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Logistics Intelligence Brief
Tuesday, January 4, 2022


Trucking by the Numbers 2021: A supply chain in crisis

Fleet Owner December 29, 2021

For this year’s Trucking by the Numbers package, we’ve done our best to set the stage for some of the new challenges and emerging trends as the trucking industry continues to navigate the current supply chain crisis. Sections in the downloadable PDF (available by clicking the download link below) are broken up by overview, drivers, equipment, emissions and efficiency, traffic, and safety.
Link: Fleet Owner Trucking By The Numbers 2021

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Tech demand leads to ‘buy and build’ push for 3PLs

The Journal of Commerce Eric Johnson January 3, 2022


Virtually every third-party logistics provider (3PL) these days talks in terms of technology investment being an “all of the above” scenario — meaning they can’t confine themselves to purely building everything themselves, nor can they only use off-the-shelf software.
Ohio-based freight broker Kingsgate Logistics is a prime example of this hybrid approach. The company has for the past two years invested in a proprietary transportation management system (TMS) for its shipper customers, a system it calls Compass, but has bolstered that with data and applications from outside providers.
“We have the ‘build it or buy it’ conversation a lot,” Tom Curee, Kingsgate’s senior vice president of strategy and innovation, told JOC.com. “We know how much it costs to have a developer build it, and we learned the lesson quickly that it’s ‘build and maintain, or buy.’”

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Air cargo supply chains are expected to remain under pressure

Logistics Management Patrick Burnson January 3, 2022

Air cargo industry analysts observe that as ocean peak season cools off, air peak season heats up.
This year, air rates are feeling even more upward pressure than usual from reduced passenger jet capacity – which could be made worse by omicron fears – and congestion due to labor shortages among overwhelmed ground crews. Strict quarantine restrictions in places like Hong Kong are also complicating operations for many air cargo providers.

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Supreme Court to Hear Vaccine Mandate Challenge This Week

Truckinginfo.com Deborah Lockridge January 3, 2022

The U.S. Supreme Court is returning to the bench early to hear a challenge to the Biden administration’s COVID-19 vaccine/testing requirements for larger employers. The trucking industry is among those groups watching the situation closely.
The justices had not been scheduled to return until Monday, Jan. 10, according to the New York Times, but scheduled a special session on Friday, Jan. 7, to hear the challenge.
At issue is the Occupational Safety and Health Administration’s emergency order directing businesses with 100 or more employees to either require workers to be vaccinated against COVID-19 or implement weekly testing programs.

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IDC research makes the case for AI-driven supply chain forecasting

Logistics Management Jeff Berman January 3, 2022

IDC’s analysis of the need for improved forecasting pulls no punches, in explaining that manufacturers have been running supply chains for centuries, and, for nearly that entire period, it is something that they have agonized over, with this zinger to complete the working thesis: “The only thing that has been universally true about any forecast is that it will be wrong.”
Maybe that is a little bit harsh (and humorous), but it is not incorrect either.
IDC goes on to observe that supply chain planning falls into three categories: short-term, focused on operational planning; medium-term, focused on tactical planning; and long-term, focused on strategic planning
The underlying theme of each of these categories, it observed, is that they each play a part in determining drivers such as capacity, suppliers, and inventory, with the caveat that as the supply chain gets closer to a particular event, it results in an improvement in precision, but not to the point of 100% accuracy either.

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