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.
Polar Vortex can disrupt logistics movement pushing up freight rates due to a shortage of trucks and drivers. Shipments may be delayed either due to rerouting away from snow-blocked highways or, being detained due to traffic bottlenecks. Multi-modal transport via railroads and ports are also affected.
Here we are in conversation with Mr. Alok Gautam, the Country Logistics Leader at Dow Chemicals. He is an industry veteran with more than two decades of experience in the Chemicals and Oil & Gas industry. He is celebrated as a change maker and a man of keen intellect driving transformations across the industry.
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.
Reduce your logistics management costs and increase overall efficiency by tracking drivers and their behavior in real-time. Industries, especially those with sensitive cargo and shipments, focus on tracking the behavior of their drivers to ensure service level agreement (SLA) compliance.
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.
We now stand at the forefront of the optimization revolution. Never has sweeping transformational changes benefited multiple industries more than right now. GST holds up the promise of total realignment and restructuring of how logistics movement happens across the nation. There would some resistance from some companies, as many are set in the way they have been doing things over a period and are averse to any sudden change.
Technology can be the springboard for your resource planning. You can use schedule planning and routing software to automate logistics movement in your company. Such solutions have the potential to bring down logistics and transportation costs, whether owned or leased. Efficient fleet management can boost your resource utilization, productivity, and profitability.
Remember the viral video of Travis Kalanick from earlier this year where he is berating an Uber driver to take ownership of his own problem. Well we all know that video as the start of the derailment of Uber’s public relations. It’s easy to now imagine the company as being self-centered and culturally egoistic.