Category: Newbies

Innovative start-ups are capitalizing on the high number of transactions and large amounts of data being handled and generated by logistics players to develop an expanding range of technology-driven solutions

Digital freight startups use technology to streamline the process of connecting truckers with shippers looking to move cargo. Such ventures drew more than $2 billion in investor backing between 2011 and 2020,
The growing sector of technology-focused upstarts has prompted traditional freight brokers to invest billions in technology to automate their operations.
Two of the most prominent digital load-matching startups say they are sticking with their plans to use their technology to grow organically, even as rival Uber Freight shifts gears with a big acquisition to speed up its path to profits.

The freight unit of Uber Technologies Inc. announced last month it is buying logistics service provider Transplace in a $2.25 billion deal. The acquisition comes as digital freight startups are looking to expand their market share and add services beyond transactional load-matching tools, while big transport companies are weighing acquisitions and hustling to scale up their own technology.

Established logistics providers have a window right now to capitalize on the energy and agility of digital startups.

Growth + Change = Opportunity! 

Amazon has spent years building one of the world’s most efficient and optimised supply chains.  It means that on top of its approximately 40 per cent market share of US ecommerce, Amazon stands to gain an even greater understanding of the shopping habits of global consumers.

The e-commerce giant is focused “squarely on adding capacity to meet the current high customer demand,” Director of Investor Relations Dave Fildes.

Amazon doubled down on its commitment to expand its logistics and fulfillment network on its latest earnings call. 

Amazon’s effort to develop an insourced supply chain extends back years with efforts to build out its fleet, develop air infrastructure, hiring employees to staff its fulfillment network and get closer to consumers.

As Amazon adds sort centers and delivery stations, it gets closer to more of the U.S. population. In 2018, 51% of the U.S. population was within a 60-minute drive of an Amazon delivery station, which grew to 77% of the U.S. population by 2021, according to the analysis by UBS.

Even with the  investments, Amazon’s one-day delivery service has not yet returned to pre-pandemic levels in the United States, Amazon is also playing catchup to Walmart and Target, which have store networks that can reach 99% and 94% of the U.S. within 60 minutes, respectively.

Growth + Change = Opportunity!

The White House and bipartisan lawmakers have agreed on a package that would provide funding for roads, bridges and other physical infrastructure.

The deal calls for roughly $1 trillion in infrastructure spending. More than half is “new” money, including some $40 billion in spending to fix bridges, $39 billion to mass transit, $55 billion for water infrastructure. The other $500 billion or so is for renewal of the Fixing America’s Surface Transportation Act (FAST Act) that expires Sept. 30.

Trucking interests and other business groups hailed the compromise as an example of Washington finally able to “get things done.”

Austen Jensen, senior vice president of government affairs at the Retail Industry Leaders Association (RILA), said the pandemic demonstrated to Americans how critically important retail supply chains are to ensuring families have access to the products they need when they need them.

“Our supply chains rely heavily on our nation’s infrastructure, which is why the bipartisan deal announced today is critically important,” Jensen said in a statement.

“Retailers urge policy makers to seize this opportunity to invest in the long-term viability and modernization of our ports, railways, and highways to reduce congestion and the likelihood of future supply chain disruptions,” he added. “Today’s announcement demonstrates that bipartisanship on significant issues is achievable, and retailers applaud the leaders who were instrumental in negotiating a path forward.”

Growth + Change = Opportunity!

Over the last year, DAT saw a very tight positive correlation between loaded import container volumes and load board load posts on the dry van spot market at all of the major U.S. ports.

It has been well documented that the huge hike in imported goods is being driven by American consumers eager to spend savings from travel, services and entertainment accumulated during lockdown.

The head of one of the largest U.S. gateways for trade said robust demand for imported goods likely will be sustained into 2022 as companies scramble to rebuild stockpiles during an uneven rebound from the pandemic.

Container ports from Seattle to Charleston, S.C., have posted record-high volumes this year, and many are so swamped with cargo that ships are forced into costly delays waiting for space to dock. The capacity strains have pushed ocean-freight rates to levels four times higher than they were before the pandemic.

At the top 10 ports, which accounts for 86% of total monthly container import volume in June, volumes were up 30% this year and down 12% this month. However, load posts increased 12% and spot rates increased by 5%. It’s important to note that part of the record May import volume will have been shipped by road in June given the length of delays being experienced at both Los Angeles ports.

Growth + Change = Opportunity!

Market Reports recently broadcasted a new study in its database that highlights the in-depth market analysis with future prospects of Freight Broker market.

Some of the key players mentioned in this research are C.H. Robinson, Expeditors, Landstar System, TQL, Coyote Logistics, XPO Logistics, Yusen Logistics, Echo Global Logistics, JB Hunt Transport, Worldwide Express, Hub Group, GlobalTranz Enterprises, Allen Lund, Transplace, Werner Logistics.

The boost in the global digital freight brokerage market is due to the rise in usage of smartphones, improved wireless connectivity, and advantages given by digital platforms such as accuracy, better efficiency, less time consuming, reduced costs, and permits transparent business. 

Some of the factors that boost the rising penetration of smartphones & tablets and the integration of technology and growth in licensed brokers are expected to spur the demand over the forecast period. Moreover, the huge capital investments required for developing such software and to overcome the logistic challenges are anticipated to hamper the growth of the market.

The tech-enabled services have offered prominent opportunities for freight brokers to provide transformational value to the market.

The increasing demand for shipping transportation across the globe is expected to boost the market in the forecasting period.

Growth + Change = Opportunity!

The past two decades have brought new tools, formats, technologies and content to online learning.
Options in online learning are continually increasing with more people than ever choosing to further their education through eLearning.
Since around 2010, smartphones have offered even more possibilities, enabling people to take their learning on the go: while traveling, on public transport, in a waiting room, or at home.
In-person classes obviously require attendance; they demand a fixed appointment, a specific date to note in our diary, and a person expecting us in a physical location.

There are several important differences between in-person training and online learning that those who are looking to implement one for their employees should know.

1. In-Person Training Provides More Hands-On Experience
2. Online Training Offers Greater Flexibility
3. In-Person Training Allows Several Employees to Learn at Same Pace
4. Online Training Features Greater Program Variety
5. In-Person Training Provides Greater Face to Face Interaction
6. Online Training is Often Less Expensive

Blended Learning combines self-directed learning (often online) and interaction with a coach or teacher (face-to-face or online).The idea of blended learning is simple: learners use both online and instructor-led training.
Online and offline methods should not be seen as competing but rather as complementing one another.

Growth + Change = Opportunity!

Serving as Amazon’s freight transportation management system, Amazon Relay allows owner-operators and carriers to work directly with Amazon.

Relay connects small freight carriers straight to available loads to help them quickly grow their businesses. Relay equips trucking companies, fleet owners, and their drivers with everything needed to book and haul loads.Relay has helped thousands of small and mid-sized carriers expand their business through daily access to thousands of loads.

Carriers can use Relay to assign work to drivers, manage rosters, review payments, and analyze performance. Additionally, carriers can post empty capacity with date, time, destination, and price preferences. Relay will automatically assign matching work as it becomes available, so they can invest time growing their business rather than filling out paperwork.

Carriers can be connected to loads from the company’s expansive network of freight. Fleet owners, carriers and drivers are given all the tools they need to start booking and hauling loads right away.

Approved carriers can take advantage of Amazon’s freight offering, giving them access to more than 30,000 spot loads daily through the Amazon load board.

Instead of dealing with emails, phone calls and price haggling, carriers have one central platform to handle the entire process:

Check-in

Check-out

Commercial navigation

Detailed load information

In order to haul freight for Amazon through Relay, carriers will need to apply through the self-service onboarding portal. Once approved, carriers can start using the load board to find, book and assign work.

Growth + Change = Opportunity!

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The past few years have been turbulent ones for the logistics industry. In 2020, freight logistics and supply chain resilience was tested again and again.

The pandemic interrupted many global supply chains, which were forced into stops and starts over the past year. Shippers and carriers had to continuously change plans as the means of logistics they relied on strained and sometimes broke.

After the sluggish pandemic economy of 2020, government stimulus, low-interest rates, and increased consumer spending are spurring growth in 2021.

As a result of this unpredictable, pandemic-driven year, U.S. business logistics costs fell 4.0% to $1.56 trillion, or 7.4% of 2020’s $20.94 trillion U.S. gross domestic product (GDP), according to the 32nd Annual Council of Supply Chain Management Professionals (CSCMP) State of Logistics Report.

Motor carrier costs dropped 0.6% in 2020. While full truckload carriers dropped 1.6% last year and less-than-truckload carrier costs were down 5%, private and dedicated fleets saw a 1.5% increase in costs during 2020. Parcel delivery costs jumped 24.4% last year, driven by the surge in ecommerce and changes in consumer behavior.

As consumer behavior changes global and domestic supply chains, fleets are forced to adapt to the ongoing pandemic and other disruptions continuously. Supply chains are being reset and reconfigured as manufacturers shift their sources and consumers shift their spending habits.

Logisticians proved themselves capable of quickly abandoning old plans, solving new problems, and handling disruptions. This ability to adapt will serve logistics professionals well in the future, as the report predicts that the pandemic’s aftereffects and “new surprises” will force logistics professionals to continually change their plans.

Growth + Change = Opportunity!

Freight is a dynamic and rewarding industry. One way to get your start in the shipping industry is to become a truck dispatcher.

Dispatchers play a key role in getting trucks out to collect and deliver loads for businesses shipping goods. 

You need to consider everything from how to navigate a load board and create an effective website to how to negotiate contracts and find and work with carriers.

Truck dispatchers are usually employed directly by a shipping company or an owner-operator. They could be employed by a freight company to coordinate a set portfolio of shipping lanes. Some truck dispatchers work freelance for multiple trucking companies as independent freight dispatchers.

The best truck dispatchers have a mix of interpersonal and analytical skills that help them solve problems in every section of the supply chain.

Dispatchers need to have a good sense of how all the pieces of the puzzle fit in order to quickly respond to changes or customer requests.

To become a freight dispatcher you  need:

Education and training.

Get industry experience.

Register your business.

Subscribe to a quality load board.

Running a successful truck dispatcher business is hard work, like so many of the jobs in the freight industry, dispatching can be lucrative. It takes a keen eye for detail and an organized mind to be successful in the role. If you have those qualities, this might be a career worth pursuing.

Growth + Change = Opportunity! 

Early in the game, brokers can manage their handful of loads manually. But as their network grows, they’ll need to reinvest the initial profit into technologies to scale their business. The specialized software will systematize the shipment process, improve the overall brokerage service offering, and ultimately organize operations a whole lot better.

To ensure profitability, they must define the most efficient transport option that benefits their own business while satisfying customer requirements. Doing this involves a lot of challenges.

Tallgrass Freight Co. (TGF) introduced an innovative, new CRM designed for freight experts, by freight experts. This groundbreaking platform empowers freight agents to earn more, work with greater efficiency and deliver the strongest customer experience. An industry disruptor, the Tallgrass CRM is poised to make a lasting impact on the logistics ecosystem.

While most companies utilize an off-the-shelf CRM, the Tallgrass Freight CRM was designed with a freight broker’s unique needs in mind. 

Every feature was created to streamline the logistics workflow. The system includes an intuitive shipment booking system, agent commissions data, a detailed carrier information page and easy accessibility to training. 

If you have a freight brokerage business and decide to purchase software instead of building it from scratch, you have a wide choice of solutions. As they all have similar functionality, a good practice is to select options within your budget range and then trial each of them. Make sure the system is highly optimized because speed is everything in this business.

Growth + Change = Opportunity!