The driver shortage is starting to squeeze shippers even more tightly as the first official week of the ELD mandate enforcement comes to a close. With the tariffs and advancements in detention pay, shippers that are already seeing their profit margins shrink need to start looking into supply chain solutions that will help them become more flexible. Here are 5 articles from this week to help get you started.
With the right partnerships, shippers can find space even in the tightest of markets. Journal of Commerce featured NEXT Trucking’s new partnership with the MOL Group this week, highlighting the capacity benefits that the deal would provide to overseas vendors. At a time when trucker volume is getting tight, we’re proud to deliver a one-stop logistics and shipping solution for on-the-road trucking, warehousing, and drayage to customers in and out of the U.S.
2018’s forecast looks bleak for shippers’ profit margins. Bloomberg reports on the impact a driver shortage increase in the wake of official ELD enforcement could have on spot rates and contract prices this year. The article also looks at how the ELD mandate is affecting drayage drivers and the industry conversations concerning the mandate.
The announcement of recent tariffs on U.S. products has left the manufacturing, agricultural, and transportation industries feeling pressure from increased costs and a potential trade war with China. Logistics Management published a column breaking down the potential impact these tariffs could have on these industries with expert insight on what the end result of this tariff war could potentially be.
With technological advancement, detention pay could cut further into shipper earnings. This piece from Overdrive features a new “smart contract” system that uses geofencing and GPS to track if a driver has been waiting for a load for more than two hours. It’s a smart way to kick slow shippers into high gear and force them to improve their supply chain efficiency.
If your profit margins are at risk of being hit by the shortage and ELDs, a quick way to look at ways to optimize your supply chain is by using data. This column from Inbound Logistics looks at how you can use data about your employee output to encourage better performance, as well as improve warehouse security.