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Outlook of the Capacity Crunch

The end of 2017 shaping up to present one of the strictest capacity crunch for 2018, explains Chris Brady of Logistics Viewpoints. The ongoing recovery efforts after this year’s major hurricanes, the upcoming electronic logging devices (ELD) mandate implementation date, and continuing tightening of labor markets, including truck drivers, pushing the boundaries of today’s trucking capacity.

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capacity crunch

The shipping industry saw growth and expansion in 2014 when compared to the state of the industry since 2008. The economy was on the road to recovery, and more technology was being developed and deployed to increase the productivity and efficiency of fleets.

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trucker shortage

Transportation capacity problems have been a volatile issue over the past twenty years or so. A thorough analysis provided by the Council of Supply Chain Management Professionals , (CSCMP) in its “State of Logistics” report, indicates that by 2017, shippers in the U.S.

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transportation capacity crunch 2014

In October of last year we first wrote about the transportation capacity crunch. In that first post of the ongoing series, we did what we do with all firsts in the series: we defined it. We then went on to state what are the 4 contributing factors, at the time, fueling the  capacity crunch.

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capacity crunch in trucking

For the thousands of companies that rely on the nation’s trucking network to get their goods to market, perhaps no issue in the past few years has become more critical than the capacity crunch in trucking. And this year, on top of the already tight capacity, the weather (and soon the flooding from thaw out) will only increase the tightness we are seeing in full truckload capacity.

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volume freight

Who doesn’t like saving money on freight? And we are not talking about saving to prosperity or beating up carriers or 3PLs until you find the lowest quote of the day. In today’s marketplace no matter where, what or how you do your shipping, logistics professionals are under pressure to reduce transportation costs.