Looking back, volume figures for 2014 fell into the good category, and continued a slow and steady climb upward. The entire logistics industry was impacted by ongoing labor discussions on the U.S. West Coast, as well as land-based equipment shortages. Clearly, the amusement park ride of choice for those working on the pricing desks is the roller-coaster, as rates again gyrated up and down on what at times appeared to be an hourly basis.
After consulting multiple crystal balls and one Ouija ™ Board, 2015 appears poised to follow a similar script as 2014. Exports will continue to progress, but will struggle against a global headwind blowing out of a stagnant Europe; a slowing, but still growing Asian market; and country-specific debt and currency trials. The U.S. import market should record back-to-back years of growth as higher levels of employment coupled with lower oil prices create increase consumer demand.
Logistics providers will be forced to navigate through daily, weekly and monthly pricing changes; equipment shortages, as carriers yet again alter strategies; new global alliances once more changing the competitive dynamic with former friends now appearing as competitors; carrier pull back from last-mile delivery off of ramps and ports; and the constant need to improve efficiency through use of technology.
All of these factors will require organizations to remain focused on their key mission, customer satisfaction every minute of every day. While easy to include within this commentary, the actual execution of this mission requires a nimble organization with a dedicated team of knowledgeable professionals who understand we are here to help both exporters/importers and carriers optimize their supply chain and global operations.
Alan Baer, President, TTS Worldwide