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U.S. Freight Rates Reach Six Year Low Milestone

Supply Chain Matters

freight rates have reached their lowest levels in nearly six years. In essence, it is confirmation of a freight recession condition. That is not good for retailers and manufacturers, each under the looking glass to reduce not only transportation but also inventory carrying costs. All rights reserved. The post U.S.

Freight 52
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Global Supply Chain Volatility Continues to Moderate But Not Inventory and Warehousing Costs

Supply Chain Matters

The Logistics Managers Index Report® , compiled by researchers at Arizona State University, Colorado State University, Rochester Institute of Technology, Rutgers University and the University of Nevada Reno , and in conjunction with the Council of Supply Chain Management Professionals (CSCMP) , reported a September value of 61.4,

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U.S. Freight Logistics Industry Recession Continues with Some Hopeful Signs

Supply Chain Matters

freight and logistics industry continues to mitigate recessionary conditions including the April 2023 Logistics Manager Index reaching its lowest level lowest level in six years and one-half years. freight, logistics and parcel movement industry. Freight rate reportedly fell 37 percent. The LMI has now declined 6.7

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July’s Transportation and Logistics Index Provides Important Insights

Supply Chain Matters

Note: values of this index above 50 are indicative of an expansion of overall logistics industry activity levels ) The summary narrative communicated for July 2024 was indications of “ positive movements in the transportation market contrasting with a moderate contraction in inventories and slowing rates of expansion in the warehousing market.”

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So You Want to Make the Perfect Logistics Model

Logility

Find the case where a customer node is right near the Alabama warehouse but is shipped from the Nevada warehouse. But this is the real world and reflects the optimum use of the freight market. Or that inventory will be traded off against transportation.? Great, see how I saved $948K? Figure 1 – Actual Historic Shipments.

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Two Indices of Supply Chain Activity Noting Supply Chain Volatility Trending

Supply Chain Matters

The authors point to the delivery time disruptions occurring in China , an increase in air freight costs from the U.S. At this point the overall numbers suggest that the freight market is regressing back towards the mean.”. Warehouse inventory levels are noted as remaining quite high. after reaching an all-time high of 76.2

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U.S. Logistics Manager’s Index Drops to an All Time Low in May

Supply Chain Matters

Noted was a late May decline, largely driven by a more pronounced shift in inventories in the second half of May, reflecting a higher rate of expansion in the first half. Further, the report indicates that many consumer goods firms reportedly achieved the inventory wind down they strove for throughout 2022.