For months now, there has been an undercurrent of trepidation in the parcel market. Shippers everywhere have been nervously watching the clock, counting down the days until the current collective bargaining agreement between UPS and the Teamsters union expires. That deadline is rapidly approaching, and the WSJ is reporting that UPS has indeed begun negotiations …
Network Optimization: UPS Begins Negotiations with Teamsters Read More »
“What I’m saying is, we want to make fewer trips to Mars.” FedEx Ground CEO John Smith Based on internal projections, FedEx predicts their trucking fleet will cover 3.4 billion miles this year, or roughly 100 trips to Mars. This absolutely absurd amount of travel has forced them to start restructuring their current business units: …
Network Optimization: Restructure to Move Forward Read More »
Timing is everything. For the past few years, many companies have been in survival mode, weathering the supply chain storm that came with the Pandemic and heightened geo-political upheaval. But as the WSJ notes in their latest Logistics Report, the storm may finally be breaking. Businesses across various industries are starting to see an easing of …
Supply Chain Optimization: Strike While The Iron is Hot Read More »
As we enter Q4, it’s time to Go Bid or Go Home. In the latest report from the Logistics Manager’s Index, transportation capacity continues to rise, as businesses sit on already overstocked inventories. Per the Wall Street Journal, freight rates are plummeting from the historic highs of the previous year, as ocean shippers cancel record …
In the latest report from the Logistics Manager’s Index, data from around the country indicates that transportation capacity continues to increase, a massive shift from the previous two years when carriers were struggling to keep up with demand. Coupled with the fact that inventory doesn’t seem to be a problem right now, this trend leaves …
Bid Management: Three Steps to a Better Contract Read More »
The United States Postal Service recently announced that, starting in October 2022, it will put an end to its 30-year-old Reseller Program. The program offered discounted rates to smaller shippers, creating a competitive alternative to the national duopoly of FedEx and UPS over the past few decades. The cessation of the program means that companies …
A decade ago, in her book Ninety Percent of Everything, author Rose George documented the time she spent traveling between continents aboard a cargo vessel. She attempted to shine a light on the international shipping industry, and highlight how this oft-overlooked sector influences nearly every aspect of the modern world. Today, almost ten years after …
Freight Spend Management: Take the Wheel and Steer Read More »
Optimization: The action of making the best or most effective use of a situation or resource. While it may be exaggerating to say the sky is falling on the logistics industry right now, we’re not far off. All across the globe, businesses are scrambling to keep up with customer demand, while their supply chains …
How Does Parcel Contract Negotiation Work? There are a lot of factors to consider when choosing a parcel carrier: service, punctuality, quality, etc. All these things are important, and they all influence the relationship between shippers and their carriers. But, if you asked decision makers what the most important factor is when it comes to …
The carriers are announcing their General Rate Increases (GRIs) for next year, but what can you expect, exactly? As you create your 2020 budgets, don’t rely on the average increase that the carriers publicize. Those figures don’t take into account the details that contribute to your actual increases. There are many factors to consider, such …
