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AI Helps Load Board Operators Speed Up Process

June 24, 2021 by Levinson and Stefani Leave a Comment

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Artificial intelligence, data analytics, and business-process automation are innovations being heavily utilized by logistics companies, technology vendors, and load board operators right now, as these methods have boosted freight matching capabilities and truck-to-load connectivity efficiency.

“I think it starts with the customer and really understanding their problems,” said DAT Freight & Analytics vice president of product, Nadya Duke Boone. “When they’re looking at that load, they actually have lots of different things in their heads that they’re trying to juggle. What we’re doing is bringing all that together in one streamlined way. I think that’s where the power of automation can really help if you do it right.”

According to Boone, DAT Book Now was one of her company’s methods for solving the issues customers face regularly and to help automate previously-manual processes.

For Truckstop.com, streamlining processes begins with determining what currently is working efficiently and what isn’t, and the company has been investing in technology teams to accurately make those decisions.

“How do we help them be more effective and efficient, and how do we get the work flows correct to provide them answers at the right time so they can make quick decisions?” asked Truckstop.com’s chief product officer, Brett Webb.

Also implementing automation in regards to business-process technology is Kenco Group, a logistics services provider.

“A couple of good examples where we got some traction are things like tracking and tracing,” said the company’s senior vice president of transportation, Mike McClelland.

Kenco has also been using process automation for its large online retailers wanting to integrate coordinating, warehousing, and appointment-setting services into their own fleets, as well as for its freight payment activity and other back-end processes.

“We are investing heavily in robotic process automation to eliminate any type of manual work, [and] any type of data entry that we’re having to redo in various systems,” said Kenco’s vice president of innovation, Kristi Montgomery.

Additionally, Kenco has been using DaVinci AI, a proprietary machine-learning AI system for service failure predictive analytics as well as for more accurately-estimated times of arrival. Other new technology utilized by Kenco includes Kenco STARR, a system launched in February to help smaller shippers with a TMS, HubTran for automated back-end processing, and a control tower capability system for its transportation branch.

“It is a marketplace, so you have to make sure demand and supply meet,” explained Uber Freight‘s head of product, Natarajan Subbiah. “Every time I’ve talked to someone in the logistics space and the shippers of the world, no one [has ever] said they have a lot of free time. So, this means that we have to make things super easy for them to basically improve their daily quality of life.”

Uber Freight has also launched a variety of tech-based AI solutions for supply chain members, especially to help make processes easier during the coronavirus era.

“It helped us weather through the market fluctuations, which we had quite a few [of] last year,” said Subbiah.

Additionally, Uber Freight’s pricing models have implemented data point-analyzing machine learning systems in order to instantly offer pricing for loads across their network. For larger customers to more easily gain access, Uber Freight also launched Uber Freight Link and Market Access.

“For those smaller shippers, we basically built a fully self-serve platform called the Shipper Platform that allows them to price and tender loads almost instantaneously,” Subbiah continued. “Because we price loads instantaneously, we make it super easy for shippers.”

Truckstop.com is also currently working on shifting its customer base to a new load search system, one that utilizes machine learning automation to predict more accurate rate estimates and ease the process of product freight matching.

For example, a ‘summary card’ was created by Webb and her team to work as a decision tree for carriers to more efficiently call a broker or book a load themselves.

“That is kind of the simplest part of that automation that we’ve been investing in, just keeping that user interface simple, streamlined, and with the right data at the right time,” she said.

First Zero-Emission Frozen Food Shipment Delivered by Albertsons and Volvo

June 21, 2021 by Levinson and Stefani Leave a Comment

“Albertsons is providing a great example of how this type of technology can reduce emissions and provide a sustainable zero-emissions goods delivery option,” said South Coast AQMD governing board member, Lisa A. Bartlett.

What she’s referring to, of course, is Albertsons Cos.’ delivery of a refrigerated grocery load with zero tailpipe emissions. This is the first delivery of its kind in the United States and was accomplished by deploying an electric Volvo truck as well as an electric Advanced Energy Machines trailer.

“Clean up on aisle everywhere,” said Volvo Trucks North American in a tweet. “Albertsons Companies is leading the way with the nation’s first 100% zero-emission refrigerated grocery delivery deploying two Volvo VNR Electric trucks, the first in their fleet.”

Albertsons, America’s second-biggest grocery chain, obtained two Volvo VNR Electric trucks for its Irvine, California distribution center, and completed a zero-emissions frozen food delivery to an Irvine store on May 28th. According to local and state environmental regulators, this delivery shows the potential for electric trucks and other environmentally-friendly transportation equipment to become more widely commercialized and make a shift in the trucking industry for the better.

“As early adopters of leading-edge technology, Albertsons Cos. continues to pursue new delivery modes that will help reduce emissions,” explained vice president of transportation at Albertsons, Tim Burke.

Additionally, electric trucking capabilities “will also provide a better working environment for our drivers and grocery store staff,” he added.

Nonprofit Calstart CEO, John Boesel, chimed in, noting how many members of the freight industry can make the switch to zero tailpipe emissions–which has only been made easier with more green transportation equipment coming available than ever before.

“When you get a major OEM and a major fleet working together on an all-electric tractor-trailer rig, it sends a strong message that the technology is mature, reliable, and ready to go,” said Boesel. “I would expect that Albertsons’ competitors will pay attention and will not want to be left behind using yesterday’s technology that is leading to climate change.”

Volvo’s VNR Electric was launched into production at its New River Valley, Virginia factory in 2020, and the company continues moving forward in the electric truck game. As of now, Volvo has 100 trucks either ordered or already in operation throughout the county, and its VNR Electric capabilities are meant for heavy hauling through regional areas. VNR Electric currently has 455 horsepower, 4,051 pound-feet of torque, and a range of 150 miles.

As part of the Low Impact Green Heavy Transport Solutions (LIGHTS) Project, Albertsons acquired these trucks, and the company’s Southern California fleet only uses Volvo Trucks–covering 335 stores in the area.

The LIGHTS Project was created through partnerships between Volvo Trucks North America, South Coast AQMD, and a dozen other organizations through a $4.8 million grant given by the California Air Resources Board. Volvo Group contributed another $36.7 million and built 25 trucks for the project’s efforts.

“We are confident that the Volvo VNR Electric Albertsons is deploying in Southern California will enable the company to not only reduce its emissions, but to make reliable daily deliveries to its grocery stores throughout the region,” explained Peter Voorhoeve, President of VTNA.

Southern California–from ports in Los Angeles and Long Beach all the way to warehouses and distribution centers 70 miles to the east–has become a hub for electric truck testing. Right now, pre-production models of the Freightliner eCascadias (built by Daimler Trucks North America) are being tested by companies such as J.B. Hunt Transport Services Inc., Knight-Swift Transportation Holdings Inc., XPO Logistics, Ryder System Inc., U.S. Foods Inc., UPS Inc., and Schneider National Inc.

Volvo has also recently acquired its biggest order on electric trucks thus far from Quality Custom Distribution. QCD, a supplier of national food service logistics services, has leased 14 Volvo VNR Trucks solely for its delivery routes throughout Southern California and will begin to deploy these vehicles from its Fontana distribution center later in 2021.

“The experience gained from this program will help accelerate battery-electric truck adoption in QCD’s fleet, as well as other last-mile delivery fleets,” said QCD senior director of strategic procurement, Mike Douglas.

$207 Infrastructure Plan in the Works for Illinois

June 20, 2021 by Levinson and Stefani Leave a Comment

The Proposed HIghway Improvement Program, a multi-year program consisting of $20.7 billion in transportation construction funding, was recently announced for the state of Illinois by Governor J.B. Pritzker.

The program will allocate $15.84 billion to state transportation system upgrades and $4.87 billion for local system updates, and will cover the years between 2022 and 2027.

“The newest Multi-Year Plan, announced earlier this week, is a project to improve nearly 2,800 miles of road and nearly 8 million square feet of bridges,” said the Illinois Department of Transportation in a tweet.

This plan will work toward returning Illinois to its strong position as an prominent location for the transportation industry across the country.

“We are continuing to build and sustain infrastructure that gives Illinois its competitive edge and strengthens our status as the transportation hub of North America,” said Omer Osman, Secretary of the Illinois Department of Transportation. “This latest multi-year program means we will keep making historic improvements in our transportation system, just as we have throughout the pandemic.”

The plan seeks to bring major improvements to 2,779 miles of roadways and 7.9 million square feet of bridge deck over the next six years, with $3.3 billion being dedicated specifically to the next fiscal year. As of right now, 8.8% of Illinois’ bridges have been deemed structurally deficient by the American Road and Transportation Builders Association.

In Pritzker’s plan, $5.79 billion will be allocated to roadway construction and preservation efforts, $4.82 billion will be dedicated to bridge improvements, and $2.59 billion will be given to expansion projects. Additionally, $1.43 billion will be allocated to system support efforts regarding land acquisition and engineering projects, and another $1.21 billion will be dedicated specifically to safety improvement projects throughout Illinois. Finally, for local truck route upgrades throughout the state, the plan will allocate $42 million.

2019’s infrastructure improvement initiative, called ‘Rebuild Illinois,’ will be supporting the investment needed for this plan. Rebuild Illinois aims to aid in the funding of improvements for Illinois state parks, historic sites, education, clean water infrastructure, bridges, roads, and transit.

To raise funds for Rebuilding Illinois, fuel tax rates throughout the state doubled in 2019 and rose again during 2020. As of right now, fuel tax rates in Illinois are at 46.2 cents per gallon, and 38.7 cents per gallon for gasoline.

“Illinois needs reliable infrastructure capable of moving people and goods safely across the state,” said Chicago Senator Omar Aquino. “Alleviating congestion, resurfacing roads, and rehabilitating bridges are key activities to keep economic activity and prosperity flowing across Illinois.”

Rebuild Illinois has been able to help fund a variety of infrastructure-boosting efforts–such as local truck route projects and the marine transportation system–since first coming to fruition. Now, the Multi-Year Program, as Pritzker’s plan has been nicknamed, will strive to help rebuild the state economy following the coronavirus pandemic by creating thousands of new jobs.

Additionally, Pritzker has recently announced that Amtrak’s full passenger rail services would return to the state, which had been limited until now due to COVID-19 concerns.

“I’m proud to announce that 100% normal Amtrak service will fully resume in Illinois on July 19th, two months from today,” said Pritzker recently in a tweet. “This will make it even easier for everyone to explore all that our state has to offer, supporting small businesses and small town economies along the way.”

Because nearly 5 million Illinois residents have received COVID-19 vaccines, Amtrak can return to its stations across 20 different Illinois communities and continue providing the much-need connections to St. Louis and Milwaukee, among other destinations.

“As Illinois residents begin to travel throughout the state once again, regularly, for both work and leisure following the COVID-19 pandemic, ensuring our infrastructure provides safe, efficient means to do so is a top priority of mine,” said state Senator Melinda Bush.

Bush is also thrilled for the potential this plan will have to bring more employment opportunities to the state and to help strengthen Illinois’ economy after such a difficult time.

“Furthermore, the projects outlined in the plan will provide thousands of jobs for hardworking Illinoisans who have longed for a return to work,” she added.

Obstacles Continue As Trucking Companies Work to Purge Banned Tech

June 20, 2021 by Levinson and Stefani Leave a Comment

All companies and truckers working in business with the federal government, through a provision in Section 889 of the 2019 fiscal defense authorization bill, must purge all implemented technology systems made by five specific Chinese technology providers that have recently been prohibited.

These five Chinese tech companies–Dahua Technology, Hikvision, Huawei Technologies Co., Hytera, and ZTE Corp., were found to be potential U.S. intelligence and defense agency information system hackers.

A majority of federal government-collaborating companies have been doing what they can to remove this technology from their fleets, but there has been a plethora of difficulties in accurately identifying the 300 different subsidiaries and affiliates of these Chinese companies that were originally identified by one particular data security branch.

The items that need immediate removal include: cell phones, computers, GPS products, cameras, computer routes, and other onboard truck technologies, and companies which don’t comply with the purge requirement may lose their government contracts.

“Part of the problem is that it’s not always crystal clear exactly what to do, or what products you have to avoid in order to be compliant,” noted a Scopelitis, Garvin, Light, Hanson & Feary P.C. transportation regulatory specialist.

Because identifying all particular aspects of technology needing purging isn’t as easy as it should be, trucking companies have had to use their own discernment to the best of their abilities.

“So, it becomes partly a matter of judgment,” the specialist continued. “It’s plain to say that carriers doing business with the government that I have spoken to have all taken substantial efforts to be in compliance.”

Indeed, industry executives have been working together to find the best ways to find the subsidiaries and affiliates of these Chinese technology companies, and the obstacles of such efforts were even recently discussed during a May freight conference, according to first vice chairman of ATA’s Government Freight Conference and president of Bennett Motor Express, Charles Phillips.

“It would be nice to have a government repository that would allow motor carriers to go into and see all the subsidiaries and other companies that carriers can’t buy from,” explained Phillips, who also noted that the current regulation does not explicitly outline the Chinese companies’ subsidiaries. “We talked about pursuing the government for a repository. It’s on our docket to work toward [this].”

In relation to the five Chinese companies, agentless device security platform Armis was able to find 291 specific affiliates when the regulation first came into effect.

“The release of the Federal Acquisition Regulation Ban 889 has impacted many organizations, gaining visibility at the board level,” said Armis in a statement. The company also explained that when the ban was first released, it identified two particularly pressing problems: How would trucking companies be able to efficiently find the devices affected by the mandate, and what was the best way of complying with the government’s request while also not hurting their business models and customer service capabilities?

“The biggest issue has been one of identification of devices across the entire enterprise, and this does include devices manufactured by the subsidiaries as well,” added Susan Torrey, a spokeswoman for Armis. “We at Armis performed a deeper analysis to gain a better understanding of the five vendors and also identified 291 subsidiaries as part of that research.”

It was also important to Armis to find ways of staying in communication about these efforts with their customers as much as possible.

“[Our analysis] includes having risk factors that can identify the specific manufacturers flagged by the U.S. government and alerting customers to their presence, so they can take appropriate action to remediate and demonstrate compliance,” said Torrey.

According to the National Defense Transportation Association, this regulation comes from the 2019 Worldwide Threat Assessment of the Intelligence Community and the U.S. National Counterintelligence and Security Center.

“Chinese intelligence and security services may use Chinese information technology firms and their equipment as routine and systemic espionage platforms,” said the association on its website. “The increasing reliance on foreign-owned or controlled equipment and services, and reliance on those that present national security concerns, creates vulnerabilities in U.S. supply chains.”

Recruiting Younger Drivers and Transitioning to EVs are Main Focuses of ATRI’s Recent Study

June 19, 2021 by Levinson and Stefani Leave a Comment

Finger pressing an autopilot button in a self driving car. Composite image between a hand photography and a 3D background.

The American Transportation Research Institute’s Research Advisory Committee has determined the research topics to be prioritized by the group–a list that was recently approved by ATRI’s board of directors.

The list of topics was developed and given the stamp of approval at a recent Atlanta meeting, and committee members identifying the top industry priority list components included leaders of labor unions, government officials, academics and experts, as well as trucking company executives.

2021’s top research priority? How to best recruit and retain young truck drivers–between 18 and 20 years old–into the trucking industry.

To determine the best methods of recruiting, training, and retaining young truck drivers in the industry, ATRI plans to utilize an effective case study approach. This kind of focus is aligned with the entire industry’s efforts to ease the challenge of the current truck driver shortage–a top industry issue on ATRI’s list for the fourth consecutive year.

At the end of 2018, the overall trucker shortage was estimated to reach 60,800 drivers by American Trucking Associations.

However, ATRI’s recent top-ranking focus is not just to bring about additional truck drivers, but to incentivize young workers to join the industry in regards to a “whole host of career options in the trucking industry,” explained President of ATRI, Rebecca Brewster.

“I like that [this priority] is taking a more holistic approach [toward]: How do we just get more young people into this industry and keep them here?” Brewster said.

However, it doesn’t seem that it will be enough just to drawn younger people into trucking–a method that hasn’t brought much relief to the country’s driver shortage. What needs major focus, Brewster said, are overarching retention efforts.

“It’s not just enough to come up with messaging and understanding how to make this industry appealing to them, but, [rather], how do we effectively train that cohort of individuals and how do we keep them in the industry?” she said.

Environmental topics are also priorities of ATRI, such as the need to better understand the benefits zero-emission trucks and their impact on the environment. The research that will take place around this topic will include a comparative study in regards to the environmental impact and life cycles of diesel Class 8 trucks in comparison to those of electric trucks. The study will also involve analysis of methods of operations, disposal, and manufacturing.

Additionally, as more and more trucks transition to the electric engine, ATRI has prioritized research into how best to create better truck charging infrastructure capabilities. To study this, the group will research overall grid connectivity availability, charging requirements of trucks and other vehicles, and scenarios regarding power demand and supply.

As climate change challenges and other environmental problems gain more attention and focus within both state and federal agencies, according to Brewster, 2021 is the first year that the topics of electric vehicle charging infrastructure and zero-emission truck impacts have become top priorities for ATRI. Also adding to the need for focus on these subjects is the American Jobs Plan proposed by President Biden, which suggests the allocation of $174 billion into the electric vehicle market across the country.

“ATRI’s Research Advisory Committee has identified a number of areas that are having a profound impact on the trucking industry and will continue to for the foreseeable future,” noted Sean McNally, a spokesman for ATA. “ATRI’s research is invaluable to ATA as we advocate for solutions to these challenges, so we are looking forward to the results of their studies.”

Other major areas of focus which made ATRI’s Top Priority List include an update to the group’s report from 2019 which looked into how controlled substance law changes are affecting state workforces and roadway safety. The impacts of decriminalizing drugs such as marijuana on the trucking industry have still yet to be extensively studied.

Finally, the last prioritized item on ATRI’s list is analyzing the effects of driver-facing cameras. The group intends to study their impact in regards to litigation, workforces, and overall safety for both drivers and fleets as a whole.

As National Driver Shortage Continues, Carriers Boost Trucker Wages

June 18, 2021 by Levinson and Stefani Leave a Comment

Female African American courier staring a mini van while going on package delivery.

“Our drivers have worked extremely hard during these unprecedented times of high demand and tight capacity, and we are proud to recognize them with this industry-leading pay package,” said President of Maverick Transportation, John Culp.

These kinds of updates come as trucking companies throughout the industry see the continuing driver shortage carrying on, and as more truck drivers desire boosted wages in order to stay in their positions–(and not worsen the shortage as it stands).

Maverick, specifically, recently announced it would increase pay for its marine, glass, flatbed, and dedicated drivers, with Averitt Express announcing later its promise to boost wages for dock associates, diesel mechanics, local drivers, and shuttle drivers as well.

Earlier in April, WEL Cos. also announced it would be increasing wages by 4 cents a mile for its truckers.

“Our local driving and support associates are the champions of the communities we serve,” said Averitt’s vice president of operations, Barry Blakely, in regards to the company’s boosted wages. “For 50 years, Averitt has been committed to serving our customers and our team, and this increase will ensure that we can continue to provide exceptional service in all areas.”

Beginning May 16th, student drivers at Maverick began to see payments rise to around 60 cents per mile–an average income of about $80,000 per year. Flatbed and glass over-the-road truck drivers at the company are now receiving an increase of 3 to 4 cents a mile, with experienced truckers earning up to 66 cents per mile.

These are not the first times in 2021 trucking companies have made efforts to boost employee wages–Maverick first announced a pay raise for glass, flatbed, and dedicated drivers in early January, with the other two companies following suit–Averitt announced a pay bump for all of its regional flatbed and truckload drivers back in March, and WEL had also increased rates by 3 cents per mile earlier in the year.

Still, though, it has been made clear to many industry professionals that a truck driver shortage of this caliber can not simply be remedied with just pay boosts, explained Bob Costello, Chief Economist for the American Trucking Associations.

“There is so much going on here,” he said. “You can write a whole PhD thesis on this if you really wanted to.”

Costello noted that he believes these current circumstances and motivations to boost wages are just a regular market reaction.

“Things that come to mind include the natural market reaction to any situation where demand outstrips supply as price goes up,” he explained. “And so, I am absolutely not surprised at all that pay is going up for drivers. It should go up, [and] it will continue to go up. But it’s also sign-on bonuses and guaranteed minimum weekly pay. It’s all this sort of stuff. But as I say over and over and over, if this was only about pay, this would be easy to fix.”

According to Costello, the trucking industry lost around 32,000 overall jobs in 2020, with most of those positions being those of truck drivers. Only a small number of jobs have been added since then, including in sectors where roles were cut–production jobs, nonsupervisory roles, for-hire trucking jobs and non-local trucking jobs. As of now, the official number of truck drivers let go or who left the industry in 2020 is not yet available.

“Back at the end of last year, we were actually at the height of all this in terms of drivers coming back,” noted FTR Transportation Intelligence vice president of trucking research, Avery Vise. “[During] the fourth quarter of last year, trucking added almost 29,000 payroll jobs. And that’s actually the most that have been added in any three-month period in 25 years. That was actually the middle of what seemed to be a speedy recovery.”

Trucking companies now need to prioritize retention, Costello explained, as companies throughout the country are working with the same pool of candidates and a limited number of new truckers entering the industry. Additionally, for driver recruitment to see any significant increases, potential employees and contractors need to know that their quality of life on the job will be high, in addition to attractive benefits and pay.

“I think it was a hole that we got dug into,” said Costello in regards to 2020’s obstacles. “Now that the vaccine is more prevalent and getting around, I think we can make some headway in this area. But what I’m saying is you’re not going to dig out of this hole–that training gap hole–any time soon.”