The Greek philosopher Heraclitus famously wrote, “The only constant is change.” This is a phrase we use often at Gulf Winds to keep things in perspective. The business environment is continually challenged by disruption outside of one’s control. Increased regulations, a tight labor market, record low warehouse vacancy rates, larger ships, and lack of overall slack in the supply chain all contribute to potential disruption, along with the further need for planning and transparent communication. Our ability to adapt, innovate, and collaborate as a shipping community will determine our level of success in the future.
We continue to see a shift in the depth of conversation with clients and industry partners. The days of creating silos between modes, providers, and shippers is changing for the better. The necessity of real-time visibility to shipments, tighter shipping windows, and limited capacity are creating opportunities to collaborate. This is healthy and needed if we are to thrive as an industry.
As a transportation provider, we continue to ask for more accurate forecasting from our clients to ensure the level of capacity will be available to meet demand. Conversations surrounding dedicated capacity and long-term chassis agreements have increased, as shippers are seeing the need to strategically protect their supply chains and mitigate risk. The shift to a partnership mindset creates opportunities to learn, grow, and support each other’s goals vs. strategies focused solely annual bid cycle to keep rates depressed.
We remain optimistic about the future of shipping, although the road may look different than we thought.