For anyone following news about the transportation industry during the last few years, you've probably noticed an increase in the number of references to supply chain issues around the world. For example, the NY Daily News reported a recent story about a baby formula shortage occurring throughout the country. Per the story, a shortage of baby formula was caused by the shutdown of a key factory. During the first half of 2021, the rate of formula being out of stock went from 2% to 8% as reported by CNN. The situation worsened when the rate rose to 31% between November '21 to April '22. Since then, CNN has found that the rate has risen to 40%, causing panic amongst parents of babies. This disruption in the supply chain really highlighted for the general population how important the maintenance of production is for all of us to have access to the resources we need. Logistics carriers are a key part of supply chains and necessary to maintain the flow of goods and resources along the supply chain.
What Is a Logistics Carrier?
You've probably seen a logistics carrier tractor-trailer on the road without realizing it. Simply put, logistics carriers are companies that coordinate the shipping of goods and haul freight from point A to point B. They ensure everyone has the supplies they require for their business, to local grocery stores and beyond. Logistics carriers have a rather complex process for figuring out how to get various types of freight delivered on time and at the right location while keeping costs low. They run systems that provide information on how to most efficiently plan the movement of goods and supplies. The complex dance that logistics carriers and their customers do every day is nothing short of magical. The effective coordination of all this work (scheduling, load planning, dispatch, etc.) is the only way that our modern economy continues to function as efficiently as it does.
What Does Logistics Mean In Trucking?
Logistics is a complex but necessary process in the world of trucking, and that is why the trucking industry hires so many people to work in its various logistics departments. These companies understand that the best way to achieve the kind of results that they need is to have a strong and talented team of people, willing to figure out what steps must be taken to get freight where it needs to go.
Here are some common types of logistical issues that many trucking companies experience:
Shipping Destination Determinations: Employees must take responsibility for getting the supplies to the correct final address, and that means checking up on the shipping destination to ensure that it matches up with where a specific shipment is being hauled off to.
The Urgency of a Shipment: How quickly a shipment needs to arrive at its next destination is incredibly important. Expedited shipments need to be handled differently from other types of shipments, and that is why logistics professionals must balance out the urgency of various shipments that they are tasked with handling.
Working on Existing Relationships: Trucking companies can sometimes cut deals with customers based on existing relationships that they have with those customers. Logistics professionals may be asked to work on those relationships to ensure that they are solid and stable going forward. They may also negotiate the deals that are to be made with existing customers.
Department of Transportation (DOT) Regulations: Coordinating the routine maintenance of trucks in order to remain within the various regulations handed down by the Department of Transportation (DOT) is a critical part of the logistics process that must not be forgotten. Compliance with those regulations is a requirement to help keep trucks on the road. These are just a few of the multitude of things that logistics professionals work on all the time. If you know people who work in logistics, make sure you take some time to thank them for all that they do. There is no doubt that the heavy lifting that they do for the industry is greatly appreciated, and the end result of their work benefits all of us greatly.
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