What is reliability in supply chain management? Supply chain reliability refers to the degree to which a supply chain yields consistent performance. Increasing reliability, reducing inventory and preparing for demand are top priorities for supply chain professionals.

Here’s a recap of transportation news stories throughout the month: Werner Increases Driver Pay. Effective January 1, Werner Enterprises Inc. is increasing pay for almost 1500 drivers. The drivers hadn’t had a pay increase since August 2014. President and COO, Derek Leathers said, “Pay increases are one piece of our multi-faceted approach to attract and retain the best in the industry and make Werner the employee of choice.” Read more: Drivers Enjoy Pay Increases, Shippers Pick up the Tab

The transportation industry, specifically the trucking sector, is at a crossroads. Threatening conditions loom at a time when several technologies are positioned to disrupt traditional operational processes. It is up to carriers to plan ahead for the future.

The New Year is quickly approaching, which means new challenges and opportunities can be anticipated; specifically in the supply chain and logistics industry.

Companies implement supply chain management (SCM) strategies in order to meet customer expectations like fast delivery. Delivery time is the sum of fulfillment time and transport time. Companies are emphasizing the importance of fast fulfillment in order to reduce overall delivery time. Creating an SCM strategy includes aspects of logistics management and demand planning that work in tandem with a transportation strategy. It is a crucial step in reducing freight costs.

The over-the-road (OTR) trucking industry faces numerous regulations that are controversial within the industry. Due to the current state of the economy and the crucial turning point, it is at, these regulations have the potential to worsen the capacity crisis, increase transportation rates and harm carrier productivity at a time when carriers expect financial difficulty.

The biggest shopping weekend of the year is right around the corner, and retailers have been planning for the increase in sales for months. Most retailers have adopted to the omni-channel environment, merging numerous shopping channels for the convenience of the customer. Modern shoppers avoid the long lines and huge crowds associated with Black Friday to buy from online vendors who offer the same markdowns, plus free shipping and various return options. ShippingDisruption.jpg

There are an array of challenges when it comes to successfully applying an outsourced transportation management strategy. Companies want to make freight moves as efficient as possible, which means centralized systems, qualified carriers, managed schedules and visibility. Realizing opportunities for transportation efficiency starts with identifying challenges. Below, we examine different challenges from 3 companies and how PLS solutions created and maintain notable results.

Investing in a robust transportation management strategy can significantly improve your overall business by decreasing costs and satisfying customers.

Moving over dimensional machinery, hazardous products, and required equipment to natural gas processing plants and compressor stations on- or off-highway can present safety problems. Every shipment is a large risk for midstream oil companies because the penalty for an accident or non-compliance is enormous.

It’s easy to confuse the various services of third-party logistics companies. The confusion may be because of the many service offerings, or because companies don’t want to waste time worrying about transportation, or it may be due to a general unfamiliarity with the logistics industry. Either way, it’s important for shippers to understand the difference between transportation management systems (TMS) and managed transportation services (MTS).

PLS Logistics is partners with a consumer goods manufacturer which has multiple locations. The client sells products to major retailers such as Walmart, Ace Hardware and Lowe’s. The company’s annual freight spend is a few million dollars.

Operating costs are rising for LTL carriers due to a number of factors – the driver shortage, rising pay, and aging equipment. Spot market and contract rates have both risen to compensate for these extra costs, however, contract rates rose higher than spot market rates and remain higher. Knowing how to get and negotiate the lower LTL freight rates is important if you want to save costs.

Lean supply chains gained popularity in the manufacturing sector because substantial improvements can be made to eliminate waste and non-value added activity. Today, a lean supply chain refers to best-in-class supply chain execution; a process that produces what’s needed, when it’s needed, and where it’s needed with minimal waste in time or capital. In addition, lean strategies work for businesses who want to simplify and improve operational processes.