The chemical industry serves as support for many other industries, like agriculture, automotive, construction, and pharmaceuticals. According to an American Chemistry Council report, 96 percent of all manufactured goods trace back to chemical manufacturers. Chemical manufacturers often process raw materials into refined products used in other industries or within the chemical industry. However, raw materials costs have been rising recently, along with additional operating costs in the chemical industry.
As chemical manufacturers face increased expenses, many find it more challenging to remain profitable. How can chemical manufacturers better manage their operating costs? In this blog, we’ll take a walk through what chemical manufacturers are currently facing and how they can better manage their operating expenses.
Rising Raw Material Costs
Raw materials costs have been rising in recent years. Part of the cause for increased prices is because they’ve gotten scarcer as the demand has risen for them. For example, raw agricultural materials have increased 117 percent since 2000, rubber has seen an increase of 359 percent, and steel is up 167 percent.
Crude oil, which many chemical companies use for energy and other materials, is up 250 percent since 2000. Crude oil prices are the most important ones to watch because it affects so many different markets. For example, many basic ingredients originate in the oil and gas fields and then travel through a global supply chain to make materials like plastics, packaging, fertilizers, lubricants, paints, and much more. Additionally, higher energy costs mean higher operating costs for the chemical industry.
Logistics Operating Costs in the Chemical Industry
The strength of long, global supply chains continue to be tested. From the start of the Covid-19 pandemic to battling intense weather and labor shortages, prices for logistics operating costs in the chemical industry have skyrocketed. Chemical supply chains have had their weaknesses exposed, from their dependence upon the volatile oil and gas sector to their global shipping networks. It’s caused additional cost as many of the materials needed to operate are out of stock due to shipping congestion and backlogs. According to a survey done by the National Association of Chemical Distributors, 85 percent of chemical industry distributors reported at least one imported item out of stock.
How to Better Manage Operating Costs in the Chemical Industry
Interestingly enough, skyrocketing logistics costs are beginning to outweigh other operating expenses for chemical manufacturers. Finding better management and control in your logistics may be the thing to keep your chemical company cost competitive. As a result, a growing trend among chemical manufacturers is turning to outside help for their logistics. Many chemical companies find that using a third-party logistics company (3PL) makes a lot of sense. It helps them free up resources to focus on other aspects of their business. Here are some ways working with a 3PL can help you manage your operating costs.
Find the Right Carrier – In Less Time
We all know the stress and workload of finding a carrier to move your freight, especially for chemical manufacturers who need carriers that know how to handle their products safely. Capacity can be limited when looking for a hazmat certified, or tanker endorsed carrier for a decent shipping rate. Outsourcing your transportation is one solution to that problem.
3PLs will take over the responsibilities of finding and vetting qualified carriers. A 3PL should make sure carriers have the proper credentials, insurance, and experience for your freight. Take control of your time and let someone else take on the workload so you can gain time for the rest of your business.
Create Efficiency With A 3PL’s Technology
Working with a 3PL also offers you access to their technology services, like shipment tracking, automated workflows, and detailed reporting. By replacing your manual processes with logistics technology, you’ll find more visibility into your supply chain. And that visibility can help you find efficiencies to help you manage your operating costs. While the technology itself can be an extra cost alone, most 3PLs offer you technology applications along with freight arrangements. Additionally, you’ll have experts you can rely on to help you navigate those applications.
Transportation Management Systems
All chemical companies are focusing on streamlining their operations, whether they choose to outsource their logistics or not. Many companies are turning to transportation management systems (TMS) to optimize their transportation networks.
A TMS can help your business gain visibility into your supply chain, create new efficiencies, and automate your manual workload, so you can better manage operating costs.
When using a 3PL, you often have options to choose how you want to integrate your TMS. Trinity Logistics offers you customer integration and a specialist to work with you every step of the way. No matter what option you choose, you gain the visibility and automation you’re looking.
Control Your Logistics Costs
In business and life, there are certain aspects that you can manage and control. As a chemical manufacturer, you must manage those costs that you can control and plan for those variances in costs for those you cannot. Logistics is one operating cost you can manage when you choose to partner with a 3PL.
And you don’t have to look too far to find one. Trinity Logistics is well-versed in the chemical industry and understands your complicated market. Our Team of experts is here to help you find the quality carrier you need while offering technology to help you create efficiencies. We can help you gain control over your logistics costs, so you can make room for those other unknowns.
If you’re ready to get a handle on your operating costs in the chemical industry, let’s get connected.
Author: Christine Morris
There’s been a lot thrown at supply chains lately. The up and down Covid-19 surges, material shortages, increased consumer demand, and more. And we can’t forget to mention other factors like the new covid variants, port congestion, and dock delays.
Many of you might be wondering what Trinity is doing to stay agile during these supply chain bottlenecks. Let’s first quickly dive into what the supply chain is currently facing, and then we’ll go into how Trinity keeps moving forward.
Current Supply Chain Bottlenecks
Labor Shortages
I’m sure you’ve heard and seen all the effects of the labor shortages today. Whether the companies are big or small, or in fast-food or logistics, every single industry is facing this issue.
Over the past 22 months, businesses have been hit hard with workers’ pandemic-related absences. According to an analysis from the Integrated Benefits Institute, these absences have cost employers more than $78.4 billion. That’s nearly $1 billion every week.
Along with this, the new omicron variant is leading to more staff shortages as people take sick leave and suppliers navigate new restrictions. This includes factoring in China’s zero-COVID strategy, which is likely to continue to disrupt both production and transportation of goods, possibly for the entire year.
However, backorders in many sectors have been filled, but consumer demand may well be cooling now that furloughs have ended, and interest rates are beginning to rise. So, some companies might end up with an oversupply of goods after everything is said and done.
While some people thought that these issues would stay in 2021, the start of 2022 is showing no signs of slowing down these disruptions.
The beginning of this year has been filled with high levels of return volume from the holiday season, along with the suspension of air on-call pickups for packages. All these issues are mixed effects from weather, omicron, labor shortages, and more.
Struggling to Keep Shelves Full
A direct effect of the worldwide labor shortages is businesses struggling to keep shelves stocked. While Covid-19 rampages across the country, it’s not just healthcare and hospitality businesses feeling the effects. Grocery stores are getting gut-punched by the virus as well.
Product shortages have been widespread throughout these 22 months of the pandemic. These shortages have varied in many different products, from toilet paper and hand sanitizer to different types of meat to even bread and soda. As a result, empty shelves have returned at supermarkets as grocery employees call out sick and truckloads of food arrive late.
While all companies feel the effects of empty shelves, shipping companies, like FedEx are especially struggling with on-time delivery of packages and products due to the massive truck driver shortage nationwide. Unfortunately, the only solution currently for these issues is time.
Ongoing efforts are continually in use to increase the recruitment and retention of truck drivers to combat these supply chain issues and stop bottlenecks from occurring.
Struggling Imports
Port congestion and backup is another huge issue facing the logistics industry and the entire world right now. Ports worldwide are seeing high wait times and a lower percentage of on-time delivery. In addition, many containers and ships are forced to dock and wait until they can be unloaded due to labor shortages.
Although many different countries are facing this congestion and delay, no other is struggling more than China. Covid-19 flare-ups in China are straining supply chains as authorities tighten movement restrictions in various cities to stamp out the virus.
Ningbo, a port city of around 8 million, is dealing with a partial lockdown. Its Beilun district has been especially hard hit, and that’s spelled major problems for the shipping industry. According to The Loadstar, “Many truckers live in Beilun, and there are complicated Covid-19 control policies there, so it’s extremely difficult to bring containers in or out.”
With the Chinese New Year approaching, some cargo has been rerouted to the Port of Shanghai, which is already congested, The Loadstar reported. In addition, many smaller shipping services providers have already suspended operations this year ahead of the holiday, which starts on February 1st.
No Signs of Slowing Consumer Demand
As of right now, however, demand is stronger than ever and shows no indications of an immediate post-holiday crash. As a result, changes on the demand front are likely to be slow and steady, leading to gradual market shifts over the next several months.
Combined data from the OTVI and the OTRI indicates that accepted volumes were up three percent year-over-year in early December. Additionally, tender rejections are currently down about 25 percent year-over-year. Rejection rates are at their lowest levels since July 2020.
Decreasing tender rejections indicates that freight is being moved at contract rates, which is a hopeful sign for shippers. Still, with a rejection rate of over 19 percent, strong demand and constrained capacity continue to stress the market.
Unfortunately for shippers, spot and contract rates have continued to climb as demand surges, shortages drag on, and peak retail season continues. In early December, dry van spot rates rose to $3 per mile for the first time ever. Likewise, dry van contract rates reached an all-time high – $2.96 per mile – simultaneously, according to Arrive’s December market update.
Shippers that can create more flexibility in their transportation strategies will fare best as conditions gradually improve in the upcoming year. Moving away from annual RFP’s in favor of shorter contracts, one-way shippers can take full advantage of any upcoming rate drops. While these shippers are also exposing themselves to slightly more risk in the event of unexpected rate hikes, taking a chance might pay off in 2022.
How Trinity is Here to Help
Keep You Updated
At Trinity, we make sure we keep you up to date on all the industry’s information and news. We provide:
- our monthly freight market updates
- weekly news updates
- monthly customer newsletters with industry-specific updates,
- communications from your representative.
Giving You The Trinity Experience
Along with giving up-to-date news and information regarding every industry, we are also here to provide you with exceptional service and communication, especially when facing these bottlenecks.
Hear from some of our Team Member Experts on how Trinity is staying agile during these times:
- “Labor Shortage at the shipper or receiver due to COVID outbreak and/or protocols – day of pickup or delivery. Not a whole lot we can ‘solve’ but providing everyone involved with a friendly, calm, timely, communication goes a long way. We often talk about drivers but one area of our industry that seems to get less press are those shippers/receiver teams. The good ones are gold baby!” – Benjamin Bowne, Sales Executive
- “I would echo Mr. Bowne’s assessment. Handling the conversations with carriers, customers, and warehouse alike with care and empathy goes a long way. Everyone has been impacted over the last year by the pandemic, it’s the experience that our overall Team provides throughout the transaction that has proven invaluable. This is echoed in the feedback we have received from all the parties throughout the pandemic. We care about what we do.” – Chad Eckland, Director of Sales
- “We are being more agile by focusing on internal as well as external adjustments. A large percentage of our staff are working remote to avoid being short manpower due to illness. Those that are in person are participating in higher safety standards within each location. We are asking customers what are their Covid standards, when applicable, and how they are adjusting so we can conform to their needs. We are checking on trends for spiking locations across the U.S. to see how it will affect imports/exports and its affects of capacity in that area. This is a little harder to do but definitely on the radar. If a shipper/receiver is affected, then we prompt carriers to know what expected delays may occur while costing that into what we are offering carrier.” – Tony Austin, Director of Sales
- “In addition to all the good points already mentioned, I would add that even though I always try to consider any and all viable solutions for my customers, I do a little extra now, because of the circumstances, to help educate customers on conditions, market changes, expectations, and challenges. In addition, I emphasize that I do look under EVERY rock to help them get their freight moved by leveraging all of the modes and resources we have available, as well as be thorough in understanding the factors to be considered in moving their freight (flexibility in dates, rates, modes?). I feel like we have more detailed and personalized conversations, and I provide an added level of insight to show customers that I am truly being a partner to help them through this difficult time.” – Kimberly Meadows, Sales Executive
We Are Experts
While this may be our first pandemic, after 40 years of being in this industry, it certainly isn’t our first season of supply chain disruption, high freight volumes and rates, or tight capacity.
We are well versed and experienced in many different situations, and we know when and how to pivot quickly and keep business moving forward. We follow through on our efforts. When issues arise, we work until they are resolved and keep open communication every step of the way.
We Help You Plan
You can always use your Trinity relationship to discuss current and upcoming projects. This helps us give you things to look out for to keep your transportation aspect of business more stable and reliable.
Having a solid relationship with an expert like Trinity will prove to be your largest asset no matter what supply chain bottlenecks you may face.
If your ready to get support in your logistics with Trinity Logistics, no matter what issue the supply chain has, lets get connected.
By: Christine Morris
Trinity Logistics is proud to announce their 2021 Distinguished Providers of the Year. Trinity began their Distinguished Providers of the Year Award Program in 2020. The program was created to give Trinity Team Members a chance to recognize top providers within all the company’s transportation modes.
Distinguished Providers are selected carriers within the Trinity network that continue to support their customers and provide exceptional service, despite the continued challenges faced in supply chains set forth by the pandemic. Those awarded are well known amongst the company as providers that are highly valued partners for Trinity Logistics.
Trinity Logistics thanks these carriers for their continued commitment and service, as they have become an integral part of the day-to-day operations.
2021 Distinguished Providers of the Year
CATEGORY | WINNER | CATEGORY | WINNER |
Dry Van Large Fleet | NIVLAMA INC | LTL National | OLD DOMINION FREIGHT LINE INC |
Dry Van Small Fleet | ROGER L NAVARRO | LTL Regional | SOUTHEASTERN FREIGHT LINES INC |
Power Only | ULOPA TRUCKING INC | Intermodal | TIGER COOL EXPRESS LLC |
Refrigerated Large Fleet | CORNEY TRANSPORTATION INC | International | SATURN FREIGHT SYSTEMS, INC |
Refrigerated Small Fleet | RT MILLS TRUCKING LLC | Expedited | MILLHOUSE LOGISTICS INC |
Strategic Large Fleet | MILLENNIUM TRUCKING INC | International TL | LARMONT INTERNACIONAL SA DE CV |
Strategic Small Fleet | VALLEY FREIGHT TRANSPORT LLC | Chicago Market Drayage | CITY HAUL INC |
Heavy Haul | BULLDOG SERVICES LLC | Los Angeles Market Drayage | UNITED LOGISTIC SERVICES GROUP INC |
“We are honored to recognize these Service Providers which were selected among Trinity’s deep book of relationship partners demonstrating consistent value to our Shipper Customers throughout 2021,” says Bradley Palmer, Director of Carrier Development and Pricing at Trinity. “Building upon years of experience with these partners, they each distinguished themselves among their peers when reviewing feedback from our Operations teams across the country. And with pride, Trinity Logistics presents its “Trinity Titan” award to three small fleets our Leadership was compelled to honor their dedication and grit hand in hand with our partnership.”
In addition to the top providers recognized by mode, there is also the “Trinity Titan Award”. This specific award recognizes very small fleets within Trinity’s network who regularly dedicate their capacity and demonstrate uncommon value, or “grit” as we like to call it, throughout the year. This award is determined by a person of exceptional importance and reputation that stands out for greatness of achievement that reflects Trinity’s values.
2021 Trinity Titan Winners
TESFASION TRANSPORT SERVICES LLC | AMRITPAL SINGH | JOSE NIEVES MEDRANO SR |
“I can’t believe we have closed another year and what a year it was,” says Hayley Dobson, Group Vice President at Trinity. “It will certainly be one not soon forgotten. We couldn’t have gotten through it with such success without the help of all our carrier partners. They are truly the lynchpin of the supply chain. We had several amazing carriers to review and struggled to make final selections, but I believe the ones that rose to the top were a shining example of what a true partnership means. We are so thankful for the dedication and excellent service they provide day in and day out.
Each of the winners will be presented with a crystal award to commemorate their success and achievement with Trinity Logistics.
“Trinity’s Authorized Agents are grateful for the support and service of these Distinguished Providers,” says Greg Massey, VP of Agent Development. “Trinity’s Agent Team had the opportunity to work with several of these amazing providers and we are honored to have been given the opportunity to help nominate and select this year’s winners. Thank you for your commitment to Trinity and the exceptional service you provide us every day.”
Trinity appreciates our contracted carriers with several other unique benefits and awards. Carriers within Trinity’s network can make use of a 1.5 percent QuickPay rate through TriumphPay, access to over 1,000 loads daily, and technology options that help make your job easier. To find out more about our great customer service and benefits to carriers, visit https://trinitylogistics.com.
About the Trinity Logistics
Trinity Logistics is a Burris Logistics Company, offering people-centric freight solutionsâ. Our mission is to deliver creative logistics solutions through a dynamic mix of human ingenuity and innovative technology, enriching the lives of those we serve.
For more than 40 years, we’ve been arranging freight for businesses of all sizes in truckload, less-than-truckload (LTL), warehousing, intermodal, drayage, expedited, international, and transportation management solutions.
Trinity is currently recognized in the Top 20 freight brokerages on Transport Topics’ Top 100 Freight Brokerage List, in the Top 100 3PLs list by Inbound Logistics, and is named a Top Company for Women to Work for in Transportation by Women in Trucking.
Russ Felker, former Chief Technology Officer (CTO) of GlobalTranz, now joins Trinity Logistics as their CTO.
For the past 30 years, Russ has been leading technology changes, not only as a CTO, but also as a founder and technology advisor, creating technology solutions for business problems. He’s worked with companies both small and large, international and national. No matter the industry, he’s always had a passion for using technology to improve customer experience and help companies allow their people to focus less on clicks and more on service.
Russ says that Trinity’s core focus on company culture and people is one of his primary reasons for joining the company. He’s thrilled to begin working with Trinity to bring technology solutions that will create more ways for people to connect, build relationships, and improve efficiencies.
He finds his recent work at GlobalTranz and several other transportation companies has only heightened his interest in the industry and business.
“I’ve learned that in transportation, disruption and change is all around us,” says Russ. “I want to work with Trinity to put us right in the middle of it all. While that might sound scary to some, I want people to talk and know about Trinity as the company that brought positive, creative disruption to the industry. I know with this great opportunity, and the amazing people at Trinity, that we can do just that, together.”
“We are excited to have Russ’s creative and intuitive talent join our executive team and lead our technology into the future,” says Trinity’s President, Sarah Ruffcorn. “He has a passion for creating excellent experiences for shippers and carriers that will help us take the Trinity experience to the next level.”
We are looking forward to the insight and experience Russ will bring to the business in its dedication to best-in-class experiences and technology initiatives over the next several years.
To learn more about Trinity Logistics, visit https://trinitylogistics.com.
About Trinity Logistics
Trinity Logistics is a Burris Logistics Company, offering People-Centric Freight Solutions®. Our mission is to deliver creative logistics solutions through a dynamic mix of human ingenuity and innovative technology, enriching the lives of those we serve.
For the past 40 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 in the Top 20 freight brokerages on Transport Topics’ Top 100 Freight Brokerage List, a Top 3PL and Cold Storage Provider by Food Logistics, and a Top Company for Women to Work for in Transportation by Women in Trucking.
Trinity Logistics, a Top 20 3PL and the freight brokerage division of Burris Logistics, has acquired Scottsdale, Arizona-based Team Eagle Logistics. Team Eagle Logistics will become Trinity’s seventh Regional Service Center, further expanding the company’s footprint to the West Coast, positioning for better service and carrier relationships in the Western 11 States.
“We are so excited to have Team Eagle as our west coast Regional Service Center. Their commitment to providing excellent shipper and carrier experience, paired with their focus on growing through an empowered culture, makes them a fantastic fit with Team Trinity,” said Sarah Ruffcorn, President, Trinity Logistics.
Team Eagle Logistics was founded in 2014 by Michael Gentile and Bill Grieder, with the mission to build and maintain lasting, intimate business relationships through industry-leading levels of service and communication. Since inception, Team Eagle has grown to revenues of $53 million annually. By joining the Trinity Logistics family, they will continue to offer relationship-based service and expand freight and technology offerings to their customers and carriers as Trinity’s Scottsdale RSC.
“From humble beginnings to the rise of Team Eagle, our focus has always been on providing an unparalleled service where Integrity has been our driving force and competitive advantage in the logistics Industry. Our specialized Western 11 States focus coupled with the strength of the Trinity Logistics national presence will yield great benefits for our customers, truckload carriers, and employees. We are thoroughly excited to join the Trinity Logistics Family!,” said Michael Gentile, owner of Team Eagle Logistics.
“Team Eagle Logistics has spent the last eight years building a dream from scratch. We have provided an opportunity for our employees, carriers, and customers to thrive and grow at a professional and personal level by offering our boutique-style methodology. This has allowed us to create an extensive network of providers in the 11 Western States. As we look to the future with Trinity Logistics, we have discovered many synergies within our people-centric approach and are blessed to become a part of the Trinity Logistics Team,” said Bill Grieder, Team Eagle Logistics.
Trinity Logistics has been in the freight brokerage business for over 40 years and, as of 2019, is part of the Burris Logistics family. Trinity offers truckload, less-than-truckload, intermodal, expedited, drayage, international, warehousing, and technology solutions to businesses of all sizes. The Team Eagle acquisition brings greater coast-to-coast capability and enhances the Trinity Experience for shipper and carrier customers.
“We are absolutely thrilled to welcome Team Eagle to our family! This will give Trinity a much-needed presence in the southwest and allow both companies to mesh our strengths to continue providing high-quality People-centric Freight Solutions® for shippers and carriers,” said Donnie Burris, CEO, and President, of Burris Logistics.
Team Eagle will adopt the Trinity Logistics name and brand. For further details on the acquisition as well as recruiting opportunities for team members, carriers, freight agents, and other partners, visit https://trinitylogistics.com.
About 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 more than 40 years, Trinity Logistics has been arranging freight for businesses of all sizes, offering truckload, less-than-truckload (LTL), warehousing, intermodal, drayage, expedited, international, and technology solutions.
Trinity is currently recognized in the Top 20 freight brokerages on Transport Topics’ Top 100 Freight Brokerage List, in the Top 100 3PLs list by Inbound Logistics, and is named a Top Company for Women to Work for in Transportation by Women in Trucking.
About Team Eagle Logistics
Team Eagle Logistics (coined as “The Best In The West”) was founded in June of 2014 by Michael Gentile and Bill Grieder. Since inception, our mission has been to build and maintain lasting, intimate business relationships through industry-leading levels of service and communication. At Team Eagle, our job has always been to make yours easier.
You’ve finally decided it’s time to get some help with your logistics. You’ve heard about third-party logistics (3PL) companies and the services they offer having many benefits to those who use them. According to a report by Ibisworld, there are over 20,000 3PL companies in the U.S. alone.
When looking to choose the right 3PL for your company, it all comes down to what you’re looking for. Whether you’re looking for one with advanced technology, great customer service, an extensive carrier relationship network, or perhaps an expert in your commodity, there’s sure to be one that makes sense for your business.
Choosing the right 3PL is essential to ensure your company gets exactly what it needs for its logistics. With so many different 3PL companies out there, we wanted to offer you some information so you can choose the right one for your needs. In this blog, we take some of our competitors and compare them, as well as ourselves, so you can see how they differ.
First Steps
First things first, to find the right 3PL for your company, here are some steps you can follow to ensure you choose the right partner:
- Research the different companies around.
- Begin establishing a relationship with these companies.
- Ask about the rates they offer.
- Look for any customizable capabilities the company offers. Is the technology customizable to your company’s needs?
- Keep an eye out for a provider that commits and strives for continuous improvement. Look for a 3PL that has networks of people and locations.
Logistics Companies Comparison
We chose some well-known 3PLs to analyze for our comparison, including C.H. Robinson, XPO Logistics, Redwood Logistics, and ourselves. We’ll compare the different companies’ backgrounds, technology, and company culture to help you start your search for a 3PL provider.
Background Information
One thing you should look into when researching 3PLs is their background. It’s important to find out some basic information about your potential provider, such as how long they have been in business, the number of locations they have, and their company’s mission.
C.H. Robinson
- Founded in 1905 in Grand Forks, North Dakota
- A multi-billion-dollar company in the logistics field
- Headquarters are in Eden Prairie, Minnesota
- Has 297 office locations in 51 different countries
- Has no assets
- Mission Statement: “Our people, processes, and technology improve the world’s transportation and supply chain, delivering exceptional value to our customers and suppliers.”
XPO Logistics
- Founded in 1989
- Headquartered in Greenwich, Connecticut
- Has over 42,000 employees with 756 locations worldwide
- A billion-dollar company
- Has their own assets
- Mission Statement: “People, technology, assets, and expertise that work together around the globe to help our customers succeed.”
Redwood Logistics
- Founded in 2001
- Headquartered in Chicago, Illinois
- A multi-million-dollar company
- Has 225 employees with 15 locations nationwide
- Has no assets
- Mission Statement: “To bring energy and innovation to logistics and help businesses prosper in a high-demand world.”
Trinity Logistics
- Founded in 1979 in Cambridge, Maryland
- Headquartered in Seaford, Delaware, with eight office locations nationwide and over 120 agent offices in North America
- A Burris Logistics Company
- Is a multi-million-dollar company
- Has no assets of its own, but makes use of its parent company assets, Burris Logistics
- Mission Statement: “To deliver creative logistics solutions through a mix of human ingenuity and innovative technology, enriching the lives of those we serve.
Technology
Technology is a key aspect of the success of your logistics companies. Many 3PL companies provide different technology perks to help simplify your logistics processes. Let’s look at what these companies offer.
C.H. Robinson
C.H. Robinson offers technology applications for transportation management through their Global Transportation Management System (TMS), freight visibility, pricing, and analytics through Navisphere, planning through PO Management, and procurement through Procure IQ. They also offer carriers technology through their Navisphere Driver App.
XPO Logistics
XPO Logistics offers a digital transportation platform designed to increase efficiency for their customer, called XPO Connect. This platform gives visibility into shipment status and helps streamline tasks through automation and digital sourcing of capacity.
Redwood Logistics
Redwood offers their digital logistics platform called LPaaS. This stands for Logistics Platform as a Service and XPO make this the centerpiece of the company. This “open platform for digital solutions” highlights that LPaaS is the connection between logistics and technology to create a network that is efficient, cost-effective, and personalized for your logistics solutions.
Trinity Logistics
Trinity offers best-in-class technology for both shippers and carriers. Shippers can take advantage of Trinity’s Customer Portal to stay updated on their shipments, access or pay invoices online, or request new freight quotes easily. If looking for transportation management, shippers can find their own customized transportation management solution with Trinity, whether that be Integrated Outsourced, Managed, Software-as-a-Service (SaaS), or their own specific TMS solution. For less-than-truckload (LTL) shippers, there’s Banyan LTL to make shipping your LTL freight easier.
Carriers have just as many technology options as shipper customers through the Carrier Portal, TriumphPay for quick and easy payments, and load booking features through DAT BookNow.
Carriers and shippers can both take advantage of easy tracking technology options such as MacroPoint, Trucker Tools, and FourKites.
Company Culture
One final aspect that you should learn about your potential 3PL company is its culture. You want to find a 3PL provider who aligns with your mission, as well as treats their employees right. We all know a happy employee equals great customer service!
C.H. Robinson
C.H. Robinson embraces their value through their E.D.G.E program; evolves constantly, delivers excellence, grows together, and embraces integrity.
XPO Logistics
XPO’s values are inclusivity, safety, being entrepreneurial, being respectful, and being innovative.
Redwood Logistics
Redwood believes in environmental stewardship, social and workplace culture, and corporate governance.
Trinity Logistics
At Trinity, culture revolves around a set of Guiding Values. Those are:
Teamwork: We listen. We collaborate. We solve.
Integrity: We do the right thing!
Legacy: Our journey has a purpose.
Fun: Fun lives here!
Continuous Improvement: We aspire to reach our {untapped, full, greatest} potential.
Excellence: We challenge the status quo.
Determination: We are persistent and unshakable in overcoming obstacles.
Leaders: We are all leaders committed to serving and empowering others.
Find What Works Best for YOU
Whether large or small, having many years of experience or few, or having multiple platforms of technology or just one, the best 3PL for your company is your decision alone. While we at Trinity would love to work with you, we know that the best relationships are built upon respect, equality, trust, and communication.
We hope this logistics company comparison helped you begin your research into your future 3PL provider. Make sure you find the right provider that aligns with your goals and will help you succeed. And if that provider happens to be us, we’re ready to provide you with our People-Centric Trinity Experience.
By: Turner Lee
Many companies and consumers are waiting and wondering, where are my goods? If you work in logistics, then you know exactly where they are. A significant number of ships are waiting outside of U.S. ports, carrying millions of dollars worth of goods ordered by Americans. What started as a binge in online ordering during the pandemic has had lasting effects on supply chains. There’s continued to be overwhelming demand, creating port delays which then caused higher shipping rates, newly created fees, and so many more issues brought to light among global supply chains. We’ve seen record-breaking highs of imports throughout the year and currently, there’s no end in sight. Many are trying to find solutions and put them into place to get out of this hole we’ve dug, but is it working?
PORT PROBLEMS
Before the surge of imports faced by the ports, containers would wait at terminals for up to four days on average before unloading and delivering to warehouses. For those delivering by rail, it would take less than two days. Now, the average for ships waiting is nine days, if not more. Some have waited weeks. According to reported data by the Port of Los Angeles on November 12th, the average time ships had to wait at anchor was up to 16.9 days.
Besides the growing wait times are the increasing number of ships that are stuck waiting. According to Marine Exchange,before the pandemic, ports would see no more than 17 ships waiting to dock. However, recently it’s been common to find upwards of a hundred or more ships lingering in the ocean near ports, waiting.
It doesn’t seem there is one particular problem that is causing these backlogs and port delays. Rather, many port problems are being highlighted.
Returning Empty Containers is a Struggle
One of the loudest heard complaints adding to the port delays is the struggle truck drivers and companies are facing in returning empty containers. In a survey by the Harbor Truck Association, 15 companies responded that they had a combined 4,251 empty containers sitting. Additionally, 86 percent of them were on wheeled equipment and the rest were in stacks. One motor carrier stated that they had been stuck with empty containers since August 31st because the terminal would not accept them.
Many motor carriers and importers say there are port delays and cargo not getting picked up because the port terminals don’t allow drivers to return their empty containers and make a swap. Meanwhile, the port officials are saying they first need to make room to be able to accept them. Additionally, these sitting empty containers are further adding to these port problems by creating a chassis shortage.
Where are the Chassis?
First off, if the term chassis is new to you, let me briefly explain what it means. The chassis is a special trailer used to carry and transport the ocean container over the road. They are needed for truck drivers to be able to haul and deliver these containers.
A short supply of these chassis is another problem causing the growth in port delays. Typically, a truck driver will go to the port to swap the empty container they have and retrieve a full one to deliver. However, when truck drivers are turned away from the port with their empty containers, they will often park them and the chassis, at truck lots. But, without the chassis and ability to make a swap, they then can’t go pick up a full container from the port. So, currently, most chassis in Southern California are sitting under empty containers, strewn across truck lots.
Simply No Space
Another reason for the port delays is simply a lack of space. Warehousing and truck yards have been so full lately that they have little room to receive a new container of goods. Local officials have indicated some shippers eager at avoiding extended delays, ordered their goods earlier for next year, essentially using the ports as a makeshift warehouse for the time being. And even with the recent implementation of 24/7 operations at the Southern California ports, the ports may be running 24/7, but the warehouses are not. There’s just not a lot of space to put all the containers.
Lack of Labor
The labor shortage has affected every industry, but the ports are having a tough time clearing out all the freight due to a lack of labor. A shortage of dockworkers and truck drivers is one reason for port delays. Being that two-thirds of the cargo at the two ports in Southern California is hauled by trucks, these terminals are saying that the driver shortage may be to blame.
Inefficient Appointment Booking
Others are blaming the ports’ outdated booking system for the growing port delays. Usually, truck drivers must make an appointment to return an empty container and pick up a full one. But with the surge of freight and no space, port terminals have placed new restrictions. Every terminal has its own set of rules on when and where containers can be returned and picked up. This even pertains to the color of the container. With no centralized database, truck drivers are making bets by placing multiple appointments at different terminals in hopes they’ll meet requirements somewhere and get to return an empty container. Yet lately, the marine terminal could decide last minute that the terminal is full or that they aren’t accepting a certain color container that day and turn the truck driver away, usually after they have already waited a while. Terminals are saying that there are more no-shows lately with the truck drivers, stating that they just don’t show up 50 percent of the time.
Too Much to Handle
What may be the biggest problem with the port delays is that there is too much freight to be handled. Gene Seroka, the executive director at the Los Angeles port recently told 60 Minutes that the entire system is overwhelmed with the tsunami of orders that are flooding in from Asia to the U.S.
There can be many reasons to attribute to the growth in port delays. With everyone pointing fingers, one of the questions is, how do we get everyone to take some time off from playing the blame game and instead talk through a plan to clear out the backlogs at the ports? Because until then, the number of ships waiting off the coast of the ports is repeatedly breaking record highs.
PORTS HITTING RECORD HIGHS
Los Angeles and Long Beach
The number of ships waiting in the San Pedro Bay to dock at the port of LA and the port of Long Beach broke the previous record of 87 ships on November 15th, according to cFlow. To put that into perspective, the number of containers on those waiting ships is roughly 24 percent more than the port of Los Angeles imported during the entire month of September.
Back around October 14th, the cargo waiting off the two Southern California ports was worth around an estimated $25.5 billion, which is more than the annual revenues of McDonald’s.
At the start of November, there were nearly 60,000 containers at these ports that had been there for more than nine days, according to reported data by American Shipper.
Both Southern California ports are moving 19 percent more containers than in 2018, which held the previous record. Currently, the ports look to outpace 2018’s record of 17.5 million containers processed in 2018. This year alone, the two ports are looking to handle a combined 20 million twenty-foot equivalent units (TEUs).
Virginia
In October 2021, both the ports of Charleston and Virginia achieved container volume records. The Port of Charleston reported 234,923 TEUs handled, while the Port of Virginia’s new record was 318,000. That’s about a 16 percent increase year-over-year (YOY).
Combined, the Virginia Port Authority said that since August 2021, 444,600 imported TEUs had been processed, which is a 19 percent increase YOY. Additionally, there was a nine percent increase in exported TEUs, with a volume of 254,600.
South Carolina
Since the start of the fiscal year, South Carolina ports have faced a 15 percent increase in processed containers YOY, having handled 919,440 TEUs. In October, South Carolina ports handled 107,773 imported TEUs, a 12 percent increase, with furniture imports rising 55 percent YOY and vehicles up 5 percent.
Georgia
In October, the Georgia Port Authority announced that, for the first time ever, the Port of Savannah had processed more than 500,000 TEUs in a single month. The previous record was 498,000 TEUs in March 2021, with the new record being 504,350 TEUs, an increase of 8.7 percent YOY.
TRYING TO SOLVE THE PORT CRISIS
24/7 Southern California Operations
In October, the Biden administration unveiled its plan to help the port delays in Southern California. Since the ports of Los Angeles and Long Beach account for 40 percent of the sea freight in the U.S., they wanted those two ports to be running 24/7. Having round-the-clock operations and pushing truck drivers to make appointments outside of peak times should help address some of the backlogs there.
Southern California Implements Fees
Also in October, the two ports announced that they would begin fining shipping companies $100 a day for every container left on the docks, past an allotted time. In their guidelines for the fees, shipping companies have six days to move containers if their next step is rail or nine days if the next step is by truck. Every day over, the fee would be increased by $100; so $100 the first day, $200 the second day, and so on.
The fees were initially supposed to go into effect November 1st, but it was then delayed to November 15th to give shippers and carriers more time to avoid the new fees. Even with the delay, the ports started keeping track of containers waiting on the docks on November 1st. As of publishing this article, the charges are delayed to November 22nd.
These emergency port fees were aimed at getting containers moved out of the ports faster. The charges will go to the carriers who would then pass it along to the shippers. These charges, if they go into effect, could become millions of dollars in fines. According to port data. as of Friday, November 12th, the Port of Long Beach had 17,314 containers for trucks over nine days and 575 containers by rail over six days. If the fees had gone into effect that day, ocean carriers would owe at least $1.8 million in combined fees.
Port of Long Beach Ups Container Stacking
The City of Long Beach also recently loosened zoning restrictions on container stacking temporarily. It used to be that only two containers could be stacked together at container yards and warehouses, but now they are allowing up to five to be stacked. The higher stacking could help free up some space.
The State of California Makes Efforts
The state of California has been working on its own efforts to improve the backlogs and port delays. Governor Gavin Newsom recently directed agencies to find any state-owned properties that could store containers near the ports by December 15th.
Additionally, starting November 17th, Newsom announced that California will increase weight limits for trucks carrying goods in and out of ports. The weight restriction has increased from 80,000 pounds to 88,000 pounds in hopes it will help speed up the processing of containers. This will be applicable through June 30th.
By the end of this year, the California Labor and Workforce Development Agency also have a plan to help the labor shortage affecting the ports. They plan to name an industry panel to explore how to increase training and education programs for port workers and others in the supply chain who could lose jobs with automation and the transition to clean-fuel vehicles.
Washington Also Implements Fees
In early November, the Port of Tacoma and Washington United announced one-off long-term dwell fees of $315 and $310 for loaded containers that sit at the terminals for more than 15 days. This is in addition to their current late fees of $230 every day for any that are waiting more than four days.
Pop-Up Container Yard Projects
Georgia‘s Port Authority is reallocating $8 million o open five pop-up container yards in Georgia and North Carolina. This will free up dock space for the Port of Savannah, which leads the U.S. in agricultural exports.
Cargo congestion has been so bad at the Port of Savannah, those officials are planning to use a small airport in Georgia as their temporary overflow yard. Containers will move to these pop-up yards by truck or rail to create more space for cargo coming off ships.
Infrastructure Bill
Lastly, there’s also the $1.2 trillion infrastructure package to help aid U.S. ports. This package contains funding for port equipment and upgrades, dredging and channel maintenance, marine highways, rail needs, safety improvements, and emissions lower projects. This includes $5.2 billion in direct funding for any ports that handle 90 percent of internationally bound cargo, according to the American Association of Port Authorities.
GOOD NEWS
Even though the port delays seem like there is no end in sight, there has been much good news on the situation recently. For one, the recent shift to 24/7 operations at the Southern California ports has already improved service times for container ships. The LA and Long Beach ports have seen a 20 percent reduction in the number of container ships spending more than nine days as more shippers have agreed to move cargo during off-peak hours.
Additionally, the recent fees announced by the Ports of LA and Long Beach have been delayed to November 22nd. This is because the port of Los Angeles has seen a 32 percent decline in the number of containers qualifying for the fee compared to October 28th. Both ports reported a combined 26 percent decline in aging cargo. Because of the significant improvement in clearing containers, the ports decided to push back the fee another week to give shippers and carriers an extended grace period. They will continue to track the data to see what steps to take next.
Since September 1st, the Port of Savannah has seen a decrease of 60 percent in waiting containers, as retailers have been picking up cargo more quickly. Because of the extra space for dockworkers, Savannah reduced the number of ships waiting by 40 percent. As a result, their turnaround times have been much quicker, around 41 minutes for a single move and an hour when dropping an empty container to pick up an import load.
ADVICE FOR SHIPPERS
Even still, experts don’t foresee a large slowdown anytime soon. Instead, port problems and delays will continue into 2022 because of all the challenges supply chains have faced and some of the solutions are longer-term.
What we’re seeing is more cargo owners working with their ocean carriers to try to diversify their supply chains. Some of this includes rerouting to less busy and backlogged ports or ordering only what is needed to give the ports more time to move containers instead of creating more backlogs by ordering too early.
The best advice we can give you when working with your logistics provider is to make sure you are communicating your shipments early on. Giving AT LEAST two weeks or more notice (more is better here!) will help you secure any type of capacity.
You should also prepare for any extra costs. This includes demurrage, port wait time, per diem, or other fees and charges.
Lastly, make sure you work with a provider who helps you with more than just arranging your shipments. Find a provider who also works as your logistics consultant. You want someone who has eyes and ears on the market and can communicate and help you navigate any current or future disruptions so you can get ahead.
LOOKING FOR A LOGISTICS CONSULTANT?
Trinity Logistics is here and ready to help you. We stay updated on the freight market and help you pick up on any early warning signs of disruptions or delays, finding ways to help you prepare for potential constraints to your shipping.
We treat your shipments as our own and work with you to find the best alternative solutions when needed. We stay dedicated and do not stop working until we can help resolve any challenges you may face with your logistics.
Our Team Members are true experts in the logistics industry. We’ve been in business for more than 40 years and have been through many cycles of the logistics market. Because of that, we do more than just arrange your freight. When you choose to work with Trinity, you’ll find you have a whole Team of logistics partners invested in your business. Our only goals are to simplify your logistics so you can succeed and see growth.
Request a Trinity QuoteAuthor: Christine Morris
Over the last 18 months, the trucking industry has faced uneven supply and demand, congested ports, rising costs, a global pandemic, labor shortages, and a boom in online consumer spending. As a result, demand for truck capacity and rates remain elevated. What’s one thing straining capacity and raising rates? Dock delays and detention. Dock delays and detention not only affect truck drivers but shippers as well. In this blog, we’ll dive into what truck detention is, why it happens, how it impacts truck drivers and shippers, and how shippers can help reduce dock delays and detention.
WAITING, WAITING, WAITING…
According to a recent Trucker Tools whitepaper, wait times at shipper and receiver locations have increased compared to a year ago. As a result, delays at docks and detention ranked as the number one challenge carries currently face. While loading dock wait times have plagued the industry for years, recent woes have worsened them.
Nearly 60 percent of those surveyed reported waiting for longer than two hours on each load. This is in line with data collected by a DAT solutions survey showing that 63 percent of drivers say they spend more than three hours waiting when loading and unloading. Freightwaves also collected data on driver wait times. In June, average wait times were around the two-hour mark but are now showing past two and a half hours.
At the same time, 79 percent of those surveyed in the Trucker Tools whitepaper say that they never or rarely receive detention pay when they wait for more than two hours. Half of those surveyed reported receiving detention pay only if negotiated in advance. Of those surveyed, 65 percent responded that detention pay has not increased or otherwise improved in the last year.
WHAT IS TRUCK DETENTION?
Truck detention can be one of the most irritating things drivers have to deal with. When a driver arrives at a pickup or delivery location, there’s a built-in “free time” period in which the driver will wait while the truck is getting loaded or unloaded. This “free time” is what people consider to be a reasonable expectation for the time it should take the shipper to load the trailer or the receiver to unload it. This “free time” varies from carrier to carrier, but a good baseline for most is two hours. Anything over two hours is extra and considered truck detention. Once a truck driver has had to wait over their “free time” limit, they will often charge truck detention fees.
The carrier company decides detention fee amounts and the shipper or receiver handles payment of it. Generally, truck drivers will ask anywhere from $25 – $100 per hour to cover this extra waiting time. Most motor carriers will have a clause in their contract with the shipper or broker stating their detention fees. The purpose of truck detention pay is to compensate the driver or carrier when the shipper or receiver holds them up. You’ll find that truck detention is more common with full truckload shipments than with less-than-truckload (LTL).
WHY/HOW DOES TRUCK DETENTION HAPPEN?
There are so many factors that can cause truck detention to happen. In most cases, the driver is set back and not loaded on time by the shipper/receiver.
Truck detention is not for when the truck driver’s delay is on their own terms. This includes if their truck broke down, congested traffic, or being delayed by another pickup or delivery appointment. While some delays are not the shipper’s fault, American Transportation Research Institute (ATRI) found that customer inefficiencies were a major contributing factor to detention.
A lack of organization or lax attitudes on docks tends to create the problem of dock delays; shipments could not be ready to go, or the dockworkers may not be in as much of a rush as the truck driver. Additionally, warehouses may not be well organized to get the shipments ready in time.
As of late, there are also other factors to consider, such as the labor shortage. There could be a limited amount of dock workers or overworked workers, which doesn’t help the situation.
According to Business Insider, nearly 10 percent of all truckers recently said they’ve had to wait six hours or more. In addition, one in five drivers said that preloaded trucks weren’t ready by the time of their appointment, that products weren’t ready, or were still being manufactured. Delays were also attributed to shippers and receivers that overbooked appointments, booked more trucks than they had space to accommodate, or didn’t have the equipment to load and unload the trucks.
HOW TRUCK DETENTION IMPACTS…
Truck Drivers
Truck drivers say that waiting at warehouses for shipments is one of the most aggravating parts of their jobs.
Detention impacts the profits of carriers and uses up their valuable driving hours under Hours Of Service regulations. According to a survey by ATRI, 83 percent of truckers run out of available hours due to detention. In addition, according to a whitepaper by J.B. Hunt, of the 11 hours drivers have available to drive during a shift, an average of only 6.5 hours are spent on the road while the rest is wasted on detention.
A study by the Department of Transportation (DOT) found that because of detention alone, drivers lose an estimated $1.1 billion to $1.3 billion every year. In addition, the Inspector General’s audit report estimate that driver detention decreases U.S. truckers’ annual earnings by $1,281 to $1,534 or three to three point six percent of a driver’s annual income.
It also affects safety. According to the data from the FMCSA, in 2015, 415,000 crashes occurred involving large trucks. Detention time increases the risk of crashes by using up drivers’ available waking hours, contributing to fatigue while driving. The FMCSA report states that detention increases the likelihood of truck crashes involving fatalities or significant injuries.
Since truck detention delays drivers, it eats into their legal hours of service and causes further delays. Once a truck driver experiences a delay at one location, a snowball effect happens. The driver becomes delayed or misses their next appointment, causing even more possible detention, delays in supply chains, and most of all, lost pay. This can significantly eat into their pay.
Speaking of pay, according to a DAT survey, only three percent of drivers said they receive detention pay for at least 90 percent of their detention claims to shippers. Often, truckers are afraid to ask for detention pay. A study found that 20 percent of truck drivers who work for smaller companies don’t ask for detention pay to “remain competitive and maintain good relationships” with customers. Moreover, when carriers do receive detention fees, some don’t always pass along the money to the driver for their lost time and wages.
On top of not always being paid, a detention fee does not fully make up the cost of the driver’s stationary truck and lost time.
Truck drivers say that detention underlies a larger problem in the industry: a lack of respect for truck drivers. Every day, thousands of drivers arrive at their destination only to find no loading docks or crews available to unload the freight. In addition, there’s often no place to park while they wait. As a result, they end up searching for any place safe enough to park nearby. Some may find a rest area or truck stop, but those can fill quickly.
Other drivers aren’t so lucky and end up driving for extended periods searching for a place to park, ending up forced to park in less than desirable locations. This puts the driver in danger and overwhelms local infrastructure. An example of this is the overwhelmed Los Angeles port causing neighborhood streets to be clogged by trucks hauling or waiting to haul shipping containers.
Besides these scenarios, detention can also hurt a carrier’s business reputation with shippers.
Shippers
It’s crucial to note the impact of dock delays and truck detention goes beyond drivers and carriers. Detention reduces the amount of capacity that is available, making it a huge problem for supply chains.
It also impacts shippers financially. Detention fees come unplanned and cut into your profit. Detention fees can add up to hundreds of dollars per truck every day, which adds up to hundreds of thousands of dollars per year.
Regular detention affects your reputation. A survey showed that 77 percent of carriers are more selective in who they are willing to work with. Additionally, 80 percent of carriers stated there are facilities that they will absolutely not work with. According to an ELD survey, 43 percent of carriers say that the number of shippers/receivers they refuse to go to has increased since the ELD mandate was implemented. As a result, they can see better data on who consistently causes detention. Carriers state they also tend to avoid shippers with strict appointment times and don’t offer delivery windows.
Not all carriers will wait for you. Only 17 percent of carriers said they would wait as long as it takes to be loaded. The majority said they would only wait up to four hours before pulling their drivers from the shipment.
The effects of poor dock scheduling and detention can add up and result in more issues in your supply chain. This can include late deliveries, poor customer service, potential perishing of cold-chain products, loss of shipper of choice status, freight refusal by carriers, and higher freight rates. In addition, detention and delays hurt supply chain performance, carrier relationships, and impact labor costs. You can also face chargebacks from your customers who are unhappy about not receiving goods by the agreed-upon delivery date.
Considering the current market, shippers cannot afford carriers to blacklist them due to detention.
HOW TO MINIMIZE DETENTION AND DOCK DELAYS
Sometimes, delays are unavoidable, but it might shock you that your procedures could make you more vulnerable to delays. Effective dock scheduling and end-to-end visibility are critical to controlling costs and delays. In a report by Logistics Management, approximately 40 percent of an organization’s total freight spend is inbound freight costs. These costs come from poor dock scheduling, increased delays, detention fees, and other unexpected issues.
For shippers to reduce delays and detention fees, they need to understand how better dock scheduling can reduce risk and benefit them. Efficient dock scheduling amounts to better processes throughout your supply chain. This means more vendors, carriers, and customers will want to work with you.
There are many great ways to reduce or cut detention at your docks.
Staggered Appointment Times
One shipper told Uber Freight that they could save as much as $300 from detention per load just by staggering their pickup times.
Extended Facility Hours
Like staggered appointment times, adding more hours of operation can decrease congestion and lower detention for truckers. Having more time means you can space out appointments, and wait times decrease. Adding weekend and/or evening hours can go a long way.
Mode Specific Dock Doors
Having doors dedicated to different modes can help to keep things running smoothly. High-velocity doors and LTL doors can help ease congestion for drivers.
Adding More Dock Doors
Though not workable for everyone, adding more dock doors or moving to a warehouse with more dock doors, can accommodate more appointments and lower wait times.
Have Better Dock Awareness/Improved Dock Scheduling
Make sure your dockworkers have the product ready before scheduling the appointment. Furthermore, you can encourage them to have the process done in two hours or less to avoid detention.
Make sure to space out your appointments so that your workers have enough time to load/unload the truck. Overscheduling is a huge cause of detention. Improving your dock scheduling lowers your risk of delays for drivers.
Using Technology
Forward-thinking shippers are using technology to reduce detention time.
Web-based dock appointment scheduling solutions enable shippers, carriers, and consignees to collaborate on dock scheduling. By distributing the responsibility among everyone, organizations will be able to proactively keep wait times at a minimum.
Carriers can avoid frustrating detention time and shippers can manage inventory more efficiently. Technology can give you greater visibility into inbound shipments. Besides reducing detention, you can also better manage inventory levels, increase warehouse efficiency, and reduce congestion by limiting idling in the yard.
Hiring More Labor
While this might be tougher to secure right now, it’s often cheaper to bring in extra workers than it is to pay detention fees. Unready freight is one of the major causes of detention. When there is more labor on-site, orders can be prepped and loaded quicker.
Staggering Your Labor
By staggering your labor hours, you can ensure loading and unloading can continue during lunch hours rather than the entire staff breaking all at once.
Drop and Hook Programs
If possible, with space, drop and hook programs are the easiest way to avoid detentions. What is a drop-and-hook program? This allows the driver to drop the trailer, hook an empty trailer, and head on their way. Often the shipper can use the dropped trailer for storage as a courtesy. Yet, shippers and carriers must work together to ensure that these trailer pools don’t expand and sap the fleet. In addition, drop and hook don’t work for live freight. When it works well, drivers wait less, and both shippers and the trucking company are more profitable.
Communication
Make sure to share your yard map with the truck driver so they know where to go and who to contact if there are any issues. Also, be sure to communicate with your warehouse that the truck must be loaded within a given timeline, such as two hours or less.
Improved Operations
It all comes down to improved planning, more visibility, and optimized labor. Smart shippers are looking at data to prevent overscheduling, maintain staff and equipment, and address problems.
Hold Regular Business Reviews with Your Logistics Providers
It’s critical that shippers and their logistics providers discuss performance regularly. It will help you identify key problem areas and introduce potential changes to help reduce driver wait times and fees and keep your supply chain efficient. In a whitepaper by J.B. Hunt, it was estimated that eliminating even 30 minutes of wait time would give a driver an extra hour on the road. This would be equal to 50 more miles per day or 12,500 miles per year. These carrier savings translate to increased supply chain efficiency, less risk of road accidents, and improved operational performance.
When asked about detention solutions from carriers, they’ve responded that customers who were organized, used technology, maintained scheduled appointments, or had as-needed extended hours, significantly reduced delays.
LET’S DO BETTER
Delays are the worst-case scenario for today’s supply chain professionals. Each delay amounts to a potential setback further down the supply chain. We’ve had plenty to deal with that has been out of our control, but truck detention is one that we have more control over.
Shippers need to take steps to reduce their impact by improving dock scheduling and operations to ensure a positive and timely, customer experience. And in the competitive market we’re in, drivers get to select who they want to run for. Don’t be one that gains a reputation for dock delays.
If outsourcing your logistics, make sure to work with a provider who can help be a resource for more than arranging your freight shipments. At Trinity, we’re your logistics consults, too. We make sure to take the time to have educated conversations about your logistics and operations, to help you reduce delays and have a more efficient supply chain.
We offer many technology options like our tracking and tracing options that can keep tabs on your truck and freight, as well as a transportation management system (TMS) to give you insight into valuable data. If you choose to work with our Managed Service Team, we offer you quarterly reviews with our experts so you can take a deep dive into your data for improvements.
Truck detention and dock delays remain a problem for many, but it doesn’t have to stay that way. Take charge of your dock operations today and find an improved supply chain.
REQUEST A FREIGHT QUOTE WITH TRINITYAuthor: Christine Morris
Why is creating a culture of teamwork so crucial to a third-party logistics company? Well, because our Team Members are our assets! Our Team Members are the ones representing our company every day by living our mission, purpose, and vision. We ensure that everyone who interacts with us receives excellent service as set by our Trinity standards. Additionally, our company relies on the combined knowledge and expertise of every Team Member to run our company efficiently.
We need a culture of teamwork because each of our departments leans on one another to get the job done. Whether that be Marketing, Operations, or Billing, they all play an integral role in the company’s service and performance.
Now you’re probably wondering, how are you creating a culture of teamwork? How can my business improve our own culture and service? It’s not just one thing that makes it happen. Creating a culture of teamwork takes many steps, time, and a lot of effort, but you’ll find it all worth it in the end.
Start with the Right People
Creating a thriving company culture starts in the beginning with the leadership. Our leadership at Trinity is one that wants everyone in the company to excel and grow. This encouragement is seen throughout the company but made especially clear during the recruiting process. Our Recruiting Team works hard daily to find and, attract the best talent possible. We look for people who live by our Guiding Values daily. These include integrity, teamwork, legacy, fun, continuous improvement, excellence, determination, and leaders. Since our culture revolves around these Guiding Values, we want to make sure our potential hires already relate to them.
Since we strive to create a work environment that is upbeat, fun, and competitive, our ideal Team Members are those who will maintain and enhance this environment.
Besides relating to our Guiding Values, we also look for prospects that want to help give back to the community. At Trinity, we have the Trinity Foundation. The Trinity Foundation is an independent, non-profit organization founded and run by Trinity Team Members. A common goal of the Foundation and Trinity Logistics is improving the lives of others, and that’s why we highlight different opportunities for Team Members to give back to the community.
Although recruiting is only one aspect of what makes our culture thrive, it’s an essential part of keeping it alive and well.
Team Member Appreciation
Another critical area to creating a culture of teamwork is showing your Team Members genuine appreciation for all the hard work they do. Whether this is through fun events, awards, or the benefits provided, showing your Team Members that they are appreciated and valued will often raise morale.
Fun Events
We appreciate the hard work our Team Members do day in and day out. We share our appreciation and build upon our company culture through our Guiding Value of Fun. If there’s one thing we do well, it’s offering fun events for our Team Members. Whether it’s our Annual Field Day, holiday celebrations, team-building activities, or our many potlucks, we strive to encourage every Team Member to have some fun within their comfort level.
Kudos
Another way we show and build upon our culture is through our Kudos program. Team Members have the opportunity to send Kudos to others. These are notes of appreciation for work or acts of service they have done, based on our Guiding Values. These Kudos are shared company-wide for all Team Members to see. Additionally, every month we randomly pull one to two kudos per office to announce as our monthly winners for demonstrating one of our Guiding Values. Winners receive special prizes each month.
Awards
Of course, you can’t talk about appreciation without awards. At the end of every fiscal year, we celebrate! We hold a party for a chance for our Team Members to dress up, have some fun, and most of all, celebrate excellence through our Awards Ceremony. Every department chooses someone who shined throughout the year in certain categories to be recognized. Many different factors come into play when selecting award winners such as time spent in the company, background, discipline record, and current employment with the company. These award winners are given different prizes, trophies, or even vacations as well.
Benefits
While people love the fun events and celebrations, offering benefits that are a cut above other companies show Team Members are valued.
Trinity offers a great mix of benefits, work environment, and appreciation to create a happy team. Our benefits package includes generous paid-time-off offerings, a 401(k) with 100 percent match up to six percent, a full benefits package (medical, dental, vision, and wellness), and a laid-back work attire because who doesn’t love to wear jeans to work every day! Showing appreciation is also understanding that your Team Members need a healthy work-life balance which is why we do our best to provide exceptional benefits for our Team to feel their best.
Education
Education is another critical are to creating a culture of teamwork. Through our in-house Education Team, we offer our Team Members opportunities to grow their skills and learn more about other aspects of the business. We also require our team to stay educated on proper workplace behavior. Lastly, we offer tuition reimbursement for those seeking higher education. By providing the chance for our Team Members to benefit from Continuous Improvement opportunities, we find that it allows our Team to offer the best service possible.
The Trinity Experience
Another aspect to keeping our company culture thriving was our recently launched Trinity Experience program. This educational class taught every Team Member in our company to provide the best language possible when communicating with internally with other Team Members, and externally with customers. Whether this was a reminder course for some or a new learning experience for others, our goal was to create a welcoming environment not only for the Team but for our external audiences as well.
Is Trinity the Right Place for You?
Every day at Trinity we strive for excellence. Our motto is People-Centric Freight Solutions, because our assets are our Team Members.
To do this, we need our Team to be their best and we encourage this through our culture. Because of this, we strive to create a work environment that is competitive, interactive, fun, and challenging.
While we can’t speak for everyone, our recruitment, education, and team appreciation are the driving factors in why we’ve been recognized as a Great Place to Work-Certified year after year.
If Trinity sounds like the place for you, check out what job opportunities we currently have available.
Work somewhere with a culture of Teamwork.
Author: Turner Lee
The chemical industry faces complexities every day. From safety regulations to handling and shipping these products, making, and delivering chemicals is no easy task. One of the significant challenges facing the chemical industry today is the pressure for sustainability. With climate change in the spotlight, consumers are taking notice, and sustainability is molding the chemical industry.
Changing the Old Ways
While safety, service, and costs are still important aspects of the chemical industry, sustainability is becoming an important detail. The industry faces pressure from activists, lawmakers, and the public to become more sustainable to help battle climate change.
A big issue arising for the chemical industry is that most people have trouble putting the words “green” with “chemicals.” This idea is something progressive, and future chemists are trying to help the industry adapt.
And while it’s not ideal to pay more money for creating products, it’s the path we’re headed. Studies show that more than three-quarters of consumers are willing to change their shopping habits to reduce their own carbon footprint. Additionally, more than one-third are willing to spend more money on products that help with sustainability.
Sustainability Issues within the Chemical Industry
With over 881 million tons of chemicals transported in previous years, this industry is growing and on the rise. Yet, with its growth comes an increase of challenges on the chemical industry to meet sustainability goals.
One major goal for sustainability is reducing one’s carbon footprint in the world. For the chemical industry, abiding by modern environmental standards like replacing petroleum-based combustion engines with electronic vehicles, or manufacturing with plant-based materials over oil-based, can help achieve carbon reduction. However, the chemical industry has several issues to resolve to meet this goal.
One of those issues is plastic. Over one-third of the plastic we use is single-use, meaning that after one use of a water bottle, zip lock bag, or straw, for example, these items are thrown away. The “Plastic Waste Markers Index,” published by the Minderoo Foundation, calculated that energy and chemical companies are the sources of half of the world’s single-use plastic waste. Single-use plastic accounts for most of the waste harming marine life and seeping into land when burned. This issue is not taken lightly. Many lawmakers and activists are acting to introduce a new form of recyclable and reusable plastic.
Major oil spills in recent years have become a rising issue as well. One major oil spill was the Exxon Valdez off the coast of Alaska in 1989, with over eleven million gallons of oil spilled in the ocean. Some more recent ones were the True Oil pipeline in 2020, the tanker truck rollover in 2020, and more.
Finding Sustainable Solutions
The chemical industry is working hard to find new solutions to be more sustainable. One of the significant changes being made is reducing the rise of fossil fuels.
The use of hybrid or electric vehicles has been on the rise, and we’ve seen significant sales growth for these types of vehicles. People are turning away from pumping gasoline to plug their cars into an electric outlet. While these electric vehicles are not yet popular in the trucking industry, many companies are working to build new electronic trucks. Not to mention, President Biden’s recent executive order aimed at making half of all new vehicles (including semitrailers) sold in 2030 electric.
Fossil fuels also play a part in plastics. Single-use plastics are made from polymers, with their base material from fossil fuels. As companies strive to reduce their plastic use or manufacturing, it simultaneously reduces fossil fuel use.
However, with new rules to reduce single-use plastic items, the logistics field will need to find new sustainable ways to package shipments. Currently, products are packaged and shipped in some sort of plastic.
Although these seem like small changes that one person can easily make, the companies that use or manufacture these products face major changes to their business. As severe weather and climate change continue to be front and center worldwide, chemical companies feel the pressure to make these changes towards sustainability.
We’re Here to Help You
Sustainability affects all practices for the chemical industry, including their logistics. Here at Trinity, we’re here to help you reach your logistics goals, including those on sustainability. We offer several modes of transportation, including intermodal, which can reduce your carbon footprint. Our Team of experts can help recommend customized solutions like freight consolidation as another way to be more sustainable with your freight transportation. Or you can consider using technology, like our best-in-class transportation management system, to gain efficiencies and data-driven insights into your logistics, which can also help you with sustainability in your logistics.
We know sustainability practices are necessary for every business. This is why we take pride in our efforts and are proud of our earned recognition as both an SDCE Green Supply Chain Award winner and as a Food Logistics Top Green Provider.
If you’ve been looking for a like-minded logistics partner to reach your goals, we’re here and ready to help.
See how we can help you with sustainability in your logistics.Author: Turner Lee