Those carriers typically don’t have balanced freight and they need the spot market to operate at some level in order for them to maintain positive economics. The disruptive nature is much more significant than anything I have seen before, including 2008-2009 or any of the other various freight recessions. I have been in this industry for more than 30 years, and I have never seen anything like this. In this session, Convoy CEO, Dan Lewis will discuss some of the challenges their customers faced and how they worked together to solve them in innovative ways - from intelligent drop & hook programs to dynamically priced, guaranteed backup capacity to insights that improve facility efficiency. For example, the food and beverage sectors have a good road map of where it will go, whereas apparel and stuff highly fueled by the holiday season will have a baseline stock already lined up, but they will try and defer the remainder until you actually have to pull the trigger. LM: What do you think some of the logistics lessons learned from COVID-19 will be down the road? “Shippers make a substantial investment in a TMS and they need help generating the best possible return on that investment,” said Mark Yeager, CEO of Redwood. Nobody is buying cars or lawnmowers, at the moment, as they are worried. There needs to be some cost advantage to justify the additional transit and variable service levels. If you think about intermodal, the advantage there is labor and fuel, and it is a much smaller factor of the spread between truck and rail. Daniel Yaeger. What we may see is a more condensed peak if the economy comes back, because people will try to push it out for as long as possible, and it may push into July and August before having to make that call. LM: How do you approach that from a service perspective? Logistics Management (LM): How do you view the current impact of COVID-19 on logistics and supply chain operations? We are trying to engage more interactively with customers with human interaction than we have ever had. What that means is the intermodal costs advantage will be pretty seriously undermined. Christina Ryan. Yeager: What we really are trying to do is to rally our resources around our customers’ requirements. 2021 Trade Update: Uncertain global scenarios bear watching, e-Invoicing: Key Benefits for U.S. Companies, 2021 crystal ball for trucking: shippers get ready to pay more, maybe much more, ATA October truck tonnage data trends down after a strong September, Report says key bidder drops out of XPO Europe sale, C.H. Chicago-based Redwood Logistics announced Thursday it has hired Scott Cousins as the company’s chief technology officer. Cousins most recently served as the chief information officer for Roadrunner Transportation, for which he led the company’s digital transformation, included overhauling core operational platforms for its brokerage and carrier operating entities. Most shippers right now are trying to defer to the extent possible and trying to not make those decisions until they absolutely have to, but that is not too far off. Look at the last three years: there was high demand in 2018, low demand in 2019, and a crazy 2020. But anyone in a discretionary space is feeling the impact of slower demand, which is apparent in jobless claims. That would be very beneficial, as many small carriers live and die on the spot market. That is especially notable in the heavier industries like autos. LM: What about things like inventory management and allocating resources? The challenges they are facing are dramatic, and they really are for everyone. So, to a certain extent, a determination is made at the rail level, as to whether they are willing to bring price down to create that cost differentiation for the product that they want to maintain any semblance of their current volume levels and those have been challenged. Matt’s insights will help us execute on our strongest opportunities for expansion.”, Jacobs thanked Malat for his contributions to the company. The current situation makes those look trivial by comparison….because it is such a fundamental shift for many of our customers. To that extent, we have had folks that we were working with that are now in significant shutdown, and we are now reallocating our resources to customers and really create more interactivity with customers than maybe we have ever had before…and that has been done by reallocating resources. Again, they won’t be making purchases for things like cars, but it is likely there will be an uptick for a period of time before going into a demand-based slump of some level or magnitude but really terribly severe. Yeager: COVID-19 should impact inventory management, in that I don’t think we will ever return back to people being happy to sit on millions of dollars in safety stock. Which carriers, third-party logistics providers and U.S. ports reached the pinnacle of service... 31st Annual State of Logistics: Resilience put to the test. “We could not be more excited to have Scott join Redwood during this time of expansion and opportunity. But I do think that there are certainly some commodities that we should be thinking differently about appropriate levels of inventory like PPE….for things like that, JIT remains a great strategy and one that have been very effective for a lot of shippers for years now. CHICAGO – November 12, 2019 – Redwood Logistics (Redwood), a next generation, tech-forward logistics provider, today announced the appointment of David Rowe as Chief Operating Officer and Nicole White as Chief Information Officer. Intermodal’s challenges are likely to continue and get worse. Redwood Logistics Logistics and Supply Chain Chicago, Illinois 5,407 followers Redwood Logistics is a third-party logistics provider that connects your supply chain to winning solutions. Sign up today to receive our FREE, weekly email newsletter! Logistics Management Group News Editor Jeff Berman recently caught up with Mark Yeager, Redwood Logistics CEO and Senior Advisor with CI Capital Partners. That could mean it will be a very busy October into November. Cousins most recently served as the chief information officer for Roadrunner Transportation, for which he led the company’s digital transformation, included overhauling core operational platforms for its brokerage and carrier operating entities. Click the "CC" button in the bottom right to activate while programming is live. LM: How do you view the current state of intermodal, relative to COVID-19? It depends on the type of goods and the real cost to society, if certain things run out. For more than 10 years, he served as a managing director and business unit leader, with responsibility for the broader consumer sector. That is invaluable as is just reaching out to make sure we are getting the job done….and try to replicate the in-office dynamic as much as possible. Yeager provided insight into the impact of the COVID-19 pandemic on logistics and supply chain operations on myriad fronts. Folks are really trying to adjust to what they see as a big downturn in demand for a period of time. Mark Yeager | Greater Chicago Area | Chief Executive Officer at Redwood Logistics | 500+ connections | View Mark's homepage, profile, activity, articles As CSO, he helped build our company to a position of global leadership, and his forthright attitude served XPO well with the investor community.”. Our Story. LM: Demand is really top of mind, it seems. LM: Taking a hypothetical approach, if we are in a post-COVID-19 economy, in the sense that more businesses open by, say, early July, and things get back to normal or on the way to normal, what happens over the second half of 2020 and into Peak Season. We may not see folks pushing things in early, as we have seen in years past to avoid the rush associated with Southern California in Peak Season. Headley has managed communications between the company and the financial community since 2013 as director of investor relations. (with video), Black Friday on the seas — Navigate B2B (with video), EROAD sees Clarity Dashcam, EROAD Go as important tools to grow North American business, Senior general to lead Canada COVID-19 vaccine distribution. Yeager: It is hard to know the answer. We may never again see this kind of condensed microcosm of three different economies at three different times. Senior Editor Kim Link-Wills has written about everything from agriculture as a reporter for Illinois Agri-News to zoology as editor of the Georgia Tech Alumni Magazine. CEO at Arrive Logistics. Your business was never designed to be ordinary. XPO said Malat, who has served as CSO since 2011, is leaving the Greenwich, Conn.-based company to spend more time with his family. To me it is a wait and see kind of a model, at least if you are in a sector sensitive to underlying economic performance. Then there are customers on the other end experiencing unprecedented demand for things like PPE that need to get to hospitals as expeditiously as possible.