Managing Editor
Bhushan Bhad
We,humans,areintelligentspecies.Wehave trailblazedanimaginableroad.Startingfrom discoveringunlimitedterrainbeyondtheseato inventingthewheel,wehavebeenexemplifyingthetrue meaningof,skyisthelimit.
And,wedidn'tjuststophere.Asasocialspeciesthatis irreplaceabletoliveinacommunitysetting,weinnovated waystolivetogether.Oncelivingbyseashoreto transgressingtoagriculturalfield,followedbystorage systemsandhuthouses,wetraveledalongroad.
Andinthe21stcentury,wehavereachedanepochof humancivilizationthatisnotonlycoupledwith sophisticatedlivingbutalsodiscoveredscienceasour harbor Andintheworldofthescientificrevolution,we havescouteddifferentwaystoincreaseourproduction potentialandmeettheever-challengingindustrialworkflow withlogisticsupport.
Beitanyindustry,themostimportantsubsidiarytransition thatweneedtofacilitateaccessibilityfromtheindustryto thecustomerpoolofthebusinessmarketislogistics.Asa supportsystemtoeveryindustrialworkflow,logistics systemsassistinmeetingtheresultofthefinalproductand services.
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-Bhushan Bhad
Logistics Companiesto Watch in 2022
AAAFreightServicesLLC. aaafrt.com
AFSLogistics afs.net
APLLogistics apllogistics.com
TomNightingale CEO
AAAFreightServiceshasestablisheditselfasagloballytrusted logisticspartnerforyears.Thecompanyofferslogisticsservices forbusinessesineverycorneroftheworld.
AFSLogisticsisathird-partylogistics(3PL)provider,knownfor itsextensiveexperienceandexpertiseinoptimizinglogistics spendandoperationswithtransparencyandautonomy
DhillonTransport dhillontransport.ca
ThadBedard President RajinderDhillon Owner
Withoverfourdecadesofexperienceprovidingsolutionstolargescaleenterprisesthroughouttheglobe,APLLogisticsofferend-toendlogisticstailoredforspecificmarkets.
DhillonTransportFreighthasgrownintoaleadingcarrier withcomprehensiveLTLandTLcoverageacrossNorth America.
e-CARGOWARELtd e-cargoware.com
Mr.RameshDarbha Co-founderandCEO AlastairIsbister CEO GreatBearLogistics greatbear.co.uk
HAVI havi.com
FrankRavndal ChiefExecutiveOfficer
Foundedin2010byserialentrepreneurCargoeCARGOWAREaredisruptingcargoindustrywithits innovativetechnologysolutions.
GreatBearisaleading3rdpartyUKlogisticsbusiness providingnationwidededicatedandshareduserwarehousing anddistributionsolutionsforinternationalbluechipclients.
Haviworkswithdatawithinsights,supplywithdemand, restaurantswithdeliveriesandultimately,peoplewithproducts theylove.
MGNLogistics mgnlogistics.com
TandetGroup tandet.com
MatthewTelesca FounderandCEO ScottTilley Co-president
Beinganearlypioneerofweb-basedtransportationsolutions, MGNLogistics,Inc.'sinnovativeandproprietaryManaged TransportationSoftware(MTS),continuestooutpaceits competitors.
TandetManagementInc.,theparentcompanyoftheTandet Groupisaprivatelyheldcompanywithcorporateheadquarters inOakville,Canada.
XTLTransport xtl.com
SergeGagnon ChiefExecutiveOfficer
XTLhasbeencreatingcustomizedsolutionsbycombiningthe keystrengthsofitsthreedistinctserviceofferings–asset-based transportation,logisticsandwarehousing&distribution.
ustomersatisfactionisacrucialrequirementofany
business.Customerskeeprollingbackto businessesfromwhichtheyreceivequality productsandserviceontime.Inaddition,theyalso recommendthesebusinessestoothersintheirsocialcircles.
Butwhatifthebusinessinformscustomersthatthedesired productorserviceisnotlikelytobeavailableatthat particulartime?
Iftherequestedproductisnotprovidedontime,an unsatisfiedcustomercoulddowngradetheimageofthe businesswithintheircircleaswellasonvarioussocial platforms.Toavoidsuchrisks,itisamustforbusinessesto ensurethattheyhaveamplestockavailablewiththemas andwhenneeded.
Speakingoffulfillingcustomers’wishesontime,one industrythathastobeonitstoesinthehospitalityindustry Themaximumfocusofthehospitalitybusinessesneedsto beondeliveringtheircustomers’demandsontime.
Hospitalitybusinessesdependonthesupplyoffresh productstoservetheircustomerswithfreshandquality itemsontheirtables,whichiswhyitisalwaysagoodidea
forsuchbusinessestoestablisheffectivesupplychain managementwithintheiroperations.
Let’s take a look at the role of supply chain management in boosting your hospitality business.
Thehospitalitybusinessoperateswithrawmaterials,semimanufacturedproductitems,consumables,capitalgoods, andservices.Eachoftheseadditionsissubjecttoaneffort ofnegotiationandcoordination.Businesseshavetoensure thattheyarenotpayingmorethannecessarytothevendors.
Itisamustforhospitalitybusinessestohaveasupplychain managementsolutionwithintheiroperationswiththebest suitableprocessesadoptedwithinit.Asuitablyestablished supplychainmanagementunitcanproduceplentyof contactsandanunderstandingofthevendormarket.This canhelpinhavingthebestpossibleoptionswithinyour reachtodobusinesswith.
Additionally,asupplychainmanagementunitwithinthe businesswillhaverecordsofhowthepricesareevolving
acrossthemarketsothattheycannegotiateafittingprice withtheirvendors.
Havingpricecontroloverregularlyrequiredmaterialscan helphospitalitybusinessesspendtherightamountwhile avoidingwaste.
Generally,everyhospitalitybusinesshastokeepefficient stockwiththemtomeetcustomerrequirementswhenever demanded.Thelarge-scalebusinesseswithintheindustry prefertobuyeverythingthatisneededinlargequantities.
However,mostofthesematerialscomewithashorter-term expirydate.Theinventoryneedstobespentwithinthat timeduration,orelsetheseproductsareasgoodaswasted, whichmaycauselossestothebusiness.
Asupplychainmanagementsolutioncanplayasignificant roleinstoppingthisfromhappeningconstantly.By establishinganefficientcollaborationwithinthebusiness departments,itwillhaveaccurateestimatesoftherequired material.Thiscanbeessentialinorderingtheestimated quantityandavoidingtheunnecessaryaccumulationofthe materialthatwouldbeleftforwastageifnotsold.
Supplychainsplayacrucialroleinthemodern-day hospitalityindustry’sattainingoperationaleffectivenessand efficiency Awell-establishedsupplychainmanagement systemcanbenefitbothsuppliersandthehospitality industryinthelongrun.Thissolutioncanpromotea strongerassociationbetweenbothpartiesbecauseof professionalmanagementintheformofthedevelopmentof properpurchasingpolicies.
Thiscouldalsotranslateintofocusingonafewtrusted suppliersinsteadofhavingalargeandinefficientsupplier base.Moreover,newerandmoreefficientsupplierscould beidentifiedusingtheSCMmechanism,leadingto increasedefficiency
Large-scalehospitalitybusinessessuchashotelshaveto maintaintheiruniquenessaswellastheirhighratingswith
eachoftheircustomers.Tobeabletodoso,hotelsoffer customizedservicestotheircustomers.
Toprovidethesecustomizeddemands,businessesneedto workwithvarioussupplierswheneverneeded.SCM solutionsenablebusinessestoreachsuppliersquicklyto havetherequestedmaterialsdeliveredontime.
Thefutureisunknown,butbusinessescanstillworkon improvingtheirforecastingusingpastdata.Toanalyze whatisindemand,hospitalitybusinessescanintegrate supplychainmanagementsoftwaretechnologyintotheir operations.
Thedatainsightsfromthesoftwarewillgiveabetter understandingofwhatitemsaretrendingamongthe customerchoicesduringaparticularseason.Ifacertain drink,menuitem,orroomisgettingcustomers’preference duringaspecificseason,thebusinesswillhaveabetter understandingofwhattoorderwhenandwhatitemsit shouldkeepinstockduringarush.
SCMsolutionsenablebusinessestoprovidetheircustomers withadequatefulfillmentoftheirrequests.Additionally, businessescanalsokeeptrackingtheirinventoryusageto ensureabalancebetweendemandandsupplyneeds.
Whenitcomestothehospitalitybusiness,thelogistics behindthescenescanbetoughtoworkon.Businesseshave toselectsuppliers,mapoutthedistributionnetworks, constantlymonitortheinventoryandhaveemployees scheduledforoptimalefficiency.Alloftheseelements couldbebroughtundersupplychainmanagementfora smoothoperation.
-ByVishalGolekar
Amajorfactorthatdecidesanorganization'ssuccess todayisitssupplychainmanagementstrategy.Its logisticsandtransportationnetworkinparticular canmakeorbreakabusiness,affectingcustomerservice levelagreementsandreal-timedeliverytracking.
Nomatterhowpreparedanorganizationis,minorormajor logisticschallengesareboundtooccurwiththedynamic natureofbusiness.Ifnotdealtproperly,thesechallenges mightcauseasubstantialfinancialloss.Manycompanies collaboratewithanexperiencedlogisticsserviceproviderto reducecomplications,andminimizeorreclaimlosses involvedinsupplyingtheirproducttothemarket.
AFSLogisticsisathird-partylogistics(3PL)provider, knownforitsextensiveexperienceandexpertisein optimizinglogisticsspendandoperationswithtransparency andautonomy Theymanagesomeofthemostessential partsoftheshippinglifecyclefortheirclients,including shipmentexecution,tracking,invoiceaudit,payment, analytics,claimsandmoretounlockhiddenvalue.
AFS'sseasonedleader,TomNightingale(CEO),andhis motivatedandhighlyskilledworkforcehelpclientsachieve theirlogisticsobjectivesandproactivelysolveproblems beforetheyariseusingdata-drivenprocessesandbest-inclasstechnology
Let's explore AFS's history, services and their journey to become the most reliable logistics solution for their clients.
AFSisanon-asset-based,non-asset-biased3PL headquarteredinShreveport,Louisiana.FoundedbyBrian Barkerin1982,AFScelebratesits40thanniversarythis yearandcontinuestoevolvebyassemblingthebestpeople,
processesandtechnologytoequipclientsforsuccessina changingmarketplace.
Overthepastfourdecades,the3PLhasgrowntobecomea top3PLintheU.S.andCanada.Ithasbuiltarosterofover 1,800clients,achievinganaverageclienttenureofalmost 12years,andgeneratingmorethan$183millionintotal annualclientsavings.
With22acquisitionsinits40-yearhistory,theorganization recentlyacquiredaToronto-basedfreightauditand payment(FAP)company,resultinginAFSbecomingthe new,largestFAPcompanyinCanada.
“While our roots are in FAP, we now offer a wide range of data-driven logistics services that account for nearly $11 billion in transportation spending annually,” saysthe company'sexecutiveteam.
While our roots are in FAP, we now offer a wide range of technology-driven logistics services that account for nearly $11 billion in transportation spending annually.
Today,AFSauditsallmodesoftransportation,provides LTLandparcelcostmanagementandtransportation management,includingfreightbrokerageandfreight forwardingandofferscustomizedanalyticalsolutionsas well.
DataisthefoundationofwhatAFSoffers.Themoredata itsdatascientistshave,themoreAFScanhelpcustomers reducewaste,drivedownrisk,increasethepredictabilityof pricingandimproveservicelevels.Dataandtechnologyare criticaltoolsforadaptingtovarioussupplychainshocks, andAFSnotesthatquickresponsetimesanddata-driven alternativesarepartofprovidingaseamlessexperiencefor itscustomers.
OneexampleisLTLcongestion.Astheindustryfaces truckingcapacitychallenges,therecanbesituationswhere carriersreachcapacityandprovideverylatenotice, sometimesleavingcustomerstofindanalternativesolution injustonebusinessday Toadapt,shippersmusthave accesstoalternativesolutionsincludingapoolof additional,pre-vettedcarriersorinsomecasesadifferent modeentirely.
Tom Nightingale, CEO of AFS, is dedicated to service leadership. Over ten years ago, Tom founded Upgrade Soldiers, a non-profit group that encourages and inspires others to thank the defense services personnel through acts of kindness.
Tom also currently serves on the boards of several organizations, including Syracuse University's Franklin Supply Chain Advisory Board, CSCMP, and formerly the Warehouse Education Research Council and Women in Trucking.
Prior to AFS, Tom served as President and CEO of International Package Shipping and its operating companies. Tom also held different leadership roles at GENCO (now FedEx Supply Chain), ModusLink, Con-way Inc. (now XPO) and Schneider National.
Tom has over 25 years of leadership experience and brings a clear vision and unifying force to AFS.
The visionary leader
Tom Nigh ngale CEOAFS Logis cs
AFS has been a long term ally and valued asset within our overall logistics operations. AFS continually demonstrates its commitment to our success. They work with our team toward common goals and have enabled us to focus on our core business rather than getting buried in the micro-management of carriers, claims and invoices. We know AFS always has our back!
Bo Ricketts, Director of Operations, Cavender's.
AFS has become part of the Mann Lake team. My staff can go directly to them, they optimize our processes and take work off our plate so we can focus on our core business.
Shana Rowlette, CFO, Mann Lake Bee & Ag Supply
DataenablesAFStoconfidentlyprovidenewoptionswith comparableserviceandcost,ultimatelyempoweringclients topivotquicklyandkeeptheirbusinessmoving.ButAFS usesdataformorethanjustsolvingclientchallenges,they alsohaveadata-richpredictivetoolthatprovidesuseful freightindustryinsightsatnoadditionalcost.
AFSsays,“On a broader level, we leverage data from the over $11 billion in freight spend we manage to provide market-wide insights. Our team works with Cowen, a leading full-service investment bank to produce a quarterly freight index that not only provides historical insights but leverages machine learning algorithms to offer a forwardlooking perspective on where the freight market is headed.”
Supplychaindisruptionhasbeenacommontopic,fromthe fiveo'clocknewstolate-nightTVdebates.
Twomainfactorshavepreparedcompanieswellforthis, andAFShasbeenatthecenterofboth:
Amodelthatisnon-asset-basedandnon-assetbiased.
Theflexibilityofthatmodeliskey–notlimitedtoassets thatyouown,andyoucanusedatatorespondquicklyand ensurethatthesolutionsbroughttocustomershavenobias towardownedassetsandmatchthesituationathand.Itis
aboutbeingabletorespondpromptlyandofferaseamless experiencetocustomers.
OneofAFS'sretailclientsreliedonthesamecarrierto delivermostoftheirparcelsforover20years.However, duringtheCOVID-19pandemic,serviceissuesbeganto arisewhenonlineshoppingincreasedandshippingcapacity waslimited.
Inthissituation,AFShelpedtheretailerswitchtoanother carrierwithcompetitivepricing–offeringthechanceto addressserviceandcapacityissues.Moreover,theAFS teamnegotiatedacontractthatcreateda14%reductionin overallparcelspendfortheirclient.
WhenaskedaboutthefuturescalingplansforAFS,CEO TomNightingalerespondedbysaying, “It is an interesting time in our industry. You have 3PLs like us at the nexus of all this chaos, helping customers respond quickly.”
Headds, “AFS has a legacy of innovation, and our approach is to continue to build out our suite of core services (FAP, LTL, Parcel, Transportation Management) on that foundation of data.”
Tomhasextensiveexperienceinthelogisticsindustry The expertiseathislevelcanprovetobeinsightfulfora buddingentrepreneur Whenaskedwhathewouldwantto saytothoseaspiringtoentertheindustry,hesays, “Develop a service-driven mindset. Be eager to serve your team as a leader or subject matter expert and serve your clients by meeting their needs and exceeding their expectations.”
Oneofthemostimportant corporategovernancetrends overthelastdecadehasbeen theincreasingfocuson environmental,social,andgovernance (“ESG”)considerationsandissues.
Thefocusoncorporatepoliciesand practicesrelatingtoESGhas increasinglyintensifiedastheglobal communityhasdealtwiththeimpact oftheCOVID-19pandemic.
Shareholdersandotherkey stakeholders—includinginstitutional investors,regulators,proxyadvisors, employees,andcustomers—have increasedtheirscrutinyontheESG performanceofcompanies.
Todate,ESGconsiderationshavenot hadanoutsizedimpactonM&A activity.Nevertheless,accordingtoa recentsurveyofM&Aexecutivesby Bain&Companyfortheir2022M&A Report,dealmakersexpectan increasingfocusonESGin acquisitionsinthenearfuture. Fromdiligencetovaluationtopostclosingintegration,ESGislikelyto takeonanincreasinglyimportantrole inhowdealmakersview,structure, andconsummatetransactions.We begantoseethisin2021asESG considerationsstartedtotakeonan ever-greaterrole,becomingacatalyst
forM&Atransactionsandchangesin theboardroomacrossnumerous sectors.
Oneparticularexampleofgreater scrutinyofESGperformanceisRoyal DutchShell.InMay2021,aDutch courtorderedShelltoreduceitsCO2 emissionsby45%by2030.
Theruling,whichwasinresponsetoa 2019lawsuitbroughtbycertain internationalpublicinterestgroups, includingGreenpeace,would accelerateShell'salreadyambitious climategoals,whichpreviously targetedreducingCO emissions20%2 by2030,45%by2035,and100%of 2050.
Asaconsequenceofthecourt's ruling,Shell,throughitsrenewable unitShellNewEnergiesU.S., announcedtheplannedacquisitionof cleanenergycompanyInspireEnergy Capital.Thedeal,whichclosedin September,isexpectedtoaccelerate Shell’smissiontodrasticallyreduce CO2emissionsandpromoteclean energyamongstitscustomersand suppliers.
Foodandconsumerproducts companieshavealsoshownadesire toprioritizeESGasadriverfortheir
M&A.Formanyofthesebusinesses, sustainabilityhasbecomeahallmark oftheirrespectiveacquisition strategies.
InApril2021,OlamInternational,the Singapore-basedagri-foodbusiness, agreedtopurchaseU.S.spicesand seasoningsbusinessOldeThompson fromprivateequityfirmKainos Capitalfor$950million.
Inconnectionwiththedeal,Olam toutedhowOldeThompsonwould helpitcontinuetodeliversustainable, natural,value-addedfood.Notably, OldeThompson'sfacilitiesutilize solarpanelstoprovide75%ofits energyrequirements.
Evenspecialpurposeacquisition companies(“SPACs”)beganto considerESGwithanincreasedfocus on“clean”or“green”deSPACtargets. ManyweretargetedbySPACswith investmentmandatestopursuetargets inareasincludingcleanenergy, renewables,andsustainability
NumerousSPACsreachedagreements in2021,includingsmartenergy storagecompanyStem'sAprilmerger withacleanenergy-focusedSPAC andelectricchargingnetwork companyEVgo’sJulymergerwitha climate-focusedSPAC.
Frank Aquila is Sullivan & Cromwell's Senior M&A Partner and a member of the Firm's Management Committee. The Financial Times has described Frank as "one of the most influential and high-profile M&A and corporate lawyers in the U.S." who has "played a role in many of the largest and most complex deals."
Frank represents global leaders and their boards of directors on M&A, corporate governance, ESG, activism, proxy contests, unsolicited bids, ransomware attacks, short squeezes, crisis management, and a range of matters affecting corporate policy and strategy. During the course of his career, Frank has advised on deals totaling more than $1 trillion in value, including advising on more than $150 billion in 2015 and more than $100 billion in 2019
Frank is consistently recognized as one of the world's leading M&A lawyers, including as one of only a handful of lawyers ranked by Chambers Global in Band 1 (their top tier), as an American Lawyer 'Dealmaker of the Year,' as a recipient of the Atlas Award as 'Global M&A Lawyer of the Year' and as a three-time Law360 MVP . Frank is also widely acknowledged as an innovator and thought leader in the profession.
In 2021 and 2019, Frank was featured as a BTI Client Service All-Star. In 2018, Frank was recognized by The Financial Times as one of the Top 10 Legal Innovators in North America.
In 2015, The FT also recognized his representation of Kraft in its merger with Heinz to form The Kraft Heinz Company as one of the most innovative in North America, and he led the Sullivan & Cromwell team that won The FT's top award in 2021 for Innovation in Transformational Deals for advising Tiffany & Co. in its $16 billion acquisition by LVMH
ButforeachESG-centricSPACthat announcedamergerin2021,thereare countlessothersthatcontinueto searchforanappropriatetargetto bringpublic,suggestingthatthepush tobringESG-focusedcompaniesto thepublicmarketswillcontinuein 2022andbeyond.
ESGissueshavebeenanincreasingly importantpartofthepolitical discourseintheU.S.,andinthepast year,U.S.Federalandstate lawmakers,regulators,andquasiregulatoryentitieshavecontinuedto focusoncorporateESG.Inpartdueto recentheadlineevents,theseefforts haveintensifiedaroundissuessuchas racialinequality,socialjustice,and theclimatecrisis.
AttheU.S.Federallevel,theBiden Administrationhasfocusedonclimate change,diversity,equityandinclusion (“DEI”),andhumancapital management("HCM").
Forexample,duringhisfirstmonths inoffice,PresidentBidensignedthe “Climate-RelatedFinancialRisks” executiveorder,whichestablishedthe Administration'spolicytoadvance comparableandaccurateclimate changedisclosures,mitigaterisksand drivers,achieveanet-zeroemissions economyby2050,anddirectsenior administrationofficialstotakeaction infurtheranceofthesegoals,aswell asanexecutiveorderaimedat promotingDEIandaccessibilityinthe Federalworkplace.
Atthestatelevel,inadditiontolaws imposinggenderdiversity requirements,somestateshavealso adoptedlawssettingforth requirementsforboardroom representationofindividualsfrom otherunderrepresentedcommunities
(e.g.,Californiarequiringeach California-basedpubliccompanyto haveaminimumoftwoorthree womendirectors,dependingonboard size,bytheendof2021,andtwoor threedirectors,againdependingon boardsize,whoself-identifyasBlack, AfricanAmerican,Hispanic,Latino, Asian,PacificIslander,Native American,NativeHawaiian,Alaska Native,orLGBTbytheendof2022).
Asthelegislativeandregulatory landscapecontinuestoevolve,itis importantfortheBoardtoclosely monitorESG-relatedlegal developmentstoensurethatthe company'spolicies,practices,and disclosurescomplywithlegal requirements.
Shareholderactivismactivityhas fluctuatedsincethebeginningofthe pandemic.While2020wasa relativelyquietyearforshareholder activists,shareholderactivismpicked upspeedin2021.
ByAugustof2021,activistslaunched 185campaignsintheU.S.,surpassing thecampaignslaunchedduringthe sametimeperiodin2020by28%and reboundingtopre-pandemiclevels. Whileshareholderactivistcampaigns havehistoricallyfocusedonfinancial performance,activistsareturning theirattentiontoESGconsiderations.
Consumersarealsomorefocusedon ESGissuesthanever.PwC's2021 ConsumerIntelligenceSeriesrevealed that83%ofconsumersthink companiesshouldbeactivelyshaping ESGbestpractices,andESG commitmentsaredrivingconsumer purchasingandemployee engagement.
ThePwCseriesalsorevealedthat consumerstakeaholisticviewof
ESGissues,notingthat76%of consumerssurveyedagreedthatthey woulddiscontinuetheirrelationships withcompaniesthattreatthe environment,employees,orthe communityinwhichtheyoperate poorly
Customersalsoexpectthatthe companieswithwhichtheyengage willreactinreal-timetosocialissues, includingcommentingonsocial justiceissuesrelatingtocurrentissues onsocialmediaandotherplatforms.
Ey’sFutureConsumerIndexreported that58%ofrespondentsnotedthat companiesmustbetransparentabout theirsocialimpact,and63%agreed thatacompany'sbehaviorisas importantaswhatitsells.
Youngerconsumersareparticularly interestedinseeingcompanyactions (ratherthanpublicstatements)related tosustainability;40%ofGen-Zand nearly50%ofmillennialsinthesame surveynotedthattheyconsidera brand'sdemonstrablecommitmentsto DEIintheirpurchasingdecisions.
Logistikos!AtermcoinedinancientGreecewas referredtoidentifyingtheprocessofcomputing militaryactivity.Itwasbackthenknowntobean artofmoving,quartering,andsupplyingtroops.Inthis ancienttimeofwarandeconomicimbalance,logisticswas thoughttobeamilitaryterm,alltodowithprocurement, maintenance,andtransportationofmilitarymaterialsand personnel.
Withchangingtidesoftheworld'seconomies,theterm gainedabroadenedmeaninginindustrialproductionbut remainedlimitedtothedistributionofproductionuntilits evolutionbeganinthe1980s.
The‘80ssawadramaticshiftinthefocus,notlimitingthis hugeumbrellatermtoproductionanddistributionbut broadeningitsscopetothemanagementofmaterials.And well,here,forthefirsttimeduringthe1980s,theterm supplychainmanagementcameintothepicture.Even thoughthetermisrelativelynew,ithasgainedmainstream recognitioninglobalizedmarkets.
But the real question lies in asking what furthered the integration of the entire umbrella term and made it ever evolve like never before.
Catchingup,inthelightofCOVID-19,anotherhiccupsaw atumultuouschangeinthecustomerdemandscausing large-scalesupplychaindisruption.Thepandemic witnessednewtechnologiesandpracticesmakinglogistics evolveandmoveforwardwhileopeningthedoorstothe neweraofdisruptivetechnologies.
In this article, we highlight a few driving forces pushing the logistic industry to cater to modern economies' needs.
Belowarethetrendsthatareredefiningtheindustryin 2022:
Firstandforemostofthedisruptivetechnologies,the cloud-basedsystemsandintegrationhavemadeapathway forthelogisticbusinessestostreamlinetheirworkflow.It allowsthemtostoreandtransferinformationquicklyand safelywhileprovidingstrongandeffectivecontrolover theirfinances.Inthisfast-pacedworld,financeproviders haveintegratedcustomtechnologies,makingbusinesses payandgetpaidfasterthaneverbefore.Thisultimately meansmakingtheinternalprocesssmootherthaneverand savingtimeandmoneyforbusinessesworldwide.
Asweallknowthatasignificantpartofthelogistic industrycaterstothetransportationofgoodsandservices. Reflectingonthis,techenthusiasthasbeenexperimenting withthefuturepromisesthatliewithautonomousvehicles. Nottoforgetthattheserobotictransportationsystemsare alreadyinsightformanyyears.Theonlylimitationisthat thesetrucksrununderasupervisedautonomy,butwiththe helpofdisruptivetechnologies,thissupervisionwill becomeunnecessaryinamatteroftime.
Withappropriatedesignandtests,autonomousvehicles havethecapabilityofbeingsafer,lessexpensive,andmore effectivetomanagethanmanuallydrivenvehicles.That furtherindicatesloweringoperatingexpenses,keepingthe roadssaferthanbefore,whileallowingoperatorstofinda higherlevelofworkprofileintheirrespectivecompanies.
Foranynormalhuman,itmayseemthat3Dprintingisa technologyforthemanufacturingsector,buttheartof adaptingtechnologyinthelogisticindustryhasmadeit reapthebenefitsofthisrapidlyadvancingplatform.Ithelps tocutoffthetransportationarenabydeliveringaproduct instantlywiththehelpofa3Dprinter,furtherlesseningthe carbonfootprint.Thishasforcedsupplychainmanagersto adoptthetechnologythatlowerscostsandhasapositive environmentalimpact.
Advancedtechnologieshavemadereal-timeanalyticsand trackingmoreeffortlessthaneverbefore.Managerscan provideaccurateinformationtotheircustomersaboutthe exactlocationoftheirproductandhowlongitwilltakefor themtoreceiveit.Becauseofefficienttracking,managers caneasilyidentifyproblemsandhelpresolvethem effectively.Thishasledtodisruptioninproductivity, assistingleadersinsculptingtheperfectcompanyfrom scratch.
Intherealmoftechnologicaldisruption,Artificial intelligenceandMachineLearninghaveinfluencedthe industry,andlogisticsisnowherebehind.Thesesystems worktowardsreducinghumanhoursandincreasingboth efficiencyandtotalcapability.Withtherighttoolsinplace, businessleaderscanquicklyevaluateshipmentspeed, customersatisfaction,andmorecriticalvariableslike productivityandregularself-improvementtoboost productivity
Thistechnologyhascompletelydisruptedthelogistic industryandbenefitsfromdecentralizedledgers.Atthe sametime,implementingitmaybenoteasy,andnot forgettingthepowersitcarries.Fromincreasingsecurity, efficiency,andreliabilitytoprovidingflexibilityinpayment methodology,thefutureofblockchainintegrationinthe logisticindustryseemstohaveunlimitedpotential.
Thatbeingsaid,it'shardtonaildownrock-solidprojections forthelogisticsindustrybecausethevariablequantitiesin playaretoomanyandtoocomplicated.Asnoonecould havepredictedtheCOVID-19pandemicin2018or2019, thelogisticsindustrycouldcometopassonadifferent coursein2023becauseofsomethingthat'sblindingus completely.
Butevenconsideringthelikelihoodofmajordisruptive events,it'sunquestionablythatthelogisticsindustrywill keepexpanding–andintegratingnewtechnologiestomake theirbusinessesevenmoreeconomical.
-Shrutika Khedekar
echnologyhasbeenplayinga
Tverysignificantroleinhuman upliftment.Beitsurpassingthe warcrisis,enablingtheaccessofthe easternhorizontothewest,orthe transgressingage-oldproblemswith future-proofsolutions,the technologicalinnovationshave surprisedtheworld.
Usheringwiththisunderstanding,the businesscommunityhasalwaysbeen scoutingclosetsthatconsistof problemsandareyetunresolved. Encounteringthebusinesschallenge becomesthefirst.Thesecondisto encompassallthestakeholdersofthe problemandfacilitatethemwitha solutionthatnotonlysatisfiesthe demandingurgeofthebusiness communitybutalsoadvances technologicalsupportwhileenhancing theuserexperiencetoo.Asafinal hammertotechnologicalexcellencein thelogisticsspace,businesseshave usheredwithERPplatformenabling quickandeasyoperations.
Today,cloud-basedsystemsare integratingtheAirLogisticsindustry whilefacilitatingaseamless experience.Onesuchlogistics companydrivingthetransformative wheelintheaircargosegmentis e-CARGOWARE.
Spearheadingthistransformationis Mr.RameshDarbha.HeistheCofounderandCEOofthecompanyand hasanenrichedexperienceandleading
thebusinessworldwithhis technologicalexcellence.
Let’sdiveintotheinterviewwhere RameshshedslightontheeCARGOWARE’skeyofferingsandhis businessacumenthatledthecompany toachieveitsdesiredsuccess.
Below are the interview highlights:
Pleasebriefouraudienceaboutyour company,itsUSPs,andhowitis currentlypositionedasoneofthe mostreliablecompaniesinthe logisticsspace.
e-CARGOWAREhelpsAirlines, handlers,andsalesagentstodigitize theircargooperationsusingour
cloud-basedFR8Manage-ERP platformandsuiteofFR8Apps.
Ourplatformiseasytouseandis dashboarddriventhussignificantly reducingthetrainingcostsforour users.
Aircargoisafragmentedindustrywith largeplayersofferinga‘seamlessendto-endintegrationandvisibilityacross thesupplychain’withahugefinancial backingtoinvestinITSystemswhilst thesmallerplayersrelyonlegacy technologysolutions.
Weplugthegapbetweenthesmaller andlargerplayersbyprovidinga scalabledigitalplatformthatiscosteffectiveforourcustomerstocompete
Weplugthegapbetweenthesmaller andlargerplayersbyprovidingascalable digitalplatformthatiscost-effective forourcustomerstocompetewiththelarge playersandaredoingourpartbycreatinga levelplayingfieldforthesmalland medium-sizeaircargoserviceprovidersto competewithsuperiordigitalsolutionsand processthusmovingourindustrytowards alessfragmentedmarket.
withthelargeplayersandaredoing ourpartbycreatingalevelplaying fieldforthesmallandmedium-sizeair cargoserviceproviderstocompete withsuperiordigitalsolutionsand processthusmovingourindustry towardsalessfragmentedmarket.
Shedsomelightonyourofferings andhowtheyimpacttheindustry andyourclients?
AtthecoreofourofferingisFR8 Manage–acomprehensivecargoERP platformforAirlines,Airports(Cargo Handlers),andGeneralsalesagents. It’sintuitiveandeasytouseandisin useatseverallocationsgloballyto managetheircargooperations.FR8 Managehelpsourcustomerstoreduce repeatactivitiesandincreasetheir productivity
OurFR8Apps–Suiteofproductsis designedtoexpandthedigitaloffering ofourcustomersandseamlessly integrateswithanycargoERP platforms.Someofthekeyproductsin thissuiteinclude
FR8Quote:AnArtificialIntelligence/ NLP-basedemailplugintoautomate anddigitallytransformthequotation dialoguebetweenAirlinesand Forwarders.Itexpeditesquoterequests thusimprovingtheproductivityof Salesstaffandslowlyconvertsthe interactionbetweenforwardersand airlinestoonlineplatforms.
FR8BookingPlatform:Aself-service onlineSalesplatformforForwardersto compareandbookairfreightshipments withourcustomers.
Whatarethecorevaluesuponwhich yourcompanyisbuilt?
Weareafirmbelieverthatevery businessisuniquenomatterhow similartheirproductofferingis
Ramesh Darbha CEO e-CARGOWARE
comparedtotheircompetitors.We workwithourcustomerstoprovidea solutionthatisspecificfortheir business,andwetendtopartnerwith ourcustomerstofunctionastheir extendedtechnologypartner
Pleasebriefusaboutthefeatured person’s(s)journeyintheindustry andhowtheyhavecontributedto thecompany’ssuccess.
FeaturedPersons:Mr.Ramesh Darbha&Mr.ArunSingh
Co-founders–ArunandRameshhave startedthecompanywithavisionto offeracost-effectivedigitalERP platformandFR8toolspoweredbyAI totheAirfreightindustry Theyplayan activeandhands-onroleindefiningthe productvisionandtechpositioningof theplatform.
Withdeeptechnologyanddomain experience,Rameshishands-on, involvedinallaspectsofthebusiness, andisresponsibleforleadership, strategy,andexecution.WhilstArun withseveraldecadesexperienceinthe AirLogisticsdomainisresponsiblefor developingkeycommercial relationshipsandalsoprovidesoverall productstrategyandguidance.
Beinganexperiencedleader,share youropiniononhowtheadoptionof moderntechnologieshasimpacted thelogisticsindustryandhowis yourcompanyridingthetechnology wave?
TheAirLogisticsindustrywasoften consideredlessglamorousunderthe bellyoperationsofanAirlinewhilst thepassengersideisclassier.However, duringapandemicwhentheglobal travelcametohaltandairlineswere strugglingtostayafloatitwastheAir logisticsthat’skepttheairlines operatingandisnowattheforefrontof
digitalization,andAircargo[logistics] isoneofthekeygrowthdriversforan airlinetoremaincompetitive.
e-CARGOWAREwasborninthe cloudandweconstantlyinnovateand stayaheadofourcompetition.In addition,webeinganindependent, agile,andinnovativedigitalpartner,it wasanobviouschoiceforour customerstoselectusastheir technologypartnerfortheircurrentand futureneedsasthelogisticsindustry continuestoembracedigitization.
Whatwouldbeyouradviceto buddingentrepreneurswhoaspireto ventureintothelogisticsspace?
Logisticsisthebackboneofworld tradeandoneofthelargestemployers howevertheindustryisstillconsidered alaggardinadoptingnew
technologies.Ifyouhaveagenuine interestinmakingadifferencetoworld tradeandhaveabeliefinyourself,itis nowthetimetoventureintothisspace andneverlookback.
Howdoyouenvisionscalingyour organization’soperationsand offeringsin2022andbeyond?
Withincreasedfocusonthelogistics, specificallyintheAirLogisticsmarket, asoneofthepreferreddigitalplatform providersintheindustry,weare expectingsignificantgrowthin2022 andbeyond.Tosupportourgrowth strategy,weareexpandingour customersuccessteam.Wearealso investinginR&Dtohelpour customersavailtheadvancementsof AI&MLtostreamlinetheir operationalprocessesandimprovethe productivityoftheirstaff.
