Christian van Eeden

Do you know how much dock workers at ports earn? You might be surprised! The reporting of more disruption at the Port of Montreal [sorry, friends in logistics and supply chain!] led me to wonder what the union strikes are all about. The latest 'final' deal [rejected by the union] would leave the average dock worker on $143,790. Out of curiosity, some research highlighted the huge variance in wages across locations in North America. It seems wages of ~$81,000 are typical for an experienced worker, AND additional benefits and overtime (and location) can make this considerably higher. How much higher? At high-cost locations, such as New York and New Jersey, dock workers can earn ~$350,000 a year. In lower-cost regions, average earnings are $170,000 - $200,000. No wonder the ports want to invest in more automation and streamlining! #logistics #supplychain #supplychainmanagement #shipping

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This year’s much-anticipated – and possibly extreme – air cargo peak season rush has still not materialized, while concerns grow over a January ILA strike as renewed negotiations quickly collapsed last week.  Here are the key insights from this week’s Freightos Weekly Update: Operations resumed at locked out Canadian container ports on both coasts last week as the government ordered the ports reopened and the parties to binding arbitration. The union in British Columbia plans to file a challenge to the order. Post-peak season transpacific ocean rates have leveled off at about $5,400/FEU to both coasts – well above the previous lows for the year in April – as shippers may be frontloading ahead of possible tariff increases next year and an ILA strike at East Coast and Gulf ports if they don’t approve a new contract by January 15th. ILA -USMX negotiations restarted last week – for the first time since June – and quickly collapsed as the sides remain far apart on the role automation will play at these ports, adding to concerns over a January strike.  Asia - Europe ocean rates – which had fallen back to April levels –  increased by 30% to start the month on GRIs and have stayed elevated. Some carriers also announced December GRIs to push rates to $6,000/FEU when the early Lunar New Year rush may begin. Middle East - N. America air cargo rates have climbed 22% in the last three weeks to $3.78/kg, a high for the year, possibly on a peak season bump, including some shippers opting for sea-air instead of direct Far East air shipments.  China - N. America air rates have increased 17% to $7.00/kg – a high for the year – since late October. But many expected prices to spike much higher by now as e-commerce volumes continue to take up capacity. More carriers and forwarders are skeptical this surge will materialize as many shippers adjusted and planned ahead to avoid a chaotic peak season. Transatlantic air rates increased 45% since mid-October to $2.60/kg, their highest level since early 2023, reflecting a reduction in capacity as carriers introduced winter passenger schedules as well as some shift of freighter capacity to ex-Asia routes. You can read this week's full update by following the link in the first comment below.

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Strike action has threatened to erupt at both Canada’s ports and rail networks, leaving the Canadian Industrial Relations Board (CIRB) with its hands full.  A final CIRB decision on whether the Canadian rail service can be deemed essential is still pending. If the decision renders it not essential, a rail strike will take place across Canada’s network at 72 hours’ notice.  It's a good time to be sourcing alternative trade routes and predictive pricing in the event of a longer strike https://lnkd.in/gu5Knxgx

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“It has become increasingly clear that Amazon is prioritizing profitability over driver safety and is shifting increased financial burdens onto DSPs" Two DSPs in Orlando are shutting down. They feel that recent Amazon changes had them running at a loss with no opportunity to recover. Amazon knows they are having challenges with route planning. In fact, it's one of their biggest issues (there is such a thing as too much volume). "We continue to invest in route design and technology that accounts for the complexities drivers face on the road, such as the type of delivery location, walking distance, the size and weight of packages, and environmental factors like weather" Here's the question then. If Amazon, with all of their density and technology is struggling with balance last mile execution, what do you think is the reality for regional players with far less resources? https://lnkd.in/eDwMbVMw

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The carriers are going to "get, while the getting is good." Nervousness about longer transits and labor volatility on the east coast and in Canada has led to early ordered cargo which is now clashing with high blank sailings, congested ports in China, and equipment shortages. Most of the carriers are admitting that this is a short-term phenomenon as the barrage of new vessels keep coming. Out of the 10% increase in capacity coming, only 3% has been delivered to date. Little comfort to the shippers and importers getting hammered with spot rates that remind the market hauntingly of the pandemic. Empty words when some customers and a lot of forwarders have their allocations cut just as their new contracts become effective. Or maybe "ineffective" is a better word. #spotrates #spotmarket #carriers #oceanshipping #oceanfreight #contracts #allocations #capacity #newbuilds

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Finally, a post on using AI (specifically LLMs) in supply chain management that actually makes sense. The article by David Simchi-Levi and his coauthors describes how LLMs can be used to interact with an optimization-based planning model, rather than replace it. LLMs are fantastic at language, and represents a significant new tool for allowing people to interact with computers. David's HBR article identifies two important uses of LLMs in the context of computer models: inputs, and outputs. For outputs, LLMs can help with scanning the reams of data coming out of a model and answering on-demand questions without the need for creating expensive reports. For inputs, the article describes how an LLM allows people to make minor edits to the inputs to a model, such as forcing supplies to be met from a particular source, or editing costs as well as putting bonus or penalties on specific activities, changes which normally require specialized forms or the assistance of an analyst. The article does not provide much detail on the specifics of how the LLM was trained, and the programming needed to allow a user to make changes to the inputs of a model using the LLM, but these represents the types of functions that LLMs were designed for (in addition, the article is describing a real project involving the allocation of servers at Microsoft, so this is not just smoke and hand-waving). Nice work!

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✈️ Potential Cargo Disruptions Due to Air Canada Strike Air Canada has warned of significant cargo service disruptions if the looming strike by maintenance and technical staff proceeds. The potential strike, set to begin on September 22, 2024, could severely impact freight operations, especially for businesses dependent on Air Canada's cargo routes. With the strike threatening to halt maintenance operations, delays, and interruptions in the supply chain could lead to higher costs and extended shipping times across various industries. To ensure your logistics remain unaffected, connect with our team at @Forceget for expert strategies and solutions. 💼 https://lnkd.in/drrWiXci ☎️ Stay informed and prepared as we navigate these potential challenges together in global logistics. news source: https://lnkd.in/dSHUJFy6

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“Source” is Optimal Dynamics’ newest product…. It plans into an uncertain future to find the best loads that are look most likely to fit into a carrier’s network, well before they even know where their drivers are going to be. When I started my career, I was hyper focused on assigning drivers. It was only much later that I realized that the most important problem was choosing the best loads, a decision that often has to be made 3-7 days into the future. But carriers also have to provide high service to their A-list shippers, who exploit the relationship to make commitments only a day or two into the future. Carriers need to balance making commitments to spot loads in the future while still respecting their main service commitments. Welcome to revenue management in the truckload industry!

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🚨 How Are You Preparing for #Holiday #Shipping Uncertainty? Let’s talk solutions! With no strike notification yet from Canada Post / Postes Canada, the future of holiday shipping is still uncertain. As an #eCommerce business, how are you preparing to keep deliveries reliable during peak season? At #Asendia, we provide: 🎄In-House Customs Processing for hassle-free clearance 🎄Efficient, Cost-Effective Shipping across #Canada to keep customers happy 🎄Reliable Delivery for peace of mind during high-demand periods Don’t wait until the last minute—plan ahead with Asendia to ensure your holiday shipments arrive on time, regardless of potential delays. What’s your top concern for #holiday shipping? Comment below to share your priorities, or reach out to explore how Asendia’s solutions can support your #Canadian #logistics! 👇 #Retailing #Fashion #Beauty #CrossBorder Shopify Woo BigCommerce Adobe Commerce NetSuite Avalara Zonos

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The new normal for supply chains seems to be chaos. With 25% tariffs on all imports from Canada and Mexico looming, do you have the right insights to manage through the uncertainty? RailState Borders can give you the real-time border intelligence to navigate the storm: 🚂 Shippers: Customized real-time alerts to proactively manage shipments, independent insights for leverage in negotiations, and the ability to respond faster than the competition. 📈 Traders & Investors: Instant insights into commodity movements help identify shifts in trade patterns, discover new opportunities, and evaluate company and sector risks. 🏛️ Government Agencies: Real-time insights on cross-border train and car movements support border enforcement and a clear understanding of trade flow impacts. In uncertain times, the right information can be your biggest asset. Learn how RailState Borders can help you maintain the upper hand. https://lnkd.in/eCJMyV4H

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After Billions In Infrastructure, Is How Delivery About To Die? 71% of GenZ Shoppers Are Now Using Parcel Lockers That's the stat from the most recent study by InPost. The use of parcel lockers in the UK is continuing rise. Convenience (36%), lower costs (19%) and speed (17%) are the top three reasons customers are choosing OOH (out of home). Security concerns (12%) were also an important consideration. With increased visibility and delivery certainty, are parcel lockers finally getting their time to shine? • Younger consumers spend more time out of the house. Lockers provide them with multiple addresses / pick up points to suit their lifestyle • The insanity of the housing markets around the world has left a lot of people living in areas they don't love, or in some type of shared accommodation. Lockers keep your packages just for you. • The locker networks are two way - meaning customers also benefit from being able to easily drop off returned items without a line • Lockers (in most places they are widely used), support C2C parcel deliveries Have you incorporated these options into your delivery network? What are you doing to increase the stickiness of your brand if a customer doesn't even see the delivery happen? How you package, what does into the box (or polybag) and how you communicate are fighting to take over the core of the eCommerce experience. https://lnkd.in/dZPuPxAi -------- ---------- ---------- ---------- ---------- Would your network find this interesting? Be the first to get it to their feed by commenting or sharing Interested in Deeper Dives right to your inbox 1x/wk 👇 Take 10 seconds to paste your email here: https://lnkd.in/dCsUAauR Want to submit a question for me to write about 👇 AMA: https://lnkd.in/e3RjBiJD

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Canada has joined the U.S. in enforcing stricter security measures on European air cargo shipments. As air freight companies adjust to these new regulations, there are growing concerns about delays, cost increases, and the complexity of compliance. Learn how these new rules will affect European exporters, logistics providers, and international supply chains—and what it means for the future of global air cargo operations: https://ow.ly/koNf50TyP7u #AirCargoSecurity #CanadaAirFreight #GlobalTradeImpact #LogisticsRegulations #SupplyChainChallenges #EuropeanAirCargo #FreightCompliance #AirFreightNews

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📢 Canada Post / Postes Canada Strike: What #Retailers Need to Know The ongoing #CanadaPost strike has raised significant concerns for #eCommerce businesses dependent on reliable #crossborder shipping. With Ottawa announcing it will not intervene in the labor dispute, the uncertainty looms large for U.S. retailers serving #Canadian customers. 🛒📦 At #Asendia USA, we understand the challenges this creates, especially during the busiest shopping season of the year. Our fully optimized Canadian delivery network is built to adapt to such disruptions, ensuring your packages reach their destination without compromise. What sets us apart? 📌End-to-end delivery solutions tailored to Canada 📬 📌In-house customs brokerage for seamless processing 🌍 📌Proactive support to keep your operations running smoothly 🔑 Now is the time to explore alternative shipping strategies and partner with providers who can navigate these challenges head-on. 🔗 Let’s connect and discuss how we can keep your deliveries moving: No delays, just satisfied customers. Inmail me today. https://lnkd.in/eS4GnUp2 #Fashion #Beauty #Logistics Shopify Woo BigCommerce Adobe Commerce NetSuite ShipStation ShipWorks ShippingEasy ShipEngine Easyship EasyPost ProShip, Inc. Avalara Zonos CBC News

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In C.H. Robinson's new consolidated freight market report, you can get the latest updates on the North America and global freight markets in every mode. Plus, learn more about how operational costs for carriers impact shippers, and what this means for you. #innovation #management https://bit.ly/3WLvCgy

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