The Shipper/Carrier dynamic at #TPM2019

Navigating challenges between shippers and carriers is (finally) becoming less arduous

JOC-TPM

The Trans-Pacific Maritime Conference in Long Beach, CA, hosted by JOC, is a must-attend event for supply chain leaders from every corner of the market. 

This conference, more than any other, is the time of year where shippers and carriers take a hard look at the most important short-term challenges and discuss longer-term macro trends. Hot topics of 2019 included the IMO 2020 Sulfur Cap, the North American capacity crunch, the US-China trade war, technology innovation, and how market conditions are impacting rates. Here, we’ll discuss the last two – and the promising outlook on integrating both technologies and stakeholders.

Historically, there’s always been tension between shippers and carriers, as they naturally view the same macro challenges through different lenses. And while market conditions will only continue to add pressure, the reality is that shippers and carriers share the same unique set of problems. And that, according to Port of Long Beach Executive Director Mario Cordero, means both sides of the supply chain need to collaborate better. SupplyChainDive quoted;

“It’s a historic issue, the shipper and carrier dynamics.” – Port of Long Beach Executive Director, Mario Cordero

At TPM, we found that shippers and carriers alike are increasingly willing to embrace technology in order to better collaborate and improve service – a marked change from even five years ago. 

For shippers, Ai powered pricing algorithms and TMS integrations now enable them to quote and book truckload shipments in seconds without ever having to leave their native system, eliminating the time consuming back and forth over phone and email. For carriers, these same technologies have made it dramatically easier to find relevant loads and minimize empty miles, all while reducing paperwork.

These technologies are quickly headed in the direction of intermodal automation, as companies like Maersk look to offer their customers end-to-end solutions across modes. And according to Maersk CEO Søren Skou, the timing could not be better. 

JOC reported notable comments from Skou’s talk and pointed out that while 40-45% of Maersk’s business is coming from freight forwarders, Skou warned forwarders ignoring the wave of automation;

“If the only thing they provide is a booking service with a carrier, then it is going to be a hard place to be.” – Maersk CEO, Søren Skou

Did you attend TPM 2019? If so, what stood out to you?

3 Ways for Truck Drivers to Stay Safe on the Roads this Winter

3 Ways for truck drivers to stay safe on the roads this winter

With icy roads, snow storms and generally unwelcoming weather right around the corner, it is time to start preparing for winter. For those of you who are on the road most of the time, it’s important to make sure that you and your truck are ready for whatever comes your way. So what can you do to prepare? We’ve put together a list of tips to keep you safe this season.

Pre-Trip Prep

You’ve heard it before: preparation is key. The best tip we can give for a safe, smooth ride is to do your prep work. Know your route, know where the best rest stops are and have a backup plan. Monitor the weather to figure out where the weather is the worst and where it is the best so you can better plan where you should stop. Keep extra essentials on-hand, both for you and for your truck. Good supplies to keep for you include an extra blanket, flashlight, coat, water and a charger. For your truck, it’s good to keep sand or salt, extra windshield-wiper fluid, jumper cables and a windshield scraper.

Be Aware of Your Surroundings

Know your truck. If you’re in the same truck you’ve been in for years, you know your truck’s limits and shortcomings. You know when you need to break, how it handles turns and how it drives on the ice. If you’re in a new truck, or are relatively new to the trade, it’s important to take these points into consideration before you head out into stormy weather. Give yourself extra space to turn and brake. And no matter how long you’ve been on the road, always watch out for black ice, which appears most often on bridges, intersections, overpasses and naturally cooler spots.

Inspect Your Truck

You always inspect your truck, you’ve been doing it for years, we know. Inspections are always important, but during the winter they’re crucial. Before your trip, double and triple check your lights, tires, fluid levels and windshield wipers. Make time during stop offs to check you truck again.

Are You Ready for Winter?

Depending on where you are, you probably still have time to get ready for the cold season. Here at Loadsmart, we want you to stay safe on the road. When the weather turns bad, it’s easy for both sides to get frustrated. With our GPS tracking and open chat platform features, we make it effortless to stay connecting, ensuring a better experience for everyone. Interested? Sign up for free here to access these tools and all of Loadsmart’s other features.

Logistics technology eliminates deadhead miles to make the trucking industry more environmentally friendly

How Logistics Technology Can Save the Environment

We’ve talked about how logistics technology can save the industry, but did you know it could help save the environment, too? As a highly fragmented industry that’s severely lacking in technology, many trucks are running with little efficiency. If the trucking industry could eliminate its deadhead miles, trucks would spend less time on the roads, using less fuel and cutting down on emissions.

The Facts of the Matter: Deadhead Miles and the Trucking Industry

In a 700 billion dollar industry that moves 70% of all goods in the United States, there is little room for inefficiency. Class 8 trucks log over 130 billion miles a year, with nearly 20 billion of those considered deadhead miles. The trucking industry accounts for 12.8% of all fuel purchased in the U.S., which translates to 17.5 billion gallons in 2014 alone. By eliminating deadhead miles, the industry would save over 2.5 billion gallons of fuel every year. A decrease in fuel use and emissions will in turn reduce air, water and land pollution, acid rain and ozone destruction.

Real-Time Shipment Tracking and Notifications Eliminate Deadhead Miles

Real-time shipment tracking sounds pretty “Big Brother,” right? Well it’s not, in fact, real-time shipment tracking is one of the most powerful tools available to the industry, for shippers, carriers and the environment. Using GPS technology, logistics platforms are able to send carriers local jobs instantly, eliminating time usually spent at loadboards. When carriers are able to find loads via location instead of traveling back with an empty trailer, shippers receive better rates, drivers don’t have to waste time, extra trips are eliminated and the entire process is streamlined.

Fleet Management Makes For Better Business Decisions

Knowledge is power. It’s an age-old adage for a reason. When dispatchers and owners know exactly what’s going on with their drivers, via tracking, open communication platforms, instant e-document transfers and load organization tools, they are able to make better and more informed business decisions.

So What Does Logistics Technology Mean For the Environment?

With a growing number people in the industry transitioning to technology based platforms, the overall efficiency of the industry is poised to skyrocket in the coming years.Our goal is to bring the excess capacity to market and eliminate the billions of deadhead miles traveled every year. With an increase in efficiency, there will be a decrease in traffic, emission, safety and economic concerns. 

 

Motor Carriers: Check Out Inputs on Raising the Minimum For Liability Insurances, Who do you Agree With?

A little over 2,000 people went to the FMCSA website to give their input on whether the minimum liability insurance should be raised. Motor Carriers currently have to comply with the $750,000 minimum liability insurance. Both sides were debated and made fair points. For said points go to CCJ>>

For further details on what Owner Operators are saying go to Overdrive>> 

Motor Carriers: How To Retain Drivers and Attract New Gen-Drivers

During the 2015 recruitment and retention conference the TCA chairman discussed current effective strategies among motor carriers to retain drivers and attract the new generation driver. “The carriers who are most responsive to change will be the ones that survive”

Current Effective Strategies Among Motor Carriers

-“Work more with customers on length of haul” to fit drivers home needs.

-Work with sales to find “driver-friendly freight” where detention is ideally not an issue.

-“Pay Dividends” for recruitment & retention efforts.

-Rebranding to attract the new generation driver.


CCJ>>