Automation has become more ingrained in the transportation and logistics industries over the years. Now, we’re reaching a critical juncture where it has become essential to warehouse operations for some of the world’s leading distributors.
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The 2022 State of Logistics Report was unveiled on June 21, and presents a detailed look back on 2021 service demand and costs. It’s a welcome update as the logistics industry adapts to a post-pandemic landscape.
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Before the pandemic, fluctuations in shipping based on the time of year were pretty predictable. Then, COVID-19 sparked higher demand for shipping services, increasing the length and intensity of peak shipping season.
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Many logistics experts have kept a close watch on congestion in ports and slowdowns in cross-country trucking in the past few years. While railways have perhaps received less media attention, they too have experienced recent disruptions.
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Shipping and fulfillment logistics have been hindered for more than two years by a combination of pandemic conditions, international conflict, inflation, rising fuel costs, extreme weather, and more. The businesses that have shown the most agility and flexibility during the disruptions of the past eighteen months have been rewarded handsomely for their innovation.
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So far, 2022 has been another year of supply chain uncertainty. Inflation, new spikes in COVID-19 cases, and the Russia-Ukraine conflict have all impacted the movement of goods, slowing the supply chain recovery experts had hoped to see.
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Transloading has become the industry standard solution for loading and unloading transoceanic cargo from container ships, and moving it out of drayage to carriers (and eventually on to customers). But even the best technology and most thoughtful planning by logistics managers has been impacted by the COVID-19 pandemic.
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After two years of supply chain woes, the U.S. government is stepping in to try to alleviate some of the shipping bottlenecks that are key drivers of materials shortages and spiking inflation across the country.
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In only a few weeks, the situation in Ukraine has led to a humanitarian crisis that has shocked the world. A crisis that is expected to create ripple effects throughout global trade networks for months or years to come.
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The world is quickly changing — socially and economically, yes, but also physically. Global warming is now creating disruptions that can’t be ignored.
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