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PERISHABLES\\\ >> 12


h eal th c ar e per s o nn el. The company


brought in five flights from Hanoi between May 14 and 24 and plans on continuing these flights through the end of June. “Wen-Parker Logistics is


proud to be supporting our customers who are shipping critically-needed protective gear to the United States,” said Brady Borycki, Wen-Parker’s executive vice president for global business development. Hawaiian Airlines, like many


of its cohorts, discontinued most of its passenger flights, but some of those continued to operate as cargo-only flights. A Hawaiian charter flight brought 1.6 million face masks to Hawaii from Shenzhen, China, for which the airline modified an Airbus A330 to maximize space. “COVID-19 brought dramatic


change to the global aviation industry,”


said Peter Ingram,


Hawaiian Airlines president and CEO. “With such profound changes to our business, our focus has pivoted to sustaining a limited operation, enhancing


Issue 4 2020 - FBJNA


liquidity, preserving cash, and preparing for a new reality.” A new normal has emerged in


less-than-truckload shipping in the face of COVID-19, noted Mark Redini, senior vice president of pricing at Echo Global Logistics. Many carriers have suspended their guaranteed shipment services and will not refund guarantee fees if the shipment isn’t delivered on time.


Changes


Another change has been the advent of no-touch delivery receipts. Drivers are printing receivers’ names on delivery receipts and inputting receivers’ names into hand-held devices. Receivers are also logging onto carriers’ website to accept deliveries. “Some carriers are encouraging parties to take pictures of the shipment to confirm pickup, delivery, and the condition of the product,” said Redini. These practices raise concerns


about whether a delivery receipt without an actual signature will adequately serve as proof of


delivery. “These are questions


that Echo’s experts are monitoring closely,” said Redini. Another


aspect of the


new normal is the expanded functionality and use of carrier apps. XPO Logistics added a new points-of-interest GPS-based map function to its mobile app for truck drivers, making it easier for them to find nearby operating truck stations and amenities, such as food, restrooms, and shower facilities. The ocean carrier CMA


CGM released a set of tools and services, including Business Continuity Pack and Delay in Transit, to help shippers prioritize and store shipments during the coronavirus pandemic. Business Continuity Pack allows shippers to adjust the pace of shipments by prioritizing urgent loads such as food and pharmaceuticals. Delay In Transit offers temporary storage of containers in dedicated hubs until the consignee is ready to receive them, helping reduce warehousing and storage costs. The


new tools represent


“adapted and customized solutions to protect the supply


chains of our customers during the pandemic,” said Patricia Picini, a CMA CGM Group vice president. Maersk has seen record


demand for its app, with usage growing by 85% between mid- February and mid-April. In the first five weeks of 2020, the app averaged 70,000 transactions weekly. Two months later, that figure had grown to 130,000. Maersk recently added new digital solutions, including Maersk Delivery Order, to enable cargo


“Shoppers will come back and there is still a need for essential items.” -- Jonathan Gold, National Retail Federation.


release, and the Demurrage and Detention Calculator, to display storage fees and take online payments. The app trend is being driven by


work-at-home employees and a growing reliance on e-commerce, according


to Carsten Frank


Olsen, Maersk’s e-commerce chief. “As the pandemic hit and more people began working from home,” he said, “customers saw the convenience of going online to


manage their logistics business.” Maersk also recently invested


in e-commerce infrastructure when it agreed to acquire Performance Team, a U.S.-based distribution specialist that operates 24 warehousing sites. The acquisition “will strengthen our ability to deliver products and solutions that meet our customers’ end-to-end supply chain needs,” said Vincent Clerc, A.P. Moller – Maersk’s ocean and


13


logistics CEO. With Chinese factories


coming back online and stores in the US beginning to reopen, the future looks less sanguine, however, for traditional retail freight. “Shoppers will come back and there is still a need for essential items,” said Jonathan Gold, a National Retail Federation vice president, “but the economic recovery will be gradual and retailers will adjust the amount of merchandise they import to meet demand.” US e-commerce inventories,


on the other hand, could grow by as much as 10% to support direct deliveries and rapid replenishment, according to a report from Prologis, Inc. That growth would generate demand for as much as 600 million square feet of additional logistics real estate over the next three years, particularly in the grocery, healthcare, and consumer products sectors. “We expect that lessons learned


from the pandemic,” the report concluded, “will add demand tailwinds to logistics real estate in the ‘new normal.”


Safeway Trucking Corporation offers a full-suite of nationwide, SQF-certified temperature-controlled TL and LTL transportation services.


908.351.2800 x 2374 | sales@eastcoastwarehouse.com | eastcoastwarehouse.com


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