Technology is Essential in Navigating Peak Shipping Season

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As crazy as it may sound, planning for peak shipping season has already begun! In the U.S., peak shipping season extends from August until January of the following year. Peak shipping season can be broken down into two spikes in demand. The first occurs from August until October. This significant increase can be largely attributed to the holidays occurring in the next few months like Thanksgiving and Christmas. After a brief lull towards the end of October, a second spike carries the trend from November until the end of January.

The more customers shop online, the more expensive the season becomes for shippers. The pandemic shifted the mindset of many consumers – instead of placing an online order every once in a while, they started to depend on e-commerce. As a result, this peak shipping season is projected to be more expensive and busy for shippers than 2020.

Both FedEx and UPS are increasing their additional handling surcharges as a result of high order volumes and tight capacity. Both increases will start over the summer and last through peak shipping season. While raising surcharges is a start to handling peak shipping season, technology is providing a larger and more sustainable answer.

How Technology and Automation Can Help

In order to keep up with the steady increase in order volume, FedEx is working to increase its capacity by building out its infrastructure. The expansion will include 16 new automated facilities that will be finished just in time for peak shipping season. They already have over 140 facilities that are fully automated! FedEx’s automated facilities use advanced technology to handle, sort and scan packages. Automating traditionally manual processes saves them time and money without the added stress of hiring additional people.

For shippers and other peak season stakeholders, integrating technology into their traditionally manual logistics processes can feel overwhelming. A great way to start is by implementing a transportation management system (TMS). By leveraging a TMS, shippers can rate, book and track their shipments on a single platform where they can collaborate with carriers. 

A TMS that integrates directly with a visibility platform is especially important. Navigating an increase in order volume while keeping up with growing customer expectations can be difficult. With a visibility platform, shippers can view each aspect of their supply chain in detail as moves are planned, alerts are sent and real-time adjustments are made. Visibility platforms collect data and use it to create actionable analytics. By leveraging a visibility platform that integrates seamlessly with their TMS, shippers can keep customers informed while continuously improving their logistics operation!

Kuebix Receives Food Logistics 2021 Top Green Providers Award

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We’re excited to announce that Kuebix, a Trimble Company, has been selected as a Food Logistics 2021 Top Green Provider! 

When the Coronavirus disease (COVID-19) pandemic first began in March 2020, the Food Logistics staff thought that companies would put their sustainability initiatives on the backburner in order to better fight the virus. But, the opposite happened. Throughout this last year, companies have been moving sustainability to the top of their to-do lists, and the efforts are changing the supply chain industry for the better. 

The Food Logistics Top Green Providers award recognizes third-party logistics (3PL) providers, transportation providers, cold storage providers, technology companies and more whose products, services or exemplary leadership enhances sustainability within the cold food and beverage industry.

By leveraging supply chain technology like Kuebix TMS, shippers can improve operational efficiencies and make better informed decisions to reduce fuel usage and overall expenses. The pandemic made it especially important for logistics operations to be able to adapt to sudden fluctuations in supply and demand. 

Kuebix TMS enables users to efficiently manage their supply chains and make continuous improvements even in times of uncertainty!

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Technology is Changing Warehouse Operations

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Now that vaccine distribution has become more widespread and restrictions throughout the country are being lifted, businesses that made the decision to operate remotely are reopening office buildings. However, many companies have realized that their employees don’t need to be in the office to complete daily tasks. Some are having employees return to the office full-time, others are taking a hybrid approach and many are closing offices altogether.

Hybrid business models are a combination of what many companies had before the pandemic and the remote work that employees have become used to. By creating a combination of the two, businesses can ensure there’s enough space for everyone in their buildings and ease employees back into commuting to the office.

Of course, a remote or hybrid business model is not feasible for all parts of the supply chain. Warehouses require an extensive amount of organization and management that is traditionally manual. This made the past year especially difficult for companies dealing with an increase in demand and a limited amount of on-premise staff. However, recent developments in technology are making it possible for logistics professionals to effectively manage warehouses from home.

Technology’s Evolving Role in Warehouses

While warehouses are still a ways away from being completely autonomous, aspects of their daily operations can be handled remotely. The creation of RFID tags has played a big part in reducing the number of people needed to be physically present in the warehouse. Supply chain and operations managers have been able to gather data and insights, often in real-time, about warehouses even if they aren’t physically there for a while. Recent advancements in technology are making it possible for some grounding operations within the warehouse or at the loading dock to be done remotely. Here are a few examples of companies working to create this technology:

Zebra Technologies

Zebra Technologies’ SmartPack Trailer uses video and 3D sensing with analytics to collect information about trailers being loaded and unloaded at a dock. Logistics professionals can optimize tasks in real-time, take detailed records of each of their shipments and use data to generate actionable analytics. 

Phantom Auto

Founded in 2018, Phantom Auto has been working on warehouse technology that allows professionals to work remotely. Autonomous forklifts and other vehicles work well in a controlled environment, but the movement and unpredictability in actual warehouses makes them too difficult to apply. Phantom Auto has created a system that allows logistics professionals to control forklifts, yard trucks or other vehicles remotely.

Their technology branches off into two different types – the remote control of one specific vehicle and the remote control of multiple autonomous vehicles at once. In the first case, the driver operates a single vehicle remotely – it is exactly like they are driving around the warehouse without actually being there. Since autonomous vehicles operate independently, warehouse employees can remotely supervise more than one at a time. The vehicle does most of the work, they just have to step in and help if it gets stuck or bumps into something. The vehicles involved in both of these methods have video and two-way audio so that remote drivers can see and hear other employees in the warehouse to make the experience even more like physically being there.

Logistics automation has become especially important this past year. The demand for technology with advanced capabilities has grown as companies look for ways to overcome spikes in order volume without having to search for additional workers. Mobile robots and other supply chain technologies have helped boost output and efficiency in these scenarios. It will be interesting to see how these advanced technologies continue to evolve and positively impact supply chains!

How Community Load Match Helps Shippers Secure Capacity

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Making sure that you are getting the best rate for your freight in an environment that demands fast shipping and detailed communication with customers is not an easy task. Shippers are struggling to keep operational costs down while improving efficiencies throughout their supply chains. Kuebix’s Community Load Match solves these problems and more by providing Kuebix shippers with a new, valuable source of truckload capacity and meeting them where their needs are.

CONDUCT A REQUEST FOR PROPOSAL (RFP) TO SOURCE NEGOTIATED RATES

Conducting a request for proposal (RFP) requires a lot of time and effort from shippers who are already struggling to manage their growing carrier networks manually. Kuebix uses Community Load Match to take on the responsibility of conducting an RFP for its shippers. This opportunity isn’t limited to full RFPs – they can be quarterly or even smaller if necessary. Kuebix handles assembling the RFP itself and communicates the shipper’s needs and goals to incumbent and prospective carriers. Shippers receive the results of the RFP and carrier recommendations to empower them to select the best provider possible for their freight. 

SECURE CAPACITY IN REGULARLY SHIPPED LANES OR PROJECTS

Kuebix shippers can leverage complimentary lane analysis services to secure capacity in their regularly shipped lanes. Kuebix leverages Community Load Match to facilitate the direct relationship between shippers and carriers with empty capacity to fill for increased efficiency. Consistently securing capacity in preferred lanes makes it easier for shippers to identify rate changes and areas with potential for improvement.

FIND THE BEST RATE FOR ONE-OFF SHIPMENTS ON THE SPOT MARKET

Shippers looking to find the best rate for a one-off shipment can use Community Load Match to quickly and easily receive spot rates from a vast network of carriers. Kuebix users can compare rates from their connected carriers against rates from Kuebix’s vast network of Community Carriers to ensure they are making the best informed decision. Receiving, booking and managing truckload shipments on the same system makes it easy for users to supplement existing capacity with reliable alternatives. Shippers that leverage Kuebix TMS and Community Load Match can retain control by choosing the best provider for every truckload shipment.

Regardless of company size, Kuebix is committed to having a viable solution for every shipper. With Community Load Match, Kuebix shippers can easily discover alternate sources of truckload capacity to drive down costs while improving their operational efficiencies!

Overcoming Challenges in the Supply Chain with Technology

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The first half of this year has been filled with a number of challenges and new opportunities for supply chains. The pandemic has changed the volume and pace at which consumers are purchasing products. As a result, logistics professionals have been identifying ways they can pick up the pace of their operations without sacrificing quality. Technology has been at the forefront of possible solutions. 

Here are some challenges to keep an eye on as we head into the remainder of 2021: 

Challenges

Changing Consumer Demand

Consumer preferences and priorities have changed significantly this year. Shoppers are looking to make practical purchases with a fair price tag. While the occasional splurge isn’t out of the question, consumers need to feel like the product is genuinely worth it. Online reviews are especially important when it comes time to make a purchase decision. Detailed videos of product overviews and opinions from people who actually own and use the product are available online in a number of forms, making them easy to watch.

Faster Delivery Pace

Nearly all companies are sensitive to the speed of their final mile delivery process. Consumers have grown to expect a quick turnaround after placing an order online. Access to detailed tracking information with real-time status updates is also important. Quick deliveries and accurate status information that’s available to customers is essential.

Supply Chain Strength

Both of the challenges described above feed into the need for a strong supply chain with seamless operations. In order to keep up with heightened expectations, higher order volumes and faster shipping requirements, supply chains must work efficiently while maintaining quality. With so many moving parts involved, improving supply chain operations can be difficult.

Leveraging Technology to Overcome Obstacles

Luckily, there is a technology platform with the ability to answer these challenges and more. A transportation management system (TMS) makes it possible for shippers to save time and money while improving operational efficiencies. By implementing Kuebix TMS into their logistics operation, shippers can ensure their supply chains are running as smoothly as possible. Kuebix TMS is cloud-based and can scale to accommodate the size of any growing business. Users can leverage the rate comparison feature to view their options side by side and make the best informed decision. Detailed reports and dashboards help users take a closer look at their business and identify areas with potential for improvement. Kuebix TMS users can seamlessly integrate with Trimble Visibility to access real-time tracking information down to the SKU level and actionable analytics. 

New challenges and trends will always exist in the supply chain. It’s up to logistics professionals to respond in a way that not only helps them adapt, but accelerates their growth into the future. The best way to do this is by implementing a TMS into your supply chain!

A New Era for Fast Food Restaurants & Supply Chains

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The meaning behind the term “fast food restaurant” is just as it sounds – restaurants that prepare food quickly and easily for customers, often in a drive-thru layout, fall under this category. Common examples include McDonald’s, Burger King and Wendy’s. These three establishments have been popular amongst consumers for years – whether it’s a parent grabbing dinner for their kids after a long day at work or a quick stop in the middle of a long road trip, these restaurants have delivered.

Despite its immense success in the traditional fast food format, Wendy’s has started exploring other options to better connect with their consumers. Mobile order and delivery are huge trends within the industry right now, both of which the fast food chain has kept up with. Their U.S. digital business grew to be 7.5% of sales in Q1 of 2021, up from 6% the previous quarter. Wendy’s attributes this to a shift in consumer demand. 

The pandemic has left many consumers in search of convenient, off-premise experiences. In response, Wendy’s has started redesigning its stores and even designing some locations that are drive-thru only. Equipped with ample outdoor seating, this type of store will make it much easier for customers to pick up mobile orders and delivery drivers will be able to move in and out of the line even faster.

To accommodate the growing number of delivery orders even further, Wendy’s is starting to implement “ghost kitchens”. The term refers to fast food restaurants that don’t have a dining room or a way for customers to order in-person and take their order home. Ghost kitchens exist to support delivery orders placed online, which are a significant part of the chain’s digital business growth so far this year.

While the thought of a Wendy’s where it’s impossible to order food seems unusual, it has the potential to speed up delivery times and drive down cost in some locations. Areas that have a high volume of online delivery orders can benefit from a store focused strictly on meal production. By eliminating the need for a dining room or outdoor patio, the chain reduces the amount of space necessary for construction and saves a significant amount of money. Popular chains including The Halal Guys, Sweet Green, and Chick-Fil-A have also partnered with the leading ghost kitchen brand, Kitchen Unlimited, to offer delivery out of a shared commercial kitchen.

Wendy’s continues to identify and incorporate different location styles into its operations. However, the chain never picks one style to go with and gets rid of the other options. While a uniform experience used to be more important than anything for restaurants, the latest shift in consumer demand has them more focused on meeting the customer where they’re at. It’s more important for the restaurant to fit whatever environment the consumer happens to be in rather than consistency in style and appearance. 

Consumers are focused on convenience and simplicity, so much so that even fast food restaurants are starting to explore ways to fit the latest mold. As the number of restaurant styles and online order volume continues to grow, supply chains will have to work extra hard to keep up with varying inventory and resource needs!

How Shippers Can Unlock True Supply Chain Visibility

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Consumers have grown to expect quick shipping and frequent status updates with every order they place. Shippers are scrambling to keep up with these new standards while strengthening their logistics operations. It is especially challenging to make sense of the overwhelming amount of data supply chains are producing as operations ramp up to match demand. Visibility throughout the supply chain is now more important than ever.

Achieving true supply chain visibility starts with a visibility platform. Shippers that use a visibility platform in their logistics operations can view each aspect of their supply chain in detail as moves are planned, alerts are sent and real-time adjustments are made. Data is used to create actionable analytics that shippers can use to identify areas they can improve on. Real-time tracking information enables them to provide better customer service and strengthen communication with partners.

Visibility platforms use the latest technology to aggregate and normalize data to present back to the user in a format that’s easy to read and understand. They provide real-time tracking information that can be accessed from anywhere and actionable data in a robust analytics engine.

The easiest way to incorporate visibility into your supply chain is through integrating a visibility platform with your transportation management system (TMS).  Here are a few things to look out for when picking the visibility platform that will work best with your logistics operation:

Strength of Integration

Analytics produced by visibility platforms are dependent on the quality of data flowing in. A visibility platform that integrates well with your TMS allows information to travel seamlessly between the two systems. This ensures your visibility platform has access to high quality, relevant data when producing analytics.

Multi-Modal Coverage

A visibility platform that works with all modes of transportation is best. Even if you are only shipping through one or two modes of transportation right now, your business will grow and it’s important to have a visibility platform that can keep up as you evolve.

P.O. and SKU Level Tracking

Real-time tracking information must be available from P.O. down to SKU level tracking. A visibility platform that can track and trace at both of these levels will keep everyone informed. Both internal and external stakeholders will be able to see what’s happening in the supply chain for specific products or purchase orders.

Use of Advanced Technology

Choosing an innovative visibility platform that uses the latest technology makes it easy for you to keep up with your growing logistics operation. Machine learning and artificial intelligence are often used to combine data from your TMS and visibility platform to create powerful analytics which speeds up the process.

The topic of true supply chain visibility is becoming increasingly important as both consumer expectations and the logistics industry continue to evolve. Implementing a visibility platform will help shippers tackle new challenges with real-time tracking information down to the SKU level and actionable analytics. Choosing a visibility platform that integrates with your transportation management system (TMS) makes the process even smoother as information can flow seamlessly between the two technologies!

The Evolution of Online Shopping

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Online shopping is extremely popular because of its convenience and wide range of available products. Even though we don’t necessarily notice, the process and platforms behind online shopping are constantly changing in response to consumer priorities and interests. 

Online Shopping on Social Media Platforms

The pandemic pushed online shopping further into the spotlight because it gave consumers a safer, contactless way to shop during a time of major uncertainty. With people spending so much time at home over the past year, social media’s role in everyday life has become heavily emphasized and resulted in the creation of social-media driven commerce. 

While most social media platforms have always incorporated product advertisements into their layout, both paid and free product promotion is becoming more prominent in the content itself. Influencers are posting videos and pictures about their experience with products and sometimes recommending them to their audiences. Now with social-media driven commerce, users can purchase the products mentioned in conversation without ever leaving the app. It’s a small change, but it makes the entire process easier and allows them to keep scrolling through their feed as soon as the purchase is complete. 

Consumer Trends Set to Impact the Process

The rise of online shopping is not set to slow down anytime soon. The pandemic has driven many consumers to shop online for typically in-person items like groceries online, but it’s the convenience of the process that keeps them coming back. However, shifts in consumer priorities and trends will still impact the future of online shopping.

One of the most significant trends that has become more prominent in recent years is consumers feeling more sensitive about price. Last year was unpredictable for everyone and many people feel more conscious of their spending as a result. Keeping prices on the more affordable side of the spectrum will make online shoppers more comfortable with checking out unless they are convinced that the value is really there.

Additionally, consumers have become increasingly concerned with the sustainability and health factors associated with what they’re buying. Consumers are more inclined to shop from companies with active sustainability initiatives. Growing environmental concerns have made everyone feel encouraged to do their part and make more conscious decisions whenever possible. Food, beverage and skincare products that have clearly displayed nutrition labels with ingredients consumers can recognize are having more success online and in stores. Shoppers are much more concerned with what they’re putting in their bodies and on their skin. Feeling like they know what a product is made of and can trust the brand behind it is important to online shoppers.

The process of online shopping and how brands are advertising their products will always be subject to change in order to keep up with shifts in consumer trends. Supply chains have their work cut out for them as they keep up with fluctuations in demand and preference all while keeping stores and warehouses for online order distribution stocked!

3 Innovations Driving Sustainability in Supply Chains

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Sustainability has been an increasingly important topic of conversation in business operations. In order to better understand the source of harmful gas emissions, the Greenhouse Gas Protocol has broken them down into three categories: 

Scope 1 – All direct emissions from the activities of an organization that are under their control.

Scope 2 – Indirect emissions from electricity purchased and used by the organization.

Scope 3 – All other direct emissions from the activities of the organization from sources they don’t own or control.

Scope 3 emissions are the biggest problem for shippers. Reducing them through sustainability initiatives is especially complicated because they are indirect in nature and require engagement throughout the supply chain. However, consumer priorities have shifted in recent years and they are more inclined to do work with businesses that have initiatives in place. A recent supply chain report from the Carbon Disclosure Project (CDP) revealed that over 1,000 companies are working to reduce their scope 3 emissions and 94% of them have science-based targets to help reach their goals. Here are a few different innovations and technologies helping supply chains work towards a more sustainable future:

Sustainable Aviation Fuel

Logistics companies and airlines have been working towards creating and using more sustainable aviation fuel. Kuehne + Nagel and American Airlines recently announced they are going to invest in 11 million liters of sustainable fuel. Things like plants, used cooking oil and solid waste can all be used to make a version of aviation fuel that’s better for the environment.

Battery-Powered Trains 

Research conducted by The Association of American Railroads revealed that if 25% of truck traffic moving at least 750 miles went by rail instead, annual greenhouse gas emissions would fall by approximately 13.1 million tons. Moving freight by train instead of truck has the potential to reduce greenhouse gas emissions by up to 75%. BNSF and Wabtec are creating a train powered by a battery instead of an engine that could reduce the transportation industry’s carbon footprint even more.

Alternative Truck Fuel

Battery-electric vehicles, fuel-cell-electric vehicles and vehicles that run on renewable fuels are the most widely discussed alternatives to vehicles dependent on fuel. Large truck manufacturers are looking into battery-electric vehicles and full-cell-electric vehicles because of their success in standard cars. The biggest challenge so far has been batteries – a larger truck needs a larger battery which is heavier and takes more time and energy to charge. However, renewable fuels show promise too. Energy company Neste is selling its own renewable diesel that cuts greenhouse gas emissions by up to 80% in comparison to petroleum diesel.

The driving force behind these sustainable innovations is technology. As alternative fuels and trucks continue to be developed, it will be interesting to see exactly what the future of sustainability in supply chains looks like!

The Future of Shopping for Groceries

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This past year has brought on a number of changes regarding the “typical” way of doing things. One of the biggest changes has been how we shop for groceries. Grabbing a shopping cart and filling it with fresh produce, fruits and vegetables has been the way the world buys food for a long time. However, the pandemic has made consumers uncomfortable with this method as it can be time consuming and involve crowds. Grocers have taken this opportunity to explore automation and online shopping within their stores.

The Rise of Online Grocery Orders

While some grocery stores had rolled out online shopping programs prior to the pandemic, they drastically increased in popularity as a result. Shoppers can fill their carts online, pay and either pick up their purchases or have them delivered. For many shoppers, reducing or completely eliminating their time spent in grocery stores is worth any additional cost. According to industry data, the adoption rate for online grocery shopping has exploded. Consumers who use this method once or twice are 80% likely to come back and place another order.

The demand for online grocery shopping is beginning to outweigh the number of employees available to support the initiative by assembling orders. As a result, popular grocery stores like Walmart, Kroger and Albertsons are starting to invest in high-tech solutions involving robots packaging these orders for them. Some stores already have robots walking through aisles and taking inventory data. 

Make Way for Fully Automated Grocery Stores

Robots able to package online orders are just the beginning of automation in grocery stores. Urbx is a startup company that’s planning on building a grocery story with an automated fulfillment system called Urbx Market. Construction of its first location in Boston will be finished by the end of 2022. Instead of containing product aisles and a service department, Urbx Market will have ordering kiosks for customers to use and robots that deliver orders within minutes. 

Consumers value an in-store shopping experience because they are able to see, smell and even touch products before purchasing. However, the pandemic has changed things and quick fulfillment with limited contact has become more important. This change in mindset made way for entirely automated grocery stores like Urbx Market. Shoppers will be able to select, purchase and receive their quality products faster than ever before. Thanks to the elimination of costly, manual processes, these quality products will be available at consistently low prices. 

The implementation of advanced technology in grocery stores is just beginning. Robots have already started improving operational efficiencies and will expand as more brands invest. With one of the first fully automated grocery stores set to open its doors at the end of next year, it’s safe to say that the future of shopping for groceries is on the fast track for change!

Packaging Automation is Becoming a Reality for Supply Chains

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The development of technology within supply chains has accelerated significantly in the last year. The pandemic presented businesses of all industries with challenges regarding inventory, transportation and health and safety standards that have been difficult to overcome. As a result, supply chains have started looking into automating a number of traditionally manual processes.

Automated technology in supply chains exists in a number of forms, but one that has been top of mind for logistics industry innovators is packaging automation. Companies who relied heavily on labor to complete mundane and repetitive tasks associated with packaging felt an especially heavy strain when Covid-19 forced most companies to cut back on in-person labor. It was a turning point for packaging automation as it went from being a possibility to a necessity to keep up with other industry leaders. Packaging operations are adopting new forms of automation as a way to reduce labor costs while creating a safer work environment and improving their efficiency and cost of goods.

The term “secondary packaging” refers to the packaging on the exterior of a product which has the biggest need for automation. Applying this layer to products is usually continuous and repetitive. Companies looking to cut back on labor are finding that secondary packaging is significantly slowing their operations down. A report on secondary packaging trends by PMMI revealed that 85% of manufacturers are looking to expand their current portfolio of automated solutions when it comes to their secondary packaging process. 

How Packaging Automation Works

In general, packaging automation does a traditionally manual and repetitive task at a faster pace and eliminates the risk of human error. While the initial implementation of the technology can be costly, it pays for itself with the number of benefits it brings to logistics operations. 

One of the most efficient examples of packaging automation is a long-travel cartesian robot with custom end-of-arm tooling (EOAT) and advanced sensing capabilities. These robots can replace a variety of packaging machines and perform manual tasks like feeding carton and tray making machines and separating nested cardboard containers for use on conveyor lines. Cartesian robots can even handle palletizing and de-palletizing orders.

A long-travel cartesian transfer robot. | Photo Credit: Bell Everman

By using a single long-travel cartesian transfer robot like the one pictured above, logistics professionals can tend multiple packaging machines without needing to rearrange them for the convenience of the robot.

What the Future Holds for Packaging Automation in Supply Chains

It’s clear that packaging automation has gone from being a want to a need for logistics operations looking to move forward and jump any hurdles caused by the pandemic on the way. As innovations like the cartesian robot become readily available, you can expect automation to have a hand in packaging the products you pick off of store shelves every day!

Kuebix is a Challenger in the 2021 Gartner Magic Quadrant for Transportation Management Systems

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Kuebix, a leading transportation management system (TMS) provider and connected supply chain innovator, is recognized as a Challenger for the second consecutive year in the 2021 Magic Quadrant for Transportation Management Systems. Kuebix is recognized in the research for its Completeness of Vision and Ability to Execute. Kuebix is a Trimble (NASDAQ: TRMB) Company.

“We believe our positioning in this year’s Magic Quadrant for TMS reflects our accelerated customer growth and continued commitment to product innovation,” said David Lemont, Kuebix General Manager. “This includes a significant movement to the right for Completeness of Vision this year and upward movement for Ability to Execute, a category Kuebix has moved up on every year since its initial inclusion in this research.”

According to the research, “TMS technology is on the rise… Factors such as the need to reduce costs; improve internal productivity, efficiency and customer service; increase visibility; and make better use of capacity are driving the growth of the market through 2024.”

Kuebix is a modular cloud-based solution that allows a range of companies from small and midsize businesses (SMBs) to large enterprises to obtain an optimized transportation management system (TMS) for their business by selecting modular capabilities and integrations. The addition of Kuebix to Trimble is enabling the connection of Trimble’s network of 1.3 million commercial trucks with Kuebix’s extensive shipping community, creating unprecedented opportunities for freight demand-capacity matching and other efficiencies. Kuebix’s ability to integrate with native complementary capabilities of Trimble such as Mobility vehicle telematics solutions, Visibility freight tracking solutions and Trimble MAPS solutions is empowering Kuebix to produce next-level transportation management solutions for the marketplace.

“Our vision for a truly connected supply chain continues to be proven with our growth surpassing 25,000 customers as a result of our exceptional user experience, proven time-to-value, and industry-leading technology,” said Dan Clark, Kuebix Founder and Vice President of Product Innovation & Strategy for Trimble Transportation. “We are extremely pleased that Kuebix continues to be positioned in this important research, and believe that this positioning highlights our leadership, vision, and ability to continuously deliver value to our customers.”

To learn more about today’s TMS marketplace, download a complimentary copy of the 2021 Magic Quadrant for Transportation Management Systems.

Source: Gartner, Magic Quadrant for Transportation Management Systems, Bart De Muynck, Brock Johns, Oscar Sanchez Duran, Carly West, 30 March 2021.

Gartner does not endorse any vendor, product or service depicted in our research publications, and does not advise technology users to select only those vendors with the highest ratings or other designation. Gartner research publications consist of the opinions of Gartner research organization and should not be construed as statements of fact. Gartner disclaims all warranties, expressed or implied, with respect to this research, including any warranties of merchantability or fitness for a particular purpose.

The Ever Given Continues to Impact Supply Chains Despite Being Freed from the Suez Canal

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The world received exciting news this week as a 220,200-ton cargo ship named the Ever Given was freed from the Suez Canal after being stuck for six days. The Suez Canal is one of the most important trade arteries in the world. It connects Asia to Europe and the U.S. East Coast. On average, 50 ships pass through the canal daily. It stretches to cover 120 miles and aids in the transport of up to 12% of commercial shipping and about 2.5% of the world’s oil. It’s pretty clear that there are a number of businesses counting on their freight being able to pass through the canal. While it’s great news that the Ever Given is out of the way, the effects of the unexpected pause in transit are ongoing.

When the Ever Given first got stuck, there were at least 360 ships waiting at the canal’s northern and southern entrances. Roughly 300 ships were scheduled to pass through the Suez Canal in the following two weeks, meaning the pressure was on for salvage crews working to set it free. However, it quickly became clear that it wasn’t going to be an easy fix. By the third day of the jam, many carriers were starting to consider an alternate route.

Those who aren’t passing through the Suez Canal have to travel around Cape of Good Hope which is located on the southern tip of Africa. This alternate route takes considerably longer – ships traveling via the Suez Canal to Port of Rotterdam (Europe’s largest seaport) can make it there in roughly 18 days while going around the Cape of Good Hope takes over 31 days. Carriers taking longer to reach their destination also means they’re going to have additional expenses – the voyage around Cape Hope can cost more than $26,000 in fuel daily. 

While it’s great news that the Ever Given has been freed from the Suez Canal, the accident’s effect on supply chains around the world is far from over. Ships that made the decision to travel around Cape of Good Hope can’t just turn around and those who waited face a significant increase in congestion.

Even though this ordeal has only been going on for a week, companies are already feeling disruptions throughout their supply chains. Shortly after the Ever Given got stuck last week, Nike shared that its imports have dropped 39%. While demand for their product has held steady, port congestion has played a huge role in their struggle to effectively distribute. The factors surrounding this decrease include container shortages, transportation delays and port congestion – all of which may cause an even bigger strain as companies attempt to recover from the last six days. 

Popular retailers like Walmart and Ikea and automotive and technology companies all rely on the passing of product through the Suez Canal. With everyone looking to leverage the same channel to recover from the delays experienced this past week, it’s important that companies stay organized and leverage visibility throughout their supply chain to communicate any changes!

Dan Clark Kuebix

Dan Clark Recognized as 2021 Supply Chain Pro to Know

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Dan Clark, Kuebix Founder and VP of Product Innovation and Strategy, Trimble, has been selected as a 2021 Supply Chain Executive Pro to Know by Supply & Demand Chain Executive magazine. Dan was chosen for his extensive knowledge of the logistics industry developed from over 20 years of hands-on experience, combined with his remarkable expertise in creating supply chain efficiencies via SaaS technology.

Dan Clark is a logistics industry innovator. He possesses extensive experience gained from years of working with leading freight carriers and multibillion-dollar companies with highly sophisticated supply chains. Dan continues to deliver on his original vision of using best-of-breed cloud technologies to create an innovative and intelligent transportation system that returns control and visibility to freight shippers at companies of all sizes.

For the last 21 years, SDCE’s editorial has vetted hundreds of nominations for the annual award, finding the best leaders in the supply chain industry. The Pros to Know award recognizes outstanding executives whose accomplishments offer a roadmap for other leaders looking to leverage supply chain for competitive advantage.

Kuebix, a Trimble (NASDAQ: TRMB) Company, provides a transportation management system (TMS) that powers one of North America’s largest shipping communities. Developed on multi-tenant cloud technology, Kuebix’s connected platform enables customers to simplify ERP and other integrations to drive rapid onboarding and ROI.