PLS Blog

Stay ahead of the latest trends in logistics and transportation

The price of diesel fuel will play a heightened role in transportation rates in the next couple of years. Fuel costs are always an important indicator of over-the-road (OTR) shipping costs, but a perfect storm of events will make diesel prices more important than ever before.
Over the last 30 years, the American population has increased 35%. It’s expected that 70% of the world’s population will live in cities by 2050. These facts amplify the pressure to correct infrastructure in order to support the movement of goods and people, and minimize related environmental impacts.
The Commercial Vehicle Safety Alliance (CVSA) will conduct its 29th Annual International Roadcheck from June 7th – 9th. The Roadcheck is the largest of its kind, covering all of North America.
Driver Shortage Worsens for Truckload Fleets. For the year, turnover averaged 79% at smaller fleets and nearly 95% at larger fleets. The turnover rate shows that the driver market remains a serious challenge for truckload fleets. Among LTL operators, turnover was 11% for the fourth quarter and for the full year of 2015. (Haven’t felt the effects of the driver shortage? Click here to find out what’s going on with freight rates and driver’s pay.)
Transportation rates are near their lowest point and are expected to rise later this year. New forecasts predict rising contract and spot market rates caused by numerous economic and regulatory factors – which will create tough conditions for shippers to negotiate rates. Shippers who don’t lock down rates now could miss out on a great opportunity.
The US transportation system moves more than 54 million tons of goods worth nearly $48 billion each day. Freight tonnage is expected to increase by 45% by 2050. In the US, nearly 70% of all freight tonnage is moved by trucks.
Shippers are always looking for opportunities to easily reduce transportation spends. One of the best ways to drive logistics-related savings is by reviewing processes and using technology. Shippers who review supply chain processes and transportation performance, while taking advantage of historical and real-time data, will eliminate costs without an effect on efficiency. It’s important to define your logistics goals for a successful freight assessment.
Transportation is vital to CPG operations. In fact, in a recent study, 83% of supply chain leaders in the CPG industry say transportation is their top concern. The CPG supply chain has become more complex and consumer demands are driving the need for transportation efficiency.
The trucking industry is adjusting as fuel prices fluctuate, the driver shortage continues, and new regulations are authorized.
Efficiency in the international cargo transportation network is a critical factor for the health of the global economy. It’s no secret that U.S. ports lack in efficiency, capacity, and technology compared to Asian and European ports, especially since the arrival of megaships.
For decades, U.S. infrastructure has been supported by last-second, short-term funding that’s been far from adequate. The recent implementation of the Fixing America’s Surface Transportation (FAST) Act was a much-needed boost in funding, but shocking new statistics from the DOT have brought into question whether it will be enough to stabilize our crumbling infrastructure.
Logistics technology is increasingly valuable. Warehouses, trailers, and operators use technology to improve productivity, efficiency, and service.
Supply chain costs are controlled by management and strategy. You can keep costs down by managing every step in the supply chain process. To find reductions in supply chain costs, supply chain strategies have to align with customer expectations and business goals.
2014 Traffic Costs Industry $49.6 Billion. US highway traffic congestion added billions of dollars in operational costs for the trucking industry. More than a dozen states experienced congestion costs of more than $1 billion. 89% of the congestion happened on 12% of roads. The ATRI’s analysis showed that trucks were delayed more than 728 million hours.

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