Thursday, July 21, 2011

Report: Logistics Market Snapshot Tracks Industry Growth

The Georgia Center of Innovation for Logistics (Savannah, Ga.) released an industry snapshot in July documenting progress for the trucking, rail, air freight, ocean freight and warehouse and distribution sectors of the logistics industry.

Based on the report’s findings, the trucking market appears strong. After declining for the previous two months, over-the-road trucked shipments rose 1 percent in June. Surface transport-related trade between the United States and its North American Free Trade Agreement (NAFTA) partners increased 12.1 percent in April when compared to the previous year, which marks the 17th consecutive month of increases. Heavy-duty truck sales increased 68.3 percent in May, which was the fastest growth rate in 17 months. The trucking industry added 4,400 new jobs in June, with a workforce increase of 3.3 percent. Economists expect orders for heavy-duty Class 8 trucks to total 21,200 units, an 11 percent decrease from the previous month, but a 35.3 percent increase from the previous year.

The report shows an 11.6 percent increase in United States Freight Rail Traffic from June 2009. Greenbrier Companies (Lake Oswego, Ore.) reported revenue increases of 153 percent in fiscal year 3Q, but posted a net loss of $3.3 million after paying a $10 million debt. Railroad employment increased by 745 employees from April to May.

The report notes that global air freight fell 4.3 percent in May when compared to the previous year, but rose 1.2 percent from April. The International Air Transport Association (Montreal, Quebec) expects 2011 airline net profits of $4 billion, which is 78 percent lower than last year.

The report states that the U.S. imported more than $67 billion of cargo via ocean in May, an increase of 7 percent from the previous month, and exported $48 billion, a 27 percent increase from 2010. The Port of Brunswick posted its highest monthly volume ever in May. Year-to-date steel imports increased 20.6 percent, reflecting a steady improvement in the market with strong demand and pricing. Drewry Maritime Research (London) predicts east-west ocean freight rates will drop 20.8 percent in 2011.

According to the report, the U.S. average industrial vacancy rate was 9.3 percent in the warehousing and distribution sector. Hyundai Construction Equipment Americas (Chicago) is investing $10 million to move its American headquarters from Chicago to Norcross, Ga. The new headquarters will include a warehouse. Kuehne + Nagel (Schindellegi, Switzerland) handled nearly 10 percent of the world’s air and sea freight business. The top 10 freight forwarders’ business accounted for 44 percent of the market.

For more information, visit logistics.georgiainnovation.org.

Friday, July 8, 2011

Report: Companies Place Demand Planning/Forecasting as a Supply Chain Function

Lifework Search (Westport, Mass.) associates found that more than half of all companies believe that the planning/forecasting function should sit under supply chain, according to a recent study.

Lifework Search associates surveyed the company’s network to determine where the demand planning/forecasting function should sit within an organization. Associates discovered that more than half of companies placed the function under supply chain. Twenty percent of the remaining respondents categorized the function under sales, followed by 9 percent with finance and 5 percent with marketing. Fourteen percent of respondents stated “other.”

“This has long been a controversial topic in the forecasting world,” Lifework Search Managing Director Jason Breault said. “We speak with dozens of demand planning professionals daily, and many are still unclear as to where demand planning should sit. Even while presenting at a recent Institute of Business Forecasting conference, when the question was asked, there didn’t seem to be a clear consensus.”

For more information, visit www.lifeworksearch.com.

Tuesday, July 5, 2011

Mitsubishi’s Mobile Site Gives Customers More Flexibility


Mitsubishi Forklift Trucks (Houston) implemented a new mobile website, allowing customers to access forklift product information and connect with local dealers from their mobile devices.

The mobile site features Mitsubishi Forklift Trucks product information, such as forklift specifications and brochure downloads, a local dealer search function and access to finance information and promotions. The site’s Cost Control Basics section provides tips for minimizing costs and maximizing the efficiency of their forklifts.

“We’re pleased to introduce the new Mitsubishi Forklift Trucks mobile website,” Mitsubishi Forklift Trucks Marketing Vice President Jeff Rufener said. “More and more, people are on the go these days, and the mobile website will make searching for a new forklift or finding a local dealer even easier than before.”

For more information, visit www.mitforklift.com or http://m.mit-lift.com on your mobile device.