Welcome to the new business reality: an environment striving to balance cost-to-serve, changing customer requirements and demand uncertainty.
An environment of changing regulations, labor shortages and uncertain fuel costs.
The global recession signaled changes to the operating parameters of the game that most of us didn’t fully understand. It has given temporary advantages to carriers, much like the shippers had in earlier times.
Yet, like tug of war, the game results in one winner and one loser.
But why does there have to be one winner at the expense of the loser? Could it be that shippers and carriers are playing the wrong game?
After all, there are opportunities for both shippers and carriers if they follow a path that will lead to mutual benefits.
The results of the 23rd Annual Trends and Issues in Transportation and Logistics suggest that the current business environment has created a struggle between shippers and carriers that is changing the nature of their relationship.
Carriers and shippers stand at opposite poles, with carriers driven by a need to maximize profitability and shippers focused on reducing costs.
This lack of alignment has created a tug of war that has resulted in a loss of focus on the bigger prize - winning at the game of business.
Winning this game requires collaboration between carriers and shippers to deliver best value in terms of service, cost and innovation for the ultimate customer.
Our hope is that our study will provide useful information regarding current trends and assist you in better managing your organization and working with your partners to collaborate in this dynamic arena.