27.8 C
Singapore
Monday, April 28, 2025
spot_img

Watch: What’s Driving Volatility in Transportation Capacity

Must read

Kyle Jepson, senior vice president of product at Emerge, discusses inefficiencies and empty miles in domestic transportation, and the technologies necessary to overcome those problems.

Changes on both the demand and supply sides are driving great volatility in transportation these days, Jepson says. Shifts in consumer behavior have shaken up the demand side. On the supply side, there are thousands of new entrants to the transportation market.

“It’s almost double what we’ve seen in the past,” Jepson says. “Really, a lot of volatility is just transitioning from larger asset carriers to the smaller companies, and it’s driving a complete influx in the spot market. The contract market is much less affected.”

At the same time, there are widespread inefficiencies and quite a number of empty miles in the domestic transportation network. Lack of connectivity is a culprit in that state of affairs, Jepson says. “Systems don’t talk to each other, and companies don’t talk to each other.”

Jepson says companies need to become more flexible and be better stewards of the supply chain. Relationships are key to both. “As a shipper, you need to be easy to work with, easy to schedule appointments with. You need to be mindful of the carriers and the partners that you work with and treat them as partners, not just vendors.”

spot_img
- Advertisement -spot_img

More articles

spot_img
spot_img
- Advertisement -spot_img

Latest article