When John T. "Jock" Menzies of the American Logistics Aid Network visited earthquake-ravaged Haiti in March, he had an abstract idea of what he would encounter. Being face to face with the reality was another matter.
Mark Solomon joined DC VELOCITY as senior editor in August 2008, and was promoted to his current position on January 1, 2015. He has spent more than 30 years in the transportation, logistics and supply chain management fields as a journalist and public relations professional. From 1989 to 1994, he worked in Washington as a reporter for the Journal of Commerce, covering the aviation and trucking industries, the Department of Transportation, Congress and the U.S. Supreme Court. Prior to that, he worked for Traffic World for seven years in a similar role. From 1994 to 2008, Mr. Solomon ran Media-Based Solutions, a public relations firm based in Atlanta. He graduated in 1978 with a B.A. in journalism from The American University in Washington, D.C.
When John T. "Jock" Menzies, president of the American Logistics Aid Network (ALAN), visited earthquake-ravaged Haiti in late March, he had an abstract idea of what he would encounter.
Being face to face with the reality was another matter.
The capital of Port-au-Prince and the Western city of Leogane at the quake's epicenter each resembled, to Menzies, a modern-day Dante's Inferno. Large areas of both cities were covered in dust, he said, the residue from pulverized structures, exhaust from burning diesel fuel, and huge rubbish fires set in a desperate effort to incinerate waste that otherwise would have been routed through now-ruined sanitation systems.
Menzies saw streets choked with rubble and makeshift housing—with crude roofs often made out of cloth—erected next to destroyed homes. He witnessed mountains of trash and litter being picked over by humans and animals alike. He saw roads hopelessly clogged by merchant storefronts that had literally been moved off their sidewalk moorings and into the street. Traffic in Port-au-Prince was at a standstill most of days he was there, Menzies noted. At night, the capital's streets would be transformed into ghostly thoroughfares with the movement of stray individuals and motorbikes barely visible through the eerie gloaming.
For Menzies, who returned to the United States March 28 after a weeklong trip to meet with non-governmental agencies (NGOs) working with ALAN, the images were searing. "You know what to expect, but until you touch it and smell it, you just don't get it," he said.
Three months after the Jan. 12 quake that left approximately 230,000 dead and 750,000 homeless, Haiti remains a basket case of near-epic proportions. Water treatment systems lie in ruins and drainage canals have been badly compromised, raising fears that flooding during Haiti's traditional April-May rainy season and possible summer hurricanes to follow might trigger another humanitarian disaster. Nearly 2,000 schools, hospitals, and health centers have been destroyed. About 25 million cubic yards of debris lie scattered, enough rubble to cover Washington, D.C.'s National Mall to a height of 700 feet, according to a report in The Washington Post. To put the magnitude of the damage in perspective, the Washington Monument is 555 feet high.
In addition, Haiti's central government has been, in Menzies' words, "decapitated" both in terms of leadership and infrastructure.
The bureaucratic void has created chaos. For example, the government requires NGOs to submit written reports chronicling the situation and their needs. However, it lacks the resources and manpower to process the paperwork. As a result, NGO representatives must re-hash their findings in face-to-face meetings with government officials often conducted in a linguistic cacophony of English, French, and Creole.
Supply chain getting back on track
After an initially nightmarish start when relief supplies would arrive in Haiti by air and then be abandoned in random locations because there were no consignees to sign for them, the supply chain has made positive strides, Menzies said. Today, goods flow relatively freely into the Port of Haiti and Port-au-Prince International Airport, though airport capacity remains tight relative to the enormous demand, he said. Most shipments are properly signed for and reach their intended destinations, though ground deliveries in the country remain an adventure, Menzies said.
And yet there are anecdotes that remind Menzies of the yawning logistical gaps that still exist. In one refugee camp, medical personnel used their personal credit cards to buy food and water because the relief supplies on hand were inadequate.
For ALAN, which was created in 2005 following Hurricane Katrina to serve as a conduit between the resources of the logistics community and disaster relief agencies needing supply chain support, Haiti was the largest-scale disaster it has yet confronted. Menzies said he has been satisfied with ALAN's response and performance. Still, he acknowledges there were areas that need improvement.
For example, ALAN could be more precise and focused in connecting logistics companies, relief groups, and the needs at hand, he said. Menzies also found that while the leading NGOs had solid knowledge of the nuances of international logistics, the second-tier organizations, for the most part, did not. "One of our jobs is to help point [the secondary groups] in the right direction and support them with the necessary resources," he said.
Menzies knows that, sadly, there will be another time and place for ALAN's services. For now, though, the attention remains focused on Haiti, which he said would not be restored to pre-quake conditions for at least three years. A group called Hands On Disaster Relief (HODR) recently asked ALAN to help find a volunteer with warehouse management and logistics experience to serve as a consultant in Leogane during May. HODR has established a Joint Logistics Base in Leogane, about one hour from Port-au-Prince. The base will support the operations of various relief agencies active in the area, it said.
Menzies and the thousands of relief workers with boots on the ground in Haiti share one common fear: that the world has already put Haiti in the rear-view mirror and in short order, will forget about the misery that still very much plagues its people.
"The attention to disaster relief anywhere in the world quickly falls off," he said. "People will say to themselves, 'Well, we've done enough,' and they then move on to the next issue. It would be a tragedy if that happened here."
how supply chain players can support disaster relief—today and tomorrow
Three months after a devastating earthquake, Haiti remains in terrible crisis. For companies still looking to lend supply chain resources or expertise to the task in Haiti or that want to be ready when the next disaster strikes, John T. "Jock" Menzies, head of the American Logistics Aid Network (ALAN), offers the following suggestions:
Make contact with one of the many agencies active in disaster relief ahead of time, as they have difficulty assimilating spontaneous volunteers at the time of an event. Your state will have a group known as Voluntary Organizations Active in Disaster (VOAD). Go to the National VOAD website, www.NVOAD.org, to find a link to your state VOAD.
Review agency needs as they are posted on the National Donations Management Network (NDMN). The network is accessible through the ALAN website (www.ALANaid.org). After Hurricane Katrina, the Federal Emergency Management Agency (FEMA) established the NDMN as a collection point for donations for VOADs. Since then, the NDMN has been enhanced to allow VOADs to post needs as well. The network approach has been adopted by 46 states and jurisdictions in the United States.
Become familiar with the emergency response structure in your area. Typically, states have an emergency management office or agency. During an emergency, an Emergency Operations Center will be established to serve as the meeting and coordination points for VOAD, state, and federal relief efforts. ALAN will be happy to provide guidance, if requested.
Be prepared yourself. Government and relief agencies are unable to provide for individual needs in the first hours or days after a major disaster. FEMA's website includes a number of helpful preparedness tips.
E-commerce activity remains robust, but a growing number of consumers are reintegrating physical stores into their shopping journeys in 2024, emphasizing the need for retailers to focus on omnichannel business strategies. That’s according to an e-commerce study from Ryder System, Inc., released this week.
Ryder surveyed more than 1,300 consumers for its 2024 E-Commerce Consumer Study and found that 61% of consumers shop in-store “because they enjoy the experience,” a 21% increase compared to results from Ryder’s 2023 survey on the same subject. The current survey also found that 35% shop in-store because they don’t want to wait for online orders in the mail (up 4% from last year), and 15% say they shop in-store to avoid package theft (up 8% from last year).
“Retail and e-commerce continue to evolve,” Jeff Wolpov, Ryder’s senior vice president of e-commerce, said in a statement announcing the survey’s findings. “The emergence of e-commerce and growth of omnichannel fulfillment, particularly over the past four years, has altered consumer expectations and behavior dramatically and will continue to do so as time and technology allow.
“This latest study demonstrates that, while consumers maintain a robust
appetite for e-commerce, they are simultaneously embracing in-person shopping, presenting an impetus for merchants to refine their omnichannel strategies.”
Other findings include:
• Apparel and cosmetics shoppers show growing attraction to buying in-store. When purchasing apparel and cosmetics, shoppers are more inclined to make purchases in a physical location than they were last year, according to Ryder. Forty-one percent of shoppers who buy cosmetics said they prefer to do so either in a brand’s physical retail location or a department/convenience store (+9%). As for apparel shoppers, 54% said they prefer to buy clothing in those same brick-and-mortar locations (+9%).
• More customers prefer returning online purchases in physical stores. Fifty-five percent of shoppers (+15%) now say they would rather return online purchases in-store–the first time since early 2020 the preference to Buy Online Return In-Store (BORIS) has outweighed returning via mail, according to the survey. Forty percent of shoppers said they often make additional purchases when picking up or returning online purchases in-store (+2%).
• Consumers are extremely reliant on mobile devices when shopping in-store. This year’s survey reveals that 77% of consumers search for items on their mobile devices while in a store, Ryder said. Sixty-nine percent said they compare prices with items in nearby stores, 58% check availability at other stores, 31% want to learn more about a product, and 17% want to see other items frequently purchased with a product they’re considering.
Ryder said the findings also underscore the importance of investing in technology solutions that allow companies to provide customers with flexible purchasing options.
“Omnichannel strength is not a fad; it is a strategic necessity for e-commerce and retail businesses to stay competitive and achieve sustainable success in 2024 and beyond,” Wolpov also said. “The findings from this year’s study underscore what we know our customers are experiencing, which is the positive impact of integrating supply chain technology solutions across their sales channels, enabling them to provide their customers with flexible, convenient options to personalize their experience and heighten customer satisfaction.”
Transportation industry veteran Anne Reinke will become president & CEO of trade group the Intermodal Association of North America (IANA) at the end of the year, stepping into the position from her previous post leading third party logistics (3PL) trade group the Transportation Intermediaries Association (TIA), both organizations said today.
Meanwhile, TIA today announced that insider Christopher Burroughs would fill Reinke’s shoes as president & CEO. Burroughs has been with TIA for 13 years, most recently as its vice president of Government Affairs for the past six years, during which time he oversaw all legislative and regulatory efforts before Congress and the federal agencies.
Before her four years leading TIA, Reinke spent two years as Deputy Assistant Secretary with the U.S. Department of Transportation and 16 years with CSX Corporation.
National nonprofit Wreaths Across America (WAA) kicked off its 2024 season this week with a call for volunteers. The group, which honors U.S. military veterans through a range of civic outreach programs, is seeking trucking companies and professional drivers to help deliver wreaths to cemeteries across the country for its annual wreath-laying ceremony, December 14.
“Wreaths Across America relies on the transportation industry to move the mission. The Honor Fleet, composed of dedicated carriers, professional drivers, and other transportation partners, guarantees the delivery of millions of sponsored veterans’ wreaths to their destination each year,” Courtney George, WAA’s director of trucking and industry relations, said in a statement Tuesday. “Transportation partners benefit from driver retention and recruitment, employee engagement, positive brand exposure, and the opportunity to give back to their community’s veterans and military families.”
WAA delivers wreaths to more than 4,500 locations nationwide, and as of this week had added more than 20 loads to be delivered this season. The wreaths are donated by sponsors from across the country, delivered by truckers, and laid at the graves of veterans by WAA volunteers.
Wreaths Across America
Transportation companies interested in joining the Honor Fleet can visit the WAA website to find an open lane or contact the WAA transportation team at trucking@wreathsacrossamerica.org for more information.
Krish Nathan is the Americas CEO for SDI Element Logic, a provider of turnkey automation solutions and sortation systems. Nathan joined SDI Industries in 2000 and honed his project management and engineering expertise in developing and delivering complex material handling solutions. In 2014, he was appointed CEO, and in 2022, he led the search for a strategic partner that could expand SDI’s capabilities. This culminated in the acquisition of SDI by Element Logic, with SDI becoming the Americas branch of the company.
A native of the U.K., Nathan received his bachelor’s degree in manufacturing engineering from Coventry University and has studied executive leadership at Cranfield University.
Q: How would you describe the current state of the supply chain industry?
A: We see the supply chain industry as very dynamic and exciting, both from a growth perspective and from an innovation perspective. The pandemic hangover is still impacting decisions to nearshore, and that has resulted in a spike in business for us in both the USA and Mexico. Adding new technology to our portfolio has been a significant contributor to our continued expansion.
Q: Distributors were making huge tech investments during the pandemic simply to keep up with soaring consumer demand. How have things changed since then?
A: The consumer demand for e-commerce certainly appears to have cooled since the pandemic high, but our clients continue to see steady growth. Growth, combined with low unemployment and high labor costs, continues to make automation a good investment for many companies.
Q: Robotics are still in high demand for material handling applications. What are some of the benefits of these systems?
A: As an organization, we are investing heavily in software that will allow Element Logic to offer solutions for robotic picking that are hardware-agnostic. We have had success deploying unit picking for order fulfillment solutions and unit placing of items onto tray-based sorters.
From a benefit point of view, we’ve seen the consistency of a given operation improve. For example, the placement accuracy of a product onto a tray is far higher from a robotic arm than from a person. In order fulfillment applications, two of the biggest benefits are reliability and hours of operation. The robots don't call in sick, and they are happy to work 22 hours a day!
Q: SDI Element Logic offers a wide range of automated solutions, including automated storage and sortation equipment. What criteria should distributors use to determine what type of system is right for them?
A: There are a significant number of factors to consider when thinking about automation. In my experience, automation pays for itself in three key ways: It saves space, it increases the efficiency of labor, and it improves accuracy. So evaluating which of these will be [most] beneficial and quantifying the associated savings will lead to a “right sized” investment in technology.
Another important factor to consider is product mix. With a small SKU (stock-keeping unit) base, often automation doesn’t make sense. And with a huge SKU base, there will be products that don’t lend themselves to automation.
With any significant investment, you need to partner with an organization that has deep experience with the technologies that are being considered and … in-depth knowledge of the process that is being automated.
Q: How can a goods-to-person system reduce the amount of labor needed to fill orders?
A: In most order picking operations, there is a considerable amount of walking between pick faces to find the SKUs associated with a given order or set of orders. Goods-to-person eliminates the walking and allows the operator to just pick. I have seen studies that [show] that 75% of the time [required] to assemble an order in a manual picking environment is walking or “non-picking” time. So eliminating walking will reduce the amount of labor needed.
The goods-to-person approach also fits perfectly with robotic picking, so even the actual picking aspect of order assembly can be automated in some instances. For these reasons, [automation offers] a significant opportunity to reduce the labor needed to fulfill a customer order.
Q: If you could pick one thing a company should do to improve its distribution center operations, what would it be?
A: Evaluate. Evaluate the opportunities for improving by considering automation. In my experience, the challenge most companies have is recognizing that automation is an alternative. The barrier to entry is far lower than most people think!
Toyota Material Handling and its nationwide network of dealers showcased their commitment to improving their local communities during the company’s annual “Lift the Community Day.” Since 2021, Toyota associates have participated in an annual day-long philanthropic event held near Toyota’s Columbus, Indiana, headquarters. This year, the initiative expanded to include participation from Toyota’s dealers, increasing the impact on communities throughout the U.S. A total of 324 Toyota associates completed 2,300 hours of community service during this year’s event.
The PMMI Foundation, the charitable arm of PMMI, The Association for Packaging and Processing Technologies, awarded nearly $200,000 in scholarships to students pursuing careers in the packaging and processing industry. Each year, the PMMI Foundation provides academic scholarships to students studying packaging, food processing, and engineering to underscore its commitment to the future of the packaging and processing industry.
Truck leasing and fleet management services provider Fleet Advantage hosted its “Kids Around the Corner Foundation” back-to-school backpack drive in July. During the event, company associates assembled 200 backpacks filled with essential school supplies for high school-age students. The backpacks were then delivered to Henderson Behavioral Health’s Youth & Family Services location in Tamarac, Florida.
For the past seven years, third-party logistics service specialist ODW Logistics has provided logistics support for the Pelotonia Ride Weekend, a campaign to raise funds for cancer research at The Ohio State University’s Comprehensive Cancer Center–Arthur G. James Cancer Hospital and Richard J. Solove Research Institute. As in the past, ODW provided inventory management services and transportation for the riders’ bicycles at this year’s event. In all, some 7,000 riders and 3,000 volunteers participated in the ride weekend.