IL Digital June2018
IL Digital June2018
IL Digital June2018
REPORT
CHEMICAL
LOGISTICS
THE PRICE OF SUCCESS
dsclogistics.com
“Parts is parts.”
Container
–Rob Hooper, CEO of Atlantic Logistics, costs are still
discussing how the logistics challenges of incredibly
domestic military and civilian shipments
are often comparable.
cheap; shipping
(See Combat Cargo, p. 62) a 40-ft. container from
the U.S. to Europe and back
costs about the same as storing
“Despite what they say when interviewed those goods at an Amazon FBA
by journalists, NGOs, or academics, the fulfillment center for one month.
majority of buyers choose not to pay more
for sustainable products when faced with — Freightos Baltic Indexes
the choice at the retail shelf. They generally
choose the cheaper product—even if it is
less environmentally sustainable than more
expensive options.” Vision and decisiveness
— Yossi Sheffi, author, The two most important
characteristics of a leader,
Balancing Green
according to Dan Curtis,
(See Clarifying the Business Case for
president, BNSF Logistics
Green Supply Chain Management, p. 38)
(See LeaderShip, p. 18)
INSIGHT INPRACTICE
8 CHECKING IN
GDPR: privacy, yes. Innovation, no? 20 Fresh, Fast, andTimCasual
READER PROFILE Miller: Serving It Up
10 GOOD QUESTION
What supply chain-disrupting Tim Miller, vice president of supply chain with
technology would you speed up? Smashburger, is focused on streamlining the supply
12 DIALOG chain and looking at the most effective way to get
The ongoing conversation. products to restaurants.
14 10 TIPS
Implementing blockchain
technology.
18 LEADERSHIP INDEPTH
38 Clarifying
BNSF Logistics’ Dan Curtis
talks strategy.
the Business Case for
30 SPONSORED
LOAD AND EXPEDITE
Green Supply Chain Management
Knowledge Base by Crane For most companies, sustainability is not a simple case of “profits vs.
Worldwide Logistics planet” but people looking for jobs and inexpensive goods vs. others
32 SPONSORED
who seek a pristine environment. Here’s how your supply chain can
SOLVED satisfy both motivations.
Partnering for Operational
Efficiency.................................32
Solution Generates Cost
45 75ChainGreen Supply
Partners
Savings....................................33
Inbound Logistics
34 IT MATTERS
Last-mile technology needs a
features its annual
radical rethink. G75—a carefully curated
list of 75 companies
36 CARRIER’S CORNER
4 ways to tell if your alcohol carrier that go above and
knows the hard stuff. beyond to ensure their
112 LAST MILE: THE BIONIC global supply chains
WAREHOUSE WORKER are sustainable, and
that their operations
are socially and
environmentally
friendly.
www.lynden.com | 1-888-596-3361
INFOCUS
1 INFO SNACKS
62 Combat Cargo: The Challenges of Military Logistics
If you really want to be all you can be, try moving difficult cargo into an
area with terrible infrastructure and hostile combatants.
INFO
96 SUPPLY CHAIN INSIGHTS
98 WEB_CITE CITY
104 IN BRIEF
108 CALENDAR
109 SUPPLY CHAIN SOLUTIONS
110 RESOURCE CENTER
Inbound Logistics (ISSN 0888-8493, USPS 703990) is mailed monthly to approximately 60,000 business professionals who buy, specify, or recommend logistics technology, transportation, and related
services, by Thomas Publishing Company LLC, 5 Penn Plaza, NY, NY 10001. José E. Andrade, co-chairman; Carl T. Holst-Knudsen, co-chairman. Periodicals postage paid at New York, NY, and additional mailing
offices. All rights reserved. The publisher accepts no responsibility for the validity of claims of any products or services described. No part of this publication may be reproduced or transmitted in any form or by
any electronic means, or stored in any information retrieval system, without permission from the publisher. POSTMASTER SEND ADDRESS CHANGES TO: Inbound Logistics, 5 Penn Plaza, New York, NY 10001
For more information, visit odfl.com or call 1-866-637-7333. *2017 Mastio & Co. National LTL Carrier Report
TRUCKING RESOURCES
Keep up to date with
Find a Trucking Company Trucking Request for
the very latest: bit.ly/ILTruck Proposal
bit.ly/ILMagPodcastPage Inbound Logistics’ Trucking Decision bit.ly/ILTruckingRFP
Support Tool allows you to select the
Facebook “f ” Logo CMYK / .eps Facebook “f ” Logo CMYK / .eps
facebook.com/InboundLogistics
Use this Trucking RFP/RFI to simplify
@ILMagazine service your transportation requires,
the tasks of creating a database of likely
generate a list of qualified motor carriers
linkedin.com/company/ partners, building your knowledge base,
with matching capabilities, and choose
inbound-logistics and preparing your transportation Request
companies to submit an RFP to.
youtube.com/user/InboundLogistics for Proposal list.
PROUDLY GREEN
WE’RE THE ONLY THING THAT SHOULD COME BETWEEN YOUR PRODUCTS AND YOUR CUSTOMERS™
866.775.5120 | www.performanceteam.net
TRUCKER 2017
I
DIGITAL DESIGN Amy Palmisano
f you spend too much time clearing privacy protection notices from your MANAGER [email protected]
email box, thank the General Data Protection Regulation (GDPR). But PUBLICATION MANAGER Sonia Casiano
[email protected]
what exactly is this regulation and how might it impact future supply CIRCULATION DIRECTOR Carolyn Smolin
GDPR is a new rule with the goal of protecting European Union residents’ PUBLISHING INTERN Charlotte Abate
personal data and adding privacy measures on web transactions that include SALES OFFICES
personal data–no matter where in the world that processing takes place. These PUBLISHER: Keith Biondo
new data privacy rules will negatively impact the development and use of 212-629-1560 • FAX: 212-629-1565
[email protected]
artificial intelligence in the EU and put European firms “at a competitive
WEST/MIDWEST/SOUTHWEST: Harold L. Leddy
disadvantage compared with their competitors in North America and Asia,” 847-446-8764 • FAX: 847-305-5890
says the Center for Data Innovation. [email protected]
Marshall Leddy
While the Center is concerned about competitiveness and AI advances, I’m 612-234-7436 • FAX: 847-305-5890
concerned about the full stop these new regulations may have on supply chain [email protected]
innovation. The regulations are described as chilling and ambiguous by many, SOUTHEAST: Gordon H. Harper
404-229-9691 • FAX: 404-355-2036
and impact all companies capturing EU personal data. The judicial overreach [email protected]
into areas outside the EU aside, GDPR’s vague nature should give pause to MIDWEST/ECONOMIC DEVELOPMENT: Joseph Biondo
any enterprise engaging in back-office, web, cloud-based operations. ICANN 516-578-8924
[email protected]
requires full personal details or won’t authorize DNS website credentials. Can
NORTHEAST: Rachael Sprinz
shady operators refuse to provide accurate domain details to ICANN now? 212-629-1560 • FAX: 212-629-1565
Here are more open questions about the rules: [email protected]
Article 22 says that companies must have a human review some AI-based MEXICO & LATAM: Guillermo Almazo
212-629-1560
machine activity. Does that render AI in e-commerce at risk in, say, voice [email protected]
ordering and other automated buying activities? What about blockchain pipes NATIONAL SALES ASSOCIATE: Nicole Mangray
that include personal data? 212-290-8757
[email protected]
Chapter 5 of the GDPR seemingly requires any company collecting EU
FREE SUBSCRIPTIONS
personal data to maintain data centers inside the EU. Will you need an
www.inboundlogistics.com/free
additional EU data center now?
Inbound Logistics supports sustainable best
Most experts agree the GDPR is complex, and conflicts with other EU practices. Our mission is rooted in helping companies
match demand to supply, eliminating waste from
regulations. And lack of compliance can draw a fine of four percent of a the supply chain. This magazine is printed on paper
sourced from fast growth renewable timber.
company’s global sales–or 20 million euros, whichever is greater. Inbound Logistics welcomes comments and submissions. Email us at
The quest to protect consumer privacy and data is admirable. But, [email protected]; call (212) 629-1560; or mail 5 Penn
Plaza, NY, NY 10001. For advertising or subscription information, call
unintended consequences alert here. GDPR vagueness needs to be clarified, (212) 629-1560, or e-mail [email protected]. Inbound
Logistics is distributed without cost to those qualified in North America.
Interested readers may subscribe online at bit.ly/get_il. Subscription
with carve outs for the WHOIS domain database, AI, IoT data, and blockchain price to others: in North America: $95 per year. Foreign subscriptions:
$229. Single copy price: No. Amer. $10, foreign $19, back issues $15.
operations. Let’s not protect privacy at the expense of supply chain and
technological innovation. n
[email protected] · 877-744-3818
© 1998 - 2017 R.R. Donnelley & Sons Company, all rights reserved. RR DONNELLEY, RRD, RRD (Stylized) and
COMMUNICATIONS ENABLED are trade-marks or registered trademarks of R. R. Donnelley & Sons Company.
All other trademarks are the property of R. R. Donnelley or their respective owners.
Managed
Transportation
Network Optimization Real-Time Tracking
TO BRING ALL OF THE PIECES OF YOUR SUPPLY CHAIN TOGETHER, CALL (866) 782-6669 OR E-MAIL [email protected].
WWW.RUAN.COM
DIALOG
linkedin.com/company/inbound-logistics
facebook.com/InboundLogistics
twitter.com/ILMagazine
youtube.com/user/InboundLogistics
THE ONGOING CONVERSATION www.inboundlogistics.com/cms/podcast
@ILMagazine Drop us a line:
[email protected]
PARCELforum.com
TRANSPORTATION PARTNER GLOBAL LOGISTICS TECHNOLOGY PARTNER MATERIAL HANDLING PARTNERS SHIPPING SYSTEMS TECHNOLOGY PARTNER
REGIONAL CARRIER PARTNER TRANSPORTATION MANAGEMENT PARTNER AUDIT & INTELLIGENCE TECHNOLOGY PARTNER PUBLICATION PARTNER
THOMASTHOMAS
is a trademark
is a trademark
of Thomas
ofPublishing
Thomas Publishing
CompanyCompany
LLC LLC
Search
Search
industriously
industriously
at at
Thomasnet.com
Thomasnet.com®
. ®.
Get the
Getlatest
the latest
industry
industry
updates.
updates.
SignSign
up atup at Thomasnet.com/updates
Thomasnet.com/updates
Dan Curtis
President
BNSF Logistics
I
N 2017, OUR TEAM AT SMASHBURGER FOCUSED ON THE
cost of goods sold. We looked at every aspect of the products we
purchased–from commodities, to recipes, to our supplier base.
And we got creative.
D OTS
MAB OTFR
ORAD SDA
CASESTACKCONSOLIDATION.COM
NOTED
The Supply Chain In Brief
SEALED DEALS
Sports nutrition bar maker Active Nutrition International GOOD WORKS
GmbH launched e-commerce channels in Germany and Transervice Logistics
Austria using SaaS solutions helped The Book Fairies,
provider Descartes Systems a Long Island, New
Group’s pixi* WMS to support York-based non-profit
order fulfillment for its organization, battle
PowerBar and Dymatize sports illiteracy by collecting
nutrition brands. and donating more than
750 books, CDs, DVDs,
Mitsubishi Electric, manufacturer and marketer of electric and magazines to be
and electronic equipment, renewed its agreement with distributed to libraries, schools, and teachers in need
Yusen Logistics UK as its warehouse provider to continue throughout metropolitan New York. Transervice
to develop a bespoke logistics service. Yusen’s solution now Logistics employees filled 20 banker’s boxes full of
includes all inbound logistics, from palletized and handball donations to help the organization.
containers to picking product for dispatch, as well as
reverse logistics.
UP THE CHAIN
CASK Industries, a full-service
manufacturer and wholesale supplier John Leach was named chief
of wall tile, ceiling fans, vinyl flooring, executive officer by 3PL FLS
window coverings, door hardware, Transportation Services
and countertops, selected and Limited. Leach joins FLS from
deployed the Cloud Logistics TMS to Coyote Logistics, where he
manage transportation. CASK Industries shipped with the was chief commercial officer.
system within days of implementation.
m&a
Computer monitor and display maker iiyama entered into AFF Global Logistics, a domestic ocean
a long-term partnership with logistics service provider freight forwarder specializing in less-than-
GEODIS. GEODIS takes care of all customs handling, containerload freight shipments, acquired
the transport of products from Rotterdam to Venlo, The freight forwarder Alaskan Express. The deal
Netherlands, storage and sales order processing at the furthers AFF’s goal to strengthen its resources
GEODIS Campus in Venlo, and daily outbound transport to and deliver best-in-class capabilities, technology, and
final customers. services to the Alaska market.
SHOVEL READY
recognition
Dermody Properties, a logistics real estate Supply chain solutions provider NFI received
developer and manager, broke ground on a new Lowe’s’ 2017 Transportation Partnership Award
industrial park in Woodinville, Washington, east and was named its North Dedicated Carrier of
of Seattle. Known as LogistiCenter at Woodinville, the Year. Providing dedicated fleet solutions to the
the park will consist of two buildings totaling home improvement and appliance retailer, NFI was
409,500 square feet. LogistiCenter at Woodinville recognized for its commitment and support.
will feature a total of 92 dock doors, eight
grade-level doors, and a 32-foot clear height. Werner Enterprises, a transportation and logistics
Construction is expected to be complete in the provider, received the Partner of the Year Award
fourth quarter of 2018. The facility’s location and for 2017 from Dollar General. The retailer selected
truck maneuverability will complement distribution the carrier based on utilization, highest on-time
operations. service rates, and the best partnership.
Supply Chain Performance Through big data, we now build tools that disrupt some of
the traditional analyst’s functions that we’ve had in place
With Big Data for decades. In what formally took weeks and months for
an analyst to determine, we are able to use the underlying
IS MORE ALWAYS BETTER? When it comes to a shipper’s data and various software tools to give us decision-making
supply chain and big data, more data doesn’t necessarily information in minutes.
equate to better productivity. How you leverage and utilize
the influx of data is what’s key. Andy Moses, Penske Logistics Foundation going from descriptive analytics to
6
senior vice president of global products, offers these tips for measures that are predictive/prescriptive.
shippers hoping to utilize big data to drive performance in
their supply chains. Everyone is trying to go from reporting the news to being
able to predict the news.
1 Eliminate silos.
7 Cost.
With various divisions and subsidiaries, it can be difficult to
Companies that are most astute with big data find ways to
funnel important metrics and data into a single system, but
get there while also being mindful of the cost.
it’s important to be able to cut across the entire organization
and create the means to view data in aggregate. Otherwise,
you’re working in buckets. 8 Compatibility.
Being able to measure compliance with trading partners
Consider data needed from providers
2 such as carriers and suppliers within your supply chain is
and vendors. vital. Score carding and performance management of all your
suppliers can be a useful exercise. Identify those partners
Create a data strategy that works in an environment where whose process inefficiency is costing you and them money.
some functions are executed in house and some by third
parties. Facilities with multiple providers have trouble uniting
all this information. 9 Cost to serve.
This is a prominent conversation and a path successful
3 Process rigor. businesses are pursuing. The granularity in measurement of
supply chains can be served by big data and helps companies
You can have all the great systems in the world, but if you understand what vendors and/or customers cost the most.
don’t have process rigor you won’t have actionable data An effective big data strategy will enable you to work with
to work with. Strong process compliance allows the data your supply chain partners to take unnecessary costs out of
to become meaningful and timely. Executing day-to-day the system. Companies are getting better at incorporating
processes regularly across locations gives consistency and learned experience and big data into their pricing.
truth to the data.
TEACHING LOGISTICS seem far more directed in their career development. Many
of them know exactly what kind of role they would like to
at least at first glance. Iron and steel imports reached A downward arrow in cases of negative trade balances means the
an eight-month high in April (+75 percent YoY), situation is worsening, and vice versa.
based on LogIndex’s analysis of bills of lading. Some
observers suggest, however, that part of the strong which was digesting the high euro during the
growth is driven by trade tensions as anxious shippers first
quarter. The United States, Australia, and Canada
rush to get their cargo to overseas markets. are the fastest-growing Advanced Economies countries,
World trade is inching up, based on country forecasts posting a year-over-year rate of 4.7 percent compared to
available for May and June 2018. There are regional 16.1 percent of Emerging Market countries, according to
differences—Asia is dynamic in contrast to Europe, LogIndex’s May 2018 estimates.
percent) or lost in transit (27 percent). As a third-party logistics provider (3PL) operating one of
the largest refrigerated warehouses in the Northeast, we
SMEs based in emerging markets are dedicated to creating a partnership that focuses on
find export regulations onerous: integrated refrigerated logistics and distribution services for
your refrigerated foods. We also offer customized dedicated
67 percent identify export transportation solutions.
regulations as difficult, compared Let us show you what we can do for your supply chain.
with 44 percent of SMEs based in Contact us today!
mature European markets. Exporters CONTACT US:
from India, China, and Indonesia 978.912.7480
[email protected]
(79 percent) say it’s challenging to 10 Creek Brook Drive
Over 30 years of experience Haverhill, MA 01832
penetrate markets in Europe.
knowledgebase
L O G I S T I C S
©
I
f you have spent any time in manufacturing logistics you perspective. Here are a few things as a freight forwarder we are
can appreciate the classic problem of ‘Load and Expedite.’ keeping a close eye on and you should too:
At Crane Worldwide Logistics®, we see the same thing all ■■ 301 tariffs with China: If these go into place there is
over the world with clients in nearly every industry. By not a significant chance manufacturing may shift locale.
having adequate logistics visibility, setting proper tolerance ■■ Trade agreements: The current administration has
levels and accurate production forecasting, companies are put these on the table and they have the ability to
being forced to rely on expedited freight to meet their manu- drastically impact duties and duty avoidance.
facturing demand. Even the most experienced companies ■■ Driver Supply/Prices: There is more freight than can
and logistics professionals can get this wrong, and the dirty be moved by the supply of drivers and they know
secret is it will not improve or become easier any time soon. that, price increases are coming.
The first thing to consider is the overall market. In gen- ■■ Ocean & Air Freight: This portion of the supply chain
eral, the economy and manufacturing, both domestic and is fairly stable and there should be no major change
abroad, are doing quite well. Where the norm has been in the supply of boats although there may be issues
around 3% growth, many industries are experiencing dou- with aircraft due to rising e-commerce demand.
ble-digit growth. This is stretching supply chains that are
already near capacity. The second market force to consider is Over time, all of these obstacles can drastically increase your
the driver shortage. The supply of drivers is decreasing while freight spend. There is no doubt the price of domestic freight
the demand is growing. These market forces considered is and will continue to go up over the next few years. This
separately are a headache, but when put together create increase makes it even more important for businesses to get
massive challenges and significant cost increases. these fundamentals right to drive better efficiency.
On the client/business side of the equation, as a global ■■ Ensure your logistics provider has a solid cross-dock
freight forwarder, we see several reoccurring problems that on footprint with local pick-up and delivery.
the surface seem innocuous but can easily snowball. The first ■■ Demand planning/forecasting for your tier 2, 3, 4 etc.
is demand projections for lower tier suppliers. Companies gen- suppliers are adjusting for growth and retraction.
erally give good production estimates for their top suppliers, ■■ Understand the macro factors that impact demand.
but quite often miss when it comes to their lower tier suppli- ■■ Clear visibility to your freight and understanding of
ers, resulting in the need for expedited shipments since these true raw-on-time percent.
smaller suppliers cannot keep pace with the growth demand. ■■ Build relationships with freight providers.
The second issue we see is visibility to accurate raw-on- ■■ Evaluate repackaging and consolidations to save
time numbers. When companies and carriers are not working valuable business days.
from the same definition of “on-time” it can cause significant ■■ Look at boxing/crating customizations.
shortages. Last but not least, companies and drivers are often ■■ Eliminate driver dwell time.
sitting on freight. While a driver waiting for a load for an hour ■■ Be honest with what you can and can’t do in house,
does not seem like a major issue, repeating this practice 4PLs are a valuable option.
hundreds or thousands of times during the course of a year
can add up to missed miles and increased inefficiencies. This There are a lot of moving parts in the production of a
scenario adds tremendous waste to the supply chain and product. The key is to value stream your supply chain to make
also irritates the drivers. sure everyone understands the risks and rewards. Sometimes
The last group of challenges to consider are changes in the leaning out the supply chain without considering all the
macro environment and anticipation of the future. It is critical, factors can cause serious issues. Taking recommended steps
when building a supply chain, you consider what is likely and utilizing best practices will not eliminate all ‘Load and
and unlikely to happen in the next year or two from a macro Expedite’ shipments, but they can reduce the frequency.
$29.95
SOLVED!
SOLVED!
BY William Salter
CEO, Paragon Software Systems
[email protected] | 718-288-5833
Last-Mile Technology
Needs a Radical Rethink
W
e need to stop viewing last-mile logistics as solely a Delivery performance has become
delivery challenge. The broader challenge is ensur- a competitive differentiator, mak-
ing it a closely scrutinized end goal
ing processes and their supporting technologies at almost every departmental level.
work together to allow supply chains to meet the market’s Last-mile delivery performance is
insatiable appetite for faster, more precise deliveries. now inextricably connected to every
part of the business.
Supply chain management manually, any expert knowledge And yet, while the final mile is
technology is boldly exploring about peculiarities of loading docks, the most complex part of the sup-
sophisticated new developments special customer unloading require- ply chain, it is the last part to
such as driverless vehicles and the ments, and habitual traffic snarls be optimized.
Internet of Things. And yet, we’re tends to get lost because there’s no
still employing 1985 technology central place to collect it other than Automating the Process
when it comes to the last mile. in the planner’s memory. Automated routing and schedul-
That is astonishing in the ing ensures delivery route plans are
The Reality of Route Planning highly automated world of crafted to maximize delivery stops
Here is what delivery route plan- freight management. and minimize fuel while making the
ning and scheduling looks like at There’s a steep cost to the con- most of driver shifts and available
many businesses that manage their sequent inefficiency. Last-mile trucks. It can also collect critical
delivery fleets using manual methods: delivery costs in the B2C sector have information about the actual routes
A route planner gathers custom- ballooned to an estimated 30 per- driven that companies can use to
ers’ paper orders, assigns them to a cent of the total transportation cost; give customers accurate delivery
driver based on territory, arranges a similar figure could no doubt be times, and can feed back into the
them from first to last after eyeball- arrived at in the B2B sector. system to generate even better route
ing a map, and hands over the stacks The fully burdened cost of a truck plans next time around.
to drivers to deliver in sequence. mile is $1.59, according to the The last mile of the supply chain is
These plans can fall apart the American Transportation Research an integral, not stand-alone, func-
moment there’s a delay, and it’s dif- Institute. For a 50-vehicle private tion. Without great delivery route
ficult to quickly fix them manually. delivery fleet, where each vehi- planning and scheduling, all the
Inefficiencies hamper every route. cle racks up 50,000 miles per year, smart, powerful technology compa-
Deliveries are late or missed, cus- driving 20 percent more miles than nies invest to streamline sales, order
tomers lose faith in the supplier, and necessary means nearly $800,000 in management, marketing, product
truck routes often cross each other or lost profit annually. Customer satis- design, and customer service grinds
double up needlessly. When working faction suffers, too. to a halt at the final hurdle. n
THE CITY
Celebrating 5 years in a row as a top destination
in the world
THE SPEAKERS
David Bozeman Joanna Wright Mike Brewer
Vice President, Vice President Vice President,
Amazon Enterprise Global Operations
Transportation Operations and Logistics,
Services, and Services, Nike
Amazon.com IBM
Discover what the future holds with leaders from Amazon, IBM and Nike in a lively panel on how they are embedding their
values – and value – into their supply chains during Monday’s keynote session. Understand how they’re betting on IoT, AI,
and Blockchain to create and seize opportunities.
SAVE $300
*Offer excludes Student, Young Professional, Educator, Corporate, and Supply Chain Exchange
registration types. Offer cannot be used to register for the CSCMP Academic Research
Symposium only. Offer limited to one per customer and account. Offer is not retroactive and
ON REGISTRATION RATES*
may not be combined with other offers. Offer is nontransferable and may not be resold.
BY HAROON SYED
Vice President of Sales and Marketing, Schneider
[email protected] | 800-558-6767
T
ransporting alcohol is a time- and temperature- shippers make informed decisions
sensitive move that requires superior logistics. Selecting about the company they hire. While
even the safest drivers and carriers
a carrier that can meet the stringent requirements and have violations from time to time, a
provide value to a shipper’s business is crucial. shipper can see whether these inci-
dents are few and far between or
To demonstrate they would be a In most instances, enforcing a common occurrences.
good fit for your business, consider predetermined mileage blackout 4. Understand product stipulations.
alcohol carriers that: area, where carriers are prohibited When an alcohol delivery is made,
1. Know the law. Every state has from stopping before reaching that the product’s integrity can be
its own process for transporting and mileage amount, is common to pre- tracked back to the transportation
delivering alcohol, so distributors vent thieves from stealing the load. provider. External factors such as
must find a carrier that knows local To double down on loss prevention, weather and traffic delays can easily
laws and understands the require- a provider needs to be appropri- impact product quality. It’s criti-
ments from state to state. ately insured. cal for a transportation provider to
For example, some states require Another common request is to use understand the cargo’s sensitive
drivers to have the state’s original newer equipment to move alcohol. nature and get it to the destination
permits whether they’re driving Equipment that is too old–more than as quickly and safely as possible.
through or making a delivery. For eight to 10 years–may be a deal breaker.
these states, it’s necessary to domi- When assessing providers, deter- What Shippers Can Do
cile the permits at predetermined mine which requirements are When selecting an alcohol carrier,
locations so drivers don’t have to absolutes and which are negotiable. it’s critical to look at those that are
veer off route to get them. A trans- 3. Maintain a low CSA score. A equipped to handle the nature of
portation provider that accounts for reputable carrier and driver can the work and compliant within the
this makes shipping more efficient. mean the difference between a industry. A provider that is well versed
2. Adhere to distributor-specific safe delivery and a tragic accident. in permitting laws, understands and
requirements. Shippers are bound to Evaluating the Compliance, Safety, reacts well to shipper requests, and
have certain requirements for their Accountability (CSA) data provided achieves impressive CSA scores can
products. Finding a carrier to meet by the Federal Motor Carrier Safety mean all the difference to the bottom
these needs is essential for a success- Administration identifies high- line—and the successful delivery of a
ful working relationship. risk carriers and drivers, helping good libation. n
SUPPLY CHAIN
MANAGEMENT
By Yossi Sheffi
E
nvironmental sustainability is first and foremost a logistics and supply chain
management (SCM) issue. Supply chain activities such as procuring raw mate-
rials and transporting goods impact companies’ environmental performance.
Moreover, environmental groups rightly hold companies responsible not just for
their own actions as corporate citizens, but also for the actions of their suppliers.
Managing supplier relationships falls within the remit of the SCM discipline.
Given these pressures, it appears that companies have an explicit case for invest-
ing in supply chain sustainability programs–yet the case for making substantial
investments is far from clear and companies tend to do the minimum necessary to
support sustainability goals.
Much of the ambiguity springs from the rationale to pursue green supply chain
practices. One motivator is that companies tend to be put on the defensive by crit-
icism from environmental groups and need to respond. The sheer complexity of
greening supply chains is another reason for investing in green–albeit minimally.
But the main reason for corporate caution when it comes to green investments is
that consumers are unwilling to pay a premium for sustainable products.
75 GREEN
Air Cargo’s environmental strategy
encompasses four main areas:
reduce emissions from planes and
SUPPLY
equipment, waste from flights and
other facilities, consumption of non-
sustainable resources, and energy use
in its buildings.
CHAIN
CURRENT GREEN INITIATIVES
❱❱ Reduce greenhouse gas emissions
❱❱ Reuse/recycling program
❱❱ Reduce energy usage
PARTNERS
NOTABLE ACHIEVEMENT
The airline’s 2020 goal is to reduce
mainline emissions 20 percent per
revenue ton mile over 2009 levels.
Inbound Logistics features its annual G75—a carefully curated list
of 75 companies that go above and beyond to ensure their global
supply chains are sustainable, and their operations are socially ARCBEST
and environmentally friendly. These companies have spent years
developing and implementing best practices to ensure the footprint arcb.com
they leave on the world is a positive one. In 1976, ArcBest LTL
carrier ABF Freight
began limiting its
trucks’ maximum
speeds to conserve fuel and reduce
emissions. The company’s new trucks
48FORTY SOLUTIONS have computerized engine shut-
offs to reduce idling and minimize
48forty.com fuel consumption. The company
48forty uses recycled pallets to offer follows an equipment maintenance/
customers sustainable pallet solutions. replacement program, so the average
The company repairs damaged pallets age of its linehaul tractors is rarely
and sends them back into the pool. more than two years.
48forty disassembles battered pallets and salvages boards that can be used in
CURRENT GREEN INITIATIVES
other pallets. It even chips the unusable bits and uses them as landscape mulch
❱❱ Reduce energy usage
or for biofuel.
❱❱ Reduce greenhouse gas emissions
CURRENT GREEN INITIATIVES NOTABLE ACHIEVEMENT ❱❱ Energy-efficient equipment
❱❱ Reuse/recycling program 48forty has 90 million pallets in ❱❱ Reuse/recycling program
❱❱ Sustainable packaging force. It uses and repairs each pallet
❱❱ Sustainably source materials about 10 times, ultimately shredding NOTABLE ACHIEVEMENT
❱❱ Waste minimization through them for mulch. ABF Freight has been a SmartWay
Lean manufacturing partner since 2006 and winner of the
2014 SmartWay Excellence Award.
NOTABLE ACHIEVEMENT
Celadon earned the 2017 SmartWay
BNSF Freight Carrier and Multimodal
Excellence Award.
bnsf.com
CRANE WORLDWIDE
BNSF created a Carbon Estimator
LOGISTICS
Tool for shippers to track the
carbon footprint of their rail craneww.com
CASESTACK
shipments. It also implemented
The 3PL’s Crane Cares initiative
locomotive management systems casestack.com
is composed of three specific
to reduce idling, fuel consumption,
branches through which it CaseStack’s retail consolidation
and emissions.
demonstrates commitment to the programs help conserve natural
CURRENT GREEN INITIATIVES environment (Green Worldwide), resources by reducing dock
❱❱ Reduce greenhouse gas emissions the communities in which we live congestion, improving warehouse
❱❱ Reduce energy usage and work (Give Worldwide), and efficiencies, and decreasing
❱❱ Energy-efficient lighting the health, wellness, and safety of the number of trucks on the
❱❱ Solar panels employees and their families (Live highway. The resulting supply
❱❱ Alternative fuel/energy sources Well Worldwide). chain consumes less energy and
produces lower amounts of carbon
NOTABLE ACHIEVEMENT CURRENT GREEN INITIATIVES emissions. CaseStack has been a
❱❱ Reuse/recycling program SmartWay partner for the past eight
Fuel efficiency has increased ❱❱ Use wastewater consecutive years.
10 percent since 2005. ❱❱ Reduce energy usage
❱❱ Energy-efficient lighting CURRENT GREEN INITIATIVES
❱❱ Reduce greenhouse gas emissions
NOTABLE ACHIEVEMENT ❱❱ Reduce energy usage
Crane Worldwide has been ❱❱ Energy-efficient lighting
recognized as a SmartWay Transport
Partner since opening its doors NOTABLE ACHIEVEMENT
in 2008. CaseStack’s consolidated truckloads
reduce carbon emissions by 58
million pounds of CO2 each year.
csx.com dhl.com
CSX Transportation has a three-pronged approach to sustainability: reduce the DHL has set four interim
environmental footprint of operations, engage openly on sustainability issues, sustainability targets to achieve by
and support sustainability developments. In 2016, the company improved fuel 2025. Global target: increase carbon
efficiency by shutting down unused locomotive power whenever possible. The efficiency by 50 percent compared to
railroad is capable of moving one ton of freight 474 miles on a single gallon of fuel. 2007. Local target: deliver 70 percent
of its own first- and last-mile
CURRENT GREEN INITIATIVES NOTABLE ACHIEVEMENT services with clean pickup/delivery
❱❱ Reduce greenhouse gas emissions solutions. Economic target: more
Since 1980, CSX has improved fuel
❱❱ Alternative fuels/energy sources than 50 percent of sales incorporate
efficiency by more than 100 percent.
❱❱ Reuse/recycling program green solutions. People target: train
❱❱ Reduce energy usage 80 percent of employees as certified
GoGreen specialists.
CARGO TRANSPORTERS
CROWLEY CURRENT GREEN INITIATIVES
cgor.com ❱❱ Reduce greenhouse gas emissions
❱❱ Alternative fuels/energy sources
crowley.com As a SmartWay Partner Excellence
❱❱ Reuse/recycling program
Award winner in 2016, Cargo
Crowley’s new terminal ❱❱ Reduce energy usage
Transporters continues to spec its
management systems reduce truck ❱❱ Sustainable packaging
on-highway vehicles with the most
idling and turn times by 25 percent, ❱❱ Sustainably source materials
current aerodynamic equipment,
which reduces air impacts on the ❱❱ Solar panels
maximizing fuel efficiency. The
mainland and Puerto Rico. Two new ❱❱ Energy-efficient lighting
company invests in on-site
commitment class containerships ❱❱ Customer Go Green solutions
electrification for vehicles so hotel
will provide Puerto Rico service with
loads can be powered by shore power
38-percent per-container reduction NOTABLE ACHIEVEMENT
connections. It has invested in load-
of CO2 emissions, and near-total
sensing devices in trailers to avoid A carbon efficiency target to improve
SOx reduction. Crowley’s tank vessel
extra on-highway miles resulting by 30 percent over 2007 baseline
fleet carried 472 million barrels, and
from trailer checks. by 2020 was achieved in 2016, four
made 5,196 product transfers with
years earlier than planned. In 2017,
zero spills.
CURRENT GREEN INITIATIVES it improved by two index points to
❱❱ Reduce greenhouse gas emissions 32 percent.
CURRENT GREEN INITIATIVES
❱❱ Alternative fuels/energy sources
❱❱ Reduce greenhouse gas emissions
❱❱ Reuse/recycling program
❱❱ Alternative fuels/energy sources
❱❱ Reduce energy usage
❱❱ Reuse/recycling program
❱❱ Use wastewater
❱❱ Use wastewater
❱❱ Energy-efficient lighting
❱❱ Reduce energy usage
❱❱ Sustainable packaging
NOTABLE ACHIEVEMENT
❱❱ Sustainably source materials
❱❱ Energy-efficient lighting Installed additional 26 shore power
❱❱ Limit/eliminate plastic bottle parking spots for trucks, bringing
and other disposable beverage total to 50.
container usage
NOTABLE ACHIEVEMENT
Using the Clean Cargo Working
Group platform, Crowley launched
its first third-party verification
of emissions data for customer
assurance, receiving 100-percent
verification of its international liner
fleet’s CO2 and SOx emissions.
ctlogistics.com duprelogistics.com
CT has invested in software developments specifically targeting the ability to Dupré’s green initiatives address
provide shippers the tools to make greener supply chain choices. Its Lion™ fuel efficiency, safety, and
software helps shippers drive energy efficiency with supply chain routing environmental performance.
analysis technologies. This software was built to maximize lane effectiveness Dupré’s fleet contributes to green
and facilitate more optimal/greener transportation mode selections. CT’s results with a top speed of 62 mph,
FreitWeb™ software aggregates small shipments to reduce costs and fuel. and the use of fuel-efficient tires.
This software enables shippers to choose environmentally conscious routings, Utilizing Omnitracs and Green Road
mode selections, and carriers with the shortest transit times to reduce fuel technologies monitors safety and
consumption and lower CO2 emissions. fuel economy.
ORBIS analyzes a customer’s In addition to helping customers A SmartWay partner since 2008,
systems, designs a solution, and go green, Penske benchmarks Performance Team continues to
executes a reusable packaging sustainability efforts against its undertake green initiatives. PT’s
program for cost savings and competitors/customers, performs entire fleet has SmartWay-approved
sustainability. Using lifecycle an annual GHG emission inventory, tires and uses trailer skirts and under
assessments to compare reusable discloses its GHG emissions trays to improve fuel efficiency. PT
and single-use packaging, information to the Carbon Disclosure also utilizes on-demand packaging
ORBIS helps shippers reduce Project, and conducts energy audits/ and works with corridor recycling
environmental impact. analysis to identify opportunities to help recycle and reduce obsolete
to save money and reduce carbon hardware in its facilities.
CURRENT GREEN INITIATIVES footprint. The company upgraded to
❱❱ Reduce greenhouse gas emissions more efficient fluorescent and LED CURRENT GREEN INITIATIVES
❱❱ Reuse/recycling program lighting, and participates in the EPA’s ❱❱ Reduce greenhouse gas emissions
❱❱ Reduce energy usage Green Power Partnership to purchase ❱❱ Alternative fuels/energy sources
❱❱ Sustainable packaging renewable energy credits. ❱❱ Reuse/recycling program
❱❱ Sustainably source materials ❱❱ Use wastewater
CURRENT GREEN INITIATIVES ❱❱ Reduce energy usage
NOTABLE ACHIEVEMENT ❱❱ Reduce greenhouse gas emissions ❱❱ Sustainable packaging
❱❱ Alternative fuels/energy sources ❱❱ Sustainably source materials
ORBIS helps shippers leverage
❱❱ Reuse/recycling program ❱❱ Solar panels
lifecycle assessment
❱❱ Reduce energy usage ❱❱ Energy-efficient lighting
data to make
❱❱ Solar panels
sustainable supply
❱❱ Energy-efficient lighting NOTABLE ACHIEVEMENT
chain changes.
In the past seven years, Performance
NOTABLE ACHIEVEMENT
Team transloaded more than 340,000
The purchase of renewable energy containers. Using a 3:2 compression
credits resulted in avoiding more standard, this translates into
PORT OF LONG BEACH than 10,542 MT of CO2. Penske has approximately 230,000 outbound
reported a year-over-year reduction trailers and a carbon reduction
polb.com
in metric tons of CO2/mile for its footprint of 30 percent.
Guided by its award-winning Green fleet since 2012.
Port Policy, the port is reducing
harmful air emissions from port-
related operations, improving
water quality in the harbor,
protecting marine wildlife, and
PORT OF LOS ANGELES
implementing environmentally
portoflosangeles.org
sustainable practices.
Utilizing the tenets of sustainability, the
CURRENT GREEN INITIATIVES port works toward the best interests
❱❱ Reduce greenhouse gas emissions of the community, environment, and
❱❱ Alternative fuels/energy sources economy. It practices these principles through integral considerations during
❱❱ Reuse/recycling program planning, design, and construction, and throughout operations and maintenance of
❱❱ Use wastewater port facilities and structures.
❱❱ Reduce energy usage
❱❱ Sustainably source materials CURRENT GREEN INITIATIVES NOTABLE ACHIEVEMENT
❱❱ Reduce greenhouse gas emissions
To advance zero-emission
NOTABLE ACHIEVEMENT ❱❱ Alternative fuels/energy sources
technologies throughout the port
❱❱ Reuse/recycling program
The Port of Long Beach notched complex, the Port of Los Angeles
❱❱ Use wastewater
clean air records in its latest study partners with terminal operators
❱❱ Reduce energy usage
of air pollution emissions, including to apply for state and federal
❱❱ Sustainably source materials
an 88-percent reduction in diesel funding to demonstrate and deploy
particulate matter. cleaner technologies.
PORT OF PORTLAND
portofportland.com
The Port of Portland has reduced diesel
particulate matter by 76 percent from its 2000 level for operations it controls. It
recently installed an additional 42 electric pre-conditioned air units to keep aircraft
cool on hot days at Portland International Airport gates. Since 2005, the port has
fueled container-handling equipment with ultra-low sulfur diesel and improved
exhaust systems for cleaner emissions.
PUROLATOR
purolator.com CURRENT GREEN INITIATIVES NOTABLE ACHIEVEMENT
❱❱ Reduce greenhouse gas emissions
Purolator trains its drivers on eco- Purolator has the largest hybrid
❱❱ Alternative fuels/energy sources
driving practices, continues to electric vehicle fleet of any freight
❱❱ Reuse/recycling program
find new and innovative ways to and parcel solutions provider
❱❱ Use wastewater
reduce energy consumption, and in North America, and has been
❱❱ Reduce energy usage
offers environmentally friendly conducting an annual greenhouse gas
❱❱ Sustainable packaging
packaging options. The company inventory since 2007.
❱❱ Sustainably source materials
understands the need to meet
❱❱ Solar panels
regulatory requirements and ensure
❱❱ Energy-efficient lighting
environmental compliance.
Raymond’s sustainability initiatives Recent accomplishments include: Ryder has added electric vehicles
include upgrading software and improving fuel efficiency 12.5 (EVs) to its fleet, and has leased
controllers to an automated logic percent since 2008; reducing fuel EVs to customers to assist them in
and lighting controls program consumption 500,000 gallons reaching their sustainability goals.
to zone and control factory and between 2015 and 2016; reducing The company has also equipped
office lighting, heating, and air CO2 emissions by 4 percent, NOx by several maintenance facilities
conditioning based on utilization; 7 percent, and particulate matter by across North America to meet the
incorporating occupancy sensors to 23 percent. Schneider is a charter service and charging requirements
eliminate wasted lighting in main member of the SmartWay program for commercial EVs. Ryder has also
and facility offices; using water and is an eight-time SmartWay achieved more than 200 million
reclamation from the powder- Award of Excellence winner. miles with its natural gas vehicle
coat paint system for utility water fleet operations.
requirements; and installing CURRENT GREEN INITIATIVES
supplemental active solar lighting. ❱❱ Reduce greenhouse gas emissions CURRENT GREEN INITIATIVES
❱❱ Alternative fuels/energy sources ❱❱ Reduce greenhouse gas emissions
CURRENT GREEN INITIATIVES ❱❱ Reuse/recycling program ❱❱ Alternative fuels/energy sources
❱❱ Employing five workers solely ❱❱ Use wastewater ❱❱ Reuse/recycling program
responsible for minimizing the ❱❱ Reduce energy usage ❱❱ Reduce energy usage
waste stream ❱❱ Sustainable packaging ❱❱ Energy-efficient lighting,
❱❱ Sustainably source materials
NOTABLE ACHIEVEMENT ❱❱ Energy-efficient lighting NOTABLE ACHIEVEMENT
RUAN
transportationinsight.com totemaritime.com
Transportation Insight’s integrated Enterprise Logistics solutions leverage multi- TOTE Maritime spearheads
modal insight, expertise, and technology-driven data analysis to help clients many environmental initiatives,
improve supply chain performance. Employing Extended LEAN continuous including converting vessels to
improvement methodology for the end-to-end supply chain helps clients improve liquefied natural gas power. TOTE
and maintain operational efficiencies as market demands change. Transportation continually seeks ways to reduce
Insight is an ongoing participant in the SmartWay Partnership program. its environmental impact through
innovative programs, many of which
CURRENT GREEN INITIATIVES NOTABLE ACHIEVEMENT
stem from the ideas of its employees.
❱❱ Reduce greenhouse gas emissions
Transportation Insight engineers
❱❱ Reuse/recycling program CURRENT GREEN INITIATIVES
data-driven Enterprise Logistics
❱❱ Reduce energy usage ❱❱ Reduce greenhouse gas emissions
solutions that eliminate supply chain
❱❱ Sustainable packaging ❱❱ Alternative fuels/energy sources
waste and optimize routes.
❱❱ Energy-efficient lighting ❱❱ Reduce energy usage
NOTABLE ACHIEVEMENT
UNION PACIFIC RAILROAD In 2017, JAX LNG, TOTE Maritime’s
LNG supplier, received a Letter of
up.com
Acceptance from the U.S. Coast
Union Pacific continuously improves Guard for the operation of its
its management systems and waterfront LNG facility and the
operating efficiency, develops and approval to conduct barge-to-ship
invests in technology to reduce its LNG bunkering operations with TOTE
environmental footprint, and works Maritime’s Marlin Class ships and its
to increase fuel efficiency, reduce air LNG barge, Clean Jacksonville.
SEALED AIR emissions and energy consumption,
and recycle used materials.
sealedair.com
Sealed Air sets specific CURRENT GREEN INITIATIVES
environmental targets for energy, ❱❱ Reduce greenhouse gas emissions TRANSPLACE
greenhouse gases, water, and waste. ❱❱ Alternative fuels/energy sources
The company continues to improve ❱❱ Reuse/recycling program transplace.com
its plans to address environmental ❱❱ Reduce energy usage Transplace executed 12.8 billion ton
impact and cost reduction goals. ❱❱ Sustainably source materials miles on carriers registered with
❱❱ Solar panels the SmartWay program in 2016,
CURRENT GREEN INITIATIVES ❱❱ Energy-efficient lighting and procured 96 percent of ton
❱❱ Reduce greenhouse gas emissions
miles for managed transportation
❱❱ Alternative fuels/energy sources NOTABLE ACHIEVEMENT
business through SmartWay-
❱❱ Reuse/recycling program
Union Pacific set its best-ever fuel registered carriers.
❱❱ Use wastewater
consumption rate in 2017, improving
❱❱ Reduce energy usage CURRENT GREEN INITIATIVES
by 1.7 percent. Since 2000, it has
❱❱ Sustainable packaging ❱❱ Mode conversion/consolidation
saved nearly 2.9 billion gallons
❱❱ Sustainably source materials ❱❱ Alternative fuels/energy sources
of fuel.
❱❱ Energy-efficient lighting
NOTABLE ACHIEVEMENT
NOTABLE ACHIEVEMENT
Transplace helps shippers reduce
In 2017, Sealed Air reduced energy emissions through use of more
intensity by 13.7 percent, reduced fuel-efficient transportation
greenhouse gases by 21 percent, modes and the overall reduction
and reduced water intensity by in number of shipments needed
16.7 percent. It also diverted 71.3 through consolidation and co-
percent of landfill waste (reduction loading arrangements.
compared to 2012 baseline).
“Safety is always the priority concern,” hoc staff continued to advise our com- must be moved between military instal-
says Ella Studer, senior vice president mander—the instructor—that we lations, or by highway or rail to ports for
for KBRwyle’s logistics business. “We needed smaller, wheeled vehicles, and shipment overseas. While U.S. infra-
have safety processes for any environ- even boats to be successful in that envi- structure is arguably better than the
ment or operating condition. ronment,” says Barthen. average war or disaster area, it isn’t always
“Screening and vetting of local ven- “Conditions such as steep dirt roads convenient for moving over-sized cargo.
dors and subcontractors is critical,” she that became impassable in the frequent
notes. “In Iraq, Iraqi nationals must rains made the situation difficult,” he SPECIAL ASSIGNMENT
first obtain a Prime Minister National adds. “Congestion on narrow roads with “Three assignments come to mind,”
Operation Center (PMNOC) letter two-way traffic, sharp corners, low power says Rob Hooper, CEO of third-party
from the Iraqi government to obtain lines, and bridges that could not sustain logistics company Atlantic Logistics,
clearance into certain sites. Security the weight of our loaded vehicles made which provides specialized hauling
experts perform assessments and report it challenging to find suitable routes for services to the DoD. “The first two
their findings, with recommendations delivering humanitarian aid to villages are movements of Sikorsky SH-60
to KBRwyle leadership. damaged by typhoons or suffering food Seahawks for the U.S. Navy within the
“We t ake appropriate measures security and potable water issues.” state of Florida, on removable goose-
to mitigate any security concerns,” Bad roads, crumbled airstrips, or lack neck (RGN) trailers.
Studer adds. “Security considerations of port access aren’t the only problems “The helicopters are 52 feet long,
sometimes include military or con- that can arise. Complications can vary 11 feet wide, and 12.5 feet high,” he
tractor-provided escorts and aerial widely in specific areas of the world. explains. “The over-dimensional length
surveillance to ensure the safety of per- “KBRwyle adapts to each situation of the helicopters required three-axle
sonnel and equipment.” with knowledge of the geographical expandable lowboy trailers.
areas and operational conditions,” says “The third is a Logistics Vehicle
Off the Road Again Studer. “Challenges include obtaining System Replacement cargo truck
Direct threats aside, critical ship- qualified employees to execute each moved from Florida to South Carolina,”
ments often move through areas with scenario, obtaining equipment dura- he says. “The truck measured 432 x 101
little standing infrastructure. The 32nd ble in the operating environment, and x 106 feet and weighed 53,500 pounds.
recently conducted classroom training coordinating deliveries with receiv- We used a three-axle step-deck as a less
where logisticians were asked to over- ing entities that are likely to have expensive solution to an RGN.”
come obstacles that might obstruct competing priorities depending on In the United States, project cargo
humanitarian aid in a fictional disaster operational conditions.” moves aren’t uncommon. Pipeline sec-
area in the Philippines. Even in the United States, military tions, large equipment, zoo animals, or
“The scenario mandated we use shipments come with complications. any number of other obscure shipments
mine-resistant vehicles, but our ad Tanks, helicopters, and other large freight move through the U.S. transportation
Chemical Week
Chemical Logistics:
The Price of Success
These are good times for chemical manufacturing in the
United States. But an active market creates special challenges
for companies that need to transport chemical products.
66 Inbound Logistics • June 2018
Miller Intermodal Logistics Services provides well-maintained, efficiently priced equipment, and responds quickly to
shippers who need to lease bulk tank trailer storage and equipment.
were able to help those companies boutique manufacturing that’s hours of service (HOS) regulations
with their supply chain, and close to customers,” says Chuck with electronic logging devices
adjust their transportation needs,” Breinholt, president of Rinchem, (ELDs), and a healthy economy,
Kroupa says. an asset-based 3PL in Albuquerque companies shipping all kinds of
On top of those temporary that specializes in chemical and gas products find it hard these days
changes, the chemical industry supply chains. to secure transportation capacity
has seen some longer-term Like companies that supply in popular lanes. For chemical
adjustments to shipping strategies components to auto manufacturers, shippers, the challenge is even
since the Panama Canal reopened these chemical firms try to locate greater.
in 2016. plants in the same cities as some That’s partly because so
“Imports from China that used of their large customers, vastly many chemicals are classified as
to hit the West Coast are being reducing the need for outbound hazardous materials (hazmat). In a
delivered to Texas, where a lot of transportation. tight market for drivers in general,
refining and chemical production “This move doesn’t necessarily the subset of drivers with hazmat
facilities are located,” Kroupa says. benefit us as a 3PL,” says Breinholt. certification is even tighter.
“Many shipments are going to the “It is smart business, however, if “The driver shortage is more
East Coast as well.” Those changes manufacturers can figure it out and acute because of the additional
mean less demand for over-the- can comply with and control safety training that’s required to
road or intermodal transportation and quality issues.” haul chemicals,” says Michael
for chemicals from California, but Notarangeli, executive vice
more for tanker truck capacity near president, logistics, at Maine
the ports of Texas, Georgia, and The Big Squeeze Pointe. “Usually drivers in the
the Northeast. While greater demand for chemical industry have more
Another trend is a move among chemicals is good news for tenure, because they have more
some chemical manufacturers to companies that sell and use those training and a good safety record.”
develop a more distributed supply products, and for their logistics Such requirements make it
chain. “Instead of operating major partners, the strong market also tough to find new drivers for
plants that produce and source creates a big challenge—a serious chemical loads when demand
from one or two locations globally, capacity crunch. surges.
some companies are trying to Thanks to the ongoing driver Making the situation tougher
figure out how to create smaller, shortage, tighter enforcement of still, a federal regulation
established several years ago those containers exceeds 1,000 The ELD mandate, which took
requires some drivers who haul gallons, you’re required to get effect in December 2017 and came
hazardous chemicals in van trailers a tanker endorsement,” says under full enforcement in April
to add tanker endorsements to Greg Umstead, vice president of 2018, has not only tightened up the
their commercial drivers’ licenses transportation management at 3PL hours when drivers are available to
(CDLs). Transplace in Frisco, Texas. “A lot of work, but has also knocked some
“If a shipment includes liquid chemical shippers move large totes. capacity directly out of the market.
or gaseous containers larger than If more than two of those totes are While many carriers adopted
119-gallon capacity, and the on the trailer, you need a tanker ELDs years ago, the industry as a
aggregate combined volume in endorsement.” whole did not fully embrace the
Regulatory Relief
W
hile some regulations make life harder for help shippers eliminate the ‘lumpiness’ over a delivery
chemical companies, several recent moves by week,” Forbes says. “We need to consider programs that
the federal government could give the industry influence end users to accept loads on broader time
a boost, according to Adam Kroupa, general manager tables, versus an ‘8 a.m. Monday’ standard.”
of the ChemSolutions business at third-party logistics In the ongoing quest for greater logistics efficiency,
provider C.H. Robinson in Eden Prairie, Minnesota. information technology continually offers new
One helpful development is the Ozone Standards capabilities, such as “being able to anticipate and better
Implementation Act of 2017, which modifies the provide predictability,” Forbes says. “More and more,
National Ambient Air Quality (NAAQS) standards in the predictive analytics are becoming a component of
Clean Air Act. decision making.
“If shippers in the marketplace don’t collaborate “In the past, what we called ‘real-time data’ wasn’t
quickly and efficiently with service providers, we actually real time; it had a lag to it in most situations,”
will only run into other problems, especially in a Forbes says. “Now, some of the applications collect and
contracting driver market,” notes Mike Forbes, vice share data in actual real time. You can make predictions
president of logistics solutions at Kenan Advantage from that data, to change and anticipate different
Group (KAG) in North Canton, Ohio. KAG provides tank scenarios, which makes all parts of the supply chain
truck transportation and logistics management services more efficient and lean.”
for companies that ship fuel, chemicals, industrial gases, New mobile apps for operations, sales, and customer
and food-grade products. service also deliver benefits for chemical shippers and
Collaboration can take many forms. At industry their transportation partners.
meetings, shippers and service providers have been “For example, the apps let drivers provide more timely
sharing ideas about how to improve efficiency. Those information about shipments or unplanned events that
discussions lead to specific initiatives that might involve could impact cost and service,” Forbes says. “Mobility
several shippers or even several carriers. also extends sales and customer service activity any
For instance, in some cases, KAG and other bulk liquid time, anywhere.”
carriers can establish programs to use each other’s
facilities to wash out their tanks after deliveries. “Not
all carriers have wash stations at every location or key
market,” Forbes says. Such cooperation helps carriers
bring greater value to their customers.
In other cases, a carrier and shipper might join
forces to eliminate empty miles in the supply chain
by tying outbound finished product shipments
to inbound raw materials. “A lot of best-practice
sharing and problem solving goes on through these
collaborations,” Forbes says.
Chemical shippers and their partners also need to
think more broadly about their transportation options.
“Everyone should continue to look for situations that
devices. Some trucking companies The company also offers to want a 450-mile load—requiring
and drivers were not able to equip specialized services, such as a one-day trip—than a load that
their trucks, and were hoping that transporting goods in totes via has to move 750 miles, which takes
stricter enforcement of HOS rules dedicated less-than-truckload about a day and a half.
would never actually come to pass, (LTL) or full truckload. “We in the trucking industry
says Steve Haskins, president and Carriers cannot solve capacity are selecting the loads that give us
CEO of Miller Intermodal Logistics issues on their own, Haskins the highest productivity,” he says.
Services, Inc. (MILS), based in notes. Chemical shippers and “Those in-between ranges are not as
Ridgeland, Mississippi. receivers must come to the table desirable.”
Carriers and drivers who with changes in the way they Shippers that can’t avoid those
anticipated government consume drivers’ time. “We must 750-mile runs pay a premium,
intervention, or who chose not to collaborate for better use of truck Dupré says. Shippers are also
spend the capital to equip their and driver resources, and invest working with carriers to eliminate
fleets, vanished from the market. in plant infrastructure and site those awkward runs.
“With that void, the industry improvements for safer and more “Some shippers are positioning
suddenly felt a vacuum of eight to efficient handling of trucks,” he inventories into regions and
10 percent fewer trucks that simply says. “This, along with better getting those regional depots
aren’t on the road today,” he says. scheduling, will bring the needed supplied by either barge or rail,”
The regulations have hit capacity results.” he says. “And then they’re doing
bulk tank transportation— more local deliveries via truck. But
including the transportation of a ‘local’ delivery could still be less
chemicals—particularly hard. Different Dynamics than 500 miles.”
Drivers transporting bulk loads Stricter enforcement of HOS Dupré Logistics focuses largely
are experiencing significant dwell regulations hasn’t had the same on the chemical and energy
time waiting to load and unload. effect across the board, but rather industries with three levels of
“Many drivers’ Department of has changed the dynamics for service. The first level offers spot
Transportation (DoT) hours of shippers tendering loads to carriers, transportation via the company’s
service are consumed with waiting says Reggie Dupré, CEO of Dupré own fleet and through its trucking
in staging areas to load and unload Logistics Services in Lafayette, brokerage. The second provides
at chemical industry plant sites or Louisiana. Given the limit on the managed transportation, and the
tank farms,” Haskins says. number of hours a driver can work third provides dedicated contract
Haskins suggests that chemical in one day, a carrier is more likely services.
shippers could assist with DoT
compliance if they would be
more flexible in their schedules. KAG provides employees with exceptional training, development, and inspiration
to deliver on its mission: to take every load, deliver it on time, without incident.
“Shippers expanding loading and
delivery times with off-hour, night,
or weekend options would provide
additional windows for drivers to
load and unload,” he says.
MILS provides transportation
and logistics services with its own
fleet of tank trucks, dry vans, and
dedicated freight. In partnership
with other carriers, MILS offers
services that include a strong
emphasis on tank truck, van, rail,
and intermodal transportation. It
provides supply chain management,
order fulfillment, inventory
management, a transload and
warehouse facility, equipment
leasing, and maintenance.
A
lthough chemicals companies may also run up against regular volume, but then sees a
often move in bulk other capacity challenges, ranging surge in demand due to a sales
containers, they from congested ports to scarce campaign. Rather than pull
may also move in barrels, space on the rails. “Domestic trucks from its contracted fleet or
totes, or custom-made logistics services are at their capacity from its traditional carrier
packaging. The size and maximum right now,” Dupré says. partners to handle this extra
shape of these packages “The collision between the increase volume, the company might make
can make a significant in demand and the restricted spot buys through a broker.
difference in transportation supply is the biggest challenge that “In the past, larger companies
and storage costs. we and our customers face.” had a fleet that traveled the same
“Sometimes the packages In part, today’s capacity routes every day,” Clark says. “Now,
are light, but tall, and cannot shortfall springs from an they’re responding to the market
be stacked,” says Chuck overabundance a few years back, much more quickly and creatively.”
Breinholt, president of 3PL when the economy was weak.
Rinchem in Albuquerque. “Everybody was forced to reduce
“And sometimees the their assets and service offerings Longer Lead Times
configuration is too wide, to some extent because capacity Because capacity is so tight,
so they cannot be placed levels were higher than demand,” especially for companies that need
side by side on a truck,” he Dupré says. Now, service providers bulk tankers, shippers must start
adds. “Or once they make in all modes are scrambling to their transportation planning
it to a warehouse, their accommodate greater volumes. earlier. “Large bulk shippers used
unique size doesn’t fit the Yet another factor complicating to have to give carriers three to
racking configuration.” access to capacity for chemical five days notice,” says Bob Daymon,
Container sizes and shippers is the proliferation senior vice president of operations
packaging configurations of mergers and acquisitions in at Transplace. “They’re now being
can lead to ineffective space the industry. “A lot of mid-level required to give 10 days notice.”
utilization, and wasted companies are joining up together,” Chemical shippers and their
space costs money. So when says Michael Clark, executive vice service partners use various
companies source or design president, logistics, chemicals, and strategies to beat the capacity
packaging for chemicals, specialty products at KAG Logistics crunch. For instance, they use
they need to think about in North Canton, Ohio. “The strong information technology to
how the packaging will keep getting stronger. And, in anticipate the shipper’s upcoming
cube in transit, as well as in some cases, they demand a little needs and locate capacity that
storage and at the ultimate more from their supply chains.” meets specific requirements.
destination. Larger companies with well- “We’re investing more than
“That can help them designed supply chain strategies $150 million in technology in
drive out unexpected and have an advantage when it comes 2018 alone,” says Kroupa. Those
potentially significant costs,” to capacity, Clark says. For example, information systems help
Breinholt says. rather than serve customers from ChemSolutions find available
one supply point, today a big trucks and match the right
company might ship product from equipment to the right jobs.
multiple facilities. “Our technology can look at
“Big companies can take freight that’s being shipped and
advantage of capacity, where it make sure it aligns with customer
is, at any given time in the cycle,” needs,” he explains. “There’s also
he says. Big companies also have a security aspect to align tank
greater clout in the marketplace. requirements with any commodity
In addition, larger chemical controls the customer has in place.”
companies are becoming more ChemSolutions uses its
transportation management
system (TMS), called Navisphere,
to spot trends and understand
where capacity is available. “If we
have capacity from a carrier in
a specific area, for example, we
can relay that information to
customers and try to get ahead
of things,” Kroupa says. “We can
secure that equipment for them
ahead of someone else.”
In addition, the company uses
data analytics to understand
customers’ shipping patterns and
make preparations even before the The KAG Logistics support center serves all its drivers, field operations personnel,
customer places its orders. and customers.
Shippers also use technology
to forge closer relations with customers, not only for pack- far more transportation than a
carriers and 3PLs, so they can work aged chemicals, but also with bulk small chemical shipper, allowing it
together on challenges such as truck,” Umstead says. to strike better deals with carriers.
securing capacity. “Companies now In a third strategy, Transplace And it may be better equipped to
have the ability to more tightly has created a preferred shipper pro- spot opportunities.
manage the supply chain with their gram for chemical clients. The 3PL “Smaller companies sometimes
partners, through the availability surveyed carriers to find out what lack the broader network knowl-
of data and better collaborative they do or don’t like about serv- edge about what’s going on across
capabilities,”says Montanari. ing particular shippers and then all the chemical networks,” says
sent the results to its chemical cus- Clark at KAG Logistics. Some also
tomers. The survey shows, among lack the technology to take advan-
Planning Ahead other things, that carriers like to tage of that knowledge.
Transplace uses technology to take loads from shippers that: get
anticipate the needs of chemical drivers in and out of their facilities
shippers, start the planning pro- fast; offer amenities such as wi-fi, In the Know
cess early, and find opportunities lounges, and bathrooms; and let As a subsidiary of Kenan
for continuous moves. “We want to drivers park their trucks overnight. Advantage Group, KAG Logistics
know where the capacity is going, “Some shippers have taken steps has access to its company’s own
and how we can leverage it in a con- here to better accommodate driv- bulk liquid tankers, as well as a
tinuous loop,” Daymon says. ers,” Umstead says. large network of outside carriers.
Predictive analytics help The advent of ELDs is forcing KAG Logistics provides dedicated
Transplace anticipate seasonal shippers to become especially cre- transportation, managed logistics
demand spikes, or shorter spikes ative about eliminating driver services, truckload services, and
due to upcoming storms. “We waiting time. Shippers need to supportive services such as
usually know two weeks out if a establish drop trailer programs, or transloading from rail to truck and
hurricane is coming. How do we else implement sophisticated load inventory management.
prepare for that?” Umstead says. rack scheduling, Umstead says. In “We know what’s going on in
Obviously, that strategy applies load rack scheduling, a company the marketplace, and we have
to all kinds of commodities. “But pre-loads trailers before drivers processes and technology in
I see a lot of it specifically with arrive to pick them up, or times its place that smaller companies
chemical shippers,” he adds. loading to get the driver back on can leverage,” Clark says. The 3PL
Also, Transplace works with the road as quickly as possible. can also help smaller chemical
carriers to lock in capacity for For smaller chemical companies companies optimize their supply
shippers who need it regularly. competing for capacity against the chains.
“We’ve established several dedi- big guys, a partnership with a 3PL “They may not have enough
cated fleets among our chemical can help. A service provider buys volume for a large dedicated
For 25 years, Miller Intermodal Logistics Services, Inc. (MILS, Inc.) has been
a proven leader in supply chain and logistics. MILS believes in teamwork and
strategic planning to offer the most valuable innovations and technology to meet
all the challenges that face today’s industry. Safety, transparency and cost-effective
solutions are what we strive to provide to our customers.
Our services include:
I
with the shipper about, they can dentifying a hazardous material is the shipper’s first step, and
call our number 24/7/365,” Cobb frequently the most difficult. Of all the shippers’ responsibilities,
says. An employee will provide the requirement to properly classify a hazardous material
whatever assistance the owner- is critical. The other requirements are based on the proper
operator needs. identification of the hazardous materials.
On top of its certification HAZARDOUS MATERIALS SHIPPER RESPONSIBILITIES:
requirement, Landstar participates
in Responsible Care, a program ■■Determine whether a ■■Shipping papers
the ACC developed to promote material meets the definition ■■Emergency
health and safety. “A lot of the of a “hazardous material” response information
tank carriers are Responsible Care ■■Proper shipping name ■■Emergency response
certified, but many typical van ■■Class/division telephone number
transportation providers are not,” ■■Identification number ■■Certification
says Cobb. ■■Hazard warning label ■■Compatibility
Every year, a third-party ■■Packaging ■■Blocking and bracing
Responsible Care auditor visits ■■Marking ■■Placarding
Landstar to evaluate its processes ■■Employee training ■■Security plan
with an eye toward safety, When moving hazardous materials, many carrier and shipper
compliance, risk management, and responsibilities frequently overlap. When a trucker performs a
loss prevention. “Fortunately, we shipper function, the carrier is responsible for performing that
have met the standard every time,” function in accordance with 49 CFR. The cargo space of the vehicle
Cobb says. should be suitable for the material being shipped. The vehicle
No matter how careful its itself must be in sound mechanical condition. The carrier must
transportation partners are check to ensure that the material offered by the shipper is properly
about safety, ultimately a shipper described and packaged. In addition to the provisions of 49 CFR
is accountable for any mishaps Parts 100-180, interstate motor carriers of placarded loads must
involving its hazardous products. comply with the hazardous materials requirements in 49 CFR P.
“When you manufacture the
chemical, you can have the best HAZARDOUS MATERIALS CARRIER RESPONSIBILITIES:
safety protocols, the best people, ■■Shipping paper ■■Blocking and bracing
the best training, the best record,” ■■Placard and mark vehicle ■■Incident reporting
says Notarangeli. “But as soon as ■■Loading and unloading ■■Security plan
it leaves your direct control, your ■■Compatibility ■■Employee training
entire supply chain has to be
Source: Federal Motor Carrier Safety Administration
subject to those same standards.
That adds complexity, cost, and a
pretty steep layer of governance
and due diligence.” set of guidelines, he adds. controls for ground-level access,
Close collaboration is the Along with the safety issues which greatly mitigate slip and fall
key to getting safety right when attached to hazmat transportation, incidents, Haskins says.
working with service partners. many chemical shippers also With their eyes always fixed on
“The carrier has to have access to contend with safety issues that safety issues, while also searching
the same information the shipper are specific to bulk transportation, for new ways to improve capacity
has in terms of safety sheets and where loading and unloading can utilization, chemical shippers and
safety protocols,” Notarangeli be complex processes. MILS has their partners have a lot to watch
says. Ideally, service providers alleviated some of those concerns out for. If the chemical market
would join the chemical company’s by making a commitment to continues to heat up, they’ll be
employees for safety training, so redesigning the trailers in its watching even more intently, and
everyone is working from the same tanker fleet to include fixtures and needing to work even smarter.
A dynamic
business
partnership
that maximizes
shipping
predictability,
flexibility and
efficiency while
minimizing risks
and unforeseen
problems to create
a streamlined
supply chain so
your resins can
A plastic suitcase. be delivered
seamlessly to
customers faster.
SCSPA.COM
[email protected]
800.323.7587 www.chrobinson.com
M
ichael Curran-Hays clearly remembers a challenging
situation early in his career with global management
consulting firm Kepner-Tregoe. He was meeting with
an unusually intense client who squeezed a stress ball so hard
it popped out between his fingers.
“He also asked questions I wasn’t sure I knew how to answer,
so I called my mentor afterwards for advice,” recalls Curran-
Hays, now a global practice leader at the firm. “Being able to
get his input was huge.” It’s one reason he mentors junior col-
leagues today.
Senior supply chain professionals have long mentored less-
experienced colleagues and students informally or through
new-hire orientations or leadership development programs. But,
as the profession has grown and become better defined, the
mentor’s role has become even more important.
The field has expanded significantly beyond basics such as
purchasing, inventory management, fulfillment, and shipping
to include positions ranging from supply chain analyst to sus-
tainability manager. With the increase in job types comes a
more formalized career path that didn’t exist until recently.
“Supply chain is becoming a more mainstream career path
out of school,” says Tisha Danehl, a vice president at staffing
firm Ajilon in Chicago, with experience in filling supply chain
positions. “If you talk to anyone who has been in the field for
more than 10 years, they’ll tell you they fell into it after work-
ing in marketing, finance, or another area. But that is changing.”
The logistics boom and the resulting need to fill more jobs
with qualified applicants has contributed to increasing interest
in supply chain mentoring programs that help give high-poten-
tial but less-experienced employees and students a head start.
Industry associations APICS and the Council of Supply Chain
Management Professionals (CSCMP) offer two of the largest
mentoring programs. Just a few years ago, both began offering
supply chain mentoring programs that pair seasoned pros with
students or members who are new to the field.
The CSCMP program began mod- Feedback reveals that pairs meet as vice president of New York City
estly without the benefit of technology. needed via email or Skype, and that Transit’s Division of Supply Logistics.
Mentors and mentees complete ques- many pairs try to connect in person at At BlueGrace Logistics in Florida,
tionnaires that association volunteers industry conferences, too. where there are several in-house men-
use to make appropriate matches based toring programs, the process tends to
on desired industry, location, position, GETTING FACE TIME be face-to-face. A senior manager men-
and other factors. The program is cur- When three of APICS mentor Gary tors all new employees at the company’s
rently transitioning to a technology Smith’s student mentees were selected 11 locations as part of their orientation.
platform that will use algorithms sim- as APICS conference scholarship recip- One mentor usually has several men-
ilar to Match.com’s to pair veterans ients last year, he was able to meet with tees from different disciplines who often
with novices. The APICS program has them face-to-face for the first time. meet initially as a group to learn more
always used a technology platform but “That was exciting. Most of the time about the company and its culture
recently implemented a more power- we communicate with email because before eventually transitioning to email,
ful system. they’re all over the world,” says Smith, in-person, or telephone conversations
Their investment in more sophis-
ticated technology underscores the
value of their programs to respec-
tive members.
“Mentorship and career develop-
Coaching vs. Mentoring
ment are so important to APICS, and What’s the difference between coaching and mentoring? The biggest is
we wanted this program to give mem- that mentors are usually senior people who help those with less experience
bers value,” says Kathleen Schroeder, either navigate the company or develop their careers, while coaches help
APICS director of membership. people with a specific challenge. Coaching often includes training, while
“When we saw our program double mentoring is focused on advising.
every year since we started it in 2015, Are you a coach or a mentor? Take this short quiz.
we knew it was something big,” says 1. Do you meet or communicate on a flexible schedule that responds to
Heather Wood, CSCMP director of the other person’s need for information?
conference and event content. 2. Is your goal to help the other person acquire a specific skill?
3. Is there a significant experience or age gap between you and the
PLAYING MATCHMAKER person you’re assisting?
Both organizations provide an infra- 4. Is your relationship based on the fact that you do something very
structure that includes not only a well that the other person wants to learn how to do?
mentor-mentee matching service, but
also resources that help facilitate con- If you answered “yes” to questions 1 and 3 and “no” to 2 and 4, you’re a mentor.
Your role is to help develop the individual’s talent and guide a career path rather than
versations and recommendations for
teach them how to do something specific.
how to structure the mentoring rela-
tionship. The rest is up to participants.
The big data provided by blockchain technology enhances the safety and efficiency of
the food supply chain by allowing us to see an integrated flow for any item, regardless of
where it came from. We can go back to the start or right to the end. This increases safety
by keeping the entire supply chain visible; we’re able to track products through every step
of the process. It also boosts efficiency by helping us follow products all the way to the
consumer, so we know what people are actually buying.
5 Professional Certificates:
MASTER • Packaging Value Chain • Packaging Analytics
OF SCIENCE
• Packaging for Marketability • Packaging for Logistics &
Supply Chains
• Design for Packaging Value Chain
100 %
ONLINE gradbusiness.calpoly.edu gradbusiness @ calpoly.edu 805-756-2637
interest in what I do, but if it looks like informal situation, the value of men- Just as importantly, though, is how
they actually want to explore a change toring to the firm with about 100 it allows senior consultants to share
more seriously, I ask them to approach employees spread around the world institutional knowledge in a meaning-
their manager first. If it makes sense for is significant. ful way.
the individual and the company, we’ll “We don’t all work together at a cen- “If I had to sit down and talk with
continue the conversation,” Curran- tral location, so having these sessions you about how to put together objec-
Hays says. where we meet by Skype or in-person tives with measures and standards for a
Whether it’s an official new hire at a client location is huge for relation- supply chain engagement, you would
mentoring relationship or a more ship-building,” he says. be bored,” Curran-Hays says. “But if my
mentee called and asked for help with
a specific proposal, just the process of
working on it together more informally
Available online and at bookstores everywhere
makes that transfer of knowledge easier
Master
Master
Master of of
of Science
Science
Science inin
in
Supply
SupplyChain
Supply Chain
Chain
Management
Management
Management
Driving
Driving
Driving business
business
business success
success
success through
through
efficient
through efficient
business
efficient business
operations.
businessoperations.
operations.
• Develop
• Develop thetechnical
• Develop
the technical and
the technical
and managerial
and
managerialskills
managerial needed
skills
skills for success
needed
needed forfor
success
success
• AACSB
• AACSB accredited
• AACSB
accredited —
—the
accredited — standard
the the of excellence
standard
standard of excellence
of in business
excellence inin education
business
businesseducation
education
• Earn
• Earn youryour
• your
Earn degree
degree in
injust
degree just 1616
in justmonths
16 months
months
LEARN
LEARN MORE
LEARN
MORE AT AT
MORE
AT
fdu.edu/supplychain
fdu.edu/supplychain
fdu.edu/supplychain
Silberman
Silberman
College
SilbermanCollege
of Business
of Business
College of Business
251022510 SCM
SCM22510 Ad
SCMv2.indd
Ad v2.indd 1 1
Ad v2.indd 1 11/28/17 10:07
11/28/17 AM AM10
10:07
11/28/17
video
whitepapers
While raising wages is often presented as the solution to 1. Optimizing Networks to Improve Efficiency
this problem – at least until automated vehicles provide a At its core, the talent gap is a problem of supply and
more permanent solution – the challenge is complex and demand. Although the need to increase the supply of
requires a more comprehensive approach. drivers can’t be ignored, there is also an opportunity to
better manage demand. Demand is growing, but that
DHL Supply Chain has conducted its own research into the growth can be limited through a variety of tactics, including:
bit.ly/PurolatorInt
talent gap in the supply chain and that research sheds
some light on additional causes – and potential solutions – n Using expertise, analytics and software to optimize
to the current situation. When DHL Supply Chain asked networks and enhance transportation planning to
more than 350 supply chain executives to identify the make more efficient use of available capacity. Tactics
causes of the talent gap in the supply chain, nearly such as shipment consolidation and aggregation, and
70 percent listed “perceived lack of opportunity for career cross-docking, when applied properly, can reduce LTL
growth” and “perceived status of supply chain as a shipments, increase capacity and reduce miles.
profession” as having a high or very high impact on their
ability to find, attract and retain talent. n Advances in packaging that minimize over-boxing
have the potential to increase the freight that can be
It seems likely that these issues relate as much to drivers as transported within a trailer.
to other supply chain professionals. Addressing them
requires a multi-faceted approach that goes beyond n Ensuring intermodal options are fully considered can
bit.ly/OptimumExpend
leverages the technology and expertise that exists today to
maximize the use of available capacity.
Compliance
bit.ly/TalentGapDHL
DHL Supply Chain – Excellence. Simply delivered.
Purolator
Roadmap to Savings
Every product entering or leaving Optimum Expenditures GROUP Overcoming the Talent Gap
the United States must have a tariff
classification code that identifies the In this whitepaper, Optimum in Transportation
product at a glance. It’s part of the Expenditures Group uses a specific DHL Supply Chain
Harmonized System with pretty much case study to demonstrate how it was
Research suggests the potential for
the whole world in compliance. The able to help one company save almost
a truck driver shortage of 96,000 by
problem is that it’s not always easy 20 percent off its freight spending
2020. While raising wages is often
to determine which one of 9,000+ budget by simply analyzing various
presented as a solution—at least until
codes applies to a given product. Get aspects of supply chain transportation
automated vehicles reach commercial
it wrong and the border becomes a spending. By asking pointed questions
viability—the challenge is complex and
blockade, you’ve left reduced tariffs and evaluating both obvious and
requires a multi-faceted approach that
on the table due to trade agreements, hidden challenges, Optimum was able
goes beyond higher wages and signing
or you just plain overpaid and don’t to design a financial roadmap that
bonuses. In this paper, DHL Supply
even know it. Download this new was unique to this specific company.
Chain offers three solutions that can
whitepaper to better understand the Download now to learn more and find
make a difference.
classification system and its role in out how Optimum can help you find
ensuring proper compliance. extra savings.
whitepapers e-book
E V E R Y T H I N G PA S T
THE CLICK: 10
HACKS TO GROW
YO U R E CO M M E R C E
C O M PA N Y ( A N D
DO IT WITH A 3PL)
Shippabo
555 W. 5th Street 6F
Los Angeles, CA 90013
www.shippabo.com
2018 State of the Third-Party Everything Past the Click Optimize Your Supply Chain
Logistics Industry Report Evans Distribution with Ocean Shipping Best
3PL Central Practices
When establishing your e-commerce
store, it may be difficult to find time Shippabo
This report arms your warehouse with
the insights it needs to capitalize on to do all the tasks that are most Want to optimize your supply chain?
the industry-wide demand to provide important—such as providing customer Doing so can feel easier said than
a superior customer experience at service, marketing, packaging, done. Shippabo’s eBook walks through
every consumer touchpoint. You’ll shipping, order fulfillment, and other ocean shipping best practices to help
also learn how you can better support store elements. In this whitepaper, you get started. The eBook includes
omnichannel fulfillment, embrace the you’ll learn how to optimize your online critical elements of a successful supply
era of Big Data, improve your service presence, find time for shipping and chain, eight tips for optimizing your
with new partnerships, and more. fulfillment, and most importantly, how supply chain, and answers to common
a 3PL can help you amplify sales. shipping FAQs. Download it to
optimize your supply chain’s inventory
turn and pre-planning capabilities.
podcast
3PL – Chemical Logistics
3PL
Transplace • www.transplace.com
Transplace is the leading provider of transportation management services and
logistics technology, helping manufacturers, retailers and distributors optimize
supply chain operations and increase financial performance. Offering a complete
suite of transportation management, strategic capacity, and cross-border and
global trade services, Transplace’s customizable logistics solutions and best-in-
class technology give businesses greater control of their transportation operations
and enhanced visibility of shipments and overall supply chain performance.
CHEMICAL LOGISTICS
Chemical Logistics
CHEMICAL LOGISTICS
COLD STORAGE
FREIGHT FORWARDING
HAZMAT
PORTS
PROJECT LOGISTICS
Retail Logistics – Sustainability
RETAIL LOGISTICS
SUSTAINABILITY
Lynden • www.lynden.com
Over land, on the water, in the air—or in any combination—Lynden has
been helping customers solve transportation problems for almost
a century. Operating in such challenging areas as Alaska, Western
Canada and Russia, as well as other areas around the globe, Lynden
has built a reputation of superior service to diverse industries.
TMS – Warehousing
Ruan • www.ruan.com
With Ruan, you can take advantage of door-to-door shipping solutions without
the hassles and overhead associated with owning and operating your own
fleet of trucks. We have more than 5,200 employees operating, servicing and
coordinating some 3,400 power units and 5,600 trailers out of more than 100
locations throughout the continental United States. But you get more than just
drivers and equipment — we become an extension of your team, advocating
for your bottom line. Find out why the right partner can drive costs out of
your supply chain — call 866-RUAN-NOW or visit our Web site — ruan.com.
TMS
TRUCKING
WAREHOUSING
// Services //
SEKO Logistics expanded its White To accommodate intermodal rail Crowley Logistics opened an
Glove delivery offering by adding a cargo volume growth, South expanded warehouse in Miami,
full-assembly, nationwide service for Carolina Ports Authority (SCPA) consolidating the company’s Medley
heavyweight and bulky business- opened Inland Port Dillon, its and Doral facilities in Florida. The
to-consumer e-commerce products. second inland facility in the state. 180,000-square-foot warehouse
The new option includes installation, SCPA expects Inland Port Dillon features more than 5,000 pallet
setup, syncing smart devices, and to convert an estimated 45,000 rack positions and 95 container
removing packaging. Supported container movements from truck to parking spots along with a single-
by a 24/7 customer service center, rail in its first year of operation. direction truck flow to prevent
SEKO monitors deliveries around cross-traffic.
the clock.
AeroVironment, a supplier of
TMS software provider 3Gtms PayCargo, an online payment charging solutions for electric
teamed up with 10-4 Systems, a platform and provider of electronic forklifts, introduced PosiCharge
supply chain visibility technology invoicing and settlement solutions, ProCore OC, the newest addition
provider, to expand visibility and and Gemini Shippers Group, an to its intelligent charging family.
automation capabilities for its association of importers and It charges all forklift batteries,
users. The partnership lets 3Gtms exporters, unveiled an integrated regardless of type, chemistry,
customers track freight through a payment solution for shippers. The voltage, or size.
carrier integration or using 10-4’s new solution allows Gemini Shippers
mobile tracking solution. Group members to view, audit, and Rugged mobile device maker
pay freight invoices directly from its Xplore Technologies introduced
TMS provider Kuebix introduced platform. the Xplore M60, a 6-inch handheld
SupplierMAX, a program designed Android device for materials
to increase the efficiency of BDP International, a logistics handlers. Weighing 0.81 pounds, the
inbound freight operations. With and transportation services M60 is easy to grip for long periods.
SupplierMAX, companies manage company, updated BDP Smart It’s available with a built-in barcode
all or a portion of their inbound Tower to streamline visibility scanner.
freight and increase warehouse and maintenance of ISO tanks.
and distribution center efficiency The improved platform makes The latest solution from forklift
through strategies such as compliance easier and offers a maker The Raymond Corporation
consolidating LTL shipments into precise view of available assets increases productivity by weighing
full truckloads. when they are approaching a product directly on the walkie
warning stage where inspection is pallet fork. The Raymond Model
required. 8210, with an integrated mobile
weigh scale, is available in two
configurations: a legal-for-trade
configuration in adherence to
the National Type Evaluation
Program (NTEP) or in a non-NTEP
configuration.
in Partnership with
Multimodal Americas is a new event for the North American Supply Chain,
Logistics and Transportation industries alongside TIACA’s Air Cargo Forum
In one huge hall - over three action packed days - with
meetings, conferences, 1-2-1s, over 300 exhibits, networking
events and site visits - ACF and Multimodal Americas will be
the place to be in fall 2018.
Sponsors
WWW.MULTIMODALAMERICAS.COM
T: +1 610 486 6525 T: +44 (0)20 7384 7968 T: +44 (0)20 7384 7962
E: [email protected] E: [email protected] E: [email protected]
JUL Meeting
Professionals (CSCMP)
16
CSCMP EDGE Supply Chain
mwrailshippers.com | Lake Geneva, Wis. | JUL 16-17, 2018 Conference & Exhibition
cscmpedge.org
AUDIENCE: Rail shipping executives
FOCUS: Railroad operating practices; resolving AUDIENCE: Supply chain management
transportation and freight car supply issues; professionals
innovations in transportation and legislative matters; FOCUS: Real-world strategies to maximize
the North American oil & gas and petroleum supply and transform supply chains; global
chain and its latest impact on rail supply chain best practices; increasing
visibility; integrated business planning
Logistics
Search Resources AD_0115.indd 1 1/20/15 11:07 AM
Planning
Software
● Continuous Move Planning
● Backhaul Matching
● Fleet Deployment
● Network Design
● Routing and Scheduling
● Fleet Sizing
● Supply Demand Matching
● Paratransit Routing
1.855.472.7236
[email protected] • www.paradoxsci.com
Echo Cover 4
Chemical Logistics
www.echo.com/vote 888-514-8376
C.H. Robinson pg. 85
Lynden pg. 3 www.chrobinson.com 800-323-7587
www.lynden.com 888-596-3361
For a specific CLX Logistics pg. 81
response, contact Performance Team pg. 7 www.CLXLogistics.com 800-288-4851
these advertisers www.performanceteam.net 866-775-5120
directly. Please tell Dupré Logistics pg. 75
them you saw their ad in RR Donnelley’s DLS Worldwide pg. 9 www.duprelogistics.com 866-686-5478
Inbound Logistics. www.dls-ww.com 877-744-3818
Kenan Advantage Group pg. 77
Ruan pg. 11 www.kaglogistics.com 877-203-3283
For faster service, www.ruan.com 866-782-6669
go online: Landstar pg. 73
inboundlogistics.com/rfp Yusen Logistics pg. 43 www.landstar.com 877-696-4507
www.yusen-logistics.com 800-414-3895
Miller Intermodal Logistics Services pg. 79
www.MILS3PL.com 601-709-8000
Career Development/Education
APICS pg. 93 Cold Storage
www.apics.org 800-444-2742 CF Cold Storage pg. 29
www.cfcoldstorage.com 978-912-7480
Cal Poly pg. 91
www.gradbusiness.calpoly.edu 805-756-2637
JobsinLogistics.com pg. 94
Events
www.jobsinlogistics.com 877-562-7678
CSCMP Annual Conference pg. 35
www.cscmpedge.org 630-574-0985
Bold Shoulder
shoulderX is an industrial
arm exoskeleton developed
by US Bionics in collaboration
with UC Berkeley. shoulderX
reduces gravity-induced
forces at the shoulder level,
enabling the wearer to
perform chest- to ceiling-
level tasks for longer
durations and with less
effort. It can be tuned for
different levels of support
and can help with tasks
Firm Grasp
such as picking, inspecting,
paneling, and overhead With potential uses in
assembly. materials handling and
Put Your Back Into It manufacturing, the
E x o sk e l e t o ns — e x t e r nal RoboGlove increases the
braces providing lower-back wearer’s strength and
Instantly Seated endurance. Researchers at
support—are already being
put to work by logistics provider Extra-long warehouse shift? No problem. Swiss company Noonee the NASA Johnson Space
GEODIS at its warehouse in developed the Chairless Chair, an exoskeleton for workers’ legs Center, in collaboration
Venlo, the Netherlands. Using that lets them sit at the push of a button. The aluminum and with General M otors,
a spring system that acts as a carbon fiber exoskeleton weighs about 4 pounds, so it doesn’t designed and developed
counterweight, the exoskeletons impede workers’ movements. When they want to sit, the chair this lightweight robotic
supp o r t w o r ker s’ lo w er stiffens, giving them a spot to rest wherever they are, keeping glove with pressure sensors
backs as they lift and carry their backs straight and saving on the floor space that a chair that give users a sense of
objects during pick- and-pack would have taken up. touch or haptic feedback.
activities. When the employee The glove is compact and
bends over, the spring pushes self-contained; actuators,
back, reducing the load on the pressure sensors, and
back by 40 percent. While this synthetic tendons are
exoskeleton is passive, GEODIS embedded.
is looking into an active version
that would support employees’
arms as well.
Last year you voted us #1 because every day our team members use
their passion and industry expertise to solve problems and simplify
your transportation management. Armed with our advanced technology
and extensive network, they work hard to be your superheroes.