In a world so reliant on digital technology, we often expect (and hope) that our software will be stable. Yet even the most reliable technology platforms can falter. Take the recent digital disruption felt by businesses affected by the CrowdStrike global outage for example.
The recent global outage involving CrowdStrike, one of the world’s leading cybersecurity companies, was a stark reminder that no system is entirely immune to disruption. It’s a harsh reality, but one we need to face head-on. Here’s how the recent outage affected businesses and, most importantly, some essential tips to ensure your operations remain resilient. Read on to safeguard your company’s digital future.
Crowdstrike Global Outage Event
On July 19, 2024, CrowdStrike released an update for its Falcon Sensor software. The update caused a significant global IT outage, crashing millions of Windows computers and displaying what you might otherwise know as the “Blue Screen of Death.”
Around 8.5 million systems worldwide were affected. The outage interrupted businesses of all kinds, including airlines, healthcare, banks, and more. Here are a few examples of the disruption the outage caused.
Airlines
At LaGuardia Airport, the outage caused their baggage handling system to fail, causing significant delays and widespread operational disarray. Wait times were extensive, and many passengers missed their flights.
Delta Airlines was the largest airline affected by the outage. The company had to reset over 40,000 servers and manually cancel 5,000 flights, losing over 500 million dollars in revenue.
Healthcare
Hospitals like the Mayo Clinic, Cleveland Clinic, and Mass General Brigham faced system crashes that affected patient care and administrative functions. Electronic health records went offline, delaying medical procedures and patient admissions. The estimated financial impact on the healthcare sector alone was around $1.94 billion.
Banking
Financial institutions like JPMorgan Chase and Bank of America suffered considerable downtime. Transactions, online banking services, and customer support were affected. The inability to process anything led to customer dissatisfaction and financial losses. The estimated impact on the banking sector contributed heavily to the global economic damage totaling at least $10 billion.
Preventing Digital Disruption in Your Business
The CrowdStrike global outage underscored the importance of being prepared for the unexpected. While such events may be rare, businesses should understand that no service is exempt from disruption. But don’t panic. You can use the practices below to reduce any impact should an incident like the CrowdStrike outage ever happen.
Have a Strong Incident Response Plan
A well-structured Incident Response Plan (IRP) is crucial for navigating outages. For many businesses, the CrowdStrike outage was a wake-up call about the importance of having a detailed IRP. Most organizations now have plans for cyber threats but remain unprepared for a service outage.
Organizations need well-defined and practiced IRPs. An effective IRP ensures faster recovery and coordinated actions during outages.
A proper incident response plan should have the following components:
- The organization’s incident response strategy and how it supports business objectives
- Roles and responsibilities involved in incident response
- Procedures for each phase of the incident response process
- Communication procedures within the incident response team, with the rest of the organization, and external stakeholders
- How to learn from previous incidents to improve the organization’s security posture
Without a solid IRP, chaos can arise when essential tools and services go down. Time is so critical in these kinds of situations. Companies that don’t respond to incidents fast often face increased downtime and direct revenue loss.
According to a SANS report, companies without a proper IRP take 54 percent longer to contain incidents that cause downtime. Additionally, a study from Ponemom Institute found that organizations without an effective IRP team experienced 54 percent more downtime compared to those with one.
Having an IRP in place is crucial, but the second most important aspect is testing it often! This ensures that the plan is effective, team members are familiar with their roles, and potential gaps are identified before an actual incident occurs.
Practicing the IRP should be done annually or after a major change to your process. Planning and organization are the only ways to mitigate significant disruption. It’s always best to be prepared for the worst!
Review Your Software Deployment Practices
Deploying new software can be a very complex process, especially when it is dependent on other applications or systems. The CrowdStrike global outage was caused directly by this issue, as it was dependent on the Windows operating system.
Here are some best practices for establishing an effective deployment process.
Develop a Patch Management Policy
Define a comprehensive policy that details the procedure for managing patches, specifying roles, responsibilities, and schedules.
Inventory Assets
Keep an updated inventory of all hardware and software assets that need patching.
Prioritize Patches
Assess and schedule patches based on the severity of vulnerabilities and the importance of the systems they impact.
Before deploying patches to production environments, test them in a controlled setting. This way, you can be sure they won’t cause any issues.
Automate Patch Deployment
Automated tools are excellent for streamlining the patch deployment process. This can reduce the risk of human error and ensure timely updates.
Monitor and Audit
Continuously track the patching process and audit patch deployments to ensure compliance and effectiveness.
Have a Rollback Plan
Have a rollback plan in place. This allows you to revert to a previous state should a patch cause problems.
Keep a Vendor Patch Schedules
Stay informed about each vendor’s patch release schedule to plan and prepare for upcoming updates.
Document Everything
Keep detailed records of all patching activities, including what was patched, when, and by whom.
Assess Your Vendor Relationships
Periodic assessment of third-party vendors is necessary to ensure resilience. The CrowdStrike outage has prompted many organizations to reconsider their vendors. Businesses should assess vendor relationships to confirm they meet the organization’s risk tolerance and operational needs.
Scheduling annual assessments can help keep this task from being forgotten. Assessments should include one for vendor risk and a security questionnaire.
Vendor Risk Assessment
This assessment evaluates the potential risks that the vendor may introduce to your organization. This includes understanding the vendor’s operations, data handling practices, and risk profile.
Security Questionnaire
This should be comprehensive and help you understand the vendor’s security policies, practices, and standards. Topics may include encryption, incident response, access controls, and employee security training.
Consider Diversification
Companies may wish to review their diversification processes when relying on critical software to run their operations. As highlighted by the CrowdStrike outage, over-dependence on a single software solution can expose the business to significant risks. This can include operational disruptions due to software failures, security vulnerabilities, or vendor instability.
Software diversification helps you not be reliant on one system. This can provide contingency options and flexibility in the face of unexpected challenges. By incorporating several complementary software tools or services, companies can enhance resilience, maintain business continuity, and mitigate potential risks.
Building Digital Resilience in the Face of Uncertainty
While incidents like the CrowdStrike outage can be rare, their impact can be severe. The unpredictability of such events can be scary, but with these proactive practices, there’s little to fear. Remember, a resilient business is a prepared business. By taking these steps, you can protect your operations and buckle in for a smooth ride in the digital landscape.
Get More Content Like This In Your InboxABOUT THE AUTHORS
Willy Rojas
Engineer II, Infrastructure
Willy has been with Trinity Logistics for eight years. He’s held several other IT positions while here, starting as a Service Desk Intern to Senior Service Desk, IT Systems Administrator II, and Infrastructure Engineer II. Willy finds cybersecurity fascinating because it’s often changing and giving him something new to learn. He also finds satisfaction in knowing that the work he does every day is important, from keeping confidential information secure to keeping business operations running smoothly.
Dustin O’Bier
Manager, Infrastructure
Dustin has been working at Trinity for 21 years. Previous positions he’s held include Help Desk Specialist, System Administrator I, Senior System Administrator, and IT Systems Manager. Dustin enjoys the collaborative aspect of his role. He loves working alongside a team of people to solve complex problems. Dustin’s main focuses as Manager in Infrastructure cover three distinct aspects; the Core Infrastructure of the Regional Service Centers (RSCs), Security, and the company’s Cloud practice. He finds each focus brings a unique set of challenges, making his role dynamic and engaging.
Trinity Logistics, a leading third-party logistics provider (3PL), is thrilled to share that its Technology Team has been recognized as one of the Top 10 Technology Teams by OnConferences. This prestigious award honors organizations that have demonstrated exceptional innovation, technical expertise, and a commitment to delivering leading solutions.
Trinity’s Technology Team plays a vital role in supporting the company’s operations and delivering exceptional service to its clients. The Team is responsible for developing and implementing cutting-edge technology solutions that enhance efficiency, improve customer service, and drive growth.
“The Trinity Technology Team continues to deliver innovative solutions driving business outcomes and effectively supporting our Team Members,” said Russ Felker, Chief Technology Officer at Trinity Logistics. “From cybersecurity to integrations to data availability to custom development, they consistently provide exemplary service and support for Team Trinity and its partners.”
OnConferences is a leading provider of educational conferences and networking opportunities for professionals across many industries. Its Top 10 Technology Teams award is determined through peer and community voting. Voters are instructed to select teams that they have seen make a significant impact on their own organization or within the broader industry, contribute to their professional community through thought leadership, drive innovation, and demonstrate exceptional leadership.
Trinity’s Technology Team and their dedication to excellence, innovative practices, and leadership have set them apart as a top-performing team. The Team has made remarkable achievements like a full migration to the cloud in only eight months, multiple new customer and vendor integrations, improved and differentiated functionality within Trinity’s custom Transportation Management System (TMS), and increased data availability for Team Members and the company’s Agent partners. These accomplishments helped them stand out from the rest of the submissions, distinguishing them as an outstanding Team.
Trinity Logistics is committed to investing in purposeful technology and great talent to ensure its respected culture and exceptional service stay at the forefront of its continued success. As the company continues to grow and evolve, this recognition serves as a testament to that ongoing promise.
LEARN MORE ABOUT TRINITY LOGISTICS TECHNOLOGY VIEW THE FULL LIST OF WINNERSAbout Trinity Logistics
Trinity Logistics is a Burris Logistics Company, offering People-Centric Freight Solutions®. Our mission is to deliver creative logistics solutions through a mix of human ingenuity and innovative technology, enriching the lives of those we serve.
For the past 45 years, we’ve been arranging freight for businesses of all sizes in truckload, less-than-truckload (LTL), warehousing, intermodal, drayage, expedited, international, and technology solutions.
We are currently recognized as a Top Freight Brokerage by Transport Topics, a Green Supply Chain Partner by Inbound Logistics, and a Top Company for Women to Work for in Transportation by the Women in Trucking Association.
About OnConferences
OnConferences is a leading organization that connects top professionals across various industries, promoting collaboration, innovation, and thought leadership. Through conferences, awards, and networking opportunities, OnConferences provides a platform for executives and organizations to exchange insights, fostering growth and development within their respective fields.
Trinity Logistics, a leading third-party logistics provider (3PL) offering logistics and supply chain solutions, proudly shares its recognition as a Top Company for Women to Work for in Transportation by the Women in Trucking Association (WIT) for the sixth consecutive year.
This prestigious honor highlights companies that demonstrate a commitment to gender diversity, inclusivity, and career advancement for women in the transportation industry. Trinity Logistics ranked highly in these areas, and the nomination was validated by an industry-wide vote involving over 31,000 transportation professionals.
“As someone who has spent my career in male-dominated industries and being relatively new to Trinity with just over two years here, I feel an immense sense of pride that Trinity has been recognized for the sixth consecutive year as a Top Company for Women to Work for in Transportation,” said Carlie Crouch, Director of Talent Management at Trinity. “There is a deep sense of understanding and support at Trinity—as mothers, coworkers, and friends. The ability to balance all aspects of my life while feeling seen and heard as a woman is something I truly value. As the Director of Talent Management, I enjoy sharing with future team members the incredible opportunities available at Trinity for women to thrive and succeed. I’m proud to be part of Team Trinity.”
Key features that distinguished Trinity Logistics included its positive and family-friendly culture that supports diversity, competitive pay, quality benefits for employees and their families, ample time off, flexible work arrangements to encourage work-life balance, and extensive professional development opportunities.
“This achievement reflects our commitment to creating an inclusive environment where every Team Member can thrive,” said Amy Proctor, Senior Vice President of Logistics Solutions at Trinity. “We continue to empower our Team to reach new heights. In my own journey here, I’ve seen firsthand how our culture of collaboration and growth makes a real difference. The opportunities for leadership development, mentorship, and professional growth have shaped my career and allowed me to contribute in meaningful ways. It’s inspiring to see the impact women have across our company and I’m proud to be part of a Team that champions opportunity for all.”
To date, Trinity employs over 400 Team Members across six Regional Service Centers, with more than half of them being women. Notably, 16.7 percent of these women hold management or leadership roles, including the current President, Sarah Ruffcorn, who also serves as co-chair on the Women in Logistics Committee with the Transportation Intermediaries Association (TIA).
“We’re incredibly honored to receive this award for a 6th year!” said Sarah Ruffcorn, President of Trinity Logistics. “This achievement reflects our amazing Team that continues to live and create a culture in which anyone can thrive. We’re proud of our efforts to continuously offer a supportive environment, ensuring our Team Members have the opportunity to succeed and grow.”
Trinity Logistics thanks WIT for the recognition and wants to congratulate all the companies that made the list.
LEARN MORE ABOUT TRINITY LOGISTICSAbout Trinity Logistics
Trinity Logistics is a Burris Logistics Company, offering People-Centric Freight Solutions®. Our mission is to deliver creative logistics solutions through a mix of human ingenuity and innovative technology, enriching the lives of those we serve.
For the past 45 years, we’ve been arranging freight for businesses of all sizes in truckload, less-than-truckload (LTL), warehousing, intermodal, drayage, expedited, international, and technology solutions.
We are currently recognized as a Top Freight Brokerage by Transport Topics, a Green Supply Chain Partner by Inbound Logistics, and holds a bronze sustainability rating by EcoVadis.
Stay up to date on the latest information on conditions impacting the freight market, curated by Trinity Logistics through our Freightwaves Sonar subscription.
Feels like 2022
For the majority of this year, volumes have seen their traditional seasonal patterns and have been trending above 2023 levels. Many have commented that market balance will be driven more by carrier attrition versus an event that spurs freight volumes.
2022 was a pretty good year from an industry standpoint. Volumes were still elevated (certainly not like we saw in 2021) and capacity was inline. While it may be a blip on the radar, we have now seen the Outbound Tender Volume Index eclipse 2022 levels for the first time in two years as seen in Figure 1.1.
I think it is still too early to pin the volume uptick on the interest rate reduction or the recent hurricanes that severely impacted states in the southeast, but these events, and any potential storms that might still pop up (hurricane season isn’t quite over yet), could impact freight volumes in the coming months. Combined with consumers continuing to spend, volumes could remain consistent through the end of the year versus following their traditional end of year downward movement.
FINE….FOR NOW
While there was a sigh of relief from many with the ILA and USMX reaching a deal on wage increases for dock workers, this does not mean that everything is resolved, and potential port disruptions could occur at the 20-something docks along the East and Gulf coast.
Union-member wages were the major bargaining chip that was agreed upon last week, with dock workers receiving an immediate pay increase, with yearly pay increases to follow. When all increases have taken effect, dock workers will see a 62 percent increase in pay. One issue that was not finalized was the use of automation at select ports, which the labor union has opposition to full and semi-automation. The two sides will continue their negotiation discussions, with a timetable of three months from now to finalize a deal.
If these points can’t be resolved, it may be rinse and repeat with the threat of another strike as we get into the start of 2025.
Speaking of the recent shut down of port activity, it will take a week or so to work through the container backlog. This, along with the disruption in shipping patterns caused by the recent hurricanes, has been impacting tender rejection rates as seen in Figure 2.1.
Rejection rates crested the five percent mark recently. As port activity comes back online, expect the volume for short haul shipments (<250 miles) to remain elevated as also seen in Figure 2.1.
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Get Weekly News Updates in Your InboxTrinity Logistics, a leading third-party logistics provider (3PL), is proud to announce the promotions of two dedicated Team Members, Kimberley Pant and Tracy Mitchell.
Pant, who has been with Trinity Logistics for an impressive 18 years, has been promoted to Director of After Hours Operations. Throughout her tenure, Pant has held various positions, such as Carrier Sales Representative, Senior Account Manager, and Operations Team Lead.
“I am thrilled and truly honored for this new opportunity,” said Pant. “My path has been marked by a steadfast commitment to operational excellence and I’ve been fortunate to work alongside a talented and dedicated Team. My primary focus in this new role will be enhancing the quality and efficiency of our services during non-business hours. I will continue ensuring that we meet and exceed expectations of our customers and stakeholders. I’m incredibly grateful for the trust that’s been placed in me and am eager to embrace the challenges and responsibilities that come with this new role.”
Mitchell, who is celebrating nine years at Trinity, has progressed through several roles in the Billing Department, now promoted as the new Director of Accounts Receivable. In this new role, Mitchell aims to develop strategies for fraud prevention, enhance operational efficiencies, and strengthen partnerships with relevant organizations, like the National Association of Credit Management (NACM).
“I am incredibly honored and excited to step into the role of Director of Accounts Receivable,” said Mitchell. “This promotion is a significant milestone in my career growth, and I’m eager to contribute to the continued success of Trinity. I look forward to being challenged by my new goals and responsibilities, with my primary focus being on developing the Accounts Receivable Team to their fullest potential while elevating Trinity’s brand recognition as an exceptional logistics provider.”
These promotions highlight Trinity Logistics’s commitment to recognizing and rewarding exceptional talent within the organization. Both Pant and Mitchell bring a wealth of experience and expertise to their new roles and will undoubtedly continue to make significant contributions to the company’s success.
LEARN MORE ABOUT TRINITY LOGISTICSAbout Trinity Logistics
Trinity Logistics is a Burris Logistics Company, offering People-Centric Freight Solutions®. Our mission is to deliver creative logistics solutions through a mix of human ingenuity and innovative technology, enriching the lives of those we serve.
For the past 45 years, we’ve been arranging freight for businesses of all sizes in truckload, less-than-truckload (LTL), warehousing, intermodal, drayage, expedited, international, and technology solutions.
We are currently recognized as a Top Freight Brokerage by Transport Topics and as a Top Company for Women to Work for in Transportation by Women in Trucking.
Trinity Logistics, a prominent third-party logistics (3PL) provider, has teamed up with Truck Parking Club to offer discounted parking options for Carriers within its network.
“We understand that Carriers face several challenges daily, but safe parking shouldn’t be one of them,” said Chad Taylor, Vice President of Carrier Development at Trinity Logistics. “This partnership allows us to ease that burden by offering an additional option for our Carrier relationships when they need safe, secure parking.”
Carriers must be registered and set up with Trinity Logistics to take advantage of this new benefit. All current Carrier relationships will be sent email communications with instructions on how to receive their discount. Carriers who decide to capitalize on the for discount for Truck Parking Club will be able to:
- Book a daily parking location. Some locations may also offer hourly, weekly and monthly rates.
- Search for and book parking using an interactive map that displays all available locations across the U.S.
- Search for and book parking when planning a route or by finding a parking spot near a specific location.
- View parking location information, including daily costs and available spaces, as well as amenities such as restrooms, 24/7 access, etc., and contact 27/7/365 customer support (staffed by former drivers) to ask any questions.
“Truck Parking Club was created to help truckers save time and fuel by finding and instantly reserving truck parking across the US,” said Evan Shelley, CEO at Truck Parking Club. “Our solution brings more truck parking online quickly by enabling owners to list space on their existing yards and properties. Our trucker members, and now Trinity Logistics carriers, are then able to quickly search and reserve available truck parking spaces, allowing them to plan a trip with confidence knowing they have a parking space. We are excited to partner with Trinity Logistics, as we think our solution is a great value add to their carrier partners.”
For more information about the Truck Parking Club, visit truckparkingclub.com
LEARN MORE ABOUT TRINITY LOGISTICSAbout Trinity Logistics
Trinity Logistics is a Burris Logistics Company, offering People-Centric Freight Solutions®. Our mission is to deliver creative logistics solutions through a mix of human ingenuity and innovative technology, enriching the lives of those we serve.
For the past 45 years, we’ve been arranging freight for businesses of all sizes in truckload, less-than-truckload (LTL), warehousing, intermodal, drayage, expedited, international, and technology solutions.
We are currently recognized as a Top Freight Brokerage by Transport Topics and as a Top Company for Women to Work for in Transportation by Women in Trucking.
About Truck Parking Club
Truck Parking Club is a network of instantly reservable hourly, daily, weekly and monthly truck parking locations across the US. Truck Parking Club connects truckers to truck parking locations throughout the US via truckparkingclub.com and the Truck Parking Club app. The network is made up of property owners that have locations adequate for truck parking to list on the platform: this includes trucking companies, storage companies, tow truck companies, CDL Schools, trailer leasing companies, real estate investors, truck parking operators and more. For more information, visit truckparkingclub.com.
Stay up to date on the latest information on conditions impacting the freight market, curated by Trinity Logistics through our Freightwaves Sonar subscription.
YES, IT IS IMPORT-ANT
There has been much buzz in the last month around inbound container volumes to U.S. ports. There are 300+ ports of entry for goods into the country, with much of that volume handled by the top 20. Most of that buzz is around the uptick in volume.
In figure 1.1, you will see for the port of Los Angeles, the largest in the country, that container volume is up almost 38 percent. That’s certainly impressive, but the neighboring port (Long Beach) was up a staggering 60 percent.
Many would anticipate this similarly impacting the outbound over-the-road volume for that market. And yes, while we see in Figure 1.2 via the blue line, there is a noticeable increase from what it was heading into the Memorial Day holiday, but it is not a direct correlation. The beige line represents the domestic rail volume from that same market, and unlike what we experienced in the “Covid years”, the rails have been a bigger mover of goods versus the bottlenecks we saw back then.
We should expect to see import volumes continue through the next few months. As goods produced overseas have become cheaper to buy, major retailers have taken advantage of these discounts with the anticipation of robust consumer spending. Remember, almost three-fourths of inbound volume is directly related to consumer purchasing. Good news for consumers as these retailers will want to liquidate this inventory quickly at lower prices.
NOT FAR FROM HEALTHY
While not in balance, the spread between contract and spot rates continues to shrink, now sitting about $0.60 per mile higher on the contract side. Keep in mind this gap was in the $0.75 to $0.90 for much of the past year. Almost in lockstep has been the tender rejection index. It has continued its slow upward movement as seen by the green line in Figure 2.1.
This can be attributed to capacity continuing to shrink slightly (Figure 2.2) and contract rates moving downward. It’s rare that spot rates will eclipse contract rates, but a spread of $0.40 to $0.50 is indicative of a healthier market, and we are not far from that right now.
I spent a few days traversing the state of Tennessee recently. At one stretch of a major interstate, there was a back-up at least five miles long. Luckily for me, it was on the eastbound side, and I was heading the opposite direction.
What struck me was the sheer number of trucks that sat idled. By my estimates, almost 80 percent of the volume was truck traffic. And while you can’t tell if a van is loaded or not, every single flatbed had freight on it. So, ladies and gentlemen, freight is still moving in this country. While it may not feel like it, volumes are trending close to 2022 levels as seen in Figure 3.1 (blue vs. green line). They say the fourth quarter is the time when carriers make hay; so here’s to an optimistic outlook for the next four months.
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Get Weekly News Updates in Your InboxTrinity Logistics, an exceptional third-party logistics provider (3PL), is pleased to share its recent hirings in vital leadership positions across two of its Regional Service Centers (RSC).
Scott Swieca, who recently joined Trinity in April as the Arizona RSC Director of Operations, has been promoted to fulfill the role of Vice President. Swieca brings over 20 years of experience in the logistics industry. He has an extensive background working at other non-asset-based 3PLs, as well as with asset-based carrier companies.
“Stepping into the role of Vice President for the Arizona RSC is an incredible honor,” said Swieca. “I’m excited to work with a talented Team to drive growth and solutions for our shippers and carriers. We’re in growth mode out here in Arizona, and very excited to scale our superior level of service to assist more clients. We’re building our regional brand within Trinity’s core values and aim to deliver exceptional experiences for the Team Members, carriers, shippers, and Agents we work with. I’m very excited to be here and see the growth the Scottsdale, Arizona RSC will bring.”
In addition, Dan Lewis joins Trinity as the Director of Sales at the Iowa RSC. Lewis has worked in the logistics industry since 2015. He has a deep understanding of 3PLs and has held several sales roles, giving the Iowa office a fresh perspective.
“I’m happy to join Team Trinity and experience their well-known company culture,” said Lewis. “It was exciting to have found an organization that felt like such a natural fit already. I look forward to working with the Sales Team to help them reach and develop tailored logistics solutions for new clients, while strengthening the current relationships we already have. I’m set with the intention to help this office exceed expectations!”
Trinity Logistics looks forward to the insight and experience Swieca and Lewis have and bring to the company, as well as their respective offices.
LEARN MORE ABOUT TRINITY LOGISTICSAbout Trinity Logistics
Trinity Logistics is a Burris Logistics Company, offering People-Centric Freight Solutions®. Our mission is to deliver creative logistics solutions through a mix of human ingenuity and innovative technology, enriching the lives of those we serve.
For the past 45 years, we’ve been arranging freight for businesses of all sizes in truckload, less-than-truckload (LTL), warehousing, intermodal, drayage, expedited, international, and technology solutions.
We are currently recognized as a Top Freight Brokerage by Transport Topics and as a Top Company for Women to Work for in Transportation by Women in Trucking.
While many of us are soaking up the last of summer’s sun and fun, food manufacturing supply chains are readying for the upcoming holiday food rush.
Have you ever noticed a lot of our favorite memories are surrounded by food? When we go to celebrate something like a birthday, anniversary, or special achievement, it usually involves food. It’s no surprise then that over the holiday season, nearly 165 million consumers across the U.S. purchase food and beverages to celebrate, according to a study from Cornell. As the holidays soon approach, food consumption surges, with the average American indulging up to an extra 440 calories per serving!
The increased demand and tight holiday deadlines can present challenges for many food and beverage companies with their logistics. This is in addition to already facing a competitive peak shipping season! However, by understanding the dynamics of this unique period of time, shippers can ensure success is ahead of them. First, let’s dive into some fascinating facts and insights about food during the holiday season. Then, we’ll follow that with some essential tips so your company can be prepared for the holiday food rush!
Holiday Food Supply Timeline & Stats
The Holiday Food Surge Begins with Fall
The holiday food rush first begins with the arrival of fall flavors. Pumpkin spice, now seen as the quintessential flavor of fall, has seen a 47 percent increase in sales, as reported by The Guardian, within the past five years. In 2023 alone, Datassential reported 144 new limited-time offers that featured pumpkin on major restaurant menus. From the infamous Pumpkin Spice Lattes (PSLs) to pumpkin soups and ravioli, this flavor dominates the season. But we can’t forget another fall favorite – apple. Food and beverage items with caramel apple were one of the highest-indexing flavors last fall.
Halloween Signals Significant Holiday Food Consumption Increase
Halloween is a major milestone in the holiday food timeline, with 65 percent of consumers participating in the festivities. In fact, of all 172 million that celebrate the spooky season, 95 percent of them purchase candy. Even more staggering is that a quarter of all the candy sold annually comes from Halloween sales. It’s not all about the sweets, though! Pizza is the most popular dinner staple on All Hallow’s Eve, according to Grubhub. There’s also the annual tradition of carving a pumpkin, with Statista reporting roughly 154 million Americans partaking in the activity in 2023.
Dia de Los Muertos Celebrations Begin to Trend
Datassential reports that 10 percent of consumers in the U.S. report celebrating Dia de Los Muertos, or Day of the Dead. This holiday is gaining popularity, which means so are the celebratory foods associated with it! Pan de Muerto is one traditional sweet bread that’s essential to the celebration.
Thanksgiving Continues to Drive Food Supply Chain Demand
Thanksgiving remains the most popular fall holiday, with 83 percent of Americans celebrating the tradition. A whopping 46 million turkeys are consumed each year, according to the U.S. Department of Agriculture. Other top holiday staples include cranberry sauce, stuffing, green bean casserole, mashed potatoes, macaroni and cheese, sweet potatoes, and pumpkin and apple pies. That’s a lot of food to prepare for a meal, so 23 percent of consumers will buy a full, ready-made meal from a restaurant. Another 22 percent will supplement with some food from restaurants for part of their feasts.
Sweets, Candy & Chocolate Build Holiday Food Demand at Christmas & New Year’s
Leading up to Christmas, many enjoy hot cocoa, cookies, and other treats. 1.76 billion candy canes, a holiday staple, are made annually for this joyous time of the year. 70 percent of Americans make Christmas desserts, with frosted sugar cookies being the top ones consumed annually. Don’t forget the eggnog! 122 million pounds of it is poured and drunk each year.
When it comes to Christmas dinner, pork dishes are the most popular globally, but turkey still trumps all for the U.S. Other winter feast staples include roasted or mashed potatoes, roasted carrots, gravy, stuffing, shrimp, and lots of Christmas pudding, cookies, and pies. Sweet tooths rejoice as 83 percent of consumers fill stockings with treats like candy and chocolate.
Christmas and New Year’s are among the busiest holidays for restaurants. Both holidays also see a spike in alcohol consumption, with New Year’s Eve being the second most alcohol-associated holiday behind Mardi Gras. Champagne is the fan favorite for those ringing in the New Year.
Logistics & SHipping Tips for Holiday Food Shipping
The holiday season often brings those in logistics the gift of increased demand and decreased capacity. Like most Americans, truck drivers aim to be home for the holidays, trimming the number of available carriers down. Freight of all kinds can increase during the period, further cutting the number of trucks available. Shippers with more specialized requirements, like temperature control, can find even less capacity. Shippers also have tighter deadlines to meet at this time to make the most of the seasonal business.
Overall, the holiday season can be a time of heightened stress and disruption. Given these unique challenges, it’s crucial for food and beverage shippers to prepare thoroughly to appease customers.
Five Tips for the Best Holiday Food Shipping Logistics Outcomes
Tip 1: Keep Inventory Stocked
Running out of stock during the holiday season is a surefire way to lose customers. Track your inventory levels closely and replenish supplies early to ensure you’re well-stocked. By keeping orders moving consistently, you’ll be able to meet consumer demand and avoid causing any disappointment.
Tip 2: Have Backup Shipping Plans Ready
The chances of any disruptions or delays happening during this season are increased. Having backup shipping plans already prepared is essential to keep your goods moving.
Build relationships with multiple carriers and suppliers, or even a third-party logistics provider (3PL). This way, you’ll have known contacts ready in case you need any help.
Look at alternate modes of transportation and be prepared to quickly shift plans should something happen. Exploring multimodal options can be a great way to diversify risk, add capacity, and protect your freight budget. Having this flexibility available and ready can help you stay on track and your supply chain running smoothly.
Tip 3: Real-Time Visibility is Needed for Success
In today’s supply chains, having access to the visibility you need is crucial. You should either work with a provider that offers it or invest in your own technology, like a Transportation Management System (TMS).
A TMS can be very helpful during the holiday season. It can help you with routing decisions by matching your freight with the best carriers, lanes, and rates. In addition, it will allow you to optimize the in-house processes of your transportation network – which can be helpful during busy and slow seasons. By selecting the best carriers and optimizing your routes, you’ll not only increase your service but reduce your risk.
Using a TMS also gives you data-driven insights to better manage disruptions, reduce downtime, and budget your logistics spend. Data analytics can help you recognize which carriers are most likely to have the capacity, saving you time arranging your shipments.
Tip 4: Communication and Collaboration
Effective communication is key to a successful holiday season. Regularly communicate with all stakeholders, including suppliers, carriers, and customers. Collaborating with your partners during the seasonal planning phase can provide valuable insights and help you identify potential issues before they arise.
Tip 5: Partner with a 3PL
Working with a 3PL can be a game-changer during the holiday season. A 3PL offers access to a larger network of carriers, advanced technology, and expertise in managing complex logistics challenges. With their support, you can ensure your supply chain remains resilient, even in the face of unexpected disruptions.
Treat Yourself with Easier Logistics This Holiday Season
Navigating the holiday food rush can be overwhelming, and that’s why Trinity Logistics is here to be your guide. Like Santa, we’ve been around a while, with 45 years of experience handling logistics during holiday seasons.
Right away, you’ll gain access to our large network of vetted, quality carrier relationships to cover your shipments. But that’s just the start! There are many more benefits to working with Trinity, including:
- Multiple modes of transportation to find the best bang for your buck, support your business growth, or just have a backup plan ready
- Best-in-class technology and customized Managed Transportation solutions available, giving you the exact visibility and data you want
- 24/7/365 support, so no matter what day or time it is, you’ll have the help you need
One benefit that tends to shine above all else? Our exceptional People-Centric service. It’s the trait that makes Trinity different from other 3PLs and keeps our customers returning time and time again. It’s truly our care, compassion, and communication that you’ll notice and appreciate.
Everyone wants to enjoy the holiday season. Why not let Trinity focus on the logistics for your business, so you can go back to doing what you enjoy – helping consumers savor holiday treats and create memorable moments with your product.
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Freight Agents, Indulge in an Exceptional 3PL PartnerIf you’ve worked in the LTL industry for any bit of time, then you know that it’s always changing. Yes, sometimes that means it gets a bit more complicated. Rates adjust. Rules and processes are modified. Despite all this, there is usually one constant – the core LTL carriers we work with. Yet, in 2023, that changed; we saw the departure of the legacy LTL carrier known as Yellow Corporation.
The closing of such a large and well-established LTL carrier is very rare. The industry hadn’t felt the void of such a large company since Consolidated Freightways closed 20 years prior. So, what happened? Considering Yellow Corporation was the third largest LTL carrier, what happened to all the freight they handled?
As someone with a career in LTL, I saw this happen in real-time and have directly seen its ripple effects. I can answer some of those questions and share with you my thoughts, experiences, and observations of this impactful event in LTL history.
The Fall of Yellow Corporation
Yellow Corporation (commonly referred to as YRC) was no stranger to financial turmoil. The company was laden with debt that was worsened with the Great Recession. It almost put them into filing for bankruptcy in 2009.
A stint of other factors after that didn’t put them in a better position when COVID-19 rolled around in 2020. YRC was granted a $700 million COVID-relief loan by the U.S. government, which it used nearly half of to cover past due payments to healthcare and pensions, payments on equipment and properties, and interest accrued by its other debts. Fast forward to 2023, and that’s where their final chapter began.
A few months into 2023, YRC and the Teamsters Union engaged in back-and-forth negotiations. YRC wanted to change operational procedures and sought extra funding to help it pay off its debts. Teamsters disagreed with the proposed changes. We saw news articles and hit pieces about the conflict, week after week. It was nearly impossible for the industry to ignore it.
In July, whispers began of a possible union strike that would effectively halt YRC’s freight network. This was the writing on the wall for many shippers and third-party logistics (3PL) companies. At this point, the hull had been punctured, and water pouring in. Do you stay or do you go?
YRC and its subsidiaries were promptly disabled from countless TMS platforms. No customer wanted their freight stuck in limbo if Teamsters were to go on strike against YRC. Because of this, YRC saw a sharp decline in freight volume and tonnage. A company that was in financial disarray was now losing its primary source of revenue.
On July 30th, Yellow Corporation ceased all operations. The Teamsters had not agreed to the negotiations, and the 11th hour came and went. So, what now?
The Aftermath of YRC’s Closing
YRC’s exit affected two parties: shippers using LTL and other LTL carriers.
For shippers using LTL, they were two buckets: those who had already begun shifting their freight to other carriers in their pricing roster and those unfortunate enough to still have most or all freight with YRC. The latter had a more difficult situation to overcome as they now had to find an LTL carrier to move their freight without paying an arm and a leg.
For LTL carriers, YRC’s existing freight had to go somewhere, so they had to figure out how to absorb it. Carriers such as Estes, FedEx, and XPO and their capabilities were pushed to their limit, now drinking from a firehose of incoming freight. Volumes increased drastically, and with such a rapid rise came decreased capacity.
LTL carriers were making the difficult decision to exclude certain shippers in favor of others just to service accounts and keep their networks moving without bottlenecking. This left many smaller shippers stranded with a shorter list of available LTL carriers.
As carriers became inundated with freight, their operating ratios took a hit, and something had to be done to regain control. A season of atypical general rate increases (GRI) began. LTL carriers needed to remain profitable lest they succumb to a fate like Yellow.
3PLs and shippers alike started getting notifications from their carrier representatives about rates going up. Shipping LTL got more expensive now that the carriers had to pick and choose who they serviced with their finite capacity. The increased rate structures also priced out shippers that were used to YRC’s competitively priced tariffs or couldn’t stomach the increases.
For many shippers and 3PLs, the immediate aftermath of the Yellow Corporation bankruptcy was unlike any they had previously experienced.
Now, that’s the long and short of it, but how are things today? Surely, the disappearance of a significant LTL carrier like that would have lasting, irreversible affects.
Well, yes, but also no.
The Current Impact of YRC’s Closing
Today the LTL industry has mostly stabilized. YRC’s freight volume has dispersed, and the dust has settled. The LTL carriers have course-corrected their capacity concerns.
After the YRC bankruptcy, there were also new questions to answer, one of which was “What happens to their assets?” Those went through the bankruptcy courts, but the LTL carriers were eager to get a piece of it.
The purchased terminals and trailers meant increased footprint and capacity, which can be the difference between being the best and the biggest for LTL carriers. Several carriers bid to acquire the terminals left behind by Yellow Corporation.
Estes Express, a prominent national LTL carrier, was one of the larger victors in the bidding war. As one of Trinity’s carrier relationships, I asked Estes if they could share the impact YRC’s exit had on their company. Here’s what President and COO Webb Estes had to say:
While LTL carriers, larger shippers, and 3PLs came out in the black or relatively unscathed, others did not. Smaller shippers with all their freight lanes with YRC had no backup plans except to pay increased, non-discounted LTL rates with other carriers or risk their business operations.
How Did Trinity Logistics Fare?
At Trinity, those first few months after the bankruptcy were interesting! We saw many new shippers start a relationship with us and saw some complications in LTL carrier transit lanes that bottlenecked. Don’t worry, they were quickly resolved. Since Trinity has a broad roster of national and regional LTL carrier contracts in place, our shipper relationships were able to use our rates to course correct from the YRC closure and effectively avoid any critical disruption.
Is the last time we’ll see an industry-shaking event in the LTL space? Likely not. For now, the industry is stable, and many LTL carriers are growing and reporting profitable earnings.
In my 10+ years working in the LTL industry at a 3PL, the Yellow Corporation was always a top LTL carrier for us. Seeing them fade into the wind after decades of LTL service was surreal, and I felt sad for the many YRC employees I’ve grown to know.
Despite such an impactful event, now written in the history books, it’s a year later, and the LTL landscape is still thriving (and volatile), even with one less player at the table.
Final Thoughts
Considering the size of Yellow and the steady decline until evaporation from the industry, I actually expected more disarray from it. Sure, the first weeks after the bankruptcy had the GRIs, shipment delays, and new shipper partnerships for Trinity to handle, but after a month or two, it was relatively smooth sailing back to normal.
I think that speaks volumes to the age we live in. The amount of technology and time-saving efficiencies that LTL carriers invest in year after year. It allowed the industry to absorb the freight volume of one of the largest LTL carriers in the world and it did so in less than 60 days! It’s kind of crazy and a testament to the LTL industry and its controlled chaos.
Working with Yellow for so many years, I grew familiar with some of the names worked there. People we would see at conferences, have calls with or see on emails. People who had been in the industry much longer than I have, had extensive backgrounds, and grew their roots at Yellow.
The bankruptcy landed them in the middle of it all, but many of them went on to other LTL carriers and took their experience, adding value there. I think that’s a silver lining here. Despite the financial decision of Yellow as a company, it had people on its roster that brought purpose to LTL and now these people are creating an impact for other carriers and customers alike. For how vast it is, the LTL industry can be closeknit, so to see those former Yellow employees succeed at other LTL carriers is a bright spot in this saga.
Learn More About Trinity's LTL Services Get More Content Like This In Your InboxABOUT THE AUTHOR
Curt Kouts holds the Director of LTL position at Trinity Logistics. Kouts has been with Trinity and in the logistics industry for 14 years, having held several titles among carrier vetting, account management, and within the LTL Team itself. His main responsibilities as Director focus on elevating Trinity’s LTL customers’ experience, helping the LTL Team support in operations and billing, and aiding the company in overall LTL sales and success. Kouts finds the LTL industry incredibly challenging, presenting him and his Team a ton of problems that they have a passion for solving. He enjoys learning more about LTL whenever possible and overall, making LTL an experience that keeps all his customers, both internal and external, coming back.