Is Transportation coming back to “Normal?”

Truck rates are down, ocean carriers are charging less (See graph) and package volume is down. Does this mean we are returning to a more normal time?  My answer is “no.”  There are a number of new and not-so-nice headwinds or factors, affecting supply chain: Lower labor participation rates haven’t gotten back to 2019 levels. […]

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More humping

While 2 unions are threatening a walkout this week, if there isn’t a stoppage, there will be more humping. Even if there is a stoppage, when they come back to work, there will be more humping. Before your mind goes in the wrong direction, humping is a way of sorting rail cars onto trains that […]

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How technology is eliminating deployment volatility and high-cost freight

LevelLoad and AutoO2 eliminate deployment (e.g. from plant to customer-facing distribution centers) volatility using a combination of:  Tendering early smooth freight volumes over time by pushing lower-priority deployment demand to a later day and pulling forward more-needed replenishments Intelligently prioritizing the use of limited carrier and site capacities across the network The Transportation Planning suite created by […]

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Are you targeting a payload that is too low?

I advocate weighing the trucks to see where payload targets should be set.  Here is a sample of refrigerated trucks from major carriers in 2021: What does this tell you?   In this sample, which was large enough to be valid, 69% of all trucks could carry more than 45,000# and 77% could carry more […]

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Freight rates on their way down?

The Cass freight index appears to show expenditures and Shipments tracking fairly closely. The same is not true for bulk ocean freight. The London-based Baltic Exchange index is a weighted average based on 11-20 international ship routes and three commodities – coal, iron ore, and grain that measures the spot market for ocean shipping. Capesize […]

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This week diesel price, comparing last week´s and the last year´s

Obvious yes— but it still hurts

American Transportation Research reports trucking operating costs = $1.855 per mile, a 12.7% year-over-year increase only slightly offset by a 14.8% decrease in deadhead mileage   Trucking companies hired about 73,000 new workers in the 12 months ended in July. In a time of shortage, how did they do that? Econ 101 says — “simply […]

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Press Release

    ProvisionAI and Kimberly-Clark Project EARL recognized as CSCMPInnovation award finalist for solving costly transportation volatility challenges   Franklin, TN – (July 15, 2022) Kimberly-Clarks Project “EARL” (Early Tendering and Leveling) is a collaboration with Transportation | Warehouse Optimization (T|WO) and ProvisionAI. EARL has successfully solved a major and costly problem that many consumer-goods […]

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Many major shippers suffer high-cost, spot freight

Many major shippers suffer high-cost, spot freight   Congratulations Kimberly-Clark for being a finalist for the CSCMP Innovation Award! Many major shippers suffer high-cost, spot freight — they did something about it:  Project EARL (Early Tendering and Leveling).      AutoO2 and our sister company’s LevelLoad are the underlying technologies driving the savings.    Call Tom Moore 615 791-8000 […]

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