Capacity is one of the most significant issues faced by the logistics sector. To put that into perspective, upwards of The industry is currently forced to battle the problem on two fronts. First of all, continual growth in e-commerce puts increasing demand on logistics providers who, secondly, are finding it hard to F. Tim Knight* - No Shortage (CDr) new talent. On top of that, the majority of truckers are coming up on retirement in yearsmaking the issue of labour shortage increasingly urgent.
Already, the shortage is making it harder for businesses to deliver the expediency expected by customers. Ultimately, the driver shortage could end up impacting global trade too: as delivery times rise, trucking may be outcompeted by rail or other forms of logistics, changing trade patterns dramatically. The question is how the industry can overcome the critical capacity problems before the situation takes a turn for the worse. Before looking at potential solutions, it pays to consider how the transportation shortage came to be.
First of all, the lifestyle of long-distance trucking is fundamental to understanding why the industry is having a hard time filling vacancies. At its core, the job requires drivers to spend a lot of time on the road away from friends and family.
Additionally, the hours are long and often somewhat unpredictable. Another drawback of the job F. Tim Knight* - No Shortage (CDr) the sedentary lifestyle of truckers which, coupled with the often less-than-healthy meal options along trucking routes, can lead to health problems among drivers. These factors conspire to make jobs in manufacturing, construction and warehousing more appealing to the millennial, would-be truck driver, who the industry needs to attract in order to sustain itself.
The challenging working conditions of trucking is, of course, nothing new. The issue is rather, that millennials put a higher premium on flexibility in their jobs and careers than prior generations, and further that the rise of e-commerce has created a number of jobs that compare favourably to trucking in key ways.
As noted, the growth F. Tim Knight* - No Shortage (CDr) e-commerce has exacerbated the transportation shortage by increasing demand, pressuring an already strapped logistics industry to deliver higher volumes of goods faster than ever. Couple that with the number of drivers poised to retire in the near future, and that could translate to In fact, driver scarcity is probably already forcing you to develop new strategies to retain your current truckers and attract new talent.
Like many others, you may have decided to up the salary of your truckers or look abroad for freelance drivers. Likewise, the use of freelance drivers has injected the market with incredible volatility. The costs are passed on to consumers who can expect higher prices and longer delivery times. How the price hike in logistics will affect consumer behaviour - let alone global trading patterns - remains to be seen.
They want a normal schedule, and we need to adapt to that. In other words, trucking companies need to work towards being able to offer regular, eight-hour shifts to their drivers.
That, however, is a tall order, which would require logistics providers to restructure their long-distance routes altogether. Self-driving trucks could help the industry massively in that respect. Replies: 75 Views: 11, Whyte Trashe F. Tim Knight* - No Shortage (CDr) 14, Knight class action payout, the wait is over. Replies: 27 Views: 4, SmoothBore Jun 29, Inverter in all trucks yet?
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