Supply Chain Optimization

Are You Targeting A Payload That Is Too Low?

I advocate weighing the trucks to see where payload targets should be set. Here is a sample of refrigerated trucks from major carriers in 2021. What does this tell you? In this sample, which was large enough to be valid, 69% of all trucks could ...

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Good News And Bad News On Diesel Prices

Good News (Price will go down): Today: Crude oil prices are way down + refiners’ margins are down by ~50% Future: High prices ~$100/barrel for oil and $9+ for gas mean that economically recoverable reserves rise. e.g. Eagle Ford sees a fifteen-fold ...

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Freight Rates On Their Way Down?

The Cass freight index appears to show expenditures and Shipments tracking fairly closely. Case Freight index The same is not true for bulk ocean freight. The London-based Baltic Exchange index is a weighted average based on 11-20 international ship ...

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Avoid High-Cost Carriers: Why You Need Transportation Planning

Transportation Planning provides an incredible competitive edge. To quote a VP at a Fortune 50 consumer goods manufacturer: “We deploy, at a premium cost, a product that may not be needed, from sites that may struggle to ship it, to sites that may ...

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Obvious Yes— But It Still Hurts

American Transportation Research reports trucking operating costs = $1.855 per mile, a 12.7% year-over-year increase only slightly offset by a 14.8% decrease in deadhead mileage Trucking companies hired about 73,000 new workers in the 12 months ...

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Big Breakthrough Eliminates Spot

The volatility of deployment has caused a lot of heartaches: What couldn’t be covered by contracted carriers switched to high-cost spot Overtime and detention as sites got buried We are proud to say we have identified a solution: LevelLoad combined ...

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Congratulations Kimberly-Clark For Being A Finalist For The CSCMP Innovation Award!

Many major shippers suffer high-cost spot freight. And Kimberly-Clark did something about it: Project EARL (Early Tendering and Leveling). AutoO₂ and our sister company’s LevelLoad are the underlying technologies driving the savings. Call Tom Moore ...

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Shame On The Government (EIA)

The EIA (Energy Information Administration), which is responsible for publishing the weekly diesel fuel costs, has failed in this simple duty for June 20, June 27, and July 4. “Unfortunately, we will not be able to publish those figures by the next ...

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Predictions On Container Rates = Guesses

The contradiction is: Maersk’s CEO sees inflation pushing container rates up faster than 25% to 30%. This is aided by port and rail congestion Spot rates for containers are sometimes not below contract rates. The average rate per 40-foot container ...

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I Was Wrong

Diesel prices are holding their own— despite refineries coming online. What gives? While fuel exports haven’t hit records, they are trending higher than in prior years. Seaborne gasoline, diesel, and jet fuel shipments departing the U.S. Gulf Coast ...

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