LM Viewpoint: Cure for the common capacity headache?

The growing driver shortage, capacity imbalances, federal government regulations, meteoric e-commerce growth and overall robust economic conditions are all wreaking havoc on ground transportation costs and causing multiple pain points for nearly everyone moving freight domestically or internationally.

Transportation in the News

U.S. West Coast ports warned about “complacency”
Logisticians, carriers fret over U.S. economy’s future
U.S.-bound shipments trend down in June, reports Panjiva
U.S. rail carload and intermodal volumes dip for week ending July 6, says AAR
A. Duie Pyle opens up Maine-based integrated logistics center
More Transportation News

Transportation Resource

5 Levels of Autonomous Dispatch and Routing
Download this paper for an overview of Autonomous Dispatch and Routing, and learn how increasing levels of automation support and scale dispatching capabilities and create additional business opportunities.
All Resources
By ·

Today, this tightening logistics market requires more creative thinking, innovation and collaboration on the part of shippers, carriers and third-party logistics (3PL) providers—and according to nearly all volume forecasts, the pressure shippers are feeling is not going to ease up any time soon. 

With that in mind, Logistics Management offers two expert roundtables this month designed to offer insight into transportation services markets that—if leveraged and optimized—can help shippers alter their game plan and alleviate some of the stress that has been mounting in their networks over the past few years. 

Over the 15 years that I have worked on Logistics Management, I’ve watched the rail/intermodal evolution with much interest, as those markets invested heavily to solve infrastructure challenges and worked feverishly to improve service and add supplemental technology to keep pace with modern demands. 

Our group news editor Jeff Berman has gathered three of the nation’s foremost experts in the rail/intermodal sectors to help put their progress into perspective and offer practical advice for shippers to get the most out of these services.

According to Berman, the panelists in our 8th Annual Rail/Intermodal Roundtable agree that these markets have made great strides, and in many cases are now at the same table as the traditionally more responsive and flexible modes. However, today’s environment has ushered in challenges that may hinder their pace.

“Volumes in carload and intermodal are certainly strong and steady,” says Berman, “but there have been a few service issues over the past several months and carload volumes have declined in key commodity areas. So while demand is solid, our panel believes that there’s still plenty of work to be done on the rails to help shippers fill what’s now a massive capacity need.”

According to executive editor Patrick Burnson, one of the central themes of the “3PL Value Creation/North America Summit 2018,” Armstrong & Associates’ conference that convenes this month in Chicago, will focus on how 3PLs can help shippers better streamline their freight networks and gain the capacity, technology support and appropriate service levels that will keep them competitive in this constrained era.

Starting on page 42, Burnson has pulled together four of the conference’s key speakers who share the common message that shippers now, more than ever, need to forego rate bashing, open up their operations and become more collaborative—or have freight left on the docks as a result of sitting idle.

“For years we’ve used our pages to show how important shipper/3PL partnerships would become in the modern age,” says Burnson, “so much, in fact, that it probably began to sound banal. But here we are, in one of the tightest environments shippers have ever had to navigate, and our panel contends that shipper/3PL collaboration may now be the only path to long-term success.” 

About the Author

Michael Levans, Group Editorial Director
Michael Levans is Group Editorial Director of American Truck Media’s Supply Chain Group of publications and websites including Logistics Management, Supply Chain Management Review, Modern Materials Handling, and Material Handling Product News. He’s a 23-year publishing veteran who started out at the Pittsburgh Press as a business reporter and has spent the last 17 years in the business-to-business press. He’s been covering the logistics and supply chain markets for the past seven years. You can reach him at [ protected]

Subscribe to Logistics Management Magazine!

Subscribe today. It's FREE!
Get timely insider information that you can use to better manage your entire logistics operation.

Article Topics

Railroad Freight · Viewpoint · All Topics
Latest Whitepaper
Rules of Origin Really Do Rule
Inputs Make the Outputs: How Rules of Origin Really Do Rule
Download Today!
From the July 2019 Logistics Management Magazine
While trade tensions with China have already disrupted many U.S. supply chains, analysts suggest that a recalibration of shipping and sourcing destinations is long overdue. Emerging markets might finally live up to their potential and keep globalization on track.
2019 State of Logistics: Third-party logistics (3PL) providers
2019 State of Logistics: Air cargo
View More From this Issue
Subscribe to Our Email Newsletter
Sign up today to receive our FREE, weekly newsletter!
Latest Webcast
Leveraging 3PLs for Future Shipper Gains
In this webcast, Evan Armstrong, president of Armstrong & Associates offers logistics and supply chain managers the industry’s most comprehensive overview of the state of domestic and global third-party logistics arena.
Register Today!
State of Logistics in 2019: What’s next?
Tight capacity, high rates, rapid e-commerce growth and a booming economy fueled an 11.45% rise in...
Got labor? How supply chain companies are recruiting talent during a labor crunch
How are companies faring in the race to recruit and train high-level supply chain talent in a market...

35th Annual Salary Survey: Compensation matters more than ever
While job satisfaction remains the primary reason for today’s logistics managers to stay with one...
2019 Rate Outlook: Pressure Builds
In 2019, the world economy will enter a third straight year of broad-based growth, but many...

Написать текст