It is likely the logistics industry will adopt self-driving vehicles much faster than most other industries. The primary concern for automated motorized vehicles is personal and property damage liability. Secure areas and minimal personnel minimize liability risks creating ideal conditions for an automated environment. Also, the grid design of a typical warehouse makes for generally simplified navigation of an automated forklift, for example. The limited and repetitive tasks required to stack and transport pallets does not require complicated programming and sophisticated hardware. With these considerations in mind, it’s possible that a warehouse may be the ideal environment for a completely automated storage and distribution facility. Most high volume warehouse facilities today have some degree of autonomous technology in use. It may require a leap of faith to go to 100% automation. 

The parcel industry is enjoying steady growth due largely to the popularity of e-commerce transactions. Management consultants at McKinsey & Company, maintain that the parcel market in the U.S. is set to double by 2025, with same-day delivery and instant delivery to account for one-fifth of the demand. Furthermore, a new study reveals that one in two customers is willing to pay extra for faster delivery.  

The term "Big Data" is a recent buzz word in the logistics industry. In its simplest sense, the term refers to the analysis of massive amounts of data to retrieve information that may be applied to improve operational efficiencies. Let's take a look at how Big Data is being applied to the Logistics industry. 

Texas is among the busiest states for commercial truck transportation in the U.S. The congestion, inbound traffic volumes and security concerns from its southern neighbor all contribute to its high volume of truck transportation. The volume of cargo traffic and private vehicle traffic in many areas has grown faster than the public road infrastructure. Texas has seven of the top 25 freight bottlenecks in the nation, located in Austin, Dallas, Fort Worth and Houston. Truck traffic over congested public roads contributes to major economic and quality-of-life challenges. Engineers at Texas A&M have designed a possible solution to these traffic issues. 

It appears to be that Amazon is attempting to compete with the drive-up convenience of stores, like Wawa and 7-11, and the selection of Wal-Mart and Target. Their plan is to invest in brick and mortar locations, and for customers seeking even more convenience, some locations will have drive thru capability where online grocery orders will be delivered to the customer’s car. 

The ongoing battle over New Jersey’s Transportation Trust Fund is approaching a solution. New Jersey’s Senate and Assembly voted on October 7, 2016 to provide $2 billion annually to the transportation fund for the next eight years, thanks to tax increases of 27 cents per gallon on diesel and 23 cents per gallon on gasoline. Currently the tax is 17.5 cents per gallon and 14.5 cents per gallon respectively, the nation’s lowest, other than those in Alaska. 

The Department of Transportation's electronic logging device mandate and the EPA’s coming emissions standards will likely lead to an industry capacity crunch and a big increase in rates. 

Effective Jan. 2, 2017, FedEx will change the formula used to calculate rates on domestic air or ground parcels based on their dimensions, rather than their actual weight. Currently, FedEx determines a package's dimensions by multiplying its length, width, and height in inches and dividing the sum by 166. On Jan. 2, the divisor resets to 139.  Clearly, a lower divisor produces a higher net number, in this case, by about 15%.  Accessorial charges such as fuel surcharge will be computed using this larger weight calculation as well.  

Recently, the National Motor Freight Traffic Association made changes to the language on the back of Bills of Lading. The first point to make, and to be sure is understood, is that a Bill of Lading is a legally binding document. The changes address many areas of the Bill of Lading and have the potential to impact anyone using this standard form. We will highlight the changes for you in summary form below to educate and hopefully help you protect your company's interests. 

Uber unmanned cars are being tested in Pittsburgh this month. Uber will allow customers in downtown Pittsburgh to summon self-driving cars from their phones, crossing an important milestone that no automotive or technology company has yet achieved. Customers will request cars the normal way, via Uber's app, and will be paired with a driverless car at random. Trips will be free for the time being, rather than the standard local rate of $1.30. Specially-equipped Ford Focus and Volvo SUV's will be equipped with driverless technology and a physical driver to take over if necessary, but the driver's presence is more to ease the passengers and satisfy legislation.