Logistics Panel Discussion – 9 Key Tactics

Is your company experiencing rising logistics costs? Below we share nine tactics companies are implementing today to address the prospect of increased distribution expenses.

Per Forbes earlier this year, The 2019 State of Logistics report overall US logistics costs rose 11.4% to reach $1.64 trillion, or 8% of gross domestic product (GDP).

Last week, The Milwaukee Logistics Council and APICS Milwaukee co-hosted a Logistics Panel dinner and discussion to review the top trends influencing US logistics. The panel included logistic experts Ben Hartford, Sr. Equity Research Analyst – Transportation & Logistics from RW Baird, Kurt Baumann, Vice President of Consulting Services, Armstrong & Associates, Inc. and Steve Silvis, Solutions Engineering, 3PLR Logistics Consulting.

Pictured on the right, Ben Hartford kicked off the discussion by sharing key economic data trends impacting overall transportation efforts in the US.

Next Kurt Baumann shared key logistic trends and optimization strategies.

He provided the following nine tactics companies are doing today to address the prospect of increasing distribution costs.

9 Tactics to Address Increasing Logistics Costs:

  1. Expanding use of carrier volume agreements and contracted rates to stabilize availability
  2. Effort toward Shipper Choice programs to improve carrier relations and support their efficiency
  3. Deployment of shipment and carrier sensing technologies to improve visibility and utilization
  4. Expansion of last-mile delivery capabilities and networks, especially to support eCommerce
  5. Migration to lower-cost distribution locations, balancing the increased cost of transportation
  6. Continuing trend among shippers to outsource logistics to 3PLs
  7. Investment in business intelligence applications and technology to integrate data from disparate sources
  8. AI and machine-learning technology to improve decision analysis and labor efficiencies
  9. Increased use of optimization techniques for logistics sourcing and network design

Kurt suggested that smart companies will anticipate the need to drive efficiencies and mitigate rising costs. Lastly, the group heard from Steve Silvis on leveraging data to optimize your supply chain network.

At APICS Milwaukee we support logistics and supply chain professionals with local networking and educational opportunities to stay up to date with the latest trends.  We are excited to host upcoming instructor-led training courses in March 2020 for APICS CLTD 2.0 Learning System that will expand participants’ global logistics knowledge with updated content to ensure logistics, transportation and distribution professionals have the knowledge they need to succeed in the global marketplace.

2020 CLTD 2.0 Enhancements Include:

  1. 9 new case studies (1-per module)
  2. Updates to the online menu to assist students such as downloadable e-Pub files for note taking, exam prep video series, in-product calculator, instructor-led slides and more
  3. Moving from 8 to 9 modules, splitting the CLTD 1.0 Inventory and Warehousing into individual modules
  4. Progress check questions moved into online quizzes
  5. 2 physical printed books

Sign up today on our website for our expert instructor-led class starting on March 11, 2020, Wednesdays (5-9) – 10 Sessions. Cost: $1,750 Member/$1,995 Non Member.  Learn more…

APICS Milwaukee is the premier professional association for supply chain management, helping approximately 450 members representing over 180 Milwaukee area companies with educational and networking opportunities.  APICS Milwaukee chapter members receive discounts on all certification programs – click here to join today

Looking for more information on how APICS Milwaukee can help you in your career and current supply chain trends, visit our website at: https://apicsmilw.org.