Michigan: King of Automation

West Michigan: King of Automation

With a long history as the automobile production capital of the United States, it’s no surprise that Michigan ranks as the most highly automated state in the nation. In fact, the state accounts for 12 percent of the country’s industrial robots. While Detroit remains the leader in the automation with 8.5 robots for every 1,000 workers, Western Michigan is experiencing an automation boom of its own. In Grand Rapids, there are 6.3 robots for every 1,000 workers, making it the most automated of all mid-size cities.

With automation sweeping across Western Michigan and robotic technologies continually improving, there are many changes taking place across various industries. Increased manufacturing output creates a need for more quality control and places a heavier burden on the supply chain. As more businesses flock to West Michigan, there is an amplified need to bring in their machines as well as ship out the items they produce. Supply chain managers must make changes to ensure they are keeping up with the improved efficiencies of automation.

Zip Xpress, a full-service provider of custom carrier solutions, has a long-standing reputation as one of West Michigan’s finest logistics companies. The experienced and professional staff at Zip Xpress is dedicated to creating the most efficient solutions for all of their customers. Because Zip continually strives to be a leader in supply chain management, they are sufficiently adapting with the changing climate of West Michigan’s manufacturing. This means they have the expertise and resources to fill in the gaps in any organization’s supply chain.

From office furniture to medical machinery, Zip is here to reliably transport their customer’s goods, providing the highest level of service throughout the process. Clients can focus on manufacturing and increasing automation while the specialists at Zip Xpress take over the shipping and supply chain functions. At Zip Xpress, problem-solving and transportation efficiency are prioritized, giving customers peace of mind that their products are safe and on time. If you are a manufacturer in West Michigan seeking a committed custom carrier solution, get started with Zip Xpress today!

Custom Carrier - Logistics

Zip Xpress: A Custom Carrier for Every Circumstance

The month of April has seen spot rates continue to climb for the transportation industry, and this trend isn’t slowing down. With a new trade war being fought and economic uncertainty looming across many industries, capacity has tightened accordingly. Manufacturers are constantly battling each other to secure the trucks they need to move their freight, and they are rightfully worried about the current trends. Some industries, in particular the furniture industry, have been handcuffed by new tariffs and rising material costs, making the trucking trends an even harder pill to swallow. Fortunately, Zip Xpress is here to help.

Zip Xpress provides comprehensive supply chain solutions to help their customers overcome any challenges that may arise during transport of their product. With an experienced customer service team dedicated to providing accurate updates and solving problems with full transparency, Zip Xpress can eliminate many of the worries that are currently plaguing customers of the transportation industry. Whether a customer needs assistance with warehousing operations or last-minute capacity for a critical shipment, the experts at Zip have the ability to take over and relieve some of the burden in these stressful times.

Zip Xpress believes in quality service as well as adapting to industry trends in order to maintain their reputation as a high-end carrier in Western Michigan. One of the industries that Zip specializes is office furniture, and they have proven to be reliable during these difficult times for furniture manufacturers. They are aware of the price increases in everything from raw materials and chemicals to spot rates and storage costs. They are committed to providing their customers with affordable and dependable logistics solutions to offset some of the losses experienced with the new economic turbulence. If you are a manufacturer and you are suffering from reduced capacity and skyrocketing rates, get started with Zip Xpress today!

domestic freight

The ELD Mandate and its Effects on Carrier Behavior

The first quarter numbers are out, and the transportation industry has seen major changes since passage of the ELD Mandate. While load-to-truck ratios and shipping rates have reached record highs, productivity has been drastically reduced. The new laws and requirements have had a dramatic effect on carrier behavior. This has consequently made it more difficult for shippers to get their products delivered according to their desired schedule. It is important to understand why certain decisions are being made on the carrier end as a result of these changes.

The electronic log books generally provide little room for error, so drivers are being far more discerning in the loads that they are willing to haul. Because they must meet tighter deadlines or risk being shut down and losing their next load, they are avoiding shipments that are susceptible to detention issues and longer loading times. This is a major problem in the grocery and produce sectors, so shippers in those parts are seeing rates go up and capacity decrease. Some drivers will flat-out refuse grocery shipments from certain shippers based on their reputations for detaining drivers. Increased rates on that shipment may not be enough to offset the potential loss of their next shipment as a result of detention.

There has also been a decrease in capacity for “borderline” lanes, or routes where the mileage is right on the cusp of the one-day or two-day barrier. ELD restrictions mean that drivers can’t make the mileage overnight, and their load may spill over into a second day on a shipment that used to take only one day. Major lanes like Chicago to Nashville, Philadelphia to Atlanta, and New York to Cleveland have all been affected by this. Carriers are asking for rates that are sometime more than double what they used to receive in order to make up for lost revenue while waiting around to finish these shorter lanes.

Another major change is in the market for dedicated runs. With pricing on the rise and capacity decreasing, carriers can pick and choose from the spot market and make more money than they used to with static runs. Market volatility has contributed to this, and it correlates heavily with the passing of the ELD mandate. Shippers should do themselves a favor and brush up on the spot market if they haven’t already, as these trends are likely to continue into the future. It may be a difficult time to adjust to these changes in the market, but as carriers have felt the effects of the mandate, they are more aware of what they need to do in order to remain profitable. If you need guidance on how the ELD mandate can affect your supply chain, start today with Zip Xpress

Zip Xpress ELD

The ELD Mandate – Findings for First Quarter of 2018

The US Government enacted its long-awaited Electronic Logging Device mandate on December 18, 2017. Many changes were expected to come of this, including a significant number of drivers and trucks leaving the roads. However, there was actually a 1% increase in active carriers between the time the mandate was enacted and February 18th, 2018. Despite many truckers saying that they would leave the industry due to the new mandate, a decrease in drivers has not come to fruition in the first quarter of the new year. Still, there is much speculation as to what will happen on April 1st, when all trucks not utilizing ELDs will be put out of service.

One major finding from January of 2018 is that capacity has been drastically reduced. In fact, load-to-truck ratios were just under 10 to 1, which is a record high. This is a dramatic year over year change from 2017, when the ratio was approximately 3 to 1 (2016 was 2 to 1, for reference). It may be too early to tell if this is directly related to the ELD mandate, but the correlation is certainly there. With drivers being under stricter rules and on tighter deadlines, they are likely not able to service as many shipments in a short amount of time as they have in previous years.

In addition to record-low capacity, the industry also saw record highs in rates. Again, it can’t be said with certainty that this is linked to the ELD mandate, but the numbers are there to support it. This is especially true when considering that van rates were still 32% higher in February 2018 than in 2017. There was not a major increase in loads year over year, so the significant rate increases are intriguing. If they are linked to this mandate, it is likely due to decreased productivity, especially on borderline trips. 500 to 600-mile trips that used to take one day have now become two-day trips due to legal requirements. This could mean that carriers are charging higher rates to make up for lost time. Confused about how to navigate the ELD terrain? Start Today with Zip Xpress – we’ll help find the best shipping solution for your company’s needs.

Warehouse Manager

Improving Customer Service in the Logistics World

The logistics and transportation industry in the US is enormous. It’s so large that it totaled $1.48 trillion in 2015, accounting for 8 percent of the GDP for the United States. As the economy continues to grow, this number will only grow. What that means is that there will be more startups, an increased workforce, and ultimately more problems to solve. These inevitable problems, both from external and internal factors, are what make exceptional customer service so important.

Anybody who has worked in logistics knows that anything can go wrong at any time. They know that the only way to plan for the movement of goods is to be as well-prepared as possible for these mishaps. Still, even the best planners experience unwanted setbacks on a regular basis. This is why it’s so important for logistics companies to employ quick-thinking problem solvers who understand the needs of their customers. Many shippers get frustrated at the lack of communication between their brokers, carriers, and vendors. This is often due to a lack of proper training in the customer service realm, and it is something that more companies need to take seriously if they want to continue to grow.

The ability to build creative partnerships between levels involved in the supply chain is a key distinction that sets the elite companies apart from the average carriers. At Zip Xpress, we believe that these partnerships form the backbone of our organization and contribute to our ability to maintain excellent service ratings and high levels of customer satisfaction. When we work together with our partners to solve unique and significant problems every day, we are creating a cohesive environment where everybody continues to learn and experience mutual respect. This focus on teamwork and constant innovation is what makes Zip Xpress the best and most admired problem solver in the West Michigan LTL freight market.

logistics customer service

A Clean Warehouse is a Productive Warehouse

If you’ve ever stepped into a warehouse, you know that it can be a hectic, fast-paced environment with very little downtime. Trucks come and go all day and pallets and boxes are moved about the warehouse constantly. Considering those things, it’s impressive that anybody can keep track of all of the day’s accomplishments. One often overlooked and underappreciated task required in running a warehouse is keeping it clean. The benefits of a clean warehouse reach far beyond simple hygiene – a clean warehouse promotes organization, efficiency, and productivity.

There are some relatively simple yet necessary tips for keeping a clean warehouse. Ensure the warehouse is well lit and the floors are free from clutter. An uncluttered floor means more open pathways for employees and forklifts, as well as casualty reduction. When employees don’t have to worry about hazards like slips, falls, and injuries, they feel safer and there will be less employee turnover.

The floor should be maintained throughout the day and washed every night so that it is ready to go the next morning. This includes running floor scrubbers regularly. Dust mopping every night is vital as well. Your customers don’t want their products accumulating dust, and it’s your job to keep all of the inventory as good as new. Trash cans should be emptied, and podiums should be cleaned at the end of every shift. This creates a professional, healthy and trustworthy environment, which customers or vendors will appreciate if they ever visit your warehouse.

When all of the cleaning tasks have been finished, freight should be checked to make sure that all required products are actually in the warehouse and that those that were supposed to ship out that day were indeed sent away. If existing freight has a destination, it should be tagged to prevent any future mix-ups. By providing a clean and organized warehouse, these daily tasks will be made simpler and allow your workers to focus on more labor-intensive tasks and problem-solving.

It may seem elementary but doing all the easy things to keep your warehouse clean on a daily basis will contribute to a more productive and healthy work environment. When your workers are accustomed to doing all the small things right, that work ethic will transfer to the big things, allowing your organization to increase successes in on-time shipping and delivery, and minimizing your claims by reducing damage. If you want to work with a clean, high-quality, and determined warehouse, get started today with Zip Xpress.

expedited freight

Join Us at the 2018 Supply Chain Management Conference!

We’re looking forward to seeing our friends and industry partners at the

15th Annual Supply Chain Management Conference on March 21st.

It’s from 8:00 am – 4:00 pm in GVSU’s Eberhard Center.

301 Fulton St. Grand RapidsMI 49504.

 

Not registered to go?

Just click on the button below. We look forward to seeing you there!

domestic freight service

Autonomous Trucks and the Future of Logistics

In Early February, San Francisco based tech startup Embark successfully completed a cross-country trip using an automated truck. The test run, which hauled an empty trailer from Los Angeles, CA to Jacksonville, FL, is said to be the first coast-to-coast trip involving an autonomous big rig. It still took the standard 5 day transit time, as there was a driver in the unit ready to take over if the vehicle experienced problems at any time. The goal for Embark, however, is to build upon this technology so that human interaction will not be needed for any of the highway driving – only for the final miles of the delivery as well as local and city driving. Too see their truck at work, watch the video below.

Embark is still probably several years away from their goal of completely driverless trucks. Still, there is much to be learned from their current success. The aforementioned truck used was a modified Peterbilt that was outfitted with sensors and guided by self-driving software. This means that for owner-operators and trucking companies with vehicles already on the road, purchasing entire new fleets may not be necessary to get into the autonomous game. With at least several years to go before reliable driverless trucks will be introduced, this would be one way to stay ahead of the competition in a rapidly changing industry.

The development of autonomous trucks does not mean the end of driving jobs as we know them. In fact, it could mean the opposite. As mentioned earlier, self-driving units currently require someone behind the wheel to monitor the truck and watch for disengagements. This could mean we’ll see a boom in tech-forward thinkers who want to be part of this revolution and experience the open road. Even down the line, with autonomous trucks potentially making cross-country trips in 2 days rather than 5, we will need more final mile and local drivers than ever before. With e-commerce driving the demand for just-in-time delivery, we will see an influx of freight which will in turn drive the demand for these jobs.

Here at Zip Xpress we’re always focused on staying ahead in innovation and state of the art technology. With expedited LTL services and inventive Headload solutions to optimize space, Zip Xpress has rapidly become a preferred carrier for high-profile companies across the nation. The team at Zip Xpress are constantly trying to stay ahead of the curve and and continually finding fresh new ideas to achieve higher customer satisfaction ratings. To increase your shipping satisfaction, start today with Zip Xpress!

LTL

Building a Community Through Giving Back

We do a lot here at Zip Xpress.

We’re really proud to provide best-in-class LTL carrier solutions and help our customers simplify their delivery experience. However, ensuring that we make the time to give back is just as important to us. No matter how busy we are or what business goals we are driving towards, we operate while actively think about how we can have a positive impact on our communities.

So, why does Zip Xpress equally weigh both customers and community?

I’ve always seen the value of building the community work. Myself, along with my husband, an ex-Marine, have been involved with Folds of Honor, an organization that provides scholarships for children and spouses of fallen or disabled soldiers. Further, I found that volunteering and making charitable contributions was actually a passion of mine and I wanted to share those fun and energetic experiences with the rest of the team. That’s why I’ve always encouraged the Zip Xpress team to get involved with nonprofits and charitable activities.

Over the years, Zip Xpress has been involved with the Make A Wish annual walk, both as donors and participants. We rally together and get deeply involved in both raising funds as individuals, as well as participating in company-run fundraisers. Together, we’ve been the number one Corp fundraiser for nine years – and we’ve had fun while doing it.

I am so proud to work with such amazing people and to be part of a company that is powered by the top minds and kindest hearts. We also take this one step further by ensuring that at the core of our business, Zip Xpress operates at the intersection of innovation and sustainability.

Zip Xpress was built around eliminating wasteful partial trailers and we do everything we can to minimize the amount of partial trailers on highways which is our way of helping to conserve resources. We are also committed to creating more jobs and, so far, I think we’ve really succeeded in both of these aspects.

We’re looking forward to continuing to bring communities together and to give back. Whether it’s through how we operate our business or our extra curricular activities, the Zip Xpress team always tries to embody what it means to make the world a better place. Does this sound like something you can get on board with? Get started with Zip Xpress today!

Recruit Truckers

The Empty Road: Where Have the Truckers Gone?

Over the past years, shippers have found it increasingly more difficult to secure the trucks they need to move their freight across the country. In fact, industry analysis shows that at the beginning of 2018, only one truck was free for every 12 shipments that needed to be moved. This is a sharp and frustrating decline in availability from just over a year ago, when the ratio was one in four. With e-commerce at an all time high in a continually strengthened economy, there are many challenges faced by both shippers and carriers. One of the biggest struggles facing the transportation world right now is the lack of truck drivers.

Driving a truck is a tough job, and with the average age of drivers at 55 years old, it is an aging profession with many workers approaching retirement. As these drivers retire, the industry is not seeing an influx of new drivers, at least not at a pace sufficient enough to offset the number of workers lost to retirement. This means less trucks on the road and more headaches for shippers. Low wages, long hours, and a life away from home are all deterrents for many people that may consider this career. How can an industry thrive if its backbone – the labor force – is  diminishing at such a rapid rate? There are several changes that can be made across the industry to fix this.

Many companies are realizing that increased wages can help alleviate their capacity challenges. National carriers are increasing the rate-per-mile paid for long haul drivers, and local companies are raising their hourly pay to entice newcomers to the profession. Higher pay is always a welcome change, and executives know that a well-compensated workforce is a happier and more productive workforce. If we continue to see wages that are competitive with other industries, we may see the lack of drivers turn itself around into a surplus.

One way to start working towards this surplus may be to focus on millennials. Currently, you must be 21 to secure a class A CDL, but that doesn’t mean the training can’t start earlier. Carriers have numerous jobs in dispatch, customer service, and safety that could be appealing to a younger employee who eventually wants to get behind the wheel. This can also prepare them for the challenges and opportunities presented by life on the road. Studies have shown that millennials have deviated from previous generations when it comes to priorities in life. They value experience over material possessions and many are choosing travel over settling down and buying a home. Driving provides an opportunity to travel while earning income that could potentially be used later in life for a home.

Carriers should be focusing their efforts on recruiting adventurous millennials who want to see the country and make money while doing it. The current aging drivers are retiring soon, and it would be very difficult to groom new truck drivers from the boomer generation or Generation X. Millennials have shown that they are willing to work, but they want jobs that are satisfying and exciting. Driving a truck is the perfect fit. To learn more about our services handled by our amazing truckers, get started with Zip Xpress today!