According to the American Trucking Associations, freight tonnage hauled by trucks would increase by 27% (between 2016 and 2027). With global retail sales to touch $27 trillion by 2020, it just adds to the problems of high volume and restricted resources. Most of these companies would win or lose based on how they optimize their last mile deliveries.
Know where your drivers are at all times. A trucker was lost in snow-covered woods in Oregon for four days when the wrong address was plugged into the GPS. He managed to survive and walk back to more populated areas when his truck got stuck on small roads.
We saw last mile delivery being used as the key input in all omnichannel strategies. We saw localization in distribution strategies centered around making last mile delivery more effective. We also saw machine learning being implemented successfully in logistics and field workforce planning. These trends would be the greatest influencers in 2018 for logistics and field workforce management.
The U.S. government shut down at midnight on Friday, 19th January, 2018, after Democrats and Republicans, locked in a bitter dispute over immigration and border security, failed to agree on a last-minute deal to fund its operations. Democratic leaders wanted to include protections from deportation for about 700,000 undocumented immigrants who arrived in the United States as children.
It is time our industry stopped chasing Uberization and created an Airbnb model. In trucking, Uberization is still transactional brokerage. There are key differences in the personal transport versus the freight market. What we need is a pay-per-day model that allows for short-term dedicated capacity, rather than long term dedicated contracts.
The Phase 2 (Mandatory Implementation) of ELDs began on the 18th of Dec 2017. US Department of Transport is mandating that drivers be on duty for a fixed set of hours (60 hours in 7 days, or 70 hours in 8 days; based on the breaks taken in between). There are multiple constraints was total hours of driving.
Jack Ma inaugurated the world’s first Digital Free Trade Zone in Malaysia to boost e-commerce and small to medium size enterprises (SMEs) in Southeast Asia. Considering Malaysia’s proclivity in the Asian region, This Digital Free Trade Zone (DFTZ) would act as a perfect platform for physical and virtual business set-ups to leverage the recent boom of online businesses. Malaysia’s DFTZ is set to handle more than $65 billion worth of goods at full functionality.
In a logistically efficient utopia, your company would be able to fulfill all client and customer desires up to perfection while delivering the complete set of created value right from the ideation to execution. Transportation management system, handled through new-age tracking and analytics, can boost your market share and customer retention within a single quarter.
Consider the transportation industry. Transportation is no longer a support function, it is a necessity. The past year saw the highest amount of vehicle sales in most developed nations. The United States had more than 17.5 million car sales in 2016. Consumer movement is catching up with logistics transportation in some places and outperforming them in other places.
Morgan Stanley predicts that 30% of Microsoft revenue would be purely from its cloud products by 2018. Moreover, Microsoft predicts that the revenue from their new-cloud licensing would be up to 1.8 times the revenue from non-cloud licensing. Technology Business Research (TBR) predicts that the global revenue from the cloud computing platform would be $167 Billion.