Lloyd can fill that hole because it places tracking devices on all of its containers. No matter where in the world a shipment is, or what transportation mode it’s using, if it’s inside a Hapag-Lloyd container, the ocean carrier can track its location and share that data with shippers and intermediaries through its website.

Hapag-Lloyd is also developing an application programming interface (API) so shippers, logistics partners, and solution developers can integrate the location data into their own systems.

Besides simply monitoring a shipment’s progress, Live Position can help recover cargo when something goes wrong. If a marine terminal loses track of a customer’s container while it is parked in the port, for instance, Hapag-Lloyd can identify the container’s location with Live Position, making it quick and easy for the terminal to recover it.

At a time when cargo theft is all too common, Live Position can also help recover freight when thieves, masquerading as legitimate drayage drivers, make off with containers.

“We’ve been able to chase down these containers and help law enforcement get them back,” Schmidt says.

Crowley also uses digital technology to give customers better insights into their shipments. For instance, it has developed a container availability tool, powered by AI and machine learning.

Cutting Carbon

As ocean carriers and shippers navigate a complex transportation environment, they also need to consider their impact on the earth’s physical environment.

Some of Crowley’s latest efforts to reduce emissions focus on its vessels’ hulls. “We look at the latest coatings to put on the bottom of the ships to reduce emissions and keep them running as efficiently as possible,” says Bennett.

The company is also piloting the use of robotic devices that clean marine growth off the ship as it travels. “That can make the vessel anywhere from 7% to 12% more fuel efficient,” he says.

As part of its drive to reach net-zero carbon emissions by 2040, Danish shipping company A.P. Moller-Maersk is renewing its fleet of large container ships with 24 new vessels that incorporate dual-fuel engines. These ships can run on bio-methanol as well as on traditional marine fuel, helping to reduce carbon footprint.

By 2027, Maersk expects to have 25 large, dual-fuel vessels on the water. At that point, Maersk’s greenhouse gas abatement will equal about 3 million tons, says a company spokesperson.

With additional orders in the future, Maersk plans to bring its total dual-fuel fleet to between 50 and 60 vessels, including both owned and chartered ships, with a total capacity of 800,000 TEUs.

Before Maersk began deploying ships that run on bio-methanol, the company used other biofuels and gave shippers the chance to decarbonize their supply chains through a service called ECO Delivery.

“ECO Delivery gives customers the ability to choose to ship their ocean cargo with lower carbon fuels,” says a Maersk spokesperson. The carrier uses a chain of custody model called “mass balance” to offer ECO Delivery on all its routes.

“Even if a specific vessel is not using ECO Delivery fuel, other vessels in the network are, and those emissions savings are attributed to the ECO Delivery customer,” he says.

In 2024, Maersk added ECO Delivery Inland, which uses electric trucks for drayage service, in several U.S. markets.

Although today’s global transportation marketplace often churns up rough seas, the solutions that carriers bring to bear can help companies keep their shipments on course.


Ports Move Ahead With Upgrades

As ocean carriers add new services and technology tools to keep cargo flowing, U.S. ports are working to improve the transfer of goods between land and sea.

For instance, the Port Authority of New York and New Jersey committed $82 million in 2024 to two major upgrade projects. In one initiative, worth $50 million, the Port Authority and the Army Corps of Engineers are performing berth maintenance dredging, berth rehabilitation, and berth construction. In the second, the Port is investing $32 million to widen its Gravesend Anchorage and deepen it from 47 feet to 50 feet. This will provide new anchorage space for the largest container ships, say port officials.

In April 2024, the Port of Brownsville, Texas received $1.1 million from the U.S. government to fund its Port of Brownsville Suitability Analysis and Feasibility project. This study will lay the groundwork for a series of infrastructure improvements aimed at receiving larger vessels efficiently and safely.

The Port of Galveston broke ground in July 2024 on $90 million in construction to improve and expand its West Port Cargo Complex. This will give the port 30 new acres of cargo-handling space and a new berth. The port will also enclose two obsolete slips and demolish an old grain elevator, making more space for roll-on/roll-off cargo, wind turbine components, and other cargo.

A $3 million grant from the California Department of Transportation will help the Port of Oakland and the City of Oakland develop a plan to mitigate the risk of flooding from sea level rise and groundwater intrusion. A second $3 million grant from the state will help the port develop its Port Integrated Data Environment, a platform to unite various digital services to improve cargo flow and visibility.

The Port of Virginia is continuing work on its $650 million project, launched in 2023, to renovate the North Berth at Norfolk International Terminals, creating three terminals capable of handling the world’s largest cargo ships. The port is also preparing to open a new, 55-foot deep shipping channel in 2025. This channel is estimated to be the deepest on the U.S. East Coast.


]]>
Hats Off to Core Carriers! https://www.inboundlogistics.com/articles/hats-off-to-core-carriers/ Wed, 25 Sep 2024 14:12:29 +0000 https://www.inboundlogistics.com/?post_type=articles&p=41759 Choosing core, preferred carriers can be among the most important decisions shippers make for supply chain health and efficiency. For that reason, shippers should select these vital partners with an eye on developing strategic, long-term relationships. That’s where the value lies.

Seeking core carriers who can consistently meet a company’s operational, financial, and service-level requirements is a must, advises Tom Moore, founder and CEO of ProvisionAi, a Tennessee-based optimized network replenishment capacity management and load optimization solution provider. The benefits of using core carriers are clear: service consistency, negotiated rates, streamlined operations, priority treatment, and improved communication.

“There is likely to be a shortage of carriers when the economy heats back up, so having relationships with financially stable carriers is paramount to guaranteeing future capacity,” Moore says. “As volume ramps up, even contracted carriers may choose to jump to the spot market or other contracts that provide better rates.”

What else should be top of mind for shippers going through the selection process? Here are some key considerations for shippers seeking core carriers.

First and foremost, core carriers should have the capabilities to manage shippers’ needs.

“Shippers want to ensure their core carriers are reliable and consistently meet delivery schedules and service levels,” says Brian Cupp, director of operations for IntelliTrans, which provides managed transportation services for shippers in the oil/gas, agriculture, mining, forestry, and other industries.

“Shippers also want to consider whether the carrier will cover the geographic regions they ship to and whether the carrier can handle their shipping volume,” he adds. “If the shipper moves special freight such as breakbulk, liquids, or hazardous materials, the core carriers must also have experience and expertise in these areas.”

Counting on Capacity

Reliability and capacity are two of the most important elements shippers look for in a core carrier. Being able to handle regular pickups and deliveries without delay is crucial.

Reliability and capacity are especially important for shippers with frequent shipments.

“Carriers must demonstrate the ability to handle regular pickups and deliveries without delays,” Cupp explains, adding that they must also have a strong network in their customers’ desired regions to guarantee timely deliveries. “For shippers with global operations, selecting carriers with solid international networks, customs expertise, and capabilities in handling cross-border logistics is essential.”

Service levels are also crucial. “Carriers must reliably provide the right trucking service if the shipper needs LTL or full truckload shipments,” he adds.

Shippers should also ensure that carriers have flexibility around volume. “Nothing in transportation volumes is ever consistent,” notes Martin Burnham, president of Hercules Freight, an asset-based motor carrier with 26 locations in Canada and the United States.

In today’s supply chain, speed and predictability are pivotal.

“Carriers that allow for direct shipments without stopping at multiple breakbulk terminals on the way to a destination result in faster, more consistent transit times, while minimizing opportunities for delays and product damage,” Burnham says.

If shippers don’t understand the capabilities that they need, problems can arise. Shippers should be clear and accurate about their requirements, including frequency, geographic coverage, and service needs.

“Some shippers don’t give this the attention it deserves and they’re wildly wrong with the requirements they communicate to carriers,” says Andy Dyer, CEO of AFS Logistics, a third-party logistics provider based in Shreveport, Louisiana. “Some shippers inflate their volumes to get a better deal, but their actual freight volume is much lower.

“Shippers need to be honest, whether it’s about total volumes or seasonality,” Dyer adds. “Everyone will see the truth when the freight actually hits.”

Shippers should also prioritize the value that carriers provide, including on-time deliveries and the care that carriers take with goods. For that reason, shippers should seek carriers with a low claims ratio and a strong record for limiting delays.

“What good is getting the cheapest rate if you make a sale to a customer, ship the order, and the product arrives late with 10% of it damaged beyond use and it never makes it to the showroom floor?” asks Kent Williams, executive vice president of sales and marketing for Averitt, a freight transportation and supply chain service provider.

Shippers also shouldn’t overlook the intricacies of a carrier’s technological capabilities.

“Real-time tracking empowers shippers to proactively address shipment issues, which helps reduce costs, improve customer satisfaction, and gain a competitive edge,” Cupp says. “By leveraging analytics, shippers can identify carriers with exceptional performance and cost efficiency.

“Furthermore, a carrier’s ability to integrate with systems and adhere to security standards is crucial for seamless operations and risk mitigation,” he adds. “Ultimately, a carrier’s technological capabilities directly impact its ability to deliver exceptional customer experiences and optimize supply chain operations.”

The Role of Costs

When the economy recovers, a shortage of carriers is possible. To offset that issue, shippers can develop relationships with financially stable carriers now to help guarantee future capacity.

Experts agree that costs should not be the primary consideration ahead of factors such as service level, reliability, and reputation. However, its role remains critical—and total costs are not always straightforward.

“Often, shippers establish long-term contracts with carriers to ensure coverage at a specific cost,” Cupp says. “Long-term contracts can provide cost stability and potential discounts, making forecasting and managing transportation budgets easier.”

During contract negotiations, shippers should negotiate surcharges and accessorial charges upfront. “Sometimes, paying a higher rate for a more reliable carrier can save costs in the long run by reducing delays, damages, and lost sales,” he adds.

Too often, shippers believe that a discount is the most important factor in choosing a carrier.

“That approach continues to plague our industry,” Burnham says. “Some informed shippers look at the net costs and factor in surcharges and accessorial fees, but even they are missing the mark.

“To get a true understanding of costs, you must include your entire team and anyone related to the shipment,” he says.

Modeling surcharges “is fundamental to understanding total cost,” Dyer says.

“There are some particular differences from carrier to carrier, but they generally all follow the same rules,” he explains. “In LTL, shippers pay for their share of the capacity inside the truck and it’s a matter of understanding capacity rules. If they know their business, they know what to look at.

“Identify the characteristics that are important to you,” Dyer suggests. “When you do a carrier bid, you might occasionally find a carrier that doesn’t fully disclose surcharges but, for the most part, carriers tend to be honest.”

Finding a Cultural Fit

Shippers sometimes make the mistake of ignoring culture fit when considering carriers. “Overlooking alignment in values and working styles can lead to friction and reduced collaboration,” Moore says.

Shippers need to know how carriers solve problems when they arise and whether they have a proven track record for doing so. “Contact client references like you would when vetting a potential employee,” Burnham recommends.

Carrier contracts should also include a clear dispute-resolution process for handling conflicts. They should also allow for regular audits and reviews of service performance and cost structures, and clearly define the conditions under which either party can terminate the contract.

“Failure to thoroughly vet carriers for their financial stability, service capabilities, and track record can lead to choosing an unreliable partner,” Cupp says.

Visiting a carrier’s operation to make sure the facilities match the marketing brochure and to see firsthand how the warehouse handles shipments is a wise decision.

Carriers should offer financial stability and serviceability, too. Check carrier financials using public information and services such as Dun & Bradstreet and Carrier411. “The first sign that a company is in financial distress is if they stop paying on time,” Dyer explains.

When evaluating service, be wary of fraud, particularly ensuring that carriers “are who they say they are,” he adds.

“Knowing your provider is crucial,” Dyer says. “It’s not about relationships—whether you like them or not. This is about whether you’re dealing with an actual known party.”

Commit to Collaboration

Averitt works to win core carrier business by prioritizing on-time deliveries and customer service while offering technology enhancements such as real-time tracking and data analytics.

Securing a long-term strategic partnership is also an important goal when evaluating core carriers. Shippers should emphasize this over focusing simply on transactional partnerships.

For instance, Averitt’s most productive customer relationships are based on years or even decades of collaboration. “That way we really understand their business,” Williams says.

In those types of relationships, carriers can provide invaluable strategic insights, including the design of a shipper’s supply chain network.

“Shippers want a collaborative approach, and want to find a carrier who will also welcome such an approach,” Williams says. “They are looking for mutually beneficial relationships, which means there’s often some give and take.”

When this symbiotic relationship is not there, shippers end up frequently going to market to switch carriers and start relationships over, struggling to build continuity and long-term value.

The importance of both shipper and carrier teams working together cannot be overstated.

“Whether it’s a driver working with a shipper on a warehouse floor, or the traffic director working with the carrier sales representative, it’s a team game that can only be won when everyone works together,” Burnham says.

“Shippers who ask their carriers, ‘How are we doing as a shipper? What can we do to help you do your job?’ can explore ways to strengthen the work being done together that benefits both parties and avoids future issues,” he adds.

In short, successful long-term relationships between shippers and carriers depend on both sides getting something positive out of the experience.

“Everyone has to win,” Dyer says. “You can’t approach carrier relationships as a zero-sum game, or you’ll lose out.”

“How you treat your carriers is the determining factor in how well your relationships work,” he adds. “Some shippers might drop a carrier in a nanosecond to save a few cents, or because some other carrier offers an incentive to switch. Over time, shippers who treat their carriers poorly develop a bad reputation. That’s something shippers want to avoid.”


How to Become a Shipper of Choice

Companies see clear benefits if they are considered a shipper of choice.

“In today’s competitive shipping landscape, carriers wield significant power in selecting their business partners,” explains Brian Cupp, director of operations for IntelliTrans. “To become a shipper of choice, businesses must prioritize strong carrier relationships, operational efficiency, and exceptional communication.”

Companies striving to be considered shippers of choice should aim to build mutually beneficial relationships based on consistent volume and predictability, efficient operations, fair and transparent communication, prompt payment, flexibility and collaboration, and respect and professionalism, recommends Tom Moore, founder and CEO of ProvisionAi.

Other keys to being a shipper of choice include maintaining open dialogue, honoring payment terms, and holding regular business reviews, says Martin Burnham, president of Hercules. He also cites keeping drivers and equipment moving—“static drivers or equipment is dead cost to a carrier,” he says—and having freight ready for pickup to limit driver dwell time and trucks being ordered and not used.

In that vein, shippers should be able to provide an accurate picture of their network operating requirements to communicate with carriers and make commitments that they can realistically uphold.

“For instance, a shipper has to be able to accurately describe what it’s like for a driver getting on and off property, and for a shipper with multiple facilities, that might vary from one site to another,” says Andy Dyer, CEO of AFS Logistics.

“For the facilities in question, how does ingress and egress work? What is loading like? Are appointments required and, if so, how easy is it to set and change appointments?” he says.

“If a shipper doesn’t have a complete understanding of all these factors, they might think something is a lot easier than it really is and find they don’t have the sustained stream of capacity to the price committed,” Dyer notes.


]]>
Choosing core, preferred carriers can be among the most important decisions shippers make for supply chain health and efficiency. For that reason, shippers should select these vital partners with an eye on developing strategic, long-term relationships. That’s where the value lies.

Seeking core carriers who can consistently meet a company’s operational, financial, and service-level requirements is a must, advises Tom Moore, founder and CEO of ProvisionAi, a Tennessee-based optimized network replenishment capacity management and load optimization solution provider. The benefits of using core carriers are clear: service consistency, negotiated rates, streamlined operations, priority treatment, and improved communication.

“There is likely to be a shortage of carriers when the economy heats back up, so having relationships with financially stable carriers is paramount to guaranteeing future capacity,” Moore says. “As volume ramps up, even contracted carriers may choose to jump to the spot market or other contracts that provide better rates.”

What else should be top of mind for shippers going through the selection process? Here are some key considerations for shippers seeking core carriers.

First and foremost, core carriers should have the capabilities to manage shippers’ needs.

“Shippers want to ensure their core carriers are reliable and consistently meet delivery schedules and service levels,” says Brian Cupp, director of operations for IntelliTrans, which provides managed transportation services for shippers in the oil/gas, agriculture, mining, forestry, and other industries.

“Shippers also want to consider whether the carrier will cover the geographic regions they ship to and whether the carrier can handle their shipping volume,” he adds. “If the shipper moves special freight such as breakbulk, liquids, or hazardous materials, the core carriers must also have experience and expertise in these areas.”

Counting on Capacity

Reliability and capacity are two of the most important elements shippers look for in a core carrier. Being able to handle regular pickups and deliveries without delay is crucial.

Reliability and capacity are especially important for shippers with frequent shipments.

“Carriers must demonstrate the ability to handle regular pickups and deliveries without delays,” Cupp explains, adding that they must also have a strong network in their customers’ desired regions to guarantee timely deliveries. “For shippers with global operations, selecting carriers with solid international networks, customs expertise, and capabilities in handling cross-border logistics is essential.”

Service levels are also crucial. “Carriers must reliably provide the right trucking service if the shipper needs LTL or full truckload shipments,” he adds.

Shippers should also ensure that carriers have flexibility around volume. “Nothing in transportation volumes is ever consistent,” notes Martin Burnham, president of Hercules Freight, an asset-based motor carrier with 26 locations in Canada and the United States.

In today’s supply chain, speed and predictability are pivotal.

“Carriers that allow for direct shipments without stopping at multiple breakbulk terminals on the way to a destination result in faster, more consistent transit times, while minimizing opportunities for delays and product damage,” Burnham says.

If shippers don’t understand the capabilities that they need, problems can arise. Shippers should be clear and accurate about their requirements, including frequency, geographic coverage, and service needs.

“Some shippers don’t give this the attention it deserves and they’re wildly wrong with the requirements they communicate to carriers,” says Andy Dyer, CEO of AFS Logistics, a third-party logistics provider based in Shreveport, Louisiana. “Some shippers inflate their volumes to get a better deal, but their actual freight volume is much lower.

“Shippers need to be honest, whether it’s about total volumes or seasonality,” Dyer adds. “Everyone will see the truth when the freight actually hits.”

Shippers should also prioritize the value that carriers provide, including on-time deliveries and the care that carriers take with goods. For that reason, shippers should seek carriers with a low claims ratio and a strong record for limiting delays.

“What good is getting the cheapest rate if you make a sale to a customer, ship the order, and the product arrives late with 10% of it damaged beyond use and it never makes it to the showroom floor?” asks Kent Williams, executive vice president of sales and marketing for Averitt, a freight transportation and supply chain service provider.

Shippers also shouldn’t overlook the intricacies of a carrier’s technological capabilities.

“Real-time tracking empowers shippers to proactively address shipment issues, which helps reduce costs, improve customer satisfaction, and gain a competitive edge,” Cupp says. “By leveraging analytics, shippers can identify carriers with exceptional performance and cost efficiency.

“Furthermore, a carrier’s ability to integrate with systems and adhere to security standards is crucial for seamless operations and risk mitigation,” he adds. “Ultimately, a carrier’s technological capabilities directly impact its ability to deliver exceptional customer experiences and optimize supply chain operations.”

The Role of Costs

When the economy recovers, a shortage of carriers is possible. To offset that issue, shippers can develop relationships with financially stable carriers now to help guarantee future capacity.

Experts agree that costs should not be the primary consideration ahead of factors such as service level, reliability, and reputation. However, its role remains critical—and total costs are not always straightforward.

“Often, shippers establish long-term contracts with carriers to ensure coverage at a specific cost,” Cupp says. “Long-term contracts can provide cost stability and potential discounts, making forecasting and managing transportation budgets easier.”

During contract negotiations, shippers should negotiate surcharges and accessorial charges upfront. “Sometimes, paying a higher rate for a more reliable carrier can save costs in the long run by reducing delays, damages, and lost sales,” he adds.

Too often, shippers believe that a discount is the most important factor in choosing a carrier.

“That approach continues to plague our industry,” Burnham says. “Some informed shippers look at the net costs and factor in surcharges and accessorial fees, but even they are missing the mark.

“To get a true understanding of costs, you must include your entire team and anyone related to the shipment,” he says.

Modeling surcharges “is fundamental to understanding total cost,” Dyer says.

“There are some particular differences from carrier to carrier, but they generally all follow the same rules,” he explains. “In LTL, shippers pay for their share of the capacity inside the truck and it’s a matter of understanding capacity rules. If they know their business, they know what to look at.

“Identify the characteristics that are important to you,” Dyer suggests. “When you do a carrier bid, you might occasionally find a carrier that doesn’t fully disclose surcharges but, for the most part, carriers tend to be honest.”

Finding a Cultural Fit

Shippers sometimes make the mistake of ignoring culture fit when considering carriers. “Overlooking alignment in values and working styles can lead to friction and reduced collaboration,” Moore says.

Shippers need to know how carriers solve problems when they arise and whether they have a proven track record for doing so. “Contact client references like you would when vetting a potential employee,” Burnham recommends.

Carrier contracts should also include a clear dispute-resolution process for handling conflicts. They should also allow for regular audits and reviews of service performance and cost structures, and clearly define the conditions under which either party can terminate the contract.

“Failure to thoroughly vet carriers for their financial stability, service capabilities, and track record can lead to choosing an unreliable partner,” Cupp says.

Visiting a carrier’s operation to make sure the facilities match the marketing brochure and to see firsthand how the warehouse handles shipments is a wise decision.

Carriers should offer financial stability and serviceability, too. Check carrier financials using public information and services such as Dun & Bradstreet and Carrier411. “The first sign that a company is in financial distress is if they stop paying on time,” Dyer explains.

When evaluating service, be wary of fraud, particularly ensuring that carriers “are who they say they are,” he adds.

“Knowing your provider is crucial,” Dyer says. “It’s not about relationships—whether you like them or not. This is about whether you’re dealing with an actual known party.”

Commit to Collaboration

Averitt works to win core carrier business by prioritizing on-time deliveries and customer service while offering technology enhancements such as real-time tracking and data analytics.

Securing a long-term strategic partnership is also an important goal when evaluating core carriers. Shippers should emphasize this over focusing simply on transactional partnerships.

For instance, Averitt’s most productive customer relationships are based on years or even decades of collaboration. “That way we really understand their business,” Williams says.

In those types of relationships, carriers can provide invaluable strategic insights, including the design of a shipper’s supply chain network.

“Shippers want a collaborative approach, and want to find a carrier who will also welcome such an approach,” Williams says. “They are looking for mutually beneficial relationships, which means there’s often some give and take.”

When this symbiotic relationship is not there, shippers end up frequently going to market to switch carriers and start relationships over, struggling to build continuity and long-term value.

The importance of both shipper and carrier teams working together cannot be overstated.

“Whether it’s a driver working with a shipper on a warehouse floor, or the traffic director working with the carrier sales representative, it’s a team game that can only be won when everyone works together,” Burnham says.

“Shippers who ask their carriers, ‘How are we doing as a shipper? What can we do to help you do your job?’ can explore ways to strengthen the work being done together that benefits both parties and avoids future issues,” he adds.

In short, successful long-term relationships between shippers and carriers depend on both sides getting something positive out of the experience.

“Everyone has to win,” Dyer says. “You can’t approach carrier relationships as a zero-sum game, or you’ll lose out.”

“How you treat your carriers is the determining factor in how well your relationships work,” he adds. “Some shippers might drop a carrier in a nanosecond to save a few cents, or because some other carrier offers an incentive to switch. Over time, shippers who treat their carriers poorly develop a bad reputation. That’s something shippers want to avoid.”


How to Become a Shipper of Choice

Companies see clear benefits if they are considered a shipper of choice.

“In today’s competitive shipping landscape, carriers wield significant power in selecting their business partners,” explains Brian Cupp, director of operations for IntelliTrans. “To become a shipper of choice, businesses must prioritize strong carrier relationships, operational efficiency, and exceptional communication.”

Companies striving to be considered shippers of choice should aim to build mutually beneficial relationships based on consistent volume and predictability, efficient operations, fair and transparent communication, prompt payment, flexibility and collaboration, and respect and professionalism, recommends Tom Moore, founder and CEO of ProvisionAi.

Other keys to being a shipper of choice include maintaining open dialogue, honoring payment terms, and holding regular business reviews, says Martin Burnham, president of Hercules. He also cites keeping drivers and equipment moving—“static drivers or equipment is dead cost to a carrier,” he says—and having freight ready for pickup to limit driver dwell time and trucks being ordered and not used.

In that vein, shippers should be able to provide an accurate picture of their network operating requirements to communicate with carriers and make commitments that they can realistically uphold.

“For instance, a shipper has to be able to accurately describe what it’s like for a driver getting on and off property, and for a shipper with multiple facilities, that might vary from one site to another,” says Andy Dyer, CEO of AFS Logistics.

“For the facilities in question, how does ingress and egress work? What is loading like? Are appointments required and, if so, how easy is it to set and change appointments?” he says.

“If a shipper doesn’t have a complete understanding of all these factors, they might think something is a lot easier than it really is and find they don’t have the sustained stream of capacity to the price committed,” Dyer notes.


]]>
2024 Trucking Perspectives https://www.inboundlogistics.com/articles/2024-trucking-perspectives/ Mon, 16 Sep 2024 13:04:00 +0000 https://www.inboundlogistics.com/?post_type=articles&p=41742 Motor carriers are feeling squeezed these days. The market for transportation has been soft, pushing freight rates downward. And to cap it off, pundits and trucking industry experts aren’t sure when that situation will change.

But even as trucking firms have been forced to charge their customers less per mile, they need more income to maintain their operations. Over the past year, truckers have been paying more for many essentials, such as equipment, insurance, interest on loans, and, at least until recently, fuel.

Shippers also worry about expenses. The rates they pay to put freight on the road might be lower than in the early phase of the post-COVID era, but shippers still cite transportation costs as a major challenge. Many also name price as one of the most important things they consider when choosing a trucking company, making that factor slightly more crucial to the partnership than reliability or capacity.

These are just a few of the insights you’ll find in Inbound Logistics’ 2024 Trucking Perspectives report. Each year, we ask both truckers and shippers to tell us what impact current conditions are having on their businesses, and how they are responding. In the following pages, you’ll see how things stand with the industry in 2024.


TRUCKERS: As a leading economic indicator, where do you see the economy trending?

When it comes to the economy, there are fewer all-out optimists among trucking company executives in 2024 than there were one year ago. Today, only 16% of trucking company respondents see the economy trending upward, compared with 22% last year. At the same time, there are also fewer genuine pessimists. Only 6% of truckers say the economy is trending downward, compared with 12% in 2023.

For most motor carriers, this is a wait-and-see period, not surprising in the midst of a tight presidential election. Last year, 66% of truckers saw the economy hovering somewhere in-between up and down. This year, that proportion has risen to 79%.


TRUCKERS: What are your greatest challenges?

With less demand for freight capacity in the past year, shippers have gained the power to shop around for the trucks they need at rates they’re willing to pay. That’s forced many trucking companies to compete on price. In 2023, only 37% of our trucking respondents noted price pressure from customers and/or competitors as one of their greatest challenges. In 2024, that number has jumped to 53%. That makes price pressure the second-biggest concern this year, after insurance costs and liabilities.

The survey also shows a big jump in concern about cargo theft and load security. This year, 26% of trucking respondents mention that as a major challenge, compared with just 7% in 2023. That stands to reason, considering the crime wave the transportation industry has suffered in the past year. For instance, in July, researchers at CargoNet reported 771 incidents of cargo thefts in the second quarter of 2024—33% more than in the second quarter of 2023. In a growing number of cases, sophisticated fraudsters steal the identities of legitimate truckers, pick up loads from shippers, and then disappear with the goods.

As they worry about rates and security, trucking companies are breathing easier about some other aspects of their operations. In 2023, driver-related costs stood at the top of the list of major challenges for truckers: 66% cited those as a concern. In 2024, we rephrased the question slightly, asking about all driver-related challenges, such as recruitment, retention, and training. Forty-seven percent of truckers name this cluster of challenges as a significant concern. This is smaller than the proportion of truckers—54%—who are concerned about insurance costs and liabilities, the top challenge listed this year.

Trucking executives also are less worried about fuel costs: 29% name those as an important challenge, compared with 51% in 2023. Fuel prices have fallen slightly during the summer of 2024. Beyond that, perhaps truckers have simply grown resigned to the prices they currently pay at the pump and feel that, having built those costs into their freight rates, they have resolved the challenge for now.


SHIPPERS: What are your greatest challenges?

Although a freight recession in the past year has pushed down transportation rates, transportation costs still emerge as the top challenge for shippers, cited by 66% of shipper respondents. Of course, total transportation costs depend on other factors beside rates, such as how far companies ship their goods and how much complexity they’ve built into their supply chains.

Like the truckers who serve them, shippers see cargo theft and security as a much bigger challenge this year than in 2023. Forty-one percent of shippers cite this as a major concern this year, compared with only 12% last year. Also, more shippers this year see customer service as a significant challenge—50% compared with 37% in 2023.

While truckers as a group feel more pressure this year to reduce prices, shippers as a group are feeling slightly less pressure from their own customers and competitors to drop theirs. Shippers are also just a tiny bit less concerned about finding capacity this year than in 2023.

Twenty-three percent of shippers say they face challenges with environmental, regulatory, and security compliance. While that’s not even one-quarter of the shippers who responded to the survey, it’s more than double the 11% who named regulatory compliance as a major concern in 2023.


TRUCKERS: Do you have a freight brokerage or logistics services division/subsidiary?

Just over three-quarters of the trucking companies represented in our survey have created divisions that specialize in freight brokerage or logistics services. That’s a substantial number, but it’s smaller than the 87% who indicated in 2023 that they had formed business units to provide those services.


TRUCKERS: What types of services/solutions do you offer?

Full truckload (TL) transportation is the easiest motor carrier service to find among our trucking respondents; 83% of them offer that service. A smaller number—67%—provide less-than-truckload (LTL) service, while just 17% carry small packages. If you want to take advantage of capacity beyond what’s available in a carrier’s own fleet, 76% of respondents provide brokerage services. An equal proportion offer a range of logistics services in addition to over-the-road transportation.

Half of our respondents handle intermodal transportation, and nearly the same number—49%—provide drayage services.

While 40% of truckers in our survey say they provide specialized transportation, a larger number offer specific kinds of specialized services, including expedited (54%), flatbed (51%), and bulk (41%). Just 36% of respondents provide cold chain transportation.


TRUCKERS: What industries/commodities do you serve?

Year after year, food/beverages and other grocery items make up the most popular market for truckers. In 2024, 83% of respondents say they carry those commodities, just slightly down from last year’s 87%. Several other top commodities or industries have grown a bit in importance since last year, including construction and building materials (83% vs. 78% in 2023), automotive (80% vs. 78% in 2023), and retail/ecommerce (80% vs. 73% in 2023).

Last year, 73% of respondents said they served high-value industries such as healthcare, pharmaceuticals, and others. In 2024, we divided that category into more precise components. We now find that 77% of respondents serve the healthcare or pharmaceutical industry, 67% serve the electronics industry, and 60% carry high-value cargoes of various kinds.

Other popular markets include consumer packaged goods (70%), freight of all kinds (70%), furniture (67%), and chemicals (63%).


TRUCKERS: What is your operating area?

In 2023, 61% of truckers told us they operated only in North America, while 39% covered just the United States. This year, we added a new option to our coverage question. With that in the mix, we learned that 58% of respondents provide service across North America, 36% operate just in the United States, and 6% provide global coverage.


TRUCKERS: What certifications do you hold?

A large majority of motor carriers continue to work with the Environmental Protection Agency’s (EPA) SmartWay certification program to make their operations more efficient and reduce their carbon emissions. In 2024, 84% of respondents hold SmartWay certification—slightly fewer than last year’s 88%, but still a significant proportion.

The second-most popular certification for motor carriers remains the one that permits them to haul hazardous materials. Sixty-four percent of respondents hold HazMat certification, the same proportion as in 2023.

With 64% of carriers in the survey offering services outside the United States—across North America and/or elsewhere in the world—it stands to reason that many of them would sign on for programs that speed up the movement of cargo across international borders. This year, 53% of truckers tell us they participate in the Customs Trade Partnership Against Terrorism (C-TPAT) program, up significantly from last year’s 40%. Truckers are only about half as likely to earn two other border-crossing certifications, one from the Free and Secure Trade (FAST) program in the United States (27%) and Canada’s Partners In Protection (PIP) program (24%).


SHIPPERS: What are the most important factors to consider when choosing a motor carrier?

Like last year, our 2024 survey found that price and reliability are the most important factors that shippers consider when they choose a motor carrier. But the number of shipping executives who name those as top concerns has fallen a bit. This year, 77% of shippers cite price as an important factor, vs. 87% in 2023. Seventy-three percent mention reliability this year, compared with 88% last year.

One concern that has increased markedly is capacity. The trucking industry has seen a freight recession in recent history, making space on trucks easier to find. But perhaps shippers are eyeing a future when inflation will ease, consumers will start spending more freely, and a fresh burst of commercial activity will fuel demand for over-the-road transportation. Whatever the reason, 61% of shippers say that capacity is an important factor when choosing a motor carrier, compared with only 47% a year ago.

More than half of our shipper respondents consider customer service and/or safety when choosing a trucking company. Sustainability is gaining some traction: 31% of shippers call that an important factor this year, vs. 20% in 2023. In addition, this year, for the first time, we asked shippers if a motor carrier’s technology plays a role when they choose a transportation partner. One-quarter of shippers told us that this is an important factor.


SHIPPERS: Have you experienced a shortage of truck capacity?

Pundits may report a soft market for over-the-road freight, but it seems that many shippers still can’t always find the services they need. This year, 55% of shippers say they have experienced a shortage of truck capacity, up from the 47% who reported that problem last year.


SHIPPERS: Have you experienced rate hikes apart from fuel surcharges?

Given the tight link between capacity and freight rates, it stands to reason that the number of shippers who have seen rate hikes would be tied to the number who have suffered capacity shortages. In 2024, 82% of shippers say they have experienced rate hikes apart from fuel surcharges, up from 74% in 2023.


SHIPPERS: Which is more important—your relationship with your carrier or with your broker/intermediary?

Slightly more than half of shippers consider their relationships with their trucking companies and their brokers or other intermediaries equally important. Among the rest, truckers win the crown. Twenty-seven percent of shippers say their relationship with their carrier is more important than with a third-party partner; 19% say the opposite.


TRUCKERS: What legislative measures have the greatest impact on your business?

In recent years, legislation related to infrastructure has emerged as the government activity with the greatest impact on trucking companies.

Last year, 79% of trucking respondents named legislation focused on roads, bridges, and other facilities as one of their big policy concerns. This year, that’s changed. Only 49% cite infrastructure legislation, while 56% say energy policy and sustainability requirements make a major impact on their business. That impact, of course, could come in a variety of areas, including fuel prices, the kinds of trucks motor carriers need to buy, and what it costs to operate and maintain those vehicles.

Another important category of government action is one that we included in this question for the first time this year—driver mandates. These include requirements such as Hours of Service regulations, testing requirements, and electronic logging devices (ELDs) to record driver activity. Nearly one-half of trucking respondents say that these mandates have a significant impact on their business.

Fewer truckers are concerned this year than last about healthcare legislation (19% vs. 21%) and the Highway Trust Fund (3% vs. 10%). On the other hand, a few more truckers than last year cite laws about vehicle weight as a concern—14% in 2024 vs. 7% in 2023.

(For more trucking information, find out which 10 companies offer the highest driver salaries.)


]]>
Motor carriers are feeling squeezed these days. The market for transportation has been soft, pushing freight rates downward. And to cap it off, pundits and trucking industry experts aren’t sure when that situation will change.

But even as trucking firms have been forced to charge their customers less per mile, they need more income to maintain their operations. Over the past year, truckers have been paying more for many essentials, such as equipment, insurance, interest on loans, and, at least until recently, fuel.

Shippers also worry about expenses. The rates they pay to put freight on the road might be lower than in the early phase of the post-COVID era, but shippers still cite transportation costs as a major challenge. Many also name price as one of the most important things they consider when choosing a trucking company, making that factor slightly more crucial to the partnership than reliability or capacity.

These are just a few of the insights you’ll find in Inbound Logistics’ 2024 Trucking Perspectives report. Each year, we ask both truckers and shippers to tell us what impact current conditions are having on their businesses, and how they are responding. In the following pages, you’ll see how things stand with the industry in 2024.


TRUCKERS: As a leading economic indicator, where do you see the economy trending?

When it comes to the economy, there are fewer all-out optimists among trucking company executives in 2024 than there were one year ago. Today, only 16% of trucking company respondents see the economy trending upward, compared with 22% last year. At the same time, there are also fewer genuine pessimists. Only 6% of truckers say the economy is trending downward, compared with 12% in 2023.

For most motor carriers, this is a wait-and-see period, not surprising in the midst of a tight presidential election. Last year, 66% of truckers saw the economy hovering somewhere in-between up and down. This year, that proportion has risen to 79%.


TRUCKERS: What are your greatest challenges?

With less demand for freight capacity in the past year, shippers have gained the power to shop around for the trucks they need at rates they’re willing to pay. That’s forced many trucking companies to compete on price. In 2023, only 37% of our trucking respondents noted price pressure from customers and/or competitors as one of their greatest challenges. In 2024, that number has jumped to 53%. That makes price pressure the second-biggest concern this year, after insurance costs and liabilities.

The survey also shows a big jump in concern about cargo theft and load security. This year, 26% of trucking respondents mention that as a major challenge, compared with just 7% in 2023. That stands to reason, considering the crime wave the transportation industry has suffered in the past year. For instance, in July, researchers at CargoNet reported 771 incidents of cargo thefts in the second quarter of 2024—33% more than in the second quarter of 2023. In a growing number of cases, sophisticated fraudsters steal the identities of legitimate truckers, pick up loads from shippers, and then disappear with the goods.

As they worry about rates and security, trucking companies are breathing easier about some other aspects of their operations. In 2023, driver-related costs stood at the top of the list of major challenges for truckers: 66% cited those as a concern. In 2024, we rephrased the question slightly, asking about all driver-related challenges, such as recruitment, retention, and training. Forty-seven percent of truckers name this cluster of challenges as a significant concern. This is smaller than the proportion of truckers—54%—who are concerned about insurance costs and liabilities, the top challenge listed this year.

Trucking executives also are less worried about fuel costs: 29% name those as an important challenge, compared with 51% in 2023. Fuel prices have fallen slightly during the summer of 2024. Beyond that, perhaps truckers have simply grown resigned to the prices they currently pay at the pump and feel that, having built those costs into their freight rates, they have resolved the challenge for now.


SHIPPERS: What are your greatest challenges?

Although a freight recession in the past year has pushed down transportation rates, transportation costs still emerge as the top challenge for shippers, cited by 66% of shipper respondents. Of course, total transportation costs depend on other factors beside rates, such as how far companies ship their goods and how much complexity they’ve built into their supply chains.

Like the truckers who serve them, shippers see cargo theft and security as a much bigger challenge this year than in 2023. Forty-one percent of shippers cite this as a major concern this year, compared with only 12% last year. Also, more shippers this year see customer service as a significant challenge—50% compared with 37% in 2023.

While truckers as a group feel more pressure this year to reduce prices, shippers as a group are feeling slightly less pressure from their own customers and competitors to drop theirs. Shippers are also just a tiny bit less concerned about finding capacity this year than in 2023.

Twenty-three percent of shippers say they face challenges with environmental, regulatory, and security compliance. While that’s not even one-quarter of the shippers who responded to the survey, it’s more than double the 11% who named regulatory compliance as a major concern in 2023.


TRUCKERS: Do you have a freight brokerage or logistics services division/subsidiary?

Just over three-quarters of the trucking companies represented in our survey have created divisions that specialize in freight brokerage or logistics services. That’s a substantial number, but it’s smaller than the 87% who indicated in 2023 that they had formed business units to provide those services.


TRUCKERS: What types of services/solutions do you offer?

Full truckload (TL) transportation is the easiest motor carrier service to find among our trucking respondents; 83% of them offer that service. A smaller number—67%—provide less-than-truckload (LTL) service, while just 17% carry small packages. If you want to take advantage of capacity beyond what’s available in a carrier’s own fleet, 76% of respondents provide brokerage services. An equal proportion offer a range of logistics services in addition to over-the-road transportation.

Half of our respondents handle intermodal transportation, and nearly the same number—49%—provide drayage services.

While 40% of truckers in our survey say they provide specialized transportation, a larger number offer specific kinds of specialized services, including expedited (54%), flatbed (51%), and bulk (41%). Just 36% of respondents provide cold chain transportation.


TRUCKERS: What industries/commodities do you serve?

Year after year, food/beverages and other grocery items make up the most popular market for truckers. In 2024, 83% of respondents say they carry those commodities, just slightly down from last year’s 87%. Several other top commodities or industries have grown a bit in importance since last year, including construction and building materials (83% vs. 78% in 2023), automotive (80% vs. 78% in 2023), and retail/ecommerce (80% vs. 73% in 2023).

Last year, 73% of respondents said they served high-value industries such as healthcare, pharmaceuticals, and others. In 2024, we divided that category into more precise components. We now find that 77% of respondents serve the healthcare or pharmaceutical industry, 67% serve the electronics industry, and 60% carry high-value cargoes of various kinds.

Other popular markets include consumer packaged goods (70%), freight of all kinds (70%), furniture (67%), and chemicals (63%).


TRUCKERS: What is your operating area?

In 2023, 61% of truckers told us they operated only in North America, while 39% covered just the United States. This year, we added a new option to our coverage question. With that in the mix, we learned that 58% of respondents provide service across North America, 36% operate just in the United States, and 6% provide global coverage.


TRUCKERS: What certifications do you hold?

A large majority of motor carriers continue to work with the Environmental Protection Agency’s (EPA) SmartWay certification program to make their operations more efficient and reduce their carbon emissions. In 2024, 84% of respondents hold SmartWay certification—slightly fewer than last year’s 88%, but still a significant proportion.

The second-most popular certification for motor carriers remains the one that permits them to haul hazardous materials. Sixty-four percent of respondents hold HazMat certification, the same proportion as in 2023.

With 64% of carriers in the survey offering services outside the United States—across North America and/or elsewhere in the world—it stands to reason that many of them would sign on for programs that speed up the movement of cargo across international borders. This year, 53% of truckers tell us they participate in the Customs Trade Partnership Against Terrorism (C-TPAT) program, up significantly from last year’s 40%. Truckers are only about half as likely to earn two other border-crossing certifications, one from the Free and Secure Trade (FAST) program in the United States (27%) and Canada’s Partners In Protection (PIP) program (24%).


SHIPPERS: What are the most important factors to consider when choosing a motor carrier?

Like last year, our 2024 survey found that price and reliability are the most important factors that shippers consider when they choose a motor carrier. But the number of shipping executives who name those as top concerns has fallen a bit. This year, 77% of shippers cite price as an important factor, vs. 87% in 2023. Seventy-three percent mention reliability this year, compared with 88% last year.

One concern that has increased markedly is capacity. The trucking industry has seen a freight recession in recent history, making space on trucks easier to find. But perhaps shippers are eyeing a future when inflation will ease, consumers will start spending more freely, and a fresh burst of commercial activity will fuel demand for over-the-road transportation. Whatever the reason, 61% of shippers say that capacity is an important factor when choosing a motor carrier, compared with only 47% a year ago.

More than half of our shipper respondents consider customer service and/or safety when choosing a trucking company. Sustainability is gaining some traction: 31% of shippers call that an important factor this year, vs. 20% in 2023. In addition, this year, for the first time, we asked shippers if a motor carrier’s technology plays a role when they choose a transportation partner. One-quarter of shippers told us that this is an important factor.


SHIPPERS: Have you experienced a shortage of truck capacity?

Pundits may report a soft market for over-the-road freight, but it seems that many shippers still can’t always find the services they need. This year, 55% of shippers say they have experienced a shortage of truck capacity, up from the 47% who reported that problem last year.


SHIPPERS: Have you experienced rate hikes apart from fuel surcharges?

Given the tight link between capacity and freight rates, it stands to reason that the number of shippers who have seen rate hikes would be tied to the number who have suffered capacity shortages. In 2024, 82% of shippers say they have experienced rate hikes apart from fuel surcharges, up from 74% in 2023.


SHIPPERS: Which is more important—your relationship with your carrier or with your broker/intermediary?

Slightly more than half of shippers consider their relationships with their trucking companies and their brokers or other intermediaries equally important. Among the rest, truckers win the crown. Twenty-seven percent of shippers say their relationship with their carrier is more important than with a third-party partner; 19% say the opposite.


TRUCKERS: What legislative measures have the greatest impact on your business?

In recent years, legislation related to infrastructure has emerged as the government activity with the greatest impact on trucking companies.

Last year, 79% of trucking respondents named legislation focused on roads, bridges, and other facilities as one of their big policy concerns. This year, that’s changed. Only 49% cite infrastructure legislation, while 56% say energy policy and sustainability requirements make a major impact on their business. That impact, of course, could come in a variety of areas, including fuel prices, the kinds of trucks motor carriers need to buy, and what it costs to operate and maintain those vehicles.

Another important category of government action is one that we included in this question for the first time this year—driver mandates. These include requirements such as Hours of Service regulations, testing requirements, and electronic logging devices (ELDs) to record driver activity. Nearly one-half of trucking respondents say that these mandates have a significant impact on their business.

Fewer truckers are concerned this year than last about healthcare legislation (19% vs. 21%) and the Highway Trust Fund (3% vs. 10%). On the other hand, a few more truckers than last year cite laws about vehicle weight as a concern—14% in 2024 vs. 7% in 2023.

(For more trucking information, find out which 10 companies offer the highest driver salaries.)


]]>
2024 Inbound Logistics Top 100 Truckers https://www.inboundlogistics.com/articles/top-100-truckers/ Mon, 09 Sep 2024 15:19:16 +0000 https://www.inboundlogistics.com/?post_type=articles&p=37880 Navigating today’s complex transportation and supply chain landscape requires excellent carrier partners. Inbound Logistics’ annual Top 100 Truckers spotlights the industry’s elite, helping you identify the companies that can fuel your unique needs.

From global giants to regional specialists, this year’s list showcases the diversity of the trucking industry. The Inbound Logistics editorial team evaluated hundreds of submissions, diving into data, conducting interviews, and assessing the opinions of trucking services buyers.

This list is your roadmap to finding carrier partners that excel in everything from reliability and efficiency to customer service and sustainability.

Use the 2024 Top 100 Truckers list to find the perfect partner to drive your business forward.


A. Duie Pyle

800-523-5020 | aduiepyle.com

Primary Services: LTL, TL, Brokerage, Bulk, DCC, Drayage, Expedited, Final Mile, Flatbed, Intermodal, White Glove
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Food & Beverage/Grocery, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: North America


AAA Cooper Transportation

888-715-7690 | www.aaacooper.com

Primary Services: LTL, TL, Bulk, DCC, Flatbed, Intermodal
Industries & Commodities Served: Automotive, Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, Retail/Ecommerce
Operating Area: U.S. Only, Multi-Regional


Alden Logistics (Evans Distribution Systems)

313-388-3200 | www.evansdist.com/transportation

Primary Services: LTL, TL, Brokerage, Bulk, DCC, Drayage, Expedited, Flatbed, Household Goods, Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Aerospace, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce, Paper/Pulp (Raw Materials), Cannabis Suppliers, Renewable Energy (Solar Panels), Batteries, Cosmetics
Operating Area: North America


AMX

855-699-3111 | www.amxtrucking.com

Primary Services: TL, Brokerage, Bulk, Cold Chain, DCC, Drayage, Driver Assistance, Expedited, Flatbed, Household Goods, Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Automotive, Chemicals, Construction & Building Materials, CPG, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Retail/Ecommerce
Operating Area: U.S. Only, Lower 48, Some Canada


Anderson Trucking Service

866-204-0217 | www.atsinc.com

Primary Services: LTL, TL, Brokerage, Cold Chain, Expedited, Flatbed, Intermodal, Logistics, White Glove
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Andy Transport

877-263-9639 | www.andytransport.com

Primary Services: LTL, TL, Brokerage, Cold Chain, Final Mile, Flatbed, Intermodal, Logistics, White Glove
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, High Value, Retail/Ecommerce
Operating Area: North America


ArcBest

800-610-5544 | arcb.com

Primary Services: LTL, TL, Brokerage, Bulk, DCC, Drayage, Expedited, Final Mile, Flatbed, Household Goods, Intermodal, Logistics, Small Package, Specialized Transportation, White Glove
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: Global Coverage


Averitt

800-283-7488 | www.averitt.com

Primary Services: LTL, TL, Brokerage, DCC, Drayage, Expedited, Final Mile, Flatbed, Intermodal, Logistics, Small Package, Specialized Transportation, White Glove
Industries & Commodities Served: Aerospace, Automotive, Chemicals, Construction & Building Materials,CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Retail/Ecommerce
Operating Area: North America


Bennett Family of Cos.

800-866-5500 | www.bennettig.com

Primary Services: LTL, TL, Flatbed
Industries & Commodities Served: Agriculture, Construction & Building Materials, Energy, Oil & Gas, Freight All Kinds, High Value
Operating Area: North America


Bison Transport

800-462-4766 | www.bisontransport.com

Primary Services: LTL, TL, Brokerage, DCC, Expedited, Flatbed, Household Goods, Intermodal, Logistics
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: North America


Brown Trucking

770-482-2556 | www.brownintegratedlogistics.com

Primary Services: TL, Brokerage, DCC, Logistics
Industries & Commodities Served: Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, High Value
Operating Area: U.S. Only, Southeast Regional


C.R. England

800-453-8826 | www.crengland.com

Primary Services: LTL, TL, Brokerage, Cold Chain, DCC, Expedited, Flatbed, Household Goods, Intermodal, Logistics, Small Package
Industries & Commodities Served: Agriculture, Automotive, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: North America


Cargo Transporters

828-459-3408 | www.cgor.com

Primary Services: TL, DCC
Industries & Commodities Served: Automotive, Construction & Building Materials, CPG, Food & Beverage/Grocery, Freight All Kinds, Furniture, Retail/Ecommerce
Operating Area: U.S. Only, 48 States


Central Transport

800-222-4766 | www.centraltransport.com

Primary Services: LTL, TL, Cold Chain, Expedited, Logistics
Industries & Commodities Served: Retail/Ecommerce, Manufacturing
Operating Area: North America


CFI

800-641-4747 | cfidrive.com

Primary Services: TL, Cold Chain
Industries & Commodities Served: Agriculture, Construction & Building Materials, Food & Beverage/Grocery, Retail/Ecommerce, Manufacturing
Operating Area: North America


Challenger Motor Freight

800-265-6358 | www.challenger.com

Primary Services: LTL, TL, DCC, Expedited, Logistics
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Colonial Cartage

678-322-3120 | www.colonialcartage.com

Primary Services: LTL, TL, Brokerage, Cold Chain, DCC, Expedited, Intermodal, Logistics, Small Package, Specialized Transportation
Industries & Commodities Served: Agriculture, Automotive, Chemicals, CPG, Electronics, Food & Beverage/Grocery, Freight All Kinds, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: U.S. Only


ContainerPort Group

440-333-1330 | www.containerport.com

Primary Services: LTL, Brokerage, Cold Chain, Drayage, Flatbed, Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Automotive, CPG, Food & Beverage/Grocery, Retail/Ecommerce, Manufacturing
Operating Area: U.S. Only, 49 States


Continental Expedited Services

615-933-0000 | www.shipces.com

Primary Services: Brokerage, Expedited
Industries & Commodities Served: Aerospace, Automotive, Chemicals, CPG, Electronics, Energy, Oil & Gas, Healthcare/Pharma, High Value
Operating Area: North America


Covenant Logistics

888-763-5352 | www.covenantlogistics.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Drayage, Driver Assist, Expedited, Flatbed, Household Goods, Logistics, Specialized Transportation, Tanker
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: U.S. Only, All Regions


Cowan Systems

800-882-6926 | www.cowansystems.com

Primary Services: DCC, Intermodal
Industries & Commodities Served: Automotive, CPG, Food & Beverage/Grocery, Healthcare/Pharma, Retail/Ecommerce, Manufacturing
Operating Area: North America


Crete Carrier/Shaffer Trucking

800-998-8000 | cretecarrier.com

Primary Services: TL, Cold Chain, DCC, Flatbed
Industries & Commodities Served: Agriculture, Construction & Building Materials, CPG, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Retail/Ecommerce
Operating Area: U.S. Only, 48 States


CRST Specialized Solutions

260-470-8631 | crst.com

Primary Services: LTL, TL, Final Mile, Logistics, Specialized Transportation, White Glove
Industries & Commodities Served: Aerospace, CPG, Electronics, Events, Furniture, Healthcare/Pharma, High Value, Retail/Ecommerce
Operating Area: North America


Dart Transit

800-328-7418 | www.darttransit.com

Primary Services: TL, DCC, Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Freight All Kinds
Operating Area: U.S. Only, 48 States


Day & Ross

866-329-7677 | dayross.com

Primary Services: LTL, TL, DCC
Industries & Commodities Served: Food & Beverage/Grocery, Retail/Ecommerce, Manufacturing, HazMat
Operating Area: U.S. & Canada


Dayton Freight Lines

800-860-5102 | daytonfreight.com

Primary Services: LTL, TL, Expedited, Logistics
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: U.S. Only, Regional/Multi-Regional


DHL Supply Chain (North America)

614-865-8500 | www.dhl.com

Primary Services: TL, Brokerage, Bulk, DCC, Expedited, Flatbed, Logistics, Tanker, White Glove
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, High Value, Retail/Ecommerce
Operating Area: North America


Dupré Logistics

800-865-4047 | www.duprelogistics.com

Primary Services: LTL, TL, Brokerage, Bulk, DCC, Drayage, Flatbed, Intermodal, Logistics, Specialized Transportation, Tanker
Industries & Commodities Served: Automotive, Chemicals, Construction & Building Materials, CPG, Energy, Oil & Gas, Food & Beverage/Grocery, Retail/Ecommerce
Operating Area: North America


Epes Transport System

800-869-3737 | www.epestransport.com

Primary Services: TL, DCC
Industries & Commodities Served: Agriculture, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: U.S. Only, U.S. Regional/Multi-Regional


Estes

804-350-1900 | www.estes-express.com

Primary Services: LTL, TL, Bulk, DCC, Expedited, Final Mile, Flatbed, Household Goods, Intermodal, Logistics, White Glove
Industries & Commodities Served: Automotive, Chemicals, Construction & Building Materials, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Evans Delivery

570-218-3320 | www.evansdelivery.com

Primary Services: LTL, TL, Flatbed, Intermodal
Industries & Commodities Served: Freight All Kinds
Operating Area: U.S. Only


FedEx Freight

800-463-3339 | www.fedex.com

Primary Services: LTL, Expedited
Industries & Commodities Served: Freight All Kinds
Operating Area: U.S. Only


Forward Air

800-726-6654 | www.forwardair.com

Primary Services: LTL, TL, Brokerage, Bulk, DCC, Drayage, Expedited, Final Mile, Flatbed, Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Aerospace, Automotive, Construction & Building Materials, CPG, Electronics, Events, Freight All Kinds, Furniture, Pharma, High Value, Retail/Ecommerce
Operating Area: North America


GLS Canada

888-636-8666 | www.gls-canada.com

Primary Services: LTL, TL, Final Mile, Logistics, Small Package
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Freight All Kinds, Healthcare/Pharma, Government, Retail/Ecommerce
Operating Area: North America


Groendyke Transport

580-234-4663 | groendyke.com

Primary Services: Bulk, Tanker
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Healthcare/Pharma, Government, High Value
Operating Area: North America


Heartland Express

800-451-4621 | www.heartlandexpress.com

Primary Services: TL, Cold Chain, DCC
Industries & Commodities Served: Automotive, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, Retail/Ecommerce
Operating Area: U.S. Only


Heniff Transportation Systems

703-309-8883 | www.heniff.com

Primary Services: TL, Brokerage, Bulk, DCC, Intermodal, Logistics, Tanker
Industries & Commodities Served: Automotive, Chemicals, Food & Beverage/Grocery
Operating Area: North America


Hub Group

800-377-5833 | www.hubgroup.com

Primary Services: LTL, TL, Brokerage, Cold Chain, DCC, Drayage, Expedited, Final Mile, Flatbed, Intermodal, Logistics, Small Package, White Glove
Industries & Commodities Served: Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, High Value, Retail/Ecommerce
Operating Area: North America


IMC Logistics

833-334-4622 | www.imcc.com

Primary Services: TL, Brokerage, Cold Chain, DCC, Drayage, Expedited, Flatbed, Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, High Value, Retail/Ecommerce
Operating Area: North America


ITS Logistics

775-358-5300 | www.its4logistics.com

Primary Services: LTL, TL, Final Mile
Industries & Commodities Served: Energy, Oil & Gas, Food & Beverage/Grocery, Healthcare/Pharma, Government, Retail/Ecommerce, Manufacturing, HazMat
Operating Area: North America


J.B. Hunt Transport Services

479-820-0000 | www.jbhunt.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Drayage, Expedited, Final Mile, Flatbed, Household Goods, Intermodal, Logistics, Specialized Transportation, White Glove
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: North America


Jack Cooper Holdings

816-983-4000 | www.jackcooper.com

Primary Services: Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Automotive, Manufacturing
Operating Area: North America


Kenan Advantage Group

800-969-5419 | www.thekag.com

Primary Services: LTL, TL, Brokerage, Bulk, DCC, Drayage, Expedited, Flatbed, Intermodal, Logistics, Specialized Transportation, Tanker
Industries & Commodities Served: Aerospace, Agriculture, Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Healthcare/Pharma, Government
Operating Area: North America


Kenco

800-758-3289 | kencogroup.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Drayage, Final Mile, Household Goods, Intermodal, Logistics, Small Package, Specialized Transportation, White Glove
Industries & Commodities Served: Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: North America


Knight Swift Transportation (KNX)

800-489-2000 | www.knight-swift.com

Primary Services: LTL, TL, Brokerage, Cold Chain, DCC, Expedited, Flatbed, Intermodal, Logistics
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Koch Trucking

763-302-5400 | www.kochtrucking.com

Primary Services: TL, DCC, Flatbed, Logistics, Specialized Transportation
Industries & Commodities Served: Freight All Kinds, Marine Freight
Operating Area: North America


Landstar System

877-696-4507 | www.landstar.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, Drayage, Expedited, Flatbed, Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: Global


Leonard’s Express

585-742-9089 | www.leonardsexpress.com

Primary Services: TL, Brokerage, Cold Chain, Expedited, Intermodal
Industries & Commodities Served: Agriculture, Construction & Building Materials, Electronics, Food & Beverage/Grocery, Freight All Kinds, Healthcare/Pharma, High Value
Operating Area: U.S. Only, 48 Contiguous States


Lily Transportation

800-248-LILY | www.lily.com

Primary Services: LTL, TL, Brokerage, Bulk, DCC, Small Package
Industries & Commodities Served: Automotive, Construction & Building Materials, Food & Beverage/Grocery, Healthcare/Pharma, Retail/Ecommerce
Operating Area: North America


Lynden

888-596-3361 | www.lynden.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, Expedited, Final Mile, Flatbed, Household Goods, Intermodal, Logistics, Specialized Transportation, Tanker, White Glove
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce, Seafood
Operating Area: North America


Marten Transport

715-926-4216 | www.marten.com

Primary Services: TL, Brokerage, Cold Chain, DCC, Intermodal, Logistics
Industries & Commodities Served: Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Retail/Ecommerce
Operating Area: North America


Mercer Transportation

502-540-7530 | www.mercer-trans.com

Primary Services: TL, Brokerage, DCC, Expedited, Flatbed, Logistics, Specialized Transportation
Industries & Commodities Served: Aerospace, Construction & Building Materials, CPG, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Government, Retail/Ecommerce
Operating Area: North America


NFI

877-785-3112 | www.nfiindustries.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Drayage, Driver Assist, Final Mile, Flatbed, Household Goods, Intermodal, Logistics, Specialized Transportation, Tanker
Industries & Commodities Served: Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


NRS

201-330-1900 | nrs3PL.com

Primary Services: LTL, TL, Brokerage, Cold Chain, DCC, Drayage, Final Mile, Household Goods, Logistics, Specialized Transportation, White Glove
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: U.S. Only, Greater 48 States


Nussbaum Transportation

800-322-7305 | nussbaum.com

Primary Services: TL, DCC, Flatbed
Industries & Commodities Served: Agriculture, Automotive, Construction & Building Materials, CPG, Electronics, Food & Beverage/Grocery, Furniture, High Value, Retail/Ecommerce
Operating Area: U.S. Only, 48 Contiguous States


Oak Harbor Freight Lines

800-858-8815 | www.oakh.com

Primary Services: LTL, TL, Intermodal, Specialized Transportation
Industries & Commodities Served: Food & Beverage/Grocery, Healthcare/Pharma, Government, Retail/Ecommerce, HazMat, Oversized, Manufacturing
Operating Area: North America


ODW Logistics

614-549-5000 | www.odwlogistics.com

Primary Services: LTL, TL, DCC, Logistics
Industries & Commodities Served: Agriculture, Automotive, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: U.S. Only, Regional/Multi-Regional


Odyssey Logistics

866-487-7481 | www.odysseylogistics.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, Drayage, Flatbed, Intermodal, Logistics, Specialized Transportation, Tanker
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value
Operating Area: North America


Old Dominion

800-235-5569 | www.odfl.com

Primary Services: LTL, TL, Expedited, Intermodal, Logistics
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: North America


OnTrac

800-206-8955 | www.ontrac.com

Primary Services: Final Mile
Industries & Commodities Served: Freight All Kinds, Retail/Ecommerce
Operating Area: U.S. Only


P.A.M. Transport

800-879-7261 | www.pamtransport.com

Primary Services: TL, DCC, Expedited, Flatbed, Intermodal, Logistics
Industries & Commodities Served: Automotive, Retail/Ecommerce, Manufacturing
Operating Area: North America


Paschall Truck Lines

800-626-3374 | ptl-inc.com

Primary Services: TL, Brokerage, DCC, Drayage, Expedited, Logistics
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, High Value, Retail/Ecommerce
Operating Area: North America


Penske Logistics

800-529-6531 | www.penskelogistics.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Flatbed, Household Goods, Intermodal, Logistics, Specialized Transportation, White Glove
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Events, Food & Beverage/Grocery, Furniture, Healthcare/Pharma, High Value, Retail/Ecommerce
Operating Area: Global


Pitt Ohio

412-232-3015 | pittohio.com

Primary Services: LTL, TL, Brokerage, Cold Chain, DCC, Expedited, Final Mile, Logistics, White Glove
Industries & Commodities Served: Automotive, Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: U.S. Only, Regional/Multi-Regional


Polaris Transportation Group

905-671-3100 | www.polaristransport.com

Primary Services: LTL, Brokerage, Logistics
Industries & Commodities Served: Aerospace, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Furniture, Healthcare/Pharma
Operating Area: North America


Prime

800-848-4560 | www.primeinc.com

Primary Services: TL, Brokerage, Cold Chain, Drayage, Flatbed, Intermodal, Logistics, Tanker
Industries & Commodities Served: Agriculture, Construction & Building Materials, CPG, Food & Beverage/Grocery, High Value
Operating Area: North America


Quality Carriers

800-282-2031 | qualitycarriers.com

Primary Services: Bulk, Intermodal, Logistics
Industries & Commodities Served: Chemicals, Energy, Oil & Gas, Bulk Liquid, Food-Grade Liquid
Operating Area: North America


Quantix

800-542-8058 | quantixscs.com

Primary Services: TL, Brokerage, Bulk, DCC, Final Mile, Logistics, Tanker
Industries & Commodities Served: Agriculture, Chemicals, Energy, Oil & Gas
Operating Area: North America


R+L Carriers

800-543-5589 | www.rlcarriers.com

Primary Services: LTL, TL, Bulk, Cold Chain, DCC, Expedited, Final Mile, Intermodal, Logistics, White Glove
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: North America


Red Classic

704-557-4532 | www.redclassic.com

Primary Services: TL, Brokerage, Logistics
Industries & Commodities Served: Chemicals, CPG, Electronics, Food & Beverage/Grocery, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce,
Operating Area: U.S. Only, Southeast, Mid-Atlantic & Mid-West


Rinchem Company

888-375-2436 | www.rinchem.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Drayage, Expedited, Final Mile, Flatbed, Intermodal, Logistics, Small Package, Specialized Transportation, Tanker, White Glove
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Healthcare/Pharma, Government, High Value
Operating Area: Global


RoadOne IntermodaLogistics

781-961-8200 | www.roadone.com

Primary Services: TL, Brokerage, DCC, Drayage, Expedited, Intermodal, Logistics, White Glove
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: North America


Roadrunner

855-776-3567 | roadrunnerltl.com

Primary Services: LTL, Brokerage, Expedited, Final Mile, Household Goods
Industries & Commodities Served: Automotive, Construction & Building Materials,CPG, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Roehl Transport

715-591-7000 | www.roehltransport.com

Primary Services: TL, Cold Chain, Flatbed, Logistics
Industries & Commodities Served: Agriculture, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Retail/Ecommerce
Operating Area: North America


Ruan

866-782-6669 | www.ruan.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Expedited, Flatbed, Household Goods, Intermodal, Logistics, Tanker
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Energy, Oil and Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Ryder System

305-500-5777 | www.ryder.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Expedited, Final Mile, Flatbed, Household Goods, Intermodal, Logistics, Small Package, Tanker, White Glove
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Energy, Oil and Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Saddle Creek Logistics

888-878-1177 | www.sclogistics.com

Primary Services: LTL, TL, Brokerage, DCC, Expedited, Household Goods, Intermodal, Logistics, Small Package
Industries & Commodities Served: Automotive, Construction & Building Materials, CPG, Food & Beverage/Grocery, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Safeway Trucking

908-351-2800 | eastcoastwarehouse.com

Primary Services: LTL, TL, Brokerage, Cold Chain, DCC, Drayage, Final Mile, Intermodal, Logistics
Industries & Commodities Served: Automotive, Construction & Building Materials, CPG, Electronics, Food & Beverage/Grocery, Furniture, Healthcare/Pharma, Government, Retail/Ecommerce
Operating Area: U.S. Only


Saia LTL Freight

800-765-7242 | www.saia.com

Primary Services: LTL, TL, Expedited, Final Mile, Intermodal, Logistics, White Glove
Industries & Commodities Served: Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, Retail/Ecommerce
Operating Area: U.S. Only, Nationwide


Schneider

800-558-6767 | www.schneider.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Drayage, Expedited, Final Mile, Flatbed, Intermodal, Logistics, Specialized Transportation, Tanker, White Glove
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, High Value, Retail/Ecommerce
Operating Area: North America


Southeastern Freight Lines

803-794-7300 | www.sefl.com

Primary Services: LTL, TL, Brokerage, Expedited, Final Mile, Logistics
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, High Value, Retail/Ecommerce
Operating Area: U.S. Only, Southeast


Standard Logistics Transportation

833-739-2008 | standardls.com

Primary Services: LTL, Brokerage, Flatbed, Logistics
Industries & Commodities Served: Construction & Building Materials
Operating Area: U.S. Only, Continuous 48 States


Stevens Transport

972-216-9000 | www.stevenstransport.com

Primary Services: TL, Cold Chain, DCC, Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Chemicals, Electronics, Food & Beverage/Grocery
Operating Area: North America


Suddath

904-306-7674 | www.suddath.com

Primary Services: LTL, TL
Industries & Commodities Served: Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Syfan Transport

855-287-8485 | www.syfanlogistics

Primary Services: LTL, TL, Brokerage, Bulk, DCC, Drayage, Expedited, Flatbed, Household Goods, Intermodal, Logistics, Tanker
Industries & Commodities Served: Automotive, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, High Value, Retail/Ecommerce
Operating Area: North America


System Freight

609-395-8600 | www.systemfreight.net

Primary Services: Fleet Transportation, DCC
Industries & Commodities Served: Freight All Kinds
Operating Area: North America


TCI Transportation

800-660-9866 | tcitransportation.com

Primary Services: LTL, TL, Brokerage, Cold Chain, DCC, Drayage, Flatbed, Intermodal, Logistics, Specialized Transportation, Tanker
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: U.S. Only, Nationwide


TForce Freight

833-445-2556 | www.tforcefreight.com

Primary Services: LTL, TL, Cold Chain, Expedited
Industries & Commodities Served: Freight All Kinds, Government, Trade Show
Operating Area: North America


Transervice Logistics

832-445-8453 | www.transervice.com

Primary Services: LTL, TL, Brokerage, DCC, Logistics, Small Package
Industries & Commodities Served: Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Retail/Ecommerce
Operating Area: North America


Tri-National

800-870-560 | www.tri-nat.com

Primary Services: LTL, TL, Brokerage, Bulk, Expedited, Logistics
Industries & Commodities Served: Aerospace, Automotive, CPG, Electronics, Food & Beverage/Grocery, Retail/Ecommerce
Operating Area: North America


Trimac

403-298-5100 | www.trimac.com

Primary Services: Bulk, Tanker
Industries & Commodities Served: Agriculture, Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery
Operating Area: North America


Uber Freight

844-822-8237 | uberfreight.com

Primary Services: LTL, TL, Expedited, Logistics
Industries & Commodities Served: Automotive, Construction & Building Materials, Freight All Kinds, Furniture, Retail/Ecommerce
Operating Area: North America, EU


UniGroup Logistics

855-605-8080 | unigrouplogistics.com

Primary Services: LTL, TL, Brokerage, DCC, Driver Assist, Final Mile, Flatbed, Household Goods, Logistics, Specialized Transportation, White Glove
Industries & Commodities Served: Aerospace, Automotive, Construction & Building Materials, Electronics, Events, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: North America


Universal Logistics Holdings

586-920-0100 | www.universallogistics.com

Primary Services: TL, Brokerage, DCC, Drayage, Expedited, Flatbed, Intermodal, Logistics
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Furniture, Government, Retail/Ecommerce
Operating Area: North America


UPS

800-333-7400 | www.ups.com

Primary Services: LTL, Brokerage, DCC, Expedited, Final Mile, Flatbed, Intermodal, Logistics
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: North America


USPS Ground Advantage

800-275-8777 | usps.com/ship/ground-advantage.htm

Primary Services: LTL, Truckload, DCC, Logistics, Small Package
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Government, High Value, Retail/Ecommerce
Operating Area: U.S. Only (Package)


Ward Transport & Logistics

800-458-3625 | www.wardtlc.com

Primary Services: LTL, Brokerage, DCC, Expedited, Final Mile, Flatbed, Intermodal, Logistics
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: North America


Werner Enterprises

402-895-6640 | www.werner.com

Primary Services: LTL, Truckload, Brokerage, Cold Chain, DCC, Expedited, Final Mle, Flatbed, Intermodal, Logistics, Specialized Transportation, White Glove
Industries & Commodities Served: Agriculture, Automotive, Construction & Building Materials, Energy, Oil and Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: North America


Western Express

615-720-6151 | westernexp.com

Primary Services: LTL, Brokerage, DCC, Flatbed, Logistics
Industries & Commodities Served: Agriculture, Automotive, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Retail/Ecommerce
Operating Area: North America


XPO

800-755-2728 | www.xpo.com

Primary Services: LTL
Industries & Commodities Served: Freight All Kinds, Retail/Ecommerce, Trade Show
Operating Area: North America


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Navigating today’s complex transportation and supply chain landscape requires excellent carrier partners. Inbound Logistics’ annual Top 100 Truckers spotlights the industry’s elite, helping you identify the companies that can fuel your unique needs.

From global giants to regional specialists, this year’s list showcases the diversity of the trucking industry. The Inbound Logistics editorial team evaluated hundreds of submissions, diving into data, conducting interviews, and assessing the opinions of trucking services buyers.

This list is your roadmap to finding carrier partners that excel in everything from reliability and efficiency to customer service and sustainability.

Use the 2024 Top 100 Truckers list to find the perfect partner to drive your business forward.


A. Duie Pyle

800-523-5020 | aduiepyle.com

Primary Services: LTL, TL, Brokerage, Bulk, DCC, Drayage, Expedited, Final Mile, Flatbed, Intermodal, White Glove
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Food & Beverage/Grocery, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: North America


AAA Cooper Transportation

888-715-7690 | www.aaacooper.com

Primary Services: LTL, TL, Bulk, DCC, Flatbed, Intermodal
Industries & Commodities Served: Automotive, Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, Retail/Ecommerce
Operating Area: U.S. Only, Multi-Regional


Alden Logistics (Evans Distribution Systems)

313-388-3200 | www.evansdist.com/transportation

Primary Services: LTL, TL, Brokerage, Bulk, DCC, Drayage, Expedited, Flatbed, Household Goods, Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Aerospace, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce, Paper/Pulp (Raw Materials), Cannabis Suppliers, Renewable Energy (Solar Panels), Batteries, Cosmetics
Operating Area: North America


AMX

855-699-3111 | www.amxtrucking.com

Primary Services: TL, Brokerage, Bulk, Cold Chain, DCC, Drayage, Driver Assistance, Expedited, Flatbed, Household Goods, Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Automotive, Chemicals, Construction & Building Materials, CPG, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Retail/Ecommerce
Operating Area: U.S. Only, Lower 48, Some Canada


Anderson Trucking Service

866-204-0217 | www.atsinc.com

Primary Services: LTL, TL, Brokerage, Cold Chain, Expedited, Flatbed, Intermodal, Logistics, White Glove
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Andy Transport

877-263-9639 | www.andytransport.com

Primary Services: LTL, TL, Brokerage, Cold Chain, Final Mile, Flatbed, Intermodal, Logistics, White Glove
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, High Value, Retail/Ecommerce
Operating Area: North America


ArcBest

800-610-5544 | arcb.com

Primary Services: LTL, TL, Brokerage, Bulk, DCC, Drayage, Expedited, Final Mile, Flatbed, Household Goods, Intermodal, Logistics, Small Package, Specialized Transportation, White Glove
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: Global Coverage


Averitt

800-283-7488 | www.averitt.com

Primary Services: LTL, TL, Brokerage, DCC, Drayage, Expedited, Final Mile, Flatbed, Intermodal, Logistics, Small Package, Specialized Transportation, White Glove
Industries & Commodities Served: Aerospace, Automotive, Chemicals, Construction & Building Materials,CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Retail/Ecommerce
Operating Area: North America


Bennett Family of Cos.

800-866-5500 | www.bennettig.com

Primary Services: LTL, TL, Flatbed
Industries & Commodities Served: Agriculture, Construction & Building Materials, Energy, Oil & Gas, Freight All Kinds, High Value
Operating Area: North America


Bison Transport

800-462-4766 | www.bisontransport.com

Primary Services: LTL, TL, Brokerage, DCC, Expedited, Flatbed, Household Goods, Intermodal, Logistics
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: North America


Brown Trucking

770-482-2556 | www.brownintegratedlogistics.com

Primary Services: TL, Brokerage, DCC, Logistics
Industries & Commodities Served: Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, High Value
Operating Area: U.S. Only, Southeast Regional


C.R. England

800-453-8826 | www.crengland.com

Primary Services: LTL, TL, Brokerage, Cold Chain, DCC, Expedited, Flatbed, Household Goods, Intermodal, Logistics, Small Package
Industries & Commodities Served: Agriculture, Automotive, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: North America


Cargo Transporters

828-459-3408 | www.cgor.com

Primary Services: TL, DCC
Industries & Commodities Served: Automotive, Construction & Building Materials, CPG, Food & Beverage/Grocery, Freight All Kinds, Furniture, Retail/Ecommerce
Operating Area: U.S. Only, 48 States


Central Transport

800-222-4766 | www.centraltransport.com

Primary Services: LTL, TL, Cold Chain, Expedited, Logistics
Industries & Commodities Served: Retail/Ecommerce, Manufacturing
Operating Area: North America


CFI

800-641-4747 | cfidrive.com

Primary Services: TL, Cold Chain
Industries & Commodities Served: Agriculture, Construction & Building Materials, Food & Beverage/Grocery, Retail/Ecommerce, Manufacturing
Operating Area: North America


Challenger Motor Freight

800-265-6358 | www.challenger.com

Primary Services: LTL, TL, DCC, Expedited, Logistics
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Colonial Cartage

678-322-3120 | www.colonialcartage.com

Primary Services: LTL, TL, Brokerage, Cold Chain, DCC, Expedited, Intermodal, Logistics, Small Package, Specialized Transportation
Industries & Commodities Served: Agriculture, Automotive, Chemicals, CPG, Electronics, Food & Beverage/Grocery, Freight All Kinds, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: U.S. Only


ContainerPort Group

440-333-1330 | www.containerport.com

Primary Services: LTL, Brokerage, Cold Chain, Drayage, Flatbed, Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Automotive, CPG, Food & Beverage/Grocery, Retail/Ecommerce, Manufacturing
Operating Area: U.S. Only, 49 States


Continental Expedited Services

615-933-0000 | www.shipces.com

Primary Services: Brokerage, Expedited
Industries & Commodities Served: Aerospace, Automotive, Chemicals, CPG, Electronics, Energy, Oil & Gas, Healthcare/Pharma, High Value
Operating Area: North America


Covenant Logistics

888-763-5352 | www.covenantlogistics.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Drayage, Driver Assist, Expedited, Flatbed, Household Goods, Logistics, Specialized Transportation, Tanker
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: U.S. Only, All Regions


Cowan Systems

800-882-6926 | www.cowansystems.com

Primary Services: DCC, Intermodal
Industries & Commodities Served: Automotive, CPG, Food & Beverage/Grocery, Healthcare/Pharma, Retail/Ecommerce, Manufacturing
Operating Area: North America


Crete Carrier/Shaffer Trucking

800-998-8000 | cretecarrier.com

Primary Services: TL, Cold Chain, DCC, Flatbed
Industries & Commodities Served: Agriculture, Construction & Building Materials, CPG, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Retail/Ecommerce
Operating Area: U.S. Only, 48 States


CRST Specialized Solutions

260-470-8631 | crst.com

Primary Services: LTL, TL, Final Mile, Logistics, Specialized Transportation, White Glove
Industries & Commodities Served: Aerospace, CPG, Electronics, Events, Furniture, Healthcare/Pharma, High Value, Retail/Ecommerce
Operating Area: North America


Dart Transit

800-328-7418 | www.darttransit.com

Primary Services: TL, DCC, Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Freight All Kinds
Operating Area: U.S. Only, 48 States


Day & Ross

866-329-7677 | dayross.com

Primary Services: LTL, TL, DCC
Industries & Commodities Served: Food & Beverage/Grocery, Retail/Ecommerce, Manufacturing, HazMat
Operating Area: U.S. & Canada


Dayton Freight Lines

800-860-5102 | daytonfreight.com

Primary Services: LTL, TL, Expedited, Logistics
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: U.S. Only, Regional/Multi-Regional


DHL Supply Chain (North America)

614-865-8500 | www.dhl.com

Primary Services: TL, Brokerage, Bulk, DCC, Expedited, Flatbed, Logistics, Tanker, White Glove
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, High Value, Retail/Ecommerce
Operating Area: North America


Dupré Logistics

800-865-4047 | www.duprelogistics.com

Primary Services: LTL, TL, Brokerage, Bulk, DCC, Drayage, Flatbed, Intermodal, Logistics, Specialized Transportation, Tanker
Industries & Commodities Served: Automotive, Chemicals, Construction & Building Materials, CPG, Energy, Oil & Gas, Food & Beverage/Grocery, Retail/Ecommerce
Operating Area: North America


Epes Transport System

800-869-3737 | www.epestransport.com

Primary Services: TL, DCC
Industries & Commodities Served: Agriculture, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: U.S. Only, U.S. Regional/Multi-Regional


Estes

804-350-1900 | www.estes-express.com

Primary Services: LTL, TL, Bulk, DCC, Expedited, Final Mile, Flatbed, Household Goods, Intermodal, Logistics, White Glove
Industries & Commodities Served: Automotive, Chemicals, Construction & Building Materials, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Evans Delivery

570-218-3320 | www.evansdelivery.com

Primary Services: LTL, TL, Flatbed, Intermodal
Industries & Commodities Served: Freight All Kinds
Operating Area: U.S. Only


FedEx Freight

800-463-3339 | www.fedex.com

Primary Services: LTL, Expedited
Industries & Commodities Served: Freight All Kinds
Operating Area: U.S. Only


Forward Air

800-726-6654 | www.forwardair.com

Primary Services: LTL, TL, Brokerage, Bulk, DCC, Drayage, Expedited, Final Mile, Flatbed, Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Aerospace, Automotive, Construction & Building Materials, CPG, Electronics, Events, Freight All Kinds, Furniture, Pharma, High Value, Retail/Ecommerce
Operating Area: North America


GLS Canada

888-636-8666 | www.gls-canada.com

Primary Services: LTL, TL, Final Mile, Logistics, Small Package
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Freight All Kinds, Healthcare/Pharma, Government, Retail/Ecommerce
Operating Area: North America


Groendyke Transport

580-234-4663 | groendyke.com

Primary Services: Bulk, Tanker
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Healthcare/Pharma, Government, High Value
Operating Area: North America


Heartland Express

800-451-4621 | www.heartlandexpress.com

Primary Services: TL, Cold Chain, DCC
Industries & Commodities Served: Automotive, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, Retail/Ecommerce
Operating Area: U.S. Only


Heniff Transportation Systems

703-309-8883 | www.heniff.com

Primary Services: TL, Brokerage, Bulk, DCC, Intermodal, Logistics, Tanker
Industries & Commodities Served: Automotive, Chemicals, Food & Beverage/Grocery
Operating Area: North America


Hub Group

800-377-5833 | www.hubgroup.com

Primary Services: LTL, TL, Brokerage, Cold Chain, DCC, Drayage, Expedited, Final Mile, Flatbed, Intermodal, Logistics, Small Package, White Glove
Industries & Commodities Served: Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, High Value, Retail/Ecommerce
Operating Area: North America


IMC Logistics

833-334-4622 | www.imcc.com

Primary Services: TL, Brokerage, Cold Chain, DCC, Drayage, Expedited, Flatbed, Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, High Value, Retail/Ecommerce
Operating Area: North America


ITS Logistics

775-358-5300 | www.its4logistics.com

Primary Services: LTL, TL, Final Mile
Industries & Commodities Served: Energy, Oil & Gas, Food & Beverage/Grocery, Healthcare/Pharma, Government, Retail/Ecommerce, Manufacturing, HazMat
Operating Area: North America


J.B. Hunt Transport Services

479-820-0000 | www.jbhunt.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Drayage, Expedited, Final Mile, Flatbed, Household Goods, Intermodal, Logistics, Specialized Transportation, White Glove
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: North America


Jack Cooper Holdings

816-983-4000 | www.jackcooper.com

Primary Services: Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Automotive, Manufacturing
Operating Area: North America


Kenan Advantage Group

800-969-5419 | www.thekag.com

Primary Services: LTL, TL, Brokerage, Bulk, DCC, Drayage, Expedited, Flatbed, Intermodal, Logistics, Specialized Transportation, Tanker
Industries & Commodities Served: Aerospace, Agriculture, Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Healthcare/Pharma, Government
Operating Area: North America


Kenco

800-758-3289 | kencogroup.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Drayage, Final Mile, Household Goods, Intermodal, Logistics, Small Package, Specialized Transportation, White Glove
Industries & Commodities Served: Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: North America


Knight Swift Transportation (KNX)

800-489-2000 | www.knight-swift.com

Primary Services: LTL, TL, Brokerage, Cold Chain, DCC, Expedited, Flatbed, Intermodal, Logistics
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Koch Trucking

763-302-5400 | www.kochtrucking.com

Primary Services: TL, DCC, Flatbed, Logistics, Specialized Transportation
Industries & Commodities Served: Freight All Kinds, Marine Freight
Operating Area: North America


Landstar System

877-696-4507 | www.landstar.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, Drayage, Expedited, Flatbed, Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: Global


Leonard’s Express

585-742-9089 | www.leonardsexpress.com

Primary Services: TL, Brokerage, Cold Chain, Expedited, Intermodal
Industries & Commodities Served: Agriculture, Construction & Building Materials, Electronics, Food & Beverage/Grocery, Freight All Kinds, Healthcare/Pharma, High Value
Operating Area: U.S. Only, 48 Contiguous States


Lily Transportation

800-248-LILY | www.lily.com

Primary Services: LTL, TL, Brokerage, Bulk, DCC, Small Package
Industries & Commodities Served: Automotive, Construction & Building Materials, Food & Beverage/Grocery, Healthcare/Pharma, Retail/Ecommerce
Operating Area: North America


Lynden

888-596-3361 | www.lynden.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, Expedited, Final Mile, Flatbed, Household Goods, Intermodal, Logistics, Specialized Transportation, Tanker, White Glove
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce, Seafood
Operating Area: North America


Marten Transport

715-926-4216 | www.marten.com

Primary Services: TL, Brokerage, Cold Chain, DCC, Intermodal, Logistics
Industries & Commodities Served: Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Retail/Ecommerce
Operating Area: North America


Mercer Transportation

502-540-7530 | www.mercer-trans.com

Primary Services: TL, Brokerage, DCC, Expedited, Flatbed, Logistics, Specialized Transportation
Industries & Commodities Served: Aerospace, Construction & Building Materials, CPG, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Government, Retail/Ecommerce
Operating Area: North America


NFI

877-785-3112 | www.nfiindustries.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Drayage, Driver Assist, Final Mile, Flatbed, Household Goods, Intermodal, Logistics, Specialized Transportation, Tanker
Industries & Commodities Served: Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


NRS

201-330-1900 | nrs3PL.com

Primary Services: LTL, TL, Brokerage, Cold Chain, DCC, Drayage, Final Mile, Household Goods, Logistics, Specialized Transportation, White Glove
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: U.S. Only, Greater 48 States


Nussbaum Transportation

800-322-7305 | nussbaum.com

Primary Services: TL, DCC, Flatbed
Industries & Commodities Served: Agriculture, Automotive, Construction & Building Materials, CPG, Electronics, Food & Beverage/Grocery, Furniture, High Value, Retail/Ecommerce
Operating Area: U.S. Only, 48 Contiguous States


Oak Harbor Freight Lines

800-858-8815 | www.oakh.com

Primary Services: LTL, TL, Intermodal, Specialized Transportation
Industries & Commodities Served: Food & Beverage/Grocery, Healthcare/Pharma, Government, Retail/Ecommerce, HazMat, Oversized, Manufacturing
Operating Area: North America


ODW Logistics

614-549-5000 | www.odwlogistics.com

Primary Services: LTL, TL, DCC, Logistics
Industries & Commodities Served: Agriculture, Automotive, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: U.S. Only, Regional/Multi-Regional


Odyssey Logistics

866-487-7481 | www.odysseylogistics.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, Drayage, Flatbed, Intermodal, Logistics, Specialized Transportation, Tanker
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value
Operating Area: North America


Old Dominion

800-235-5569 | www.odfl.com

Primary Services: LTL, TL, Expedited, Intermodal, Logistics
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: North America


OnTrac

800-206-8955 | www.ontrac.com

Primary Services: Final Mile
Industries & Commodities Served: Freight All Kinds, Retail/Ecommerce
Operating Area: U.S. Only


P.A.M. Transport

800-879-7261 | www.pamtransport.com

Primary Services: TL, DCC, Expedited, Flatbed, Intermodal, Logistics
Industries & Commodities Served: Automotive, Retail/Ecommerce, Manufacturing
Operating Area: North America


Paschall Truck Lines

800-626-3374 | ptl-inc.com

Primary Services: TL, Brokerage, DCC, Drayage, Expedited, Logistics
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, High Value, Retail/Ecommerce
Operating Area: North America


Penske Logistics

800-529-6531 | www.penskelogistics.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Flatbed, Household Goods, Intermodal, Logistics, Specialized Transportation, White Glove
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Events, Food & Beverage/Grocery, Furniture, Healthcare/Pharma, High Value, Retail/Ecommerce
Operating Area: Global


Pitt Ohio

412-232-3015 | pittohio.com

Primary Services: LTL, TL, Brokerage, Cold Chain, DCC, Expedited, Final Mile, Logistics, White Glove
Industries & Commodities Served: Automotive, Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: U.S. Only, Regional/Multi-Regional


Polaris Transportation Group

905-671-3100 | www.polaristransport.com

Primary Services: LTL, Brokerage, Logistics
Industries & Commodities Served: Aerospace, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Furniture, Healthcare/Pharma
Operating Area: North America


Prime

800-848-4560 | www.primeinc.com

Primary Services: TL, Brokerage, Cold Chain, Drayage, Flatbed, Intermodal, Logistics, Tanker
Industries & Commodities Served: Agriculture, Construction & Building Materials, CPG, Food & Beverage/Grocery, High Value
Operating Area: North America


Quality Carriers

800-282-2031 | qualitycarriers.com

Primary Services: Bulk, Intermodal, Logistics
Industries & Commodities Served: Chemicals, Energy, Oil & Gas, Bulk Liquid, Food-Grade Liquid
Operating Area: North America


Quantix

800-542-8058 | quantixscs.com

Primary Services: TL, Brokerage, Bulk, DCC, Final Mile, Logistics, Tanker
Industries & Commodities Served: Agriculture, Chemicals, Energy, Oil & Gas
Operating Area: North America


R+L Carriers

800-543-5589 | www.rlcarriers.com

Primary Services: LTL, TL, Bulk, Cold Chain, DCC, Expedited, Final Mile, Intermodal, Logistics, White Glove
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: North America


Red Classic

704-557-4532 | www.redclassic.com

Primary Services: TL, Brokerage, Logistics
Industries & Commodities Served: Chemicals, CPG, Electronics, Food & Beverage/Grocery, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce,
Operating Area: U.S. Only, Southeast, Mid-Atlantic & Mid-West


Rinchem Company

888-375-2436 | www.rinchem.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Drayage, Expedited, Final Mile, Flatbed, Intermodal, Logistics, Small Package, Specialized Transportation, Tanker, White Glove
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Healthcare/Pharma, Government, High Value
Operating Area: Global


RoadOne IntermodaLogistics

781-961-8200 | www.roadone.com

Primary Services: TL, Brokerage, DCC, Drayage, Expedited, Intermodal, Logistics, White Glove
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: North America


Roadrunner

855-776-3567 | roadrunnerltl.com

Primary Services: LTL, Brokerage, Expedited, Final Mile, Household Goods
Industries & Commodities Served: Automotive, Construction & Building Materials,CPG, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Roehl Transport

715-591-7000 | www.roehltransport.com

Primary Services: TL, Cold Chain, Flatbed, Logistics
Industries & Commodities Served: Agriculture, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Retail/Ecommerce
Operating Area: North America


Ruan

866-782-6669 | www.ruan.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Expedited, Flatbed, Household Goods, Intermodal, Logistics, Tanker
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Energy, Oil and Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Ryder System

305-500-5777 | www.ryder.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Expedited, Final Mile, Flatbed, Household Goods, Intermodal, Logistics, Small Package, Tanker, White Glove
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Energy, Oil and Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Saddle Creek Logistics

888-878-1177 | www.sclogistics.com

Primary Services: LTL, TL, Brokerage, DCC, Expedited, Household Goods, Intermodal, Logistics, Small Package
Industries & Commodities Served: Automotive, Construction & Building Materials, CPG, Food & Beverage/Grocery, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Safeway Trucking

908-351-2800 | eastcoastwarehouse.com

Primary Services: LTL, TL, Brokerage, Cold Chain, DCC, Drayage, Final Mile, Intermodal, Logistics
Industries & Commodities Served: Automotive, Construction & Building Materials, CPG, Electronics, Food & Beverage/Grocery, Furniture, Healthcare/Pharma, Government, Retail/Ecommerce
Operating Area: U.S. Only


Saia LTL Freight

800-765-7242 | www.saia.com

Primary Services: LTL, TL, Expedited, Final Mile, Intermodal, Logistics, White Glove
Industries & Commodities Served: Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, Retail/Ecommerce
Operating Area: U.S. Only, Nationwide


Schneider

800-558-6767 | www.schneider.com

Primary Services: LTL, TL, Brokerage, Bulk, Cold Chain, DCC, Drayage, Expedited, Final Mile, Flatbed, Intermodal, Logistics, Specialized Transportation, Tanker, White Glove
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, High Value, Retail/Ecommerce
Operating Area: North America


Southeastern Freight Lines

803-794-7300 | www.sefl.com

Primary Services: LTL, TL, Brokerage, Expedited, Final Mile, Logistics
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Electronics, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, High Value, Retail/Ecommerce
Operating Area: U.S. Only, Southeast


Standard Logistics Transportation

833-739-2008 | standardls.com

Primary Services: LTL, Brokerage, Flatbed, Logistics
Industries & Commodities Served: Construction & Building Materials
Operating Area: U.S. Only, Continuous 48 States


Stevens Transport

972-216-9000 | www.stevenstransport.com

Primary Services: TL, Cold Chain, DCC, Intermodal, Logistics, Specialized Transportation
Industries & Commodities Served: Chemicals, Electronics, Food & Beverage/Grocery
Operating Area: North America


Suddath

904-306-7674 | www.suddath.com

Primary Services: LTL, TL
Industries & Commodities Served: Freight All Kinds, Furniture, Government, High Value, Retail/Ecommerce
Operating Area: North America


Syfan Transport

855-287-8485 | www.syfanlogistics

Primary Services: LTL, TL, Brokerage, Bulk, DCC, Drayage, Expedited, Flatbed, Household Goods, Intermodal, Logistics, Tanker
Industries & Commodities Served: Automotive, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, High Value, Retail/Ecommerce
Operating Area: North America


System Freight

609-395-8600 | www.systemfreight.net

Primary Services: Fleet Transportation, DCC
Industries & Commodities Served: Freight All Kinds
Operating Area: North America


TCI Transportation

800-660-9866 | tcitransportation.com

Primary Services: LTL, TL, Brokerage, Cold Chain, DCC, Drayage, Flatbed, Intermodal, Logistics, Specialized Transportation, Tanker
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, CPG, Electronics, Energy, Oil & Gas, Events, Food & Beverage/Grocery, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: U.S. Only, Nationwide


TForce Freight

833-445-2556 | www.tforcefreight.com

Primary Services: LTL, TL, Cold Chain, Expedited
Industries & Commodities Served: Freight All Kinds, Government, Trade Show
Operating Area: North America


Transervice Logistics

832-445-8453 | www.transervice.com

Primary Services: LTL, TL, Brokerage, DCC, Logistics, Small Package
Industries & Commodities Served: Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Freight All Kinds, Retail/Ecommerce
Operating Area: North America


Tri-National

800-870-560 | www.tri-nat.com

Primary Services: LTL, TL, Brokerage, Bulk, Expedited, Logistics
Industries & Commodities Served: Aerospace, Automotive, CPG, Electronics, Food & Beverage/Grocery, Retail/Ecommerce
Operating Area: North America


Trimac

403-298-5100 | www.trimac.com

Primary Services: Bulk, Tanker
Industries & Commodities Served: Agriculture, Chemicals, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery
Operating Area: North America


Uber Freight

844-822-8237 | uberfreight.com

Primary Services: LTL, TL, Expedited, Logistics
Industries & Commodities Served: Automotive, Construction & Building Materials, Freight All Kinds, Furniture, Retail/Ecommerce
Operating Area: North America, EU


UniGroup Logistics

855-605-8080 | unigrouplogistics.com

Primary Services: LTL, TL, Brokerage, DCC, Driver Assist, Final Mile, Flatbed, Household Goods, Logistics, Specialized Transportation, White Glove
Industries & Commodities Served: Aerospace, Automotive, Construction & Building Materials, Electronics, Events, Freight All Kinds, Furniture, Healthcare/Pharma, Government, High Value, Retail/Ecommerce
Operating Area: North America


Universal Logistics Holdings

586-920-0100 | www.universallogistics.com

Primary Services: TL, Brokerage, DCC, Drayage, Expedited, Flatbed, Intermodal, Logistics
Industries & Commodities Served: Aerospace, Agriculture, Automotive, Construction & Building Materials, Energy, Oil & Gas, Food & Beverage/Grocery, Furniture, Government, Retail/Ecommerce
Operating Area: North America


UPS

800-333-7400 | www.ups.com

Primary Services: LTL, Brokerage, DCC, Expedited, Final Mile, Flatbed, Intermodal, Logistics
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: North America


USPS Ground Advantage

800-275-8777 | usps.com/ship/ground-advantage.htm

Primary Services: LTL, Truckload, DCC, Logistics, Small Package
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Government, High Value, Retail/Ecommerce
Operating Area: U.S. Only (Package)


Ward Transport & Logistics

800-458-3625 | www.wardtlc.com

Primary Services: LTL, Brokerage, DCC, Expedited, Final Mile, Flatbed, Intermodal, Logistics
Industries & Commodities Served: Agriculture, Automotive, Chemicals, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: North America


Werner Enterprises

402-895-6640 | www.werner.com

Primary Services: LTL, Truckload, Brokerage, Cold Chain, DCC, Expedited, Final Mle, Flatbed, Intermodal, Logistics, Specialized Transportation, White Glove
Industries & Commodities Served: Agriculture, Automotive, Construction & Building Materials, Energy, Oil and Gas, Food & Beverage/Grocery, Freight All Kinds, Furniture, High Value, Retail/Ecommerce
Operating Area: North America


Western Express

615-720-6151 | westernexp.com

Primary Services: LTL, Brokerage, DCC, Flatbed, Logistics
Industries & Commodities Served: Agriculture, Automotive, Construction & Building Materials, Food & Beverage/Grocery, Freight All Kinds, Retail/Ecommerce
Operating Area: North America


XPO

800-755-2728 | www.xpo.com

Primary Services: LTL
Industries & Commodities Served: Freight All Kinds, Retail/Ecommerce, Trade Show
Operating Area: North America


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Beyond the Rack: Retail Supply Chain Strategies That Work https://www.inboundlogistics.com/articles/beyond-the-rack-retail-supply-chain-strategies-that-work/ Mon, 09 Sep 2024 14:32:15 +0000 https://www.inboundlogistics.com/?post_type=articles&p=41536 The retail sector is tough. That’s true whether you operate brick-and-mortar stores, woo customers online, operate a subscription business, or engage in some combination of these.

Two dozen retailers filed for bankruptcy in 2023, up from five in 2022 and 12 in 2021, BDO reports. Nearly one-quarter of apparel ordered online is returned, according to Coresight Research. And the average number of retail subscriptions held by subscribers dropped from 4.1 to 2.9 between March 2022 and February 2023, according to The Subscription Commerce Readiness Report.

Yet some retail companies are succeeding. They’re doing this by, among other steps, providing seamless customer experiences across all channels, gathering information from disparate systems, and adeptly managing inventory and supply chain operations.

Inventory Management

Inventory management has become more challenging as many retailers expand the number of suppliers they use, as well as the nodes from which they fill orders. Along with distribution centers, many now use brick-and-mortar retail locations, micro-fulfillment centers, and dark stores to fill ecommerce orders. This approach can speed delivery, boost the efficiency of last-mile logistics and offer better customer service, says Michael Needham, senior manager with Efficio, a procurement and supply chain consultancy.

There’s a downside, however: greater complexity. Countering that complexity typically requires creating one source of truth and a centralized means of understanding the company’s inventory, says Deanna Kaufman, vice president of product management with Körber Supply Chain Software.

The challenges around complexity become even more daunting when retailers offer products across multiple channels.

Say a retailer has to decide whether to show an ecommerce shopper that a T-shirt in one of its physical stores is available. First it needs to know the likelihood the item may actually be in the shopping cart of a brick-and-mortar consumer, says Roy Bridgland, senior industry strategies director with Blue Yonder, a supply chain platform provider. If the store has only several of a fast-selling item, it may make sense not to show the item to online shoppers.

To intelligently make these decisions, retailers need to link their systems, including their ecommerce platforms, as well as the ordering, warehouse, and transportation systems, Bridgland says.

Because any disruption or delay will have a knock-on effect, each link needs to be aware of any changes that might impact service.

Red Hot Kohl’s

New ecommerce fulfillment centers, equipped with automated storage and retrieval systems and goods-to-person technologies, enable retailer Kohl’s to fulfill orders more efficiently.

At Kohl’s, the $16.6-billion retail chain, supply chain and fulfillment capabilities continue to evolve as a core competency, serving both stores and ecommerce customers, says Gregg Barta, Kohl’s executive vice president, supply chain and logistics.

For several years, Kohl’s has been on a journey to introduce technology that improves the efficiency, quality, and speed with which it serves its stores and online customers, Barta says. Kohl’s six ecommerce fulfillment centers, 900-plus direct-ship vendors and more than 1,100 stores can provide same-day pickup and next-day or two-day shipping for more than two million items to the entire U.S. population.

Kohl’s opened a new ecommerce fulfillment center in Plainfield, Indiana, in 2017 and another in Etna, Ohio, in 2021. These new facilities “enhanced Kohl’s omnichannel capabilities with state-of-the-art technology to maximize productivity and throughput,” Barta notes.

Automated storage and retrieval systems (ASRS), and goods-to-person (GTP) technologies combine to eliminate handling touches and boost picking productivity when compared to Kohl’s generation-one facilities. ASRS and GTP bring items to associates, reducing the need for them to walk to pick orders, saving time and speeding the shipment of customer orders.

Robotic Process Automation (RPA) also helps by more efficiently managing the SKU (stockkeeping unit) assortment in stores and online.

Right-sized packaging technology creates custom boxes that are sized to the contents. This technology has slashed dunnage by more than half, Barta says.

The implementation of auto-bagger technology, which automatically bags ecommerce purchases, more than doubled packing productivity while improving outbound shipping efficiency.

“Our decreased use of packing materials and plastics is intended to reduce waste and use of landfills,” Barta adds.

Managing Inventory and Suppliers

Balancing inventory to meet customer demand without overstocking or understocking is a major problem, especially with fluctuating demand patterns within sectors such as apparel, footwear, and mass merchandise, says Sunny Zheng, an analyst with Coresight Research, which focuses on the consumer sector.

Retailers can use advanced analytics and artificial intelligence to forecast demand, optimize inventory levels and personalize the customer experience.

Also key is a multi-supplier sourcing strategy, says Johann Grassi, consumer industries leader with Syntax, a technology solutions provider. This mitigates the risk that comes with depending on a single supplier. With multiple suppliers, a customer is less vulnerable to delays due to natural or geopolitical events or system breakdowns that impact a single vendor.

Leather Skin Shop: A Data-Driven, Efficient Supply Chain

Leather apparel retailer Leather Skin Shop’s supply chain approach combines strategic partnerships, data-driven insights, and technology to navigate a competitive marketplace.

Leather Skin Shop sells ready-to-wear and customized leather apparel through its website. “Our commitment to a data-driven and efficient supply chain is a pillar of our success,” says co-founder Peter Martinez.

The company’s supply chain approach combines strategic partnerships, data-driven insights, and innovative software, all of which ensure agility and resilience, and help Leather Skin Shop thrive in a competitive marketplace.

Leather Skin Shop sources products from an established network of trusted suppliers in Pakistan and India. Building strong relationships with a select group of suppliers in different locations minimizes dependence on any single partner, mitigating risk, Martinez says. It also enables Leather Skin Shop to leverage each partner’s strengths and specialties.

For in-stock items, which account for about 85% of sales, Leather Skin Shop maintains a fulfillment center in Tualatin, Oregon. Custom-made products are crafted and shipped directly from the company’s workshops in Pakistan and India.

To prioritize responsive inventory management, Leather Skin Shop leverages Shopify, Google, and Microsoft Clarity. Shopify Analytics provides valuable basic traffic statistics. Google Analytics lets Leather Skin Shop analyze user behavior, track marketing campaign effectiveness, and gain insights into customer acquisition channels. Microsoft Clarity offers valuable visual recordings of user sessions, helping the company identify potential website usability issues and optimize the customer experience.

Another tool, Assisty, functions as an advance forecasting system that analyzes historical sales data and lead times. This allows Leather Skin Shop to identify items at risk of going out of stock within a specific timeframe, while also considering the 60-day lead time for shipment and storage in the United States.

“We can initiate timely replenishment orders and ensure products are readily available to meet customer demand,” Martinez says.

By deploying these tools and processes, Leather Skin Shop has enjoyed up to 70% year-over-year growth, he notes.

Signing up for Success

Along with the challenges that brick-and-mortar and ecommerce retailers must tackle, subscription businesses face a few more. For instance, “subscribe and save” offers on products consumers use regularly, such as shampoo, offer predictable cash flow and can be fairly straightforward to operate. Yet they still must navigate obstacles.

One obstacle is consumer fickleness. Many start a subscription, only to pause it months later. “It’s often not quite as predictable as a business might prefer,” says Robbie Baxter, founder of Peninsula Strategies, a consulting firm focused on subscription businesses.

In addition, different consumers will go through the same product at different rates. If the established rate doesn’t fit some consumers’ needs, they may decide to cancel.

Subscription boxes intended to delight customers with new products each month often encounter additional operational challenges. Baxter provides an example: A customer joins a clothing subscription service in June. Should she receive summer clothes or the popular basics, which aren’t seasonal? “It can become complicated with different rules for different people,” he says.

Involuntary churn, which occurs when a credit card doesn’t work, is a problem for more than the finance department. For example, a company knows 70% of credit card hiccups are resolved favorably within 10 days, yet it’s scheduled to ship a box in two days. Does it make sense to ship and potentially not receive payment? Or to wait and possibly annoy the customer?

One way to attract and keep a wider range of customers is to offer multiple subscription tiers. A business might introduce smaller product sizes, or entry, mid- and high-level versions. Tiers can address consumer sensitivity to pricing, which currently is a top challenge, says Paul Chambers, CEO and co-founder of the Subscription Trade Association (SUBTA), and CEO and founder of Core3 Solutions, parent company to Sip & Savor and other businesses. However, tiers boost complexity.

Many subscription services need to order products while they’re still estimating subscriber counts. By capping the subscriber count at a certain number and creating a wait list, subscription businesses can avoid overstocking, says Sarah Williams, founder and CEO of Launch Your Box, a resource for subscription businesses, and the subscription business, Framed!

One tool that can assist consumer-facing businesses, including subscription companies, is AI. “Retailers can use advanced analytics and AI to forecast demand, optimize inventory levels and personalize the customer experience,” Zheng says.

Getting Thrifty

Julia Meadows, founder of A Curated Thrift, says she’s looking into deploying artificial intelligence. Meadows launched her subscription business about five years ago, marrying her love for thrifting with experience in fashion styling.

Many people find buying secondhand or shopping in thrift stores overwhelming, Meadows says. She offers customers a complete, thrifted outfit every month or seasonally. The goal is to assemble outfits that fit a client’s style, personality, and body shape, so they’ll wear them month after month.

Because it’s a subscription service, Meadows can roughly plan out her supply needs for an entire year, which streamlines the buying process. So, if linen pants are forecast to be in style, she picks up enough for her customers. Once an item is purchased, Meadows logs it and assigns it a barcode.

As Meadows’ business scales, she’s looking into AI to help with the styling process, so she can devote as much time as possible to client service. For example, while Meadows might picture a peasant top with a billowy skirt, AI might suggest pairing it with a miniskirt, providing new ideas while also streamlining operations.

Critter Depot Gets the Bug

A subscription model helps A Curated Thrift (above) and The Critter Depot (below) better predict cash flow, plan out supply needs, and forecast order volume.

Optimizing a company’s distribution network by strategically holding inventory in various locations can improve efficiency and meet consumer demands for speed. For example, ecommerce company The Critter Depot breeds and sells live insects to reptile enthusiasts, pet stores, and zoos across the United States. When the management team noticed it had many repeat customers, it decided to offer a subscription model.

In addition to better predicting cash flow, a subscription model also helps forecast order volume. Crickets are sold in a variety of ages and sizes, and knowing the ones that will be in demand enables Critter Depot to keep them in stock.

During the pandemic, many local pet shops shut down and orders at Critter Depot surged. “This was great, but we could not handle all the sales,” says Jeff Neal, operations manager.

The team reached out to other insect farms. It still works with seven facilities to help fill orders, using technology to coordinate which facilities fill which orders. This can cut shipping costs, even as orders arrive at their destinations more quickly, which also boosts critters’ survival rates.

Collaborating with competitors has proven key to Critter Depot’s success. “Without working with competitors, we would never have been exposed to the idea of opening additional breeding shops,” Neal says.


Direct-to-Consumer Best Practices

As ecommerce sales have taken off over the past few years, a few direct-to-consumer capabilities have become “table stakes,” says Robbie Baxter, founder of Peninsula Strategies. These include free shipping for loyal customers, predictable delivery time frames, and easy returns.

With The Return Drop at Kohl’s, the retailer has expanded its successful partnerships for accepting returns at its stores. It now accepts returns from Carhartt, Hanes, and other brands.

Leather Skin Shop has taken several steps to ensure its direct-to-consumer interactions are as positive as possible. One is being transparent and using high-resolution product photos that showcase the leather’s inherent variations and texture.

Detailed product descriptions, highlighting the type of leather, construction methods, and care instructions also ensure customers make informed decisions.

Because customers can’t physically touch or try on leather goods they purchase online, Leather Skin Shop offers detailed size charts and fit guides, while design consultants help customers choose the right features for customized leather products. Return and exchange policies are clear and customer-friendly.

“Responsive and helpful customer service builds trust and encourages future purchases,” says Peter Martinez, co-founder.


]]>
The retail sector is tough. That’s true whether you operate brick-and-mortar stores, woo customers online, operate a subscription business, or engage in some combination of these.

Two dozen retailers filed for bankruptcy in 2023, up from five in 2022 and 12 in 2021, BDO reports. Nearly one-quarter of apparel ordered online is returned, according to Coresight Research. And the average number of retail subscriptions held by subscribers dropped from 4.1 to 2.9 between March 2022 and February 2023, according to The Subscription Commerce Readiness Report.

Yet some retail companies are succeeding. They’re doing this by, among other steps, providing seamless customer experiences across all channels, gathering information from disparate systems, and adeptly managing inventory and supply chain operations.

Inventory Management

Inventory management has become more challenging as many retailers expand the number of suppliers they use, as well as the nodes from which they fill orders. Along with distribution centers, many now use brick-and-mortar retail locations, micro-fulfillment centers, and dark stores to fill ecommerce orders. This approach can speed delivery, boost the efficiency of last-mile logistics and offer better customer service, says Michael Needham, senior manager with Efficio, a procurement and supply chain consultancy.

There’s a downside, however: greater complexity. Countering that complexity typically requires creating one source of truth and a centralized means of understanding the company’s inventory, says Deanna Kaufman, vice president of product management with Körber Supply Chain Software.

The challenges around complexity become even more daunting when retailers offer products across multiple channels.

Say a retailer has to decide whether to show an ecommerce shopper that a T-shirt in one of its physical stores is available. First it needs to know the likelihood the item may actually be in the shopping cart of a brick-and-mortar consumer, says Roy Bridgland, senior industry strategies director with Blue Yonder, a supply chain platform provider. If the store has only several of a fast-selling item, it may make sense not to show the item to online shoppers.

To intelligently make these decisions, retailers need to link their systems, including their ecommerce platforms, as well as the ordering, warehouse, and transportation systems, Bridgland says.

Because any disruption or delay will have a knock-on effect, each link needs to be aware of any changes that might impact service.

Red Hot Kohl’s

New ecommerce fulfillment centers, equipped with automated storage and retrieval systems and goods-to-person technologies, enable retailer Kohl’s to fulfill orders more efficiently.

At Kohl’s, the $16.6-billion retail chain, supply chain and fulfillment capabilities continue to evolve as a core competency, serving both stores and ecommerce customers, says Gregg Barta, Kohl’s executive vice president, supply chain and logistics.

For several years, Kohl’s has been on a journey to introduce technology that improves the efficiency, quality, and speed with which it serves its stores and online customers, Barta says. Kohl’s six ecommerce fulfillment centers, 900-plus direct-ship vendors and more than 1,100 stores can provide same-day pickup and next-day or two-day shipping for more than two million items to the entire U.S. population.

Kohl’s opened a new ecommerce fulfillment center in Plainfield, Indiana, in 2017 and another in Etna, Ohio, in 2021. These new facilities “enhanced Kohl’s omnichannel capabilities with state-of-the-art technology to maximize productivity and throughput,” Barta notes.

Automated storage and retrieval systems (ASRS), and goods-to-person (GTP) technologies combine to eliminate handling touches and boost picking productivity when compared to Kohl’s generation-one facilities. ASRS and GTP bring items to associates, reducing the need for them to walk to pick orders, saving time and speeding the shipment of customer orders.

Robotic Process Automation (RPA) also helps by more efficiently managing the SKU (stockkeeping unit) assortment in stores and online.

Right-sized packaging technology creates custom boxes that are sized to the contents. This technology has slashed dunnage by more than half, Barta says.

The implementation of auto-bagger technology, which automatically bags ecommerce purchases, more than doubled packing productivity while improving outbound shipping efficiency.

“Our decreased use of packing materials and plastics is intended to reduce waste and use of landfills,” Barta adds.

Managing Inventory and Suppliers

Balancing inventory to meet customer demand without overstocking or understocking is a major problem, especially with fluctuating demand patterns within sectors such as apparel, footwear, and mass merchandise, says Sunny Zheng, an analyst with Coresight Research, which focuses on the consumer sector.

Retailers can use advanced analytics and artificial intelligence to forecast demand, optimize inventory levels and personalize the customer experience.

Also key is a multi-supplier sourcing strategy, says Johann Grassi, consumer industries leader with Syntax, a technology solutions provider. This mitigates the risk that comes with depending on a single supplier. With multiple suppliers, a customer is less vulnerable to delays due to natural or geopolitical events or system breakdowns that impact a single vendor.

Leather Skin Shop: A Data-Driven, Efficient Supply Chain

Leather apparel retailer Leather Skin Shop’s supply chain approach combines strategic partnerships, data-driven insights, and technology to navigate a competitive marketplace.

Leather Skin Shop sells ready-to-wear and customized leather apparel through its website. “Our commitment to a data-driven and efficient supply chain is a pillar of our success,” says co-founder Peter Martinez.

The company’s supply chain approach combines strategic partnerships, data-driven insights, and innovative software, all of which ensure agility and resilience, and help Leather Skin Shop thrive in a competitive marketplace.

Leather Skin Shop sources products from an established network of trusted suppliers in Pakistan and India. Building strong relationships with a select group of suppliers in different locations minimizes dependence on any single partner, mitigating risk, Martinez says. It also enables Leather Skin Shop to leverage each partner’s strengths and specialties.

For in-stock items, which account for about 85% of sales, Leather Skin Shop maintains a fulfillment center in Tualatin, Oregon. Custom-made products are crafted and shipped directly from the company’s workshops in Pakistan and India.

To prioritize responsive inventory management, Leather Skin Shop leverages Shopify, Google, and Microsoft Clarity. Shopify Analytics provides valuable basic traffic statistics. Google Analytics lets Leather Skin Shop analyze user behavior, track marketing campaign effectiveness, and gain insights into customer acquisition channels. Microsoft Clarity offers valuable visual recordings of user sessions, helping the company identify potential website usability issues and optimize the customer experience.

Another tool, Assisty, functions as an advance forecasting system that analyzes historical sales data and lead times. This allows Leather Skin Shop to identify items at risk of going out of stock within a specific timeframe, while also considering the 60-day lead time for shipment and storage in the United States.

“We can initiate timely replenishment orders and ensure products are readily available to meet customer demand,” Martinez says.

By deploying these tools and processes, Leather Skin Shop has enjoyed up to 70% year-over-year growth, he notes.

Signing up for Success

Along with the challenges that brick-and-mortar and ecommerce retailers must tackle, subscription businesses face a few more. For instance, “subscribe and save” offers on products consumers use regularly, such as shampoo, offer predictable cash flow and can be fairly straightforward to operate. Yet they still must navigate obstacles.

One obstacle is consumer fickleness. Many start a subscription, only to pause it months later. “It’s often not quite as predictable as a business might prefer,” says Robbie Baxter, founder of Peninsula Strategies, a consulting firm focused on subscription businesses.

In addition, different consumers will go through the same product at different rates. If the established rate doesn’t fit some consumers’ needs, they may decide to cancel.

Subscription boxes intended to delight customers with new products each month often encounter additional operational challenges. Baxter provides an example: A customer joins a clothing subscription service in June. Should she receive summer clothes or the popular basics, which aren’t seasonal? “It can become complicated with different rules for different people,” he says.

Involuntary churn, which occurs when a credit card doesn’t work, is a problem for more than the finance department. For example, a company knows 70% of credit card hiccups are resolved favorably within 10 days, yet it’s scheduled to ship a box in two days. Does it make sense to ship and potentially not receive payment? Or to wait and possibly annoy the customer?

One way to attract and keep a wider range of customers is to offer multiple subscription tiers. A business might introduce smaller product sizes, or entry, mid- and high-level versions. Tiers can address consumer sensitivity to pricing, which currently is a top challenge, says Paul Chambers, CEO and co-founder of the Subscription Trade Association (SUBTA), and CEO and founder of Core3 Solutions, parent company to Sip & Savor and other businesses. However, tiers boost complexity.

Many subscription services need to order products while they’re still estimating subscriber counts. By capping the subscriber count at a certain number and creating a wait list, subscription businesses can avoid overstocking, says Sarah Williams, founder and CEO of Launch Your Box, a resource for subscription businesses, and the subscription business, Framed!

One tool that can assist consumer-facing businesses, including subscription companies, is AI. “Retailers can use advanced analytics and AI to forecast demand, optimize inventory levels and personalize the customer experience,” Zheng says.

Getting Thrifty

Julia Meadows, founder of A Curated Thrift, says she’s looking into deploying artificial intelligence. Meadows launched her subscription business about five years ago, marrying her love for thrifting with experience in fashion styling.

Many people find buying secondhand or shopping in thrift stores overwhelming, Meadows says. She offers customers a complete, thrifted outfit every month or seasonally. The goal is to assemble outfits that fit a client’s style, personality, and body shape, so they’ll wear them month after month.

Because it’s a subscription service, Meadows can roughly plan out her supply needs for an entire year, which streamlines the buying process. So, if linen pants are forecast to be in style, she picks up enough for her customers. Once an item is purchased, Meadows logs it and assigns it a barcode.

As Meadows’ business scales, she’s looking into AI to help with the styling process, so she can devote as much time as possible to client service. For example, while Meadows might picture a peasant top with a billowy skirt, AI might suggest pairing it with a miniskirt, providing new ideas while also streamlining operations.

Critter Depot Gets the Bug

A subscription model helps A Curated Thrift (above) and The Critter Depot (below) better predict cash flow, plan out supply needs, and forecast order volume.

Optimizing a company’s distribution network by strategically holding inventory in various locations can improve efficiency and meet consumer demands for speed. For example, ecommerce company The Critter Depot breeds and sells live insects to reptile enthusiasts, pet stores, and zoos across the United States. When the management team noticed it had many repeat customers, it decided to offer a subscription model.

In addition to better predicting cash flow, a subscription model also helps forecast order volume. Crickets are sold in a variety of ages and sizes, and knowing the ones that will be in demand enables Critter Depot to keep them in stock.

During the pandemic, many local pet shops shut down and orders at Critter Depot surged. “This was great, but we could not handle all the sales,” says Jeff Neal, operations manager.

The team reached out to other insect farms. It still works with seven facilities to help fill orders, using technology to coordinate which facilities fill which orders. This can cut shipping costs, even as orders arrive at their destinations more quickly, which also boosts critters’ survival rates.

Collaborating with competitors has proven key to Critter Depot’s success. “Without working with competitors, we would never have been exposed to the idea of opening additional breeding shops,” Neal says.


Direct-to-Consumer Best Practices

As ecommerce sales have taken off over the past few years, a few direct-to-consumer capabilities have become “table stakes,” says Robbie Baxter, founder of Peninsula Strategies. These include free shipping for loyal customers, predictable delivery time frames, and easy returns.

With The Return Drop at Kohl’s, the retailer has expanded its successful partnerships for accepting returns at its stores. It now accepts returns from Carhartt, Hanes, and other brands.

Leather Skin Shop has taken several steps to ensure its direct-to-consumer interactions are as positive as possible. One is being transparent and using high-resolution product photos that showcase the leather’s inherent variations and texture.

Detailed product descriptions, highlighting the type of leather, construction methods, and care instructions also ensure customers make informed decisions.

Because customers can’t physically touch or try on leather goods they purchase online, Leather Skin Shop offers detailed size charts and fit guides, while design consultants help customers choose the right features for customized leather products. Return and exchange policies are clear and customer-friendly.

“Responsive and helpful customer service builds trust and encourages future purchases,” says Peter Martinez, co-founder.


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Leveraging Warehouse Robotics https://www.inboundlogistics.com/articles/leveraging-warehouse-robotics/ Thu, 29 Aug 2024 09:30:42 +0000 https://www.inboundlogistics.com/?post_type=articles&p=41440

Pudu Robotics Makes Smart Warehouse Moves

PUDU T300

Pudu Robotics’ first robot for industrial applications, the PUDU T300, can deftly navigate industrial facilities such as warehouses and factories.

Engineered for material logistics in discrete manufacturing, the PUDU T300 can streamline operations by delivering supplies to production lines, transferring materials across production zones, and facilitating the transport of samples for quality checks.

With a map-and-go feature, the T300 offers quick deployment and integration into existing workflows, operating independently of network connectivity and without the need for environmental modifications.


Yale Lift Truck Technologies Offers Long-Distance Pulling

Yale MO150T automated tugger

The Yale MO150T automated tugger can be configured to pull different types and numbers of carts, providing a solution for a variety of repetitive warehouse tasks that require large loads to be hauled over long distances.

The 15,000-pound capacity solution can handle tasks including stock replenishment and materials hauling, transporting product between conveyors and kitting separate items to be supplied as one unit.

Rather than a retrofit or one-off solution, automation components are installed during the manufacturing process, offering an integrated package for convenience and product consistency. The truck can be easily switched between automated and manual modes with a button push.


Getting a Better Grip

Adaptive robot maker Flexiv designed the Grav Enhanced Gripper to handle mixed SKU consignments in a warehouse setting. The gripper combines two-finger adaptive pinching and a gecko-inspired superfriction material, enabling it to handle any object weighing up to 11 pounds. From soccer balls to champagne bottles, and loose clothing to foam, it can get a grip.


Deus AMRs Utilize Artificial Intelligence

AI-powered autonomous mobile robots (AMRs) from Deus Robotics can cover up to 90% of warehouse automation needs, including automating 90% of picking and storage operations. With a typical runtime of 8 hours and autonomous charging of 1.5 hours, they can move up-to-2,645-pound loads at a speed of 7.2 feet per second.

Equipped with an AI-powered navigation system, Deus AMRs can transport racks following an optimal route, boosting warehouse efficiency by an estimated 300%. The robots can help reduce labor costs and increase throughput while providing scalability and quick integration.


Locus Robotics Coordinates AMR Fleets

LocusHub dashboard

Locus Robotics’ real-time, business intelligence engine, LocusHub optimizes real-time coordination of Locus AMR fleets. LocusHub offers reporting capabilities, which process operational data and forecast labor requirements, identify potential optimization opportunities, and provide proactive recommendations to help operators efficiently manage operations.

As a component of the LocusOne platform, it harnesses advanced analytics, AI, and machine learning to deliver predictive and prescriptive insights to maximize productivity, lower costs, and improve warehouse intelligence.


Boston Dynamics Adds a Humanoid to Its Lineup

Boston Dynamics’ new Atlas robot

Boston Dynamics introduced a new mobile robot—a fully electric Atlas robot designed for real-world applications. (The company retired its hydraulic Atlas.) The humanoid robot will first be tested by automaker Hyundai at its manufacturing facilities.

Though it has a human form factor, the Atlas robot is not constrained by a human range of motion. It’s designed to move in the most efficient way possible to complete tasks.

Boston Dynamics also offers package handling robot Stretch, which provides predictability for warehouse operations. With the ability to move hundreds of cases an hour, Stretch ensures daily goals are met even when order fulfillment demands soar.

Stretch can handle a wide range of package types and sizes, up to 50 pounds. The robot can navigate typical container conditions, working its way through neat or messy box configurations.


Kassow Robots Integrates Controllers

Kassow Robots launched a 7-axis cobot series with a controller integrated into the base of the robot, allowing for greater flexibility for mobile solutions and additional space savings for facilities.

All five of its 7-axis cobots are now available in two versions: the standard version with a separate controller and the Edge Edition with integrated controller.

The Kassow engineering team miniaturized the controller so that it now occupies around 10% of the volume of the external controller. These compact cobot models are powered by direct current, meaning they can be directly connected to any DC power supply, for example a battery of mobile robots.

The lightweight robots open up new opportunities for mobile cobot AMR and cobot AGV (automated guided vehicle) applications and space-saving solutions.


Kollmorgen’s NDC Flex Combines AMRs and AGVs

Kollmorgen NDC Flex

Kollmorgen now offers a flexible automation solution for warehouses: NDC Flex. Kollmorgen’s NDC Flex is a platform that consists of both software to manage fleets and route vehicles efficiently, and hardware for navigation and control. NDC Flex lets companies combine the efficiency of AGVs with the adaptability of AMRs.

This hybrid approach supports peak site productivity and mitigates risks related to potential disruptions. For example, NDC Flex users can modify the warehouse layout using a cloud-based solution called the Cirrus tool. Cirrus enables system providers to synchronize and validate end user changes, simplifying collaboration.

Additionally, NDC Flex vehicles are equipped with obstacle avoidance technology. This capability allows the vehicle to maneuver around objects and obstacles and continue along its designated path.


$5.6 Billion

The estimated global revenue of mobile robots in 2024, according to Ash Sharma, chief commercial officer and VP of research – robotics and warehouse automation at Interact Analysis.

The market intelligence research company cut its forecast for 2024 due to a slowdown in China. Despite this deceleration, growth in the U.S. market is expected to help propel global revenues to reach $5.6 billion for the year. In 2023, the mobile robot market grew by 27% to amass $4.5 billion globally.


Comau’s Piece Picking Robot Boosts Precision

Comau MI.RA/OnePicker

Comau introduced the newest solution in its Machine Inspection Recognition Archetypes (MI.RA) family of hardware-agnostic, intelligent vision systems—the MI.RA/OnePicker.

Comau’s new perception-based piece picking solution pairs vision technology with advanced sensors to pick randomly displaced objects after calculating the picking pose in seconds.

The compact and lightweight robot vision guidance system determines the most effective way to empty a bin while saving costs and lowering potential risks.

MI.RA/OnePicker is designed to autonomously pick miscellaneous objects from the same bin without relying on CAD-based assistance or prior information about their size, shape, color, or characteristics. AI-enabled and adaptable to any brand of commercial robot, customized bin, or customized gripper, the MI.RA solution is ideal for pick and place, kitting, sorting, warehouse, ecommerce, and similar applications.

With virtual simulation tools and predictive algorithms that provide path management and collision-free trajectories, the MI.RA/OnePicker ensures precision and repeatable performance. It can be installed on even the smallest collaborative robots without limiting its reachability inside the bins.


Pio Warehouse Robotics System Enters the U.S. SMB Market

Pio automated warehouse system

Pio (“Products In/Out”), a plug-and-play automated warehouse system leveraging cube storage technology by AutoStore, is now available to small and midsize ecommerce businesses (SMBs) in the United States.

AutoStore is a warehouse automation company with more than 1,500 installations worldwide for companies such as Macy’s, Ikea, and Puma. Its proprietary cube storage technology offers one of the densest product and inventory storage solutions on the market.

AutoStore created Pio to make cube storage technology accessible to companies of all sizes. Now, Pio’s P100 automated warehouse system has launched in the United States with five new customers including Privada Cigar Club, Sunday Swagger, Souko, Barnes 4WD, and AI Stone.

Starting at around $86,000 plus a monthly subscription, Pio is capable of picking and packing 360 orders per hour, reducing labor costs by up to 80% and saving hundreds of thousands of dollars per year for SMB ecommerce businesses. To date, Pio customers have reported a full return-on-investment (ROI) in less than one year.


500 Million Picks

DHL reached the milestone of 500 million picks using Locus Robotics’ LocusBot autonomous mobile robots. The 500 millionth pick occurred on May 18, 2024, at DHL’s Toledo, Spain, facility, where a LocusBot retrieved a consumer home goods product.

While it took 2.5 years for DHL to reach the first 10 million picks, the next 100 million picks were accomplished in 28 months. The last 100 million picks took 154 days. LocusBots are deployed at more than 35 DHL-managed sites worldwide.


Urbx Robotic Inventory System Maximizes Density

Urbx TowerBots

Urbx launched a robotic inventory storage and retrieval system capable of fulfilling complex, multi-SKU orders at high speeds.

The system builds on traditional automated storage and retrieval systems (AS/RS) and uses a combination of robotics, software, and storage racking to offer advantages in speed, height, density, and scalability in goods-to-person order fulfillment workflows.

Designed for ecommerce warehouses, retail and grocery fulfillment, the system uses a fleet of proprietary Urbx TowerBots driven by AI to find the shortest 3D path through a dense storage grid to retrieve totes and bring them out to a pick station. TowerBots move across the top of the racking and drop down through strategically located columns to access inventory.

This storage grid design requires no navigating aisles or digging to access totes below top storage layers, enabling access to inventory at all levels—stacked up to 75 totes high—in seconds.

TowerBots then move totes down through those same columns to built-in conveyor tiles for transport to order fulfillment and consolidation. The Urbx system can support accelerated fulfillment speeds; it is capable of fulfilling a 50-line order in less than 2.5 minutes.


Apparel Distributor S&S Fashions More Robot Solutions

Geekplus robotics solutions at S&S Activewear’s 750,000-square-foot warehouse

S&S Activewear, an apparel distributor, increased the deployment of Geekplus robotics solutions and expanded its partnership with Körber Supply Chain at three warehouse sites across the Americas.

The partnership starts with the deployment of 340 Geekplus robots at a single 750,000-square-foot S&S site in Lockport, Illinois, marking the largest collaboration in Körber’s robotics portfolio.

Geekplus’s PopPick robotics solutions optimize warehouse processes, moving inventory stored in totes to pick stations. The system incorporates autonomous mobility and slotting of inventory for an efficient workflow.

The system is designed to support more than 4,500 lines per hour through 24 picking stations. Since the inception of the partnership, S&S Activewear has logged increased speed and efficiency in warehouse operations, order fulfillment, and quality assurance.


Arvato Augments Automation and Shoots for Warehouse Autonomy

Nomagic’s justPick robot deployed by Arvato

Supply chain and ecommerce service provider Arvato is increasing the targeted use of robots in its logistics centers, with plans to scale automation in the near future and even more ambitiously, build an autonomous warehouse with self-improving capabilities.

1. justPick Fulfills Orders

At its location in Dortmund, Germany, where it operates a distribution center for several fashion clients, Arvato deployed the robotic solution justPick from robot specialist Nomagic. As part of the AutoStore Port Picking pilot project, the robot is used to pick individual item orders from the fully automated AutoStore warehouse. It fulfills customers’ orders as well as replenishes the AutoStore system.

Arvato currently operates 10 AutoStore systems worldwide and looks to scale the robotic solution. Further applications at shuttle storage workstations and for pocket sorter loading are also planned.

2. Bucky Is a Marvel

Arvato launched a palletizing robot—nicknamed Bucky after Marvel superhero Bucky Barnes—at its site in Venlo in the Netherlands.

Part of the inbound process, Bucky not only palletizes boxes from loose loaded containers, but also wraps the pallet and applies the tracking label.

Bucky, supplied by automation specialist Segbert, can grip multiple boxes at the same time with its vacuum gripper and process between 700 and 3,000 cartons per hour, depending on their size.

With this robotic solution, Arvato continues to move toward a fully automated inbound and putaway process—with Boston Dynamics’ Stretch in the container, Bucky for scanning, palletizing, and packing as well as AGVs for storage in the pallet shuttle.

3. Moonshot Aims High

In its most ambitious initiative, Arvato joins forces with Microsoft to develop a self-managing warehouse, dubbing the research project “Moonshot.”

The project aims to implement self-improving processes within the warehouse environment by leveraging generative artificial intelligence, robotics, and cloud computing.

Showing initial use cases for Moonshot at the Gartner Supply Chain Symposium/Xpo 2024 in June, the companies are looking beyond automating individual processes and toward the creation of an autonomous warehouse.

One use case optimizes picking routes using AI to reorganize task orders through rapid data analysis, enhancing navigation for pickers. Another use case involves AI-controlled interpretation of carrier responses in transport complaints. The AI Smart Layer interprets these responses and independently triggers appropriate actions in the claim management tool.


4 Must Do’s for Deploying Warehouse Robotics

By Kate McAfoose, President and Partner, Chang Robotics

Here are four best practices for using robotics to optimize your warehouse and logistics operations:

Integrate with a Warehouse Execution System (WES): Remember your robotics functions represent one component in a holistic warehouse system. Create a seamless integration of your robotics functions with the warehouse management software and IT systems you currently use or that you plan to acquire.

Make It Ripe for the Picking—and collaborating. Look for robotics support for picking solutions for error-proof parts picking, kitting, assembly, sequencing, and other materials handling operations. Keep an eye towards cobotics (collaborative robotics)—the ability to maximize the interplay between humans and robots for optimal effectiveness, such as advanced displays for assembly instructions and optimal visuals for continual monitoring.

Enhance Human Work with Automation. Many of the most successful robotics implementations integrate robotic systems designed to work alongside humans, making their roles more productive and efficient. These solutions include autonomous mobile robots, pick-to-light carts that can operate alongside human workers, and other automation infrastructure. These combinations increase efficiency and help address labor challenges.

Seek Scalability. As you consider robotics implementation, remember you are not necessarily looking to replace current functions, but to scale them. Prioritize the solutions that can integrate and grow with your WMS/MES/ERP system and materials handling equipment. This step can help to ensure a smooth implementation process, while also easing the path to future scalability.


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Pudu Robotics Makes Smart Warehouse Moves

PUDU T300

Pudu Robotics’ first robot for industrial applications, the PUDU T300, can deftly navigate industrial facilities such as warehouses and factories.

Engineered for material logistics in discrete manufacturing, the PUDU T300 can streamline operations by delivering supplies to production lines, transferring materials across production zones, and facilitating the transport of samples for quality checks.

With a map-and-go feature, the T300 offers quick deployment and integration into existing workflows, operating independently of network connectivity and without the need for environmental modifications.


Yale Lift Truck Technologies Offers Long-Distance Pulling

Yale MO150T automated tugger

The Yale MO150T automated tugger can be configured to pull different types and numbers of carts, providing a solution for a variety of repetitive warehouse tasks that require large loads to be hauled over long distances.

The 15,000-pound capacity solution can handle tasks including stock replenishment and materials hauling, transporting product between conveyors and kitting separate items to be supplied as one unit.

Rather than a retrofit or one-off solution, automation components are installed during the manufacturing process, offering an integrated package for convenience and product consistency. The truck can be easily switched between automated and manual modes with a button push.


Getting a Better Grip

Adaptive robot maker Flexiv designed the Grav Enhanced Gripper to handle mixed SKU consignments in a warehouse setting. The gripper combines two-finger adaptive pinching and a gecko-inspired superfriction material, enabling it to handle any object weighing up to 11 pounds. From soccer balls to champagne bottles, and loose clothing to foam, it can get a grip.


Deus AMRs Utilize Artificial Intelligence

AI-powered autonomous mobile robots (AMRs) from Deus Robotics can cover up to 90% of warehouse automation needs, including automating 90% of picking and storage operations. With a typical runtime of 8 hours and autonomous charging of 1.5 hours, they can move up-to-2,645-pound loads at a speed of 7.2 feet per second.

Equipped with an AI-powered navigation system, Deus AMRs can transport racks following an optimal route, boosting warehouse efficiency by an estimated 300%. The robots can help reduce labor costs and increase throughput while providing scalability and quick integration.


Locus Robotics Coordinates AMR Fleets

LocusHub dashboard

Locus Robotics’ real-time, business intelligence engine, LocusHub optimizes real-time coordination of Locus AMR fleets. LocusHub offers reporting capabilities, which process operational data and forecast labor requirements, identify potential optimization opportunities, and provide proactive recommendations to help operators efficiently manage operations.

As a component of the LocusOne platform, it harnesses advanced analytics, AI, and machine learning to deliver predictive and prescriptive insights to maximize productivity, lower costs, and improve warehouse intelligence.


Boston Dynamics Adds a Humanoid to Its Lineup

Boston Dynamics’ new Atlas robot

Boston Dynamics introduced a new mobile robot—a fully electric Atlas robot designed for real-world applications. (The company retired its hydraulic Atlas.) The humanoid robot will first be tested by automaker Hyundai at its manufacturing facilities.

Though it has a human form factor, the Atlas robot is not constrained by a human range of motion. It’s designed to move in the most efficient way possible to complete tasks.

Boston Dynamics also offers package handling robot Stretch, which provides predictability for warehouse operations. With the ability to move hundreds of cases an hour, Stretch ensures daily goals are met even when order fulfillment demands soar.

Stretch can handle a wide range of package types and sizes, up to 50 pounds. The robot can navigate typical container conditions, working its way through neat or messy box configurations.


Kassow Robots Integrates Controllers

Kassow Robots launched a 7-axis cobot series with a controller integrated into the base of the robot, allowing for greater flexibility for mobile solutions and additional space savings for facilities.

All five of its 7-axis cobots are now available in two versions: the standard version with a separate controller and the Edge Edition with integrated controller.

The Kassow engineering team miniaturized the controller so that it now occupies around 10% of the volume of the external controller. These compact cobot models are powered by direct current, meaning they can be directly connected to any DC power supply, for example a battery of mobile robots.

The lightweight robots open up new opportunities for mobile cobot AMR and cobot AGV (automated guided vehicle) applications and space-saving solutions.


Kollmorgen’s NDC Flex Combines AMRs and AGVs

Kollmorgen NDC Flex

Kollmorgen now offers a flexible automation solution for warehouses: NDC Flex. Kollmorgen’s NDC Flex is a platform that consists of both software to manage fleets and route vehicles efficiently, and hardware for navigation and control. NDC Flex lets companies combine the efficiency of AGVs with the adaptability of AMRs.

This hybrid approach supports peak site productivity and mitigates risks related to potential disruptions. For example, NDC Flex users can modify the warehouse layout using a cloud-based solution called the Cirrus tool. Cirrus enables system providers to synchronize and validate end user changes, simplifying collaboration.

Additionally, NDC Flex vehicles are equipped with obstacle avoidance technology. This capability allows the vehicle to maneuver around objects and obstacles and continue along its designated path.


$5.6 Billion

The estimated global revenue of mobile robots in 2024, according to Ash Sharma, chief commercial officer and VP of research – robotics and warehouse automation at Interact Analysis.

The market intelligence research company cut its forecast for 2024 due to a slowdown in China. Despite this deceleration, growth in the U.S. market is expected to help propel global revenues to reach $5.6 billion for the year. In 2023, the mobile robot market grew by 27% to amass $4.5 billion globally.


Comau’s Piece Picking Robot Boosts Precision

Comau MI.RA/OnePicker

Comau introduced the newest solution in its Machine Inspection Recognition Archetypes (MI.RA) family of hardware-agnostic, intelligent vision systems—the MI.RA/OnePicker.

Comau’s new perception-based piece picking solution pairs vision technology with advanced sensors to pick randomly displaced objects after calculating the picking pose in seconds.

The compact and lightweight robot vision guidance system determines the most effective way to empty a bin while saving costs and lowering potential risks.

MI.RA/OnePicker is designed to autonomously pick miscellaneous objects from the same bin without relying on CAD-based assistance or prior information about their size, shape, color, or characteristics. AI-enabled and adaptable to any brand of commercial robot, customized bin, or customized gripper, the MI.RA solution is ideal for pick and place, kitting, sorting, warehouse, ecommerce, and similar applications.

With virtual simulation tools and predictive algorithms that provide path management and collision-free trajectories, the MI.RA/OnePicker ensures precision and repeatable performance. It can be installed on even the smallest collaborative robots without limiting its reachability inside the bins.


Pio Warehouse Robotics System Enters the U.S. SMB Market

Pio automated warehouse system

Pio (“Products In/Out”), a plug-and-play automated warehouse system leveraging cube storage technology by AutoStore, is now available to small and midsize ecommerce businesses (SMBs) in the United States.

AutoStore is a warehouse automation company with more than 1,500 installations worldwide for companies such as Macy’s, Ikea, and Puma. Its proprietary cube storage technology offers one of the densest product and inventory storage solutions on the market.

AutoStore created Pio to make cube storage technology accessible to companies of all sizes. Now, Pio’s P100 automated warehouse system has launched in the United States with five new customers including Privada Cigar Club, Sunday Swagger, Souko, Barnes 4WD, and AI Stone.

Starting at around $86,000 plus a monthly subscription, Pio is capable of picking and packing 360 orders per hour, reducing labor costs by up to 80% and saving hundreds of thousands of dollars per year for SMB ecommerce businesses. To date, Pio customers have reported a full return-on-investment (ROI) in less than one year.


500 Million Picks

DHL reached the milestone of 500 million picks using Locus Robotics’ LocusBot autonomous mobile robots. The 500 millionth pick occurred on May 18, 2024, at DHL’s Toledo, Spain, facility, where a LocusBot retrieved a consumer home goods product.

While it took 2.5 years for DHL to reach the first 10 million picks, the next 100 million picks were accomplished in 28 months. The last 100 million picks took 154 days. LocusBots are deployed at more than 35 DHL-managed sites worldwide.


Urbx Robotic Inventory System Maximizes Density

Urbx TowerBots

Urbx launched a robotic inventory storage and retrieval system capable of fulfilling complex, multi-SKU orders at high speeds.

The system builds on traditional automated storage and retrieval systems (AS/RS) and uses a combination of robotics, software, and storage racking to offer advantages in speed, height, density, and scalability in goods-to-person order fulfillment workflows.

Designed for ecommerce warehouses, retail and grocery fulfillment, the system uses a fleet of proprietary Urbx TowerBots driven by AI to find the shortest 3D path through a dense storage grid to retrieve totes and bring them out to a pick station. TowerBots move across the top of the racking and drop down through strategically located columns to access inventory.

This storage grid design requires no navigating aisles or digging to access totes below top storage layers, enabling access to inventory at all levels—stacked up to 75 totes high—in seconds.

TowerBots then move totes down through those same columns to built-in conveyor tiles for transport to order fulfillment and consolidation. The Urbx system can support accelerated fulfillment speeds; it is capable of fulfilling a 50-line order in less than 2.5 minutes.


Apparel Distributor S&S Fashions More Robot Solutions

Geekplus robotics solutions at S&S Activewear’s 750,000-square-foot warehouse

S&S Activewear, an apparel distributor, increased the deployment of Geekplus robotics solutions and expanded its partnership with Körber Supply Chain at three warehouse sites across the Americas.

The partnership starts with the deployment of 340 Geekplus robots at a single 750,000-square-foot S&S site in Lockport, Illinois, marking the largest collaboration in Körber’s robotics portfolio.

Geekplus’s PopPick robotics solutions optimize warehouse processes, moving inventory stored in totes to pick stations. The system incorporates autonomous mobility and slotting of inventory for an efficient workflow.

The system is designed to support more than 4,500 lines per hour through 24 picking stations. Since the inception of the partnership, S&S Activewear has logged increased speed and efficiency in warehouse operations, order fulfillment, and quality assurance.


Arvato Augments Automation and Shoots for Warehouse Autonomy

Nomagic’s justPick robot deployed by Arvato

Supply chain and ecommerce service provider Arvato is increasing the targeted use of robots in its logistics centers, with plans to scale automation in the near future and even more ambitiously, build an autonomous warehouse with self-improving capabilities.

1. justPick Fulfills Orders

At its location in Dortmund, Germany, where it operates a distribution center for several fashion clients, Arvato deployed the robotic solution justPick from robot specialist Nomagic. As part of the AutoStore Port Picking pilot project, the robot is used to pick individual item orders from the fully automated AutoStore warehouse. It fulfills customers’ orders as well as replenishes the AutoStore system.

Arvato currently operates 10 AutoStore systems worldwide and looks to scale the robotic solution. Further applications at shuttle storage workstations and for pocket sorter loading are also planned.

2. Bucky Is a Marvel

Arvato launched a palletizing robot—nicknamed Bucky after Marvel superhero Bucky Barnes—at its site in Venlo in the Netherlands.

Part of the inbound process, Bucky not only palletizes boxes from loose loaded containers, but also wraps the pallet and applies the tracking label.

Bucky, supplied by automation specialist Segbert, can grip multiple boxes at the same time with its vacuum gripper and process between 700 and 3,000 cartons per hour, depending on their size.

With this robotic solution, Arvato continues to move toward a fully automated inbound and putaway process—with Boston Dynamics’ Stretch in the container, Bucky for scanning, palletizing, and packing as well as AGVs for storage in the pallet shuttle.

3. Moonshot Aims High

In its most ambitious initiative, Arvato joins forces with Microsoft to develop a self-managing warehouse, dubbing the research project “Moonshot.”

The project aims to implement self-improving processes within the warehouse environment by leveraging generative artificial intelligence, robotics, and cloud computing.

Showing initial use cases for Moonshot at the Gartner Supply Chain Symposium/Xpo 2024 in June, the companies are looking beyond automating individual processes and toward the creation of an autonomous warehouse.

One use case optimizes picking routes using AI to reorganize task orders through rapid data analysis, enhancing navigation for pickers. Another use case involves AI-controlled interpretation of carrier responses in transport complaints. The AI Smart Layer interprets these responses and independently triggers appropriate actions in the claim management tool.


4 Must Do’s for Deploying Warehouse Robotics

By Kate McAfoose, President and Partner, Chang Robotics

Here are four best practices for using robotics to optimize your warehouse and logistics operations:

Integrate with a Warehouse Execution System (WES): Remember your robotics functions represent one component in a holistic warehouse system. Create a seamless integration of your robotics functions with the warehouse management software and IT systems you currently use or that you plan to acquire.

Make It Ripe for the Picking—and collaborating. Look for robotics support for picking solutions for error-proof parts picking, kitting, assembly, sequencing, and other materials handling operations. Keep an eye towards cobotics (collaborative robotics)—the ability to maximize the interplay between humans and robots for optimal effectiveness, such as advanced displays for assembly instructions and optimal visuals for continual monitoring.

Enhance Human Work with Automation. Many of the most successful robotics implementations integrate robotic systems designed to work alongside humans, making their roles more productive and efficient. These solutions include autonomous mobile robots, pick-to-light carts that can operate alongside human workers, and other automation infrastructure. These combinations increase efficiency and help address labor challenges.

Seek Scalability. As you consider robotics implementation, remember you are not necessarily looking to replace current functions, but to scale them. Prioritize the solutions that can integrate and grow with your WMS/MES/ERP system and materials handling equipment. This step can help to ensure a smooth implementation process, while also easing the path to future scalability.


]]>
A Sense of Fulfillment https://www.inboundlogistics.com/articles/a-sense-of-fulfillment/ Thu, 29 Aug 2024 04:26:04 +0000 https://www.inboundlogistics.com/?post_type=articles&p=41434 Robust growth is a goal for just about every company. That same growth can create chaos, however, if a company is not equipped to accommodate it. When customer demand intensifies, many manufacturing companies struggle to elevate their fulfillment operations to keep up with it, whether they face a seasonal or ongoing jump in orders. Not being able to adequately adjust can undermine the rest of their business.

Manufacturers who feel the pressure of ramped-up demand often turn to third-party providers to transform their order fulfillment operations. In the following company case studies, fulfillment stopped acting as an obstacle to growth and started serving as an integral aid to it.

Cutter & Buck: Tackling Seasonal Demand Surges

The use of AutoStore reduced Cutter & Buck’s order turn time for direct-to-consumer orders by two days, while labor needs dropped 60%.

Cutter & Buck, a sportswear and golf apparel manufacturer based in Renton, Washington, had a pressing problem. During the 2021 holiday season, the company could not hire enough labor to ship orders within two to three days, even though its goal was to ship all orders the same day they were received.

“We had run out of space in our active locations in our three-floor pick module, and we were unable to keep our standard turn times during peak season,” recalls Scott Sumpter, the company’s executive director.

The challenge became so severe that Cutter & Buck flew in salespeople to help in the warehouse, and the company’s CEO and CFO pitched in to help pick and ship orders.

Cutter & Buck knew it needed to improve its fulfillment process, and it sought an automation solution to help. The company turned to Kardex, a Switzerland-based industry partner for intralogistics solutions and a supplier of automated storage solutions and material handling systems.

Kardex implemented AutoStore, an automated storage and retrieval system that uses warehouse robots for fulfillment. Cutter & Buck signed with Kardex in spring 2022 with a plan to go live with AutoStore in August 2023.

Cutter & Buck had increased sales through the web and its brick-and-mortar channels, leading to consistent company growth and increased inventory levels, explains Mitch Hayes, president of Kardex Solutions AutoStore. For the company to accommodate that growth, it needed a strategic shift to automation.

Kardex spent time at Cutter & Buck’s fulfillment center in Seattle to understand the business and process flows. The apparel manufacturer shared its data from peak season 2021, when the starkest problems had occurred, as well as its five-year growth plan.

Kardex’s help went beyond preparing to implement AutoStore. “They also identified some areas we could improve to get through peak 2022 before AutoStore would be implemented,” Sumpter says.

Despite some inherent complexities, the AutoStore implementation went according to plan.

“Because we were building AutoStore in an area that was covered with racking and conveyors, both of which were integral to our daily process, we faced some significant challenges along the way,” Sumpter says. “We are fortunate to have a great team who bought into the future, and they all went the extra mile to keep us on schedule.

“Kardex made their part look easy,” he adds. “We went live on August 5, the day we had planned 15 months earlier.”

Evident Benefits

“Kardex projected we would get through the 2023 holidays with 18 fewer people in the stocking and picking roles and that is exactly what we did,” Sumpter says. “We eliminated our bottlenecks, and we were able to continue to ship product the same day, every day.”

Cutter & Buck shipped 13% more units during the 2023 peak season versus the same period in 2022 with shorter lead times and less labor, Hayes says.

In particular, for AutoStore’s specific tasks, labor needs decreased 60% from 30 to 14, and the total labor per unit dropped 35% from 53 to 35 in one year.

AutoStore’s capabilities enabled 50% growth in the direct-to-consumer channel, according to Hayes. The solution also reduced the turn time of direct-to-consumer orders by two days. The lead time for embroidery orders is now 29 hours, and undecorated orders ship the same day up to 2 p.m.—a metric that remained in place during the most recent peak season.

Overall, Cutter & Buck’s most recent turnaround time is 25 hours—a striking improvement from the previous turnaround time of three to five days.

Sumpter says he sees a promising future for Cutter & Buck’s continued use of AutoStore.

“We are testing the latest update that will allow us to change the language on individual ports,” Sumpter says. “We have a significant Vietnamese population on our team and this will allow easier and quicker training for non-English-speaking employees, but honestly, it isn’t that hard now.

“AutoStore also plans to introduce LiDAR sensors around the port that will eliminate touching the monitor,” he adds. [LiDAR, or Light Detection and Ranging, emits rapid light pulses at an object or the surrounding environment, and the amount of time it takes for the light to return is then measured.] “That will improve ergonomics and speed for our team.”

Madison Reed: Enhancing Fulfillment to Meet Demand Goals

Saddle Creek supports all of Madison Reed’s sales channels from a single inventory, providing the hair beauty brand with accurate stock counts at all times.

Madison Reed is a San Francisco-based beauty brand that offers more than 55 shades of hair color through a variety of channels, including direct-to-consumer sales and more than 90 Hair Color Bars around the country.

The Hair Color Bar concept has experienced rapid growth, and the brand also is expanding its wholesale business through retail partnerships at Ulta, Ulta at Target, Target, and Walmart.

On top of all that, Madison Reed launched on Amazon and is expanding quickly there.

In light of that growth and the complexity of Madison Reed’s channels, a strong fulfillment operation is critical, says Erica Brooner, the company’s vice president, supply chain. However, fulfillment was hindering its ambitions for a while.

“We were facing challenges with unreliable service levels and performance, inaccurate inventory, and retail compliance issues,” Brooner says. “We had an unreliable logistics partner that did not have best practices in place across all aspects of fulfillment and distribution, and we were in dire need of that.

“When customers color their hair, they want the product to show up when they need it so they can stay on their desired schedule, so consistency is definitely key,” Brooner adds. “It’s also important on the Hair Color Bar side because disruption not only affects sales, but also affects our ability to perform services in those salons.”

Finding the Right Partner

Brooner says Madison Reed’s stockouts were trending at 8 to 10% due to a variety of reasons, mostly lack of reliable inventory visibility and inventory accuracy. In response to its fulfillment struggles, Madison Reed ran a competitive RFP process that led to Saddle Creek Logistics, an omnichannel supply chain solutions company based in Lakeland, Florida.

Saddle Creek spent time with Madison Reed’s team discussing its needs and expectations and then assembled a cross-functional solution design team made up of experts in engineering, systems, and operations, as well as senior management. The partnership ultimately led to a single-node solution with dedicated space at Saddle Creek’s Fort Worth, Texas facility. The operation went live in October 2023.

“Saddle Creek supports all of Madison Reed’s sales channels from a single inventory,” says Luke Hendrix, regional senior director, operations, Saddle Creek Logistics Services. “For the core business, base kits are kitted to stock and the UPC label is applied. Then, the kits move to work cells where we add hair color, marketing inserts, and any add-ons. We ‘each pick’ ecommerce orders and orders for the Hair Color Bars and case pick orders going to retailers like Ulta and Target. To ensure order accuracy, we perform quality checks at the end of every line.”

Madison Reed operates on Saddle Creek’s order management system (OMS) and warehouse management systems, and will continue to refine and enhance the operation as needed.

Brooner says Madison Reed found “real value” in Saddle Creek’s work cell design. “It was unlike anything we saw from other prospective partners,” she says. “We knew it could create efficiencies to help with volatility in demand and order volume as well as our focus on picking accuracy.

“We did not have an OMS prior to our relationship with Saddle Creek,” she adds. “Their OMS functionality introduced a different level of visibility and, specifically, inventory allocation.”

Brooner notes that Madison Reed now has an allocation-driven inventory process that ensures the company passes fully executable orders to the team on the floor.

“As a result, we don’t have surprise shorts or cancellations where we’re not able to deliver product to our customers,” Brooner says.

Always Accurate

The move to a single-node solution with dedicated space, alongside Saddle Creek’s processes and cycle count accuracy, means that Madison Reed maintains accurate inventory at all times, Brooner says.

“We have brought down shorts and cancellations on the wholesale side of our business to nearly 0%,” Brooner says. “We reached 100% OTIF [on-time-in-full] shortly after joining Saddle Creek—which is a complete 180-degree turn from where we were before.”

As of April, Saddle Creek has supported the opening of five new Hair Color Bar locations in 2024—each with launch orders shipping in the first quarter to support openings shortly afterward.

“Our Hair Color Bar leadership said it is the first time that they have received all the product required to make sure the stores look great and actually start performing services on time, all without disruption or hiccups,” Brooner says.

For both Cutter & Buck and Madison Reed, finding the right partner was the key to turning their fulfillment operations around and freeing them to pursue the growth their brands were ready to enjoy.


A Fulfilling Partnership

It’s not only shippers who turn to providers to strengthen their fulfillment operations—providers themselves also work with fellow providers to improve how they serve their shipper clients.

In one such collaboration, DHL Supply Chain has begun to deploy Boston Dynamics’ Stretch Robot to unload cartons from trucks at its fulfillment facilities. The robots remove packages from the back of trailers and place them on a flexible conveyor.

Automating the process with robots not only addresses safety concerns but also helps tackle the ongoing labor supply challenge by redirecting skilled labor to focus on value-add, strategic tasks in other areas of the warehouse. Stretch’s case upload speed is faster than a manual approach, creating efficiency and productivity improvements.

DHL and Boston Dynamics started collaborating on the project in 2019, and DHL first deployed Stretch in January 2023. Trailer unloading was an apt place to focus the work from a robotics standpoint.

“There are enough constraints with the safety requirements that allowed us to zero in on what a potential solution could be,” says Andre Brueckner, Stretch product manager at Boston Dynamics. “The process of iterating through getting a prototype working, then working through testing, and ultimately launching allowed us to get Stretch to a point today where it is productive and valuable at the warehouse for DHL.”

A key innovation that makes the Stretch Robot so effective is its ability to pick multiple boxes at the same time, Brueckner says. Also important is an intuitive, streamlined interface that allows workers to pick up the operation of the Stretch rapidly, ensuring it is an “uninterrupted” member of the team when turnover occurs.

DHL and Boston Dynamics currently are working together to not only refine and improve on the early success that it has seen with trailer unloading, but also to explore the value of adapting Stretch for future applications within DHL’s warehouses and to ask questions such as: “How small can the cases get? How large? How awkward?”

“We’ve continued to roll out the robot and expand its presence in our facilities,” says Matthew Dippold, director of accelerated digitalization at DHL. “We have been able to reduce injury rates, reduce turnover, and improve predictable flow into the building with the robot. So we continue to push it out into our facilities, and we continue to learn from it.”


]]>
Robust growth is a goal for just about every company. That same growth can create chaos, however, if a company is not equipped to accommodate it. When customer demand intensifies, many manufacturing companies struggle to elevate their fulfillment operations to keep up with it, whether they face a seasonal or ongoing jump in orders. Not being able to adequately adjust can undermine the rest of their business.

Manufacturers who feel the pressure of ramped-up demand often turn to third-party providers to transform their order fulfillment operations. In the following company case studies, fulfillment stopped acting as an obstacle to growth and started serving as an integral aid to it.

Cutter & Buck: Tackling Seasonal Demand Surges

The use of AutoStore reduced Cutter & Buck’s order turn time for direct-to-consumer orders by two days, while labor needs dropped 60%.

Cutter & Buck, a sportswear and golf apparel manufacturer based in Renton, Washington, had a pressing problem. During the 2021 holiday season, the company could not hire enough labor to ship orders within two to three days, even though its goal was to ship all orders the same day they were received.

“We had run out of space in our active locations in our three-floor pick module, and we were unable to keep our standard turn times during peak season,” recalls Scott Sumpter, the company’s executive director.

The challenge became so severe that Cutter & Buck flew in salespeople to help in the warehouse, and the company’s CEO and CFO pitched in to help pick and ship orders.

Cutter & Buck knew it needed to improve its fulfillment process, and it sought an automation solution to help. The company turned to Kardex, a Switzerland-based industry partner for intralogistics solutions and a supplier of automated storage solutions and material handling systems.

Kardex implemented AutoStore, an automated storage and retrieval system that uses warehouse robots for fulfillment. Cutter & Buck signed with Kardex in spring 2022 with a plan to go live with AutoStore in August 2023.

Cutter & Buck had increased sales through the web and its brick-and-mortar channels, leading to consistent company growth and increased inventory levels, explains Mitch Hayes, president of Kardex Solutions AutoStore. For the company to accommodate that growth, it needed a strategic shift to automation.

Kardex spent time at Cutter & Buck’s fulfillment center in Seattle to understand the business and process flows. The apparel manufacturer shared its data from peak season 2021, when the starkest problems had occurred, as well as its five-year growth plan.

Kardex’s help went beyond preparing to implement AutoStore. “They also identified some areas we could improve to get through peak 2022 before AutoStore would be implemented,” Sumpter says.

Despite some inherent complexities, the AutoStore implementation went according to plan.

“Because we were building AutoStore in an area that was covered with racking and conveyors, both of which were integral to our daily process, we faced some significant challenges along the way,” Sumpter says. “We are fortunate to have a great team who bought into the future, and they all went the extra mile to keep us on schedule.

“Kardex made their part look easy,” he adds. “We went live on August 5, the day we had planned 15 months earlier.”

Evident Benefits

“Kardex projected we would get through the 2023 holidays with 18 fewer people in the stocking and picking roles and that is exactly what we did,” Sumpter says. “We eliminated our bottlenecks, and we were able to continue to ship product the same day, every day.”

Cutter & Buck shipped 13% more units during the 2023 peak season versus the same period in 2022 with shorter lead times and less labor, Hayes says.

In particular, for AutoStore’s specific tasks, labor needs decreased 60% from 30 to 14, and the total labor per unit dropped 35% from 53 to 35 in one year.

AutoStore’s capabilities enabled 50% growth in the direct-to-consumer channel, according to Hayes. The solution also reduced the turn time of direct-to-consumer orders by two days. The lead time for embroidery orders is now 29 hours, and undecorated orders ship the same day up to 2 p.m.—a metric that remained in place during the most recent peak season.

Overall, Cutter & Buck’s most recent turnaround time is 25 hours—a striking improvement from the previous turnaround time of three to five days.

Sumpter says he sees a promising future for Cutter & Buck’s continued use of AutoStore.

“We are testing the latest update that will allow us to change the language on individual ports,” Sumpter says. “We have a significant Vietnamese population on our team and this will allow easier and quicker training for non-English-speaking employees, but honestly, it isn’t that hard now.

“AutoStore also plans to introduce LiDAR sensors around the port that will eliminate touching the monitor,” he adds. [LiDAR, or Light Detection and Ranging, emits rapid light pulses at an object or the surrounding environment, and the amount of time it takes for the light to return is then measured.] “That will improve ergonomics and speed for our team.”

Madison Reed: Enhancing Fulfillment to Meet Demand Goals

Saddle Creek supports all of Madison Reed’s sales channels from a single inventory, providing the hair beauty brand with accurate stock counts at all times.

Madison Reed is a San Francisco-based beauty brand that offers more than 55 shades of hair color through a variety of channels, including direct-to-consumer sales and more than 90 Hair Color Bars around the country.

The Hair Color Bar concept has experienced rapid growth, and the brand also is expanding its wholesale business through retail partnerships at Ulta, Ulta at Target, Target, and Walmart.

On top of all that, Madison Reed launched on Amazon and is expanding quickly there.

In light of that growth and the complexity of Madison Reed’s channels, a strong fulfillment operation is critical, says Erica Brooner, the company’s vice president, supply chain. However, fulfillment was hindering its ambitions for a while.

“We were facing challenges with unreliable service levels and performance, inaccurate inventory, and retail compliance issues,” Brooner says. “We had an unreliable logistics partner that did not have best practices in place across all aspects of fulfillment and distribution, and we were in dire need of that.

“When customers color their hair, they want the product to show up when they need it so they can stay on their desired schedule, so consistency is definitely key,” Brooner adds. “It’s also important on the Hair Color Bar side because disruption not only affects sales, but also affects our ability to perform services in those salons.”

Finding the Right Partner

Brooner says Madison Reed’s stockouts were trending at 8 to 10% due to a variety of reasons, mostly lack of reliable inventory visibility and inventory accuracy. In response to its fulfillment struggles, Madison Reed ran a competitive RFP process that led to Saddle Creek Logistics, an omnichannel supply chain solutions company based in Lakeland, Florida.

Saddle Creek spent time with Madison Reed’s team discussing its needs and expectations and then assembled a cross-functional solution design team made up of experts in engineering, systems, and operations, as well as senior management. The partnership ultimately led to a single-node solution with dedicated space at Saddle Creek’s Fort Worth, Texas facility. The operation went live in October 2023.

“Saddle Creek supports all of Madison Reed’s sales channels from a single inventory,” says Luke Hendrix, regional senior director, operations, Saddle Creek Logistics Services. “For the core business, base kits are kitted to stock and the UPC label is applied. Then, the kits move to work cells where we add hair color, marketing inserts, and any add-ons. We ‘each pick’ ecommerce orders and orders for the Hair Color Bars and case pick orders going to retailers like Ulta and Target. To ensure order accuracy, we perform quality checks at the end of every line.”

Madison Reed operates on Saddle Creek’s order management system (OMS) and warehouse management systems, and will continue to refine and enhance the operation as needed.

Brooner says Madison Reed found “real value” in Saddle Creek’s work cell design. “It was unlike anything we saw from other prospective partners,” she says. “We knew it could create efficiencies to help with volatility in demand and order volume as well as our focus on picking accuracy.

“We did not have an OMS prior to our relationship with Saddle Creek,” she adds. “Their OMS functionality introduced a different level of visibility and, specifically, inventory allocation.”

Brooner notes that Madison Reed now has an allocation-driven inventory process that ensures the company passes fully executable orders to the team on the floor.

“As a result, we don’t have surprise shorts or cancellations where we’re not able to deliver product to our customers,” Brooner says.

Always Accurate

The move to a single-node solution with dedicated space, alongside Saddle Creek’s processes and cycle count accuracy, means that Madison Reed maintains accurate inventory at all times, Brooner says.

“We have brought down shorts and cancellations on the wholesale side of our business to nearly 0%,” Brooner says. “We reached 100% OTIF [on-time-in-full] shortly after joining Saddle Creek—which is a complete 180-degree turn from where we were before.”

As of April, Saddle Creek has supported the opening of five new Hair Color Bar locations in 2024—each with launch orders shipping in the first quarter to support openings shortly afterward.

“Our Hair Color Bar leadership said it is the first time that they have received all the product required to make sure the stores look great and actually start performing services on time, all without disruption or hiccups,” Brooner says.

For both Cutter & Buck and Madison Reed, finding the right partner was the key to turning their fulfillment operations around and freeing them to pursue the growth their brands were ready to enjoy.


A Fulfilling Partnership

It’s not only shippers who turn to providers to strengthen their fulfillment operations—providers themselves also work with fellow providers to improve how they serve their shipper clients.

In one such collaboration, DHL Supply Chain has begun to deploy Boston Dynamics’ Stretch Robot to unload cartons from trucks at its fulfillment facilities. The robots remove packages from the back of trailers and place them on a flexible conveyor.

Automating the process with robots not only addresses safety concerns but also helps tackle the ongoing labor supply challenge by redirecting skilled labor to focus on value-add, strategic tasks in other areas of the warehouse. Stretch’s case upload speed is faster than a manual approach, creating efficiency and productivity improvements.

DHL and Boston Dynamics started collaborating on the project in 2019, and DHL first deployed Stretch in January 2023. Trailer unloading was an apt place to focus the work from a robotics standpoint.

“There are enough constraints with the safety requirements that allowed us to zero in on what a potential solution could be,” says Andre Brueckner, Stretch product manager at Boston Dynamics. “The process of iterating through getting a prototype working, then working through testing, and ultimately launching allowed us to get Stretch to a point today where it is productive and valuable at the warehouse for DHL.”

A key innovation that makes the Stretch Robot so effective is its ability to pick multiple boxes at the same time, Brueckner says. Also important is an intuitive, streamlined interface that allows workers to pick up the operation of the Stretch rapidly, ensuring it is an “uninterrupted” member of the team when turnover occurs.

DHL and Boston Dynamics currently are working together to not only refine and improve on the early success that it has seen with trailer unloading, but also to explore the value of adapting Stretch for future applications within DHL’s warehouses and to ask questions such as: “How small can the cases get? How large? How awkward?”

“We’ve continued to roll out the robot and expand its presence in our facilities,” says Matthew Dippold, director of accelerated digitalization at DHL. “We have been able to reduce injury rates, reduce turnover, and improve predictable flow into the building with the robot. So we continue to push it out into our facilities, and we continue to learn from it.”


]]>
2024 Summer Reading Guide https://www.inboundlogistics.com/articles/2024-summer-reading-guide/ Thu, 29 Aug 2024 03:50:21 +0000 https://www.inboundlogistics.com/?post_type=articles&p=41466

Proximity: How Coming Breakthroughs in Just-in-Time Transform Business, Society, and Daily Life

By Robert C. Wolcott and Kaihan Krippendorff

This book explores the transformative impact of digital technologies on production and service delivery, enabling immediate, affordable, and customized value with minimal environmental impact. The authors provide insights into how the “Proximity revolution” is reshaping industries, strategies, supply chains, and sustainability, emphasizing the need for innovative approaches over incremental changes.


Precision Retailing: Driving Results With Behavioral Insights and Data Analytics

Edited by Laurette Dubé, Maxime C. Cohen, Nathan Yang, and Bassem Monia

The retail sector underwent a seismic shift during the COVID-19 era, producing lasting changes and the need for retailers to rethink their business models. Many have turned to behavioral insights to better understand and target customers. This book compiles expert essays providing practical advice on how to apply behavioral science to retail operations, emphasizing the importance of precision in engaging with retail customers and systems.


A New Line in Humans: Living With Future Supply Chains

By K.B. Cottrill

This entertaining e-book uses science fiction to project current supply chains into the future and explore what might happen if they go awry. Examples include a team of executive androids deciding what to do when a pandemic causes plummeting demand in their remote factory, and a federal agency discovering a potentially disastrous flaw in the algorithms that control self-driving trucks.


The Supply Chain Revolution: Innovative Sourcing and Logistics for a Fiercely Competitive World

By Suman Sarkar

Through success stories from leading companies like Apple and Zara, this book illustrates how viewing the supply chain as a strategic asset, rather than a cost-cutting area, can lead to remarkable business performance. It offers insights on making alliances more successful, simplifying processes, boosting retail success, and enhancing customer satisfaction. Using practical advice and real-world examples, this book provides tools to revolutionize the supply chain.


Supply Chain: The Insights You Need From Harvard Business Review

By Willy C. Shih, Christian Shuh, Wolfgang Schnellbacher, and Daniel Weise

Part of HBR’s “Insights You Need” series, this book addresses the challenges and disruptions facing global supply chains, including supply and demand shocks, labor shortages, and international trade wars. Special focus goes to helping business leaders understand the worldwide dynamics at play, identify risks in their supply chain networks, and ensure resilience without losing competitive advantage. The book combines foundational knowledge with practical case studies on fast-moving issues such as blockchain, cybersecurity, and AI.


Flow: How the Best Supply Chains Thrive

By Rob Handfield and Tom Linton

In this helpful resource for procurement and supply chain professionals, the authors explore the concept of “flow”—drawing parallels to natural phenomena like the flow of electricity and materials—and its importance in process optimization. They discuss the integration of end-to-end supply chains and the shift toward nearshoring and onshoring. Highlighting strategies that leverage global supply chain data and smart technologies, the book offers practical recommendations to improve supply chain performance amid ongoing disruptions, with insights from companies including Biogen, General Motors, Siemens, and Flex.


The Logistics Mastermind: A Tale of Victory Through Supply Chain Management

By Tracie Harrison

This fictional logistics tale takes place in the midst of a war between the countries of Lumiaslansa and Etria. Gianni, a recent graduate of Lumiaslansa’s Royal Officer Academy, is unexpectedly assigned as a warehouse keeper. His seemingly unimportant role takes a dramatic turn when he is entrusted with overseeing the military’s supply team. Demonstrating his logistical genius, Gianni navigates war-torn landscapes, treacherous conditions, and dwindling resources to ensure the army is well-supplied.


Logistics Legends: Stories of Success in Supply Chain Management

By Dilip Kumar Vaka

Through real-world case studies and expert insights, this book explores how top companies have overcome complex challenges and leveraged cutting-edge technologies to streamline operations, enhance customer satisfaction, and achieve competitive advantage. Through the stories of industry trailblazers and innovators, readers will learn valuable lessons and actionable strategies to navigate the ever-evolving logistics landscape.


Supply Chain Security Management: The Key to Resilient and Secure Logistics

By Arthur Wilson

This hands-on guide to supply chain security management offers practical measures to safeguard the integrity and resilience of global commerce. The book shares insights on how to protect assets, personnel, and sensitive information from physical and cyber threats; ensure compliance with regulatory standards; and minimize disruptions to enhance business continuity. Wilson’s key recommendation? Adopt a security-first mindset.


The Logistics and Supply Chain Toolkit: Over 100 Tools for Transport, Warehousing and Inventory Management

By Gwynne Richards and Susan Grinsted

The updated fourth edition of this popular resource covers the latest supply chain frameworks, including robotics and blockchain, and methods to measure their ROI. Each toolkit provides precise approaches for complex situations in warehousing, inventory, logistics, outsourcing, and supply chain management. It also includes downloadable content including supply chain audits and strategy decision charts.


Strategic Sourcing: Approaches for Managing Supply Chain Risk

By George A. Zsidisin, Barbara Gaudenzi, and Roberta Pellegrino

This book offers a research-based methodology for analyzing supply chain vulnerabilities and implementing strategic sourcing approaches to manage risk and ensure resilience. Addressing the multifaceted impacts of supply chain risk, the book highlights the detrimental effects of disruptions, such as increased costs, financial losses, and reputational damage, and provides practical approaches for identifying, assessing, and managing risks to foster resilience.


Logistics and Supply Chain Management: Fundamentals and Strategies

By Turkay Yildiz

Covering topics such as inventory management, transportation, warehousing, and the application of “Industry 4.0” and IT systems, this book provides practical insights into strategic planning, risk and cost management, and global logistics, as well as sustainability goals and future industry trends. The comprehensive guide also provides insights for optimizing business processes and gaining a competitive edge in the global marketplace.


Logistics 2040: Navigating the Future of Supply Chain Management

By Oswald Sanon

By exploring how technology, innovation, and global trends are transforming supply chain operations, this book paints a picture of what will unfold during the next two decades. Across 20 detailed chapters, Sanon delves into future-facing topics including predictive analytics, big data, AI-driven inventory optimization, digital twins for supply chain planning, and the impact of autonomous vehicles on freight transportation. The book also shares insights on how “Industry 4.0” is shaping supply chain management and uses real-world case studies to illustrate successful implementations of emerging technologies.


Sustainable Supply Chain Orchestration: Unlearning for a Better Tomorrow

By Deborah Dull and Douglas Kent

This book guides supply chain professionals through practical steps to integrate modern, green, and profitable strategies that align with environmental standards while boosting business growth. The authors share their transformative UNLEARN method, designed to help companies unify purpose, navigate sustainability challenges, and break free from outdated practices. Specific topics include embedding sustainability across sourcing, manufacturing, and logistics, as well as amplifying the sustainability narrative within your organization.


The Art of Autonomous Warehousing and Logistics

By Laverne Blackburn

This book takes a deep dive into the world of autonomous warehousing, where robots perform tasks such as picking, packing, and shipping goods. The author explores the benefits of autonomous warehousing, such as reduced labor costs and improved productivity and safety. The book also covers various challenges companies face when automating their warehouses, including the high cost of investment, need for specialized skills, and potential workforce reduction concerns.


]]>

Proximity: How Coming Breakthroughs in Just-in-Time Transform Business, Society, and Daily Life

By Robert C. Wolcott and Kaihan Krippendorff

This book explores the transformative impact of digital technologies on production and service delivery, enabling immediate, affordable, and customized value with minimal environmental impact. The authors provide insights into how the “Proximity revolution” is reshaping industries, strategies, supply chains, and sustainability, emphasizing the need for innovative approaches over incremental changes.


Precision Retailing: Driving Results With Behavioral Insights and Data Analytics

Edited by Laurette Dubé, Maxime C. Cohen, Nathan Yang, and Bassem Monia

The retail sector underwent a seismic shift during the COVID-19 era, producing lasting changes and the need for retailers to rethink their business models. Many have turned to behavioral insights to better understand and target customers. This book compiles expert essays providing practical advice on how to apply behavioral science to retail operations, emphasizing the importance of precision in engaging with retail customers and systems.


A New Line in Humans: Living With Future Supply Chains

By K.B. Cottrill

This entertaining e-book uses science fiction to project current supply chains into the future and explore what might happen if they go awry. Examples include a team of executive androids deciding what to do when a pandemic causes plummeting demand in their remote factory, and a federal agency discovering a potentially disastrous flaw in the algorithms that control self-driving trucks.


The Supply Chain Revolution: Innovative Sourcing and Logistics for a Fiercely Competitive World

By Suman Sarkar

Through success stories from leading companies like Apple and Zara, this book illustrates how viewing the supply chain as a strategic asset, rather than a cost-cutting area, can lead to remarkable business performance. It offers insights on making alliances more successful, simplifying processes, boosting retail success, and enhancing customer satisfaction. Using practical advice and real-world examples, this book provides tools to revolutionize the supply chain.


Supply Chain: The Insights You Need From Harvard Business Review

By Willy C. Shih, Christian Shuh, Wolfgang Schnellbacher, and Daniel Weise

Part of HBR’s “Insights You Need” series, this book addresses the challenges and disruptions facing global supply chains, including supply and demand shocks, labor shortages, and international trade wars. Special focus goes to helping business leaders understand the worldwide dynamics at play, identify risks in their supply chain networks, and ensure resilience without losing competitive advantage. The book combines foundational knowledge with practical case studies on fast-moving issues such as blockchain, cybersecurity, and AI.


Flow: How the Best Supply Chains Thrive

By Rob Handfield and Tom Linton

In this helpful resource for procurement and supply chain professionals, the authors explore the concept of “flow”—drawing parallels to natural phenomena like the flow of electricity and materials—and its importance in process optimization. They discuss the integration of end-to-end supply chains and the shift toward nearshoring and onshoring. Highlighting strategies that leverage global supply chain data and smart technologies, the book offers practical recommendations to improve supply chain performance amid ongoing disruptions, with insights from companies including Biogen, General Motors, Siemens, and Flex.


The Logistics Mastermind: A Tale of Victory Through Supply Chain Management

By Tracie Harrison

This fictional logistics tale takes place in the midst of a war between the countries of Lumiaslansa and Etria. Gianni, a recent graduate of Lumiaslansa’s Royal Officer Academy, is unexpectedly assigned as a warehouse keeper. His seemingly unimportant role takes a dramatic turn when he is entrusted with overseeing the military’s supply team. Demonstrating his logistical genius, Gianni navigates war-torn landscapes, treacherous conditions, and dwindling resources to ensure the army is well-supplied.


Logistics Legends: Stories of Success in Supply Chain Management

By Dilip Kumar Vaka

Through real-world case studies and expert insights, this book explores how top companies have overcome complex challenges and leveraged cutting-edge technologies to streamline operations, enhance customer satisfaction, and achieve competitive advantage. Through the stories of industry trailblazers and innovators, readers will learn valuable lessons and actionable strategies to navigate the ever-evolving logistics landscape.


Supply Chain Security Management: The Key to Resilient and Secure Logistics

By Arthur Wilson

This hands-on guide to supply chain security management offers practical measures to safeguard the integrity and resilience of global commerce. The book shares insights on how to protect assets, personnel, and sensitive information from physical and cyber threats; ensure compliance with regulatory standards; and minimize disruptions to enhance business continuity. Wilson’s key recommendation? Adopt a security-first mindset.


The Logistics and Supply Chain Toolkit: Over 100 Tools for Transport, Warehousing and Inventory Management

By Gwynne Richards and Susan Grinsted

The updated fourth edition of this popular resource covers the latest supply chain frameworks, including robotics and blockchain, and methods to measure their ROI. Each toolkit provides precise approaches for complex situations in warehousing, inventory, logistics, outsourcing, and supply chain management. It also includes downloadable content including supply chain audits and strategy decision charts.


Strategic Sourcing: Approaches for Managing Supply Chain Risk

By George A. Zsidisin, Barbara Gaudenzi, and Roberta Pellegrino

This book offers a research-based methodology for analyzing supply chain vulnerabilities and implementing strategic sourcing approaches to manage risk and ensure resilience. Addressing the multifaceted impacts of supply chain risk, the book highlights the detrimental effects of disruptions, such as increased costs, financial losses, and reputational damage, and provides practical approaches for identifying, assessing, and managing risks to foster resilience.


Logistics and Supply Chain Management: Fundamentals and Strategies

By Turkay Yildiz

Covering topics such as inventory management, transportation, warehousing, and the application of “Industry 4.0” and IT systems, this book provides practical insights into strategic planning, risk and cost management, and global logistics, as well as sustainability goals and future industry trends. The comprehensive guide also provides insights for optimizing business processes and gaining a competitive edge in the global marketplace.


Logistics 2040: Navigating the Future of Supply Chain Management

By Oswald Sanon

By exploring how technology, innovation, and global trends are transforming supply chain operations, this book paints a picture of what will unfold during the next two decades. Across 20 detailed chapters, Sanon delves into future-facing topics including predictive analytics, big data, AI-driven inventory optimization, digital twins for supply chain planning, and the impact of autonomous vehicles on freight transportation. The book also shares insights on how “Industry 4.0” is shaping supply chain management and uses real-world case studies to illustrate successful implementations of emerging technologies.


Sustainable Supply Chain Orchestration: Unlearning for a Better Tomorrow

By Deborah Dull and Douglas Kent

This book guides supply chain professionals through practical steps to integrate modern, green, and profitable strategies that align with environmental standards while boosting business growth. The authors share their transformative UNLEARN method, designed to help companies unify purpose, navigate sustainability challenges, and break free from outdated practices. Specific topics include embedding sustainability across sourcing, manufacturing, and logistics, as well as amplifying the sustainability narrative within your organization.


The Art of Autonomous Warehousing and Logistics

By Laverne Blackburn

This book takes a deep dive into the world of autonomous warehousing, where robots perform tasks such as picking, packing, and shipping goods. The author explores the benefits of autonomous warehousing, such as reduced labor costs and improved productivity and safety. The book also covers various challenges companies face when automating their warehouses, including the high cost of investment, need for specialized skills, and potential workforce reduction concerns.


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Precision Shipping: The Rise of Item-Level Visibility Solutions https://www.inboundlogistics.com/articles/precision-shipping-the-rise-of-item-level-visibility-solutions/ Thu, 29 Aug 2024 02:42:41 +0000 https://www.inboundlogistics.com/?post_type=articles&p=41457 Item-level visibility has become a must for shippers and their supply chain partners. The technologies that make that visibility possible are becoming more accessible, sophisticated, and broadly applicable as visibility tools evolve.

“Item-level visibility offers an array of benefits, but the primary, overarching advantage of visibility is the precision that it brings to shipments,” notes Richie Daigle, supply chain evangelist at Tive, a Boston-based provider of visibility solutions.

“Not only does visibility provide precise information about shipment location and arrival time, but it also offers detailed insights into the conditions of an item at any given moment,” says Daigle. “Shippers can monitor how hot or cold it is, how wet it is, and how it’s being handled.

“Additionally, they can see if doors, boxes, or other containers are being opened,” he adds. “This information gives shippers precise insights into both the location and the condition of a specific item at any point in time.”

That precision is exactly what today’s supply chain needs.

“The pace of everything is so much faster today, and it’s putting a lot of strain on the supply chain,” Daigle explains. “Companies have to be more precise with planning, inventory control, and sourcing. Everything has to be dialed in.”

What Drives the Need for Visibility?

Ambient IoT tags, like these from Wiliot, offer item-level real-time tracking and data collection that help satisfy consumer demand for faster shipping and supply chain transparency.

Several trends are driving the rise of real-time and item-level visibility.

“Ongoing regulations—such as food and drug traceability, including FSMA Rule 204, Digital Product Passport requirements, and provenance and circularity rules—lead to an increased need for item-level visibility,” says Steve Statler, CMO at Wiliot, an Israel-based provider of Internet of Things (IoT) technology. “And consumers continually demand faster delivery times for online retail, with transparency throughout the delivery process.”

In non-regulated supply chains, there is growing consumer demand for verifying a product’s authenticity throughout its entire lifecycle, from vendor sourcing to purchase.

“This is critical especially due to global manufacturing and distribution,” says Shyam Krishna, vice president of healthcare solutions for Softeon, a provider of supply chain execution and planning systems.

“Consumers like to know that even if they buy a generic brand laptop or cell phone, they can be assured that the motherboard or components can be tracked and traced for authenticity and reliability,” he says.

Consumers also want the ability to track assets and receive real-time alerts on factors such as a product’s shelf life or expiration, or its wear and tear, among other elements.

The widespread emphasis on supply chain resilience and the ability for retailers to quickly adapt to disruptions also have been factors driving demand for visibility. So has a shift toward omnichannel retailing and the need for precise inventory tracking across multiple channels.

In addition, sustainability’s increasing importance plays a role as brands better prioritize reducing waste and improving resource utilization.

Industries including food and pharmaceuticals, which have regulations requiring temperature monitoring to verify product conditions, are currently the most frequent users of IoT devices.

“Those industries are at the cutting edge of real-time item-level visibility, because they have to be regulated,” Daigle says. “We also see adoption within high-value freight.”

Key tech tools for item-level visibility include ambient IoT tags, which offer real-time tracking and data collection; advanced analytics and AI, which provide predictive insights and decision-making; and cloud-based platforms, which allow for scalable and flexible data management.

“Advancements in IoT and sensor technologies make real-time data collection more feasible and affordable,” notes Statler. “Supply chains also have seen an increased focus on AI, data-driven decision-making, and predictive analytics. With item-level visibility, these decisions can be made with significantly more data and legitimacy.”

When Visibility is ‘Real-Time’

Statler says that there’s a misconception that item-level visibility solutions are costly or complex to implement. He argues that these tools offer “significant” return on investment, effective scalability, and can be used for many applications across the supply chain.

Technologies such as IoT can be used to track packages, and can monitor item attributes, temperatures, and other conditions while shipments are in transit. They also integrate well with other tools.

“A warehouse management system integrated with a smart print-and-apply system can apply RFID labels in a high-volume shipping environment, thus making item-level visibility easily achievable,” Krishna says. “Essential attributes of the product are encoded easily into these smart tags.”

Devices placed on items before they ship record conditions as the shipment travels through the supply chain—yielding intelligence that can be used after they arrive. Once the shipment reaches its destination, workers can plug in the device and analyze the data to ensure that conditions during the trip were as they should be.

This retroactive data can be valuable. “The data may tell us a product needs to go into the trash if it would be damaging to a consumer,” Daigle says.

By contrast, real-time item-level visibility technology records information—temperature, humidity, shocks or light—in real time and the data is sent into the cloud. Recipients of the data can make decisions or adjustments based on that information.

For instance, if a refrigerated unit has an incorrect setting, the truck driver can be notified to make adjustments before products are ruined. “The difference is learning something after it’s too late versus saving a shipment with real-time information,” Daigle says.

While tracking assets such as trucks, trains, containers, vessels, and aircraft is effective, issues can arise. For instance, drivers may be non-compliant, or mix-ups can occur, leading to items ending up on different vessels.

“Having a device that is connected to the item itself cuts out all the noise and provides the single source of truth that shippers can rely upon to know what’s happening with the location and condition of that specific item­,” Daigle says. “Item-level visibility from an IoT tracker gives shippers that redundancy.”

Boost Resilience, Combat Fraud

Among the most pressing priorities in the supply chain today are increasing resilience and combating rising fraud and theft. Item-level visibility can help build improvements in both areas.

“Track-and-trace workflows can be applied to item-level visibility solutions so the status of an item can be tracked in real time through the supply chain along with its attributes—lot code, expiration date, serial number—and also dispositions such as good, bad, returned, damaged, or recalled, ” Krishna says. “This makes the supply chain more resilient and helps combat fraud.”

Item-level visibility can also support resilience to “black swan events,” similar to ones the supply chain has recently faced: a pandemic, rebels in the Red Sea cutting off trade routes, and a ship running into a bridge in Baltimore’s harbor.

Raising Awareness

“These destabilizing events have created massive ripples throughout what was previously a well-oiled machine,” Krishna says. “Because supply chains have to move so quickly, and we demand so much of them, they’re also a bit fragile when it comes to these types of events. They’re not quite as resilient, which means technology has to help plug the gap.”

Item-level visibility contributes by raising awareness of the shipment location and condition, and that awareness can equip teams to quickly make informed decisions.

When it comes to combating fraud, item-level visibility solutions help in an assortment of ways.

“Visibility solutions support stronger security measures by providing detailed insights into the supply chain, allowing retailers to spot counterfeits and determine appropriate products,” Statler says. “Item-level and real-time visibility also enables early detection and responses to any potential disruptions, minimizing the impact of fraud on the supply chain. Visibility also enhances traceability, making it easier to track and verify the origin and movement of goods, thereby reducing fraud and counterfeit risks.”

Given the high level of data associated with item-level visibility solutions, there is also high risk of that information falling into the wrong hands. The right processes and resources are critical to mitigating risks associated with these technologies.

“Adherence to proper information security protocols reduces the cybersecurity risks and data breaches that can occur when these technologies are put to use,” Krishna says. “Improperly implementing these protocols can lead to easy cyber hacks and can compromise critical item-level visibility.”

Looking Ahead

What’s next on the visibility horizon? Nearly 90% of respondents to Tive’s 2024 State of Visibility survey say that digital transformation of their supply chain and logistics operations is a major priority for this year.

“A lot of companies are revisiting their tech stack and plan to reevaluate the technology they have in place, and 75% of respondents say that real-time visibility is a key priority within their broader digital transformation efforts,” Daigle says. “Everybody recognizes the importance of awareness at the item level, and they see that IoT devices are one surefire way to stay in the know. Over time, like any other technology, components for these devices will become less expensive. As prices come down, adoption will continue to grow.”

Ambient IoT is now baked into standards for Wi-Fi, cellular, and the next generation of Bluetooth. And new data standards, such as GS1 Digital Link and EPCIS 2.0, enable more robust information to flow throughout the system.

Item-Level Expansion

“These advancements will likely allow for end-to-end data visibility, from manufacturers to consumers and back upstream to the manufacturer,” Statler says. “Item-level visibility will likely expand into new industries and applications, driven by continuous advancements in sensor technology and data-processing capabilities.”

The greatest challenge to strengthening item-level visibility is improving trust and openness to data sharing throughout the supply chain ecosystem. “It is essential for manufacturers, retailers, and consumers to fully realize the benefits of item-level visibility,” Statler says.

“To increase trust, the industry should continue to focus on data privacy and security, which are crucial as the adoption of item-level visibility solutions grows,” he adds. “And to scale effectively, the industry needs new enterprise applications that support item-level visibility. The old systems need to be rewritten.”

The strategic uses of IoT and item-level visibility are only going to grow. “In the long term, we’ll see a transition from the combined application for tactical usage eventually moving into a strategic application where the devices are the single source for aggregated data—especially with AI coming on board,” Daigle says.

“AI and machine learning algorithms are only as good as the data fed into them,” he adds. “As companies begin to see IoT devices as a source of high-quality data, they will be able to extract much more value from that data. It’s exciting to see how that all plays out in the coming years.”

]]>
Item-level visibility has become a must for shippers and their supply chain partners. The technologies that make that visibility possible are becoming more accessible, sophisticated, and broadly applicable as visibility tools evolve.

“Item-level visibility offers an array of benefits, but the primary, overarching advantage of visibility is the precision that it brings to shipments,” notes Richie Daigle, supply chain evangelist at Tive, a Boston-based provider of visibility solutions.

“Not only does visibility provide precise information about shipment location and arrival time, but it also offers detailed insights into the conditions of an item at any given moment,” says Daigle. “Shippers can monitor how hot or cold it is, how wet it is, and how it’s being handled.

“Additionally, they can see if doors, boxes, or other containers are being opened,” he adds. “This information gives shippers precise insights into both the location and the condition of a specific item at any point in time.”

That precision is exactly what today’s supply chain needs.

“The pace of everything is so much faster today, and it’s putting a lot of strain on the supply chain,” Daigle explains. “Companies have to be more precise with planning, inventory control, and sourcing. Everything has to be dialed in.”

What Drives the Need for Visibility?

Ambient IoT tags, like these from Wiliot, offer item-level real-time tracking and data collection that help satisfy consumer demand for faster shipping and supply chain transparency.

Several trends are driving the rise of real-time and item-level visibility.

“Ongoing regulations—such as food and drug traceability, including FSMA Rule 204, Digital Product Passport requirements, and provenance and circularity rules—lead to an increased need for item-level visibility,” says Steve Statler, CMO at Wiliot, an Israel-based provider of Internet of Things (IoT) technology. “And consumers continually demand faster delivery times for online retail, with transparency throughout the delivery process.”

In non-regulated supply chains, there is growing consumer demand for verifying a product’s authenticity throughout its entire lifecycle, from vendor sourcing to purchase.

“This is critical especially due to global manufacturing and distribution,” says Shyam Krishna, vice president of healthcare solutions for Softeon, a provider of supply chain execution and planning systems.

“Consumers like to know that even if they buy a generic brand laptop or cell phone, they can be assured that the motherboard or components can be tracked and traced for authenticity and reliability,” he says.

Consumers also want the ability to track assets and receive real-time alerts on factors such as a product’s shelf life or expiration, or its wear and tear, among other elements.

The widespread emphasis on supply chain resilience and the ability for retailers to quickly adapt to disruptions also have been factors driving demand for visibility. So has a shift toward omnichannel retailing and the need for precise inventory tracking across multiple channels.

In addition, sustainability’s increasing importance plays a role as brands better prioritize reducing waste and improving resource utilization.

Industries including food and pharmaceuticals, which have regulations requiring temperature monitoring to verify product conditions, are currently the most frequent users of IoT devices.

“Those industries are at the cutting edge of real-time item-level visibility, because they have to be regulated,” Daigle says. “We also see adoption within high-value freight.”

Key tech tools for item-level visibility include ambient IoT tags, which offer real-time tracking and data collection; advanced analytics and AI, which provide predictive insights and decision-making; and cloud-based platforms, which allow for scalable and flexible data management.

“Advancements in IoT and sensor technologies make real-time data collection more feasible and affordable,” notes Statler. “Supply chains also have seen an increased focus on AI, data-driven decision-making, and predictive analytics. With item-level visibility, these decisions can be made with significantly more data and legitimacy.”

When Visibility is ‘Real-Time’

Statler says that there’s a misconception that item-level visibility solutions are costly or complex to implement. He argues that these tools offer “significant” return on investment, effective scalability, and can be used for many applications across the supply chain.

Technologies such as IoT can be used to track packages, and can monitor item attributes, temperatures, and other conditions while shipments are in transit. They also integrate well with other tools.

“A warehouse management system integrated with a smart print-and-apply system can apply RFID labels in a high-volume shipping environment, thus making item-level visibility easily achievable,” Krishna says. “Essential attributes of the product are encoded easily into these smart tags.”

Devices placed on items before they ship record conditions as the shipment travels through the supply chain—yielding intelligence that can be used after they arrive. Once the shipment reaches its destination, workers can plug in the device and analyze the data to ensure that conditions during the trip were as they should be.

This retroactive data can be valuable. “The data may tell us a product needs to go into the trash if it would be damaging to a consumer,” Daigle says.

By contrast, real-time item-level visibility technology records information—temperature, humidity, shocks or light—in real time and the data is sent into the cloud. Recipients of the data can make decisions or adjustments based on that information.

For instance, if a refrigerated unit has an incorrect setting, the truck driver can be notified to make adjustments before products are ruined. “The difference is learning something after it’s too late versus saving a shipment with real-time information,” Daigle says.

While tracking assets such as trucks, trains, containers, vessels, and aircraft is effective, issues can arise. For instance, drivers may be non-compliant, or mix-ups can occur, leading to items ending up on different vessels.

“Having a device that is connected to the item itself cuts out all the noise and provides the single source of truth that shippers can rely upon to know what’s happening with the location and condition of that specific item­,” Daigle says. “Item-level visibility from an IoT tracker gives shippers that redundancy.”

Boost Resilience, Combat Fraud

Among the most pressing priorities in the supply chain today are increasing resilience and combating rising fraud and theft. Item-level visibility can help build improvements in both areas.

“Track-and-trace workflows can be applied to item-level visibility solutions so the status of an item can be tracked in real time through the supply chain along with its attributes—lot code, expiration date, serial number—and also dispositions such as good, bad, returned, damaged, or recalled, ” Krishna says. “This makes the supply chain more resilient and helps combat fraud.”

Item-level visibility can also support resilience to “black swan events,” similar to ones the supply chain has recently faced: a pandemic, rebels in the Red Sea cutting off trade routes, and a ship running into a bridge in Baltimore’s harbor.

Raising Awareness

“These destabilizing events have created massive ripples throughout what was previously a well-oiled machine,” Krishna says. “Because supply chains have to move so quickly, and we demand so much of them, they’re also a bit fragile when it comes to these types of events. They’re not quite as resilient, which means technology has to help plug the gap.”

Item-level visibility contributes by raising awareness of the shipment location and condition, and that awareness can equip teams to quickly make informed decisions.

When it comes to combating fraud, item-level visibility solutions help in an assortment of ways.

“Visibility solutions support stronger security measures by providing detailed insights into the supply chain, allowing retailers to spot counterfeits and determine appropriate products,” Statler says. “Item-level and real-time visibility also enables early detection and responses to any potential disruptions, minimizing the impact of fraud on the supply chain. Visibility also enhances traceability, making it easier to track and verify the origin and movement of goods, thereby reducing fraud and counterfeit risks.”

Given the high level of data associated with item-level visibility solutions, there is also high risk of that information falling into the wrong hands. The right processes and resources are critical to mitigating risks associated with these technologies.

“Adherence to proper information security protocols reduces the cybersecurity risks and data breaches that can occur when these technologies are put to use,” Krishna says. “Improperly implementing these protocols can lead to easy cyber hacks and can compromise critical item-level visibility.”

Looking Ahead

What’s next on the visibility horizon? Nearly 90% of respondents to Tive’s 2024 State of Visibility survey say that digital transformation of their supply chain and logistics operations is a major priority for this year.

“A lot of companies are revisiting their tech stack and plan to reevaluate the technology they have in place, and 75% of respondents say that real-time visibility is a key priority within their broader digital transformation efforts,” Daigle says. “Everybody recognizes the importance of awareness at the item level, and they see that IoT devices are one surefire way to stay in the know. Over time, like any other technology, components for these devices will become less expensive. As prices come down, adoption will continue to grow.”

Ambient IoT is now baked into standards for Wi-Fi, cellular, and the next generation of Bluetooth. And new data standards, such as GS1 Digital Link and EPCIS 2.0, enable more robust information to flow throughout the system.

Item-Level Expansion

“These advancements will likely allow for end-to-end data visibility, from manufacturers to consumers and back upstream to the manufacturer,” Statler says. “Item-level visibility will likely expand into new industries and applications, driven by continuous advancements in sensor technology and data-processing capabilities.”

The greatest challenge to strengthening item-level visibility is improving trust and openness to data sharing throughout the supply chain ecosystem. “It is essential for manufacturers, retailers, and consumers to fully realize the benefits of item-level visibility,” Statler says.

“To increase trust, the industry should continue to focus on data privacy and security, which are crucial as the adoption of item-level visibility solutions grows,” he adds. “And to scale effectively, the industry needs new enterprise applications that support item-level visibility. The old systems need to be rewritten.”

The strategic uses of IoT and item-level visibility are only going to grow. “In the long term, we’ll see a transition from the combined application for tactical usage eventually moving into a strategic application where the devices are the single source for aggregated data—especially with AI coming on board,” Daigle says.

“AI and machine learning algorithms are only as good as the data fed into them,” he adds. “As companies begin to see IoT devices as a source of high-quality data, they will be able to extract much more value from that data. It’s exciting to see how that all plays out in the coming years.”

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