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Empty dealership lots. Long waiting lists for new vehicles. Higher prices for both new and used cars. The semiconductor chip shortage hit the auto industry hard, impacting manufacturers, dealers, and consumers alike: Consulting firm Alix Partners has estimated that the shortage will cost the automotive industry $210 billion in lost revenue in 2021, $100 billion more than the firm’s initial estimates. AutoForecast Solutions projects that 11.3 million vehicles will be cut from production plans before the crisis is resolved. Additionally, some experts anticipate that shortages will last at least into 2023, with Cox Automotive estimating that it will take at least until 2025 for the...

110 million packages a day. That’s FedEx’s prediction for the domestic package market in 2022. Before the coronavirus pandemic, the company didn’t believe volume would rise to that level until 2026. The major contributor to that growth? eCommerce, to the tune of 86%. Of course, all this demand means more logistics, including freight for inventory and supplies. To handle these moving parts—and optimize operations—companies are looking to managed transportation services. Under that umbrella, Logistics as a Service (LaaS) has emerged as a newer solution on the market. eCommerce companies may primarily leverage LaaS solutions around delivery and return flow for finished goods. However, some companies...

As the freight industry looks to green technology for sustainable solutions, electric vehicle (EV) solutions were on full display at CES 2022. Alongside innovations in digital health, food tech, gaming, and smart home applications, companies exhibited heavy-duty battery-electrics and hybrids alongside lighter duty last-mile vans and even autonomous platforms for closed logistics ecosystems. Unlike some of technology that’s unveiled at CES, some of these EVs are not only already in production but also currently in commercial use. In other words, the EV tech displayed at this year’s CES was both strong in concept and reality. Ultimately, these entries offered new promise that EVs might finally...

In a competitive environment, many businesses search in earnest for anything that can offer them a strategic edge. In these situations, their eyes often turn to their supply chains. Some organizations consider optimizing what they already have. Others, look further afield to ask how supply chain integration strategies can help them gain a stronger foothold in their niche. In this article, we’ll take a closer look at the concept of supply chain integration. What is it? And how can your business leverage supply chain integration to get an edge in your marketplace? We’ll start by setting the groundwork with a few definitions. What Is Supply...

A little while ago, we tackled the question, “Why is the supply chain so messed up?” Despite efforts from local officials, California Governor Gavin Newsom, and even President Joe Biden’s administration, there’s still significant congestion at the Ports of Los Angeles and Long Beach. For our part, we’ve been hearing from a number of shippers looking for drayage solutions to get their containers out of the ports. A few key statistics lay out the current state of affairs: 82% increase in average end-to-end transit time from China to the U.S. Due in large part to port congestion, U.S.–China ocean freight transit time has increased considerably,...

As a business grows, its supply chain operations can get geometrically more complex. If you’re only shipping a few loads a week, though, you might not need a transportation management system (TMS). However, if you move a significant number of loads via several different modes from several different origin points, a TMS could be a vital tool to help you plan, execute, and analyze all of your supply chain activities.  Transportation Management System (TMS): A software platform that helps businesses optimize their supply chain activities, specifically around the movement of goods. Both shippers as well as 3PLs may leverage these systems to streamline operations.  If you’re considering a transportation management system for your business, we’ll walk you through the major benefits. You’ll see how other operations leverage...