REINVENTING CHEMICAL LOGISTICS HAWAII LOGISTICS GOES WITH THE FLOW
75 Green Supply Chain Partners
5 KEY STEPS TO A CIRCULAR SUPPLY CHAIN WINNING PLAYS FOR ECOMMERCE FULFILLMENT PLUS
USPS in possession of the item.
Departed from USPS facility.
Delivered by USPS.
From dock to delivery, you’re always in the know. When you ship with USPS Ground Advantage ® service, your shipment stays in our network and your sight.
Scan or visit usps.com/visibility to ship in the know.
©2025 United States Postal Service ® . All Rights Reserved. The Eagle Logo is among the many trademarks of the U.S. Postal Service ® . For mailable items up to 70 lbs. Expected delivery in 2–5 business days. Packages going to certain places (including Alaska, Hawaii, and offshore destinations), or containing hazardous materials or live animals may receive slower service.
BITE SIZED SUPPLY CHAIN/LOGISTICS INFORMATION Info SNACKS EXPECTATION VS. REALITY A new survey reveals a significant gap between delivery expectations and actual performance.
WHO ARE YOU? 23.3% rise in ID fraud in supply chain and logistics since December 2024 4.7% of driver IDs failed verification tests A further 1.2% of IDs had expired –IDScan.net analysis
While brands expect on-time delivery rates of 93.5%, actual performance falls to 80% for same-day and 76% for 1-2 day delivery. Damage rates are also higher than expected—5.8% projected vs. 34% and 29% in practice for same-day and 1–2 day delivery, respectively. Tipping practices—often absent in hard goods deliveries—may also contribute to delays and customer dissatisfaction. – UPS + Roadie report
BIG PACKAGES, BIGGER SHIFT
SMBs: RESILIENT AND READY
A renewed FedEx-Amazon partnership gives Amazon cost advantages for shipping large residential packages—posing competitive pressure on rivals like UPS. For shippers, this could shift pricing dynamics and capacity availability in the oversized parcel segment, as FedEx redirects more resources toward Amazon volumes.
How are small and mid-sized enterprises adapting to rising costs, global trade challenges, and rapid technological change? 68% of SMEs have met or exceeded their 2025 business expectations, despite economic uncertainty 67% cite tariffs and shifting trade policies as major barriers to global growth 35% are pursuing expansion into Europe, 28% into Asia, and 25% into Latin America 57% cite rising operational expenses as the top internal concern, prompting a stronger focus on efficiency. – DHL Express U.S. survey
ON BRANDS Only 21% of brands of brands feel extremely confident in handling disruptions like new tariffs. 66% of brands are making supplier diversification their #1 risk mitigation priority for 2025. Supplier concentration risks ranked only 6th only 6th in perceived threats, signaling many brands are still underestimating their exposure. 78% of brands now say supplier say supplier location and logistics heavily influence sourcing decisions. Brands with strong supply chain visibility recover from disruptions nearly five times faster than those without. –Anvyl’s 2025 2025 State of Supply Chain Supply Chain Report
Have Your Robot and Eat it Too In a first-of-its-kind breakthrough, researchers from EPFL, the Istituto Italiano di Tecnologia, and EHL have developed an edible robot. RoboCake features two fully edible robotic
teddy bears powered by a pneumatic system that allows them to blink and move their limbs—demonstrating the mechanical functionality of food- based robotics.
It also includes the world’s first edible rechargeable batteries, made from ingredients like dark chocolate and vitamin B2, capable of powering LED lights. This innovation, part of the EU-funded RoboFood project, explores how edible robotics could reduce e-waste and enable future applications such as food-delivering drones that self-decompose after use.
June 2025 • Inbound Logistics 1
CONTENTS FEATURES JUNE 2025 | VOL. 45 | NO. 6 26 5 KEY STEPS TO A CIRCULAR SUPPLY CHAIN Shippers looking to reduce waste should prioritize these critical components for traveling a successful path to circularity. 33
G75: 75 GREEN SUPPLY CHAIN PARTNERS From the highway to the warehouse, from the skies to the docks, these 75 standout companies don’t just provide supply chain solutions—they’re moving the needle on sustainability.
52 SPONSORED HAWAII LOGISTICS: MAINTAINING THE ISLAND FLOW
60 ECOMMERCE FULFILLMENT: HOW TO KEEP IT ROLLING Ecommerce retailers convey confidence despite facing barriers. Here’s how they stay on track. Keeping cargo movement flowing to and from Hawaii’s multiple locations requires logistics savvy, specialized experience, and inter-island ingenuity. Call it Aloha spirit or pure persistence but these providers go the distance for every shipment.
64 SPONSORED THE CHEMISTRY OF TRUST: LOGISTICS LEADERS REINVENT CHEMICAL SUPPLY CHAINS In a high-stakes, highly regulated environment, top logistics providers blend innovation and institutional knowledge to secure safer, smarter, and more sustainable chemical transportation for a shifting global market.
2 Inbound Logistics • June 2025
INPRACTICE
10 LEADERSHIP BETTING ON ROBOTS OVER HYPE: ‘VIRAL VIDEOS DON’T PACK BOXES’ From fashion design to robotics leader, Kimberley Losey’s journey defies convention. But it’s her relentless focus on solving real problems as CEO of Rapid Robotics that’s redefining automation and reshaping warehouse robotics, one human-footprint robot at a time.
26
77 IT TOOLKIT FANTASY FARMS AND FINTECH: A BLOOMING SUCCESS Sustainable agriculture company Fantasy Farms transformed its business model through a shift to scan-based trading in partnership with Fintech. Here’s how the company’s strategic use of direct-store-delivery, data analytics, and innovative packaging helps it thrive in the competitive fresh flower market and expand into new product categories.
INSIGHT 4 CHECKING IN Walmart bets big on drones 6 GOOD QUESTION
What hobbies/activities make you better at managing supply chains? 8 10 TIPS Overcoming workforce shortages 20 GREEN LANDSCAPE To reduce empty miles, shippers must share to save 22 ARTIFICIAL INTELLIGENCE Unlocking revenue growth with AI 24 SUPPLY CHAIN SECURITY 5 ways to mitigate freight fraud risk
INFOCUS 1 INFO SNACKS 12 NOTED 14 TAKEAWAYS 82 IN BRIEF 88 LAST MILE Rare earth supply chain
6
GOOD QUESTION What hobbies/activities make you better at managing supply chains?
14
INFO 80 SUPPLY CHAIN INSIGHTS 86 RESOURCE CENTER
CONTENT PARTNER 18 For a Competitive Edge, Safety is a M.U.S.T. Offered by Landstar
Inbound Logistics (ISSN 0888-8493, USPS 703990) is mailed monthly to approximately 60,000 business professionals who buy, specify, or recommend logistics technology, transportation, and related services, by Thomas, a Xometry company, 6116 Executive Blvd, Suite 800, North Bethesda, MD 20852. Periodicals postage paid at North Bethesda, MD, and additional mailing offices. All rights reserved. The publisher accepts no responsibility for the validity of claims of any products or services described. No part of this publication may be reproduced or transmitted in any form or by any electronic means, or stored in any information retrieval system, without permission from the publisher. Postmaster send address changes to: Inbound Logistics, P.O. Box 1167, Lowell, MA 01853-9900
June 2025 • Inbound Logistics 3
CHECKINGIN
Vol. 45, No. 6 June 2025 THE MAGAZINE FOR DEMAND-DRIVEN ENTERPRISES www.inboundlogistics.com
Walmart Bets Big on Drones
STAFF
Keith G. Biondo publisher@inboundlogistics.com Felecia J. Stratton editor@inboundlogistics.com Katrina C. Arabe karabe@inboundlogistics.com
PUBLISHER
W almart is banking on drone deliveries to continue dominating both the last-mile delivery sector and the broader retail industry. This drone strategy is long- term and based on Walmart’s research showing that younger consumers (ages 18-35) are the most likely to use drone delivery services.
EDITOR
SENIOR EDITOR
DIRECTOR OF STRATEGIC CONTENT
Amy Roach amy.roach@thomasnet.com
Younger consumers, accustomed to organizing their lives around iPhones and apps, will make it happen— as they extend their DoorDash and restaurant delivery habits to retail. Walmart’s planning banks on younger customers, once acculturated, becoming loyal drone/app users well into adulthood—until their hair turns gray. And speaking of gray hair, research shows other demographic groups will also increasingly use drone delivery. Consumers aged 55 and older are expected to turn to drones for medical and essential deliveries—a growing market sector in more ways than one. Walmart customers in the 35-54 age range—professionals and busy families—often don’t have time to get to the mall or superstore. Walmart has learned from the 150,000 drone deliveries it has already completed and is now committing to enable drone delivery for 50% of store inventory. Leaning into that long-term strategy, the plan is to increase product availability beyond 50%. Also increasing? The number of markets where Walmart offers drone last- mile delivery. Recently announced expansions include Tampa, Orlando, Atlanta, Charlotte, and Houston—bringing drone delivery to a total of five states and adding 100 more stores. The company’s delivery partner, Wing, will assist with the rollout, using a hub-and-spoke model that expands service outward in growing concentric circles and flies up to six miles from each launch store. As I learned during a visit to Bentonville years ago, none of this would work without Walmart’s early and total buy-in to the demand-driven inbound logistics philosophy. Other tech and logistics investments have played—and continue to play—a crucial role. But without efficiently matching inventory to real-time demand and making it almost instantly available for delivery, those drones would be stuck on the launch pad. Today it is drones, but it has happened before. Another new delivery method—the advent of modern mail order—was pioneered by Montgomery Ward and Sears Roebuck, who used the new technology of the U.S. Postal Service to dominate retail for decades. While other retailers are still strategizing how to survive and grow in today’s market, one is making an enterprise-wide commitment to demand-driven logistics and smart investments in drone delivery to grow over the long haul.
Tom Gresham Karen M. Kroll Richard Osborne
CONTRIBUTING EDITORS
Keith Biondo, Publisher
Jeof Vita jvita@inboundlogistics.com
CREATIVE DIRECTOR
DESIGNER Arlene So
DIGITAL DESIGN MANAGER PUBLICATION MANAGER CIRCULATION DIRECTOR
Amy Palmisano apalmisano@inboundlogistics.com
Sonia Casiano sonia@inboundlogistics.com
Carolyn Smolin
SALES STAFF PUBLISHER: Keith Biondo
212-629-1560 • FAX: 212-629-1565 publisher@inboundlogistics.com ADVERTISING SALES sales@inboundlogistics.com Joseph Biondo 516-578-8924 jbiondo@inboundlogistics.com Rachael Sprinz 212-629-1562 • FAX: 212-629-1565 rachael@inboundlogistics.com Guillermo Almazo 305-833-5372 mexico@inboundlogistics.com FREE SUBSCRIPTIONS bit.ly/get_il
Inbound Logistics supports sustainable best practices. Our mission is rooted in helping companies match demand to supply, eliminating waste from the supply chain. This magazine is printed on paper sourced from fast growth renewable timber.
Inbound Logistics welcomes submissions and comments. Email us at editorial@inboundlogistics.com; call (212) 629-1560. For advertising or subscription information, email publisher@inboundlogistics.com. Inbound Logistics is distributed without cost to those qualified around the world. Interested readers may subscribe online at bit.ly/get_il. Subscription price to others: in North America $95 per year. Unqualified subscription prices: foreign $229. Single copy price: N. America $50, foreign $100, back issues $50.
4 Inbound Logistics • June 2025
GOODQUESTION Readers Weigh In
What Hobbies/Activities Make You Better at Managing Supply Chains?
OFF-THE-BEATEN- TRACK HIKING. The rough terrain and unexpected obstacles hone the lateral
Soccer Kickstarts Success
thinking skills required to find the most efficient route to the final destination— whether that is around, over, or under the obstacle. –Deb Deakin Director of Operations, ePost Global MAKING FREE, CUSTOMIZED BIRTHDAY CAKES for children who may otherwise not receive one. I’ve been providing them in recent years. Noticing and responding to needs inside and outside the workplace is critical for innovative growth, and it’s a lesson that has made me a better manager in logistics. –Caroline Guild Sustainability Manager, Kenco
Soccer shows that teamwork, timing, and fast decisions are important. One mistake can impact the entire team, just as a single issue can halt the entire supply chain. Playing football helps me see how working together and staying flexible are important in both. –Vitaliano Tobruk Supply Chain Industry Practice Lead, Moody’s In soccer, you must envision the end goal , be four passes ahead, communicate with your teammates, and leverage everyone’s strengths. We keep our eyes on the entire field like supply chain leaders who must have a complete end-to-end understanding to guide their team. You also must be ready to tackle unpredictable challenges or disruptions as one team. –Emily Gallo SVP and General Manager, Cardinal Health OptiFreight Logistics
PLAYING CARDS. In supply chain management—just like in a card game—you have to learn to play the hand you’re dealt. It’s important to plan for every possible scenario and be able to pivot strategically and in the moment. –Brian Cromer Managing Director, Global Supply Chain Practice, TBM Consulting Group THE FRESH CONNECTION is an excellent game to sharpen your supply chain skills and it is exciting to see how well you can optimize various scenarios. –Lisa Anderson President, LMA Consulting Group HAVING KIDS. Managing a diaper bag is like running a high-stakes inventory system—missing the wipes
is a crisis. There’s real-time route optimization (nearest bathroom always), strict SLAs for naps, and just-in-time snack delivery to avoid meltdowns. –Alex Joyce Strategic Account Executive, Gather AI SETTLEMENT GAMES LIKE TIMBERBORN, with resource management, help improve supply chain skills by introducing risk and disruption. They train you to plan for worst-case scenarios and test if your strategy holds. –Nathaniel East Operations Manager, TA Services
ORCHESTRATING A FAMILY GETAWAY is supply chain bootcamp in disguise: Juggle Aunt Sue’s
beach dream with kids’ roller-coaster quota, slot flights, Tetris-pack suitcases, chart backup routes for tantrums and storms, and monitor bookings like live inventory.
–Shannon Hynds CEO, Quickcode
CODEWORD PUZZLES AND WORD SEARCHES —they train you to uncover hidden connections and think laterally. That same mindset is invaluable in supply chain—spotting inefficiencies, decoding complexity, and aligning the moving parts into one clear, strategic picture. –Sharon Forder CMO, Sana Commerce
SAILING. It is a constant balancing of where you
want to go, while managing the weather, the wind, the lines; balancing how much and which
6 Inbound Logistics • June 2025
GOODQUESTION
kind of sails to use to most effectively accomplish your mission—all while external influences have very real impacts on your ability to execute.
Tetris Forms The Foundation
–Joe Adamski Senior Director, ProcureAbility
When packaging and shipping, just as in Tetris , it is critical to optimize the use of every available inch of space. You’re penalized both for leaving space unused—you’re decreasing the amount you can ship—and increasing costs (earning fewer points) while having to work harder to fill gaps. Just be thankful success doesn’t drop more pieces on the competition. –Josh Dunham CEO and Co-founder, Reveel My first thought is Tetris (I’m old-school). But I crowd-sourced the question to my younger crew and they said: Factorio for throughput calculus, chess for branching decision trees, competitive Pokemon for probabilistic inventory calls, and weekend geocaching for scrappy last-mile hustle. Ten hours in any of those schools train you harder on buffers and bottlenecks than a stack of Lean Six Sigma slides.
MAKING COFFEE. Whether it’s pour-over or drip, the outcome depends on timing, temperature, and
small details. One miss, and it’s off. It’s a daily reminder consistency doesn’t come from tools alone—it comes from refining the process. Supply chain is no different. Technology can enhance performance, but it won’t fix a broken foundation. Get the fundamentals right. –Karli Sage Sr. Director, Emerging Technology, Southern Glazer’s Wine & Spirits
–Nick Rakovsky CEO, DataDocks
BEING AN ARMCHAIR QUARTERBACK. I enjoy watching sporting events and analyzing coaches’ strategies to identify opportunities for better
PICKLEBALL. Lessons from pickleball apply to managing supply chain logistics: 1) Pick a good partner, 2) keep your eye on the ball, and 3) react fast. But beyond that, after playing tennis for a very long time, pickleball taught me how to adapt when the game changes.
the end-to-end process: procurement, planning, production, and delivery. It’s a practical, everyday—and delicious— way to practice coordination, timing, resourcefulness, and adaptability.
team performance. I bring this same analytical mindset to the supply chain world, where I take an “outside-in” approach—viewing challenges from an employee or customer perspective. –Todd Gentry Vice President, New Business Development, CHEP U.S. WHITE WATER RAFTING has taught me more about supply chains than any business book. You must adapt to changing conditions, anticipate what’s ahead, and coordinate with your team without perfect information. Rafting teaches you to be prepared but flexible. Like in logistics, when you’re going down a river, planning too rigidly is dangerous. –Matt Lhoumeau CEO, Concord THE BOARD GAME CONTAINER. You’re juggling production, pricing, and shipping all while trying to read the market and stay one step ahead. It’s surprisingly close to real supply chain thinking. –Tony Crisafulli VP Sales, Odyssey Logistics
–Jennifer Chew VP, Solutions and Consulting, Bristlecone
–Doug DeLuca Product Marketing Manager, SAP Business Network
MMORPG s (massively multiplayer online role-playing games) take the lessons I learned from team sports further—forming parties, assessing skillsets, assigning roles, and working together (to take down the boss!). Both build leadership through fast decisions, tight teamwork, and real- time coordination. –Vee Srithayakumar Product Manager, Tecsys
GAMES LIKE CATAN challenge you to manage scarce resources and capacity constraints, sharpening skills in resource allocation and negotiation. Ticket to Ride teaches strategic route planning across regions and countries. –Mike Berry SVP, Services, TrueCommerce
SNOWBOARDING gives mental clarity to navigate obstacles. This in turn helps me with solving complex
challenges. Other ways that people can sharpen their problem-solving skills is through strategy and puzzle games, both digital and physical. –Oana Jinga Co-founder, Chief Commercial and Product Officer, Dexory COOKING. From sourcing fresh ingredients to planning meals and executing recipes, cooking reflects
Answer upcoming Good Questions at: www.inboundlogistics.com/ good-question
June 2025 • Inbound Logistics 7
10 TIPS
Supply chain workforce shortages continue to plague today’s businesses, and they are as prevalent on the warehouse floor as they are in the office. Overcoming Workforce Shortages
1 ENHANCE THE
7 ENGAGE WITH EMPLOYEES. Conduct regular surveys to gauge the organization’s pulse and gather feedback. For example, a benefits package you consider generous might lack small upgrades that could greatly enhance employees’ satisfaction, such as free telemedicine services or gym memberships. 8 ATTRACT TALENT WITH COMPENSATION. Salary packages that match or exceed industry standards incentivize performance. Include a meaningful comprehensive benefits package. 9 MAKE THE EMPLOYEE EXPERIENCE IMPORTANT. Adopt technology that works harmoniously together to eliminate monotonous keypunching and free users’ time to work on fulfilling, strategic tasks.
DIGITAL EXPERIENCE. Today’s supply chain is at a critical point. It needs to continue advancing the digital experience for not only customers but also employees. The software employees use day- to-day can have a substantial impact on the overall employee experience. For instance, software with a user interface that’s easy-to-use, seamless, enjoyable, and rewarding will help attract prospective employees to the supply chain area and make daily tasks more enjoyable for regular users.
2 PRIORITIZE FLEXIBILITY. The pandemic supercharged workforce flexibility, introducing a whole new way of working. Adaptable work arrangements, such as flexible work hours, remote work options, and job sharing, are key to helping accommodate the diverse needs of today’s job seekers. For example, today’s job seekers may be focused on work-life balance or face geographical constraints. 3 AUTOMATE MUNDANE, ROUTINE JOBS. Automation addresses the hard-to-fill, non-value-added, and repetitive tasks that are at the center of today’s labor shortages. Additionally, offer job seekers more complex roles to attract more highly skilled workers. For example, you can increase productivity in distribution centers through automation that systematizes processes and enables robots to handle physical tasks. This reduces
5 GET CREATIVE IN YOUR TALENT SEARCH. Consider new avenues for seeking out talent pools, such as trade schools, universities, veterans, retirees, and individuals with disabilities, and provide pathways for their success. 6 ENCOURAGE A TEAM MINDSET. Organize brainstorming sessions and cross- departmental initiatives to inspire innovation and strengthen performance. A united business culture strengthens the workforce’s morale and satisfaction.
repetitive and boring tasks, in turn improving workplace safety for the most physically demanding positions. 4 ADD VALUE THROUGH TRAINING. Career development initiatives and training foster a positive and attractive work environment, entice new hires, and upskill current employees. Invest in employees and clearly communicate the value of training and mentorship programs, as well as opportunities for advancement within the company.
10 INCREASE EMPLOYEE ENGAGEMENT.
Transparent communication within a company strengthens trust and enhances well- being, as well as gives employees a feeling of being valued and supported. It’s essential for aligning goals, sharing knowledge, and fostering community. Transparency is reassuring, as it indicates to people that they can count on what is said, and respect is reinforced, creating an ongoing constructive framework for staff members.
SOURCE: KRISTJAN LILLEMETS, CHIEF PRODUCT OFFICER, MAGAYA
8 Inbound Logistics • June 2025
Maximizing customer value through continuous improvement and innovation, CJ Logistics provides customers visibility to supply chain data to help them improve, optimize and make informed decisions. Data is transformed into intelligence.
LEADERSHIP Conversations with the Captains of Industry
Betting on Robots Over Hype: ‘Viral Videos Don’t Pack Boxes’
Initially, I went to school for fashion design. But I’ve always loved building businesses—and I didn’t have famous parents or a giant trust fund—so I thought I’d better get a business degree. Although I shifted course, my design background helped make my journey possible. Like many creative fields, fashion design is cutthroat and requires long hours, persistence, and the ability to handle criticism. My background also honed my ability to identify patterns in data that aren’t immediately obvious but can inform new directions. It also taught me how to tackle problems. In my role, I rally a group of smart people to innovate and solve those problems. I’ve been at Rapid Robotics for three years, starting as chief marketing officer before taking on responsibility for the sales organization. About a year ago, I became CEO. I love the sales side of my job, where I get to interact with heads of supply chains at various companies. They’re creative problem solvers, and it’s energizing. IL: What has been at the top of your agenda as CEO? From our start in 2019, Rapid Robotics has had a vision of building a robotic workforce to complement the human workforce and eliminate labor shortages. We’re pursuing this goal a bit differently from many other companies. I try to approach everything from a customer-first mindset: What does the customer actually need? How can we offer a solution in a way that helps the customer quickly adopt it? As we were figuring this out, I visited warehouse after warehouse, where I’d see a line of people doing monotonous, repetitive work. Sometimes, the lines were down simply because there weren’t enough people to do the work. These observations helped lead to the latest evolution in the Rapid Robotics story. In our experience, units per hour is the metric that matters in much of the warehouse industry. Our robot is designed to stand at a line and pick, pack, and palletize with the speed of a human. IL: What was behind the decision to create a stationary robot? Given today’s technology, we needed to eliminate some of the variables to create a robot that could quickly pick and pack, as ours does. In this first phase, we chose to restrict mobility— though our robot is repositionable. It has the footprint of a human and can pack with speed comparable to a human.
Kimberley Losey, CEO, Rapid Robotics
From fashion design to robotics CEO, Kimberley Losey’s journey defies convention. But it’s her relentless focus on solving real problems that’s redefining automation and reshaping warehouse robotics, one human- footprint robot at a time.
by Karen Kroll
10 Inbound Logistics • June 2025
LEADERSHIP
do you make the impossible possible—and create a new robot within a reasonable timeframe?’ This led to minimizing phase one mobility and using some off the shelf components, rather than reinventing every wheel. I keep employees informed about what our customers need. Keeping the customer front and center helps everybody remain focused and understand that what they’re doing matters. IL: How do you lead a company that’s growing and changing so quickly? It’s important to have a mix of experience. More experienced people know how big companies run, while our startup experience gives us the freedom to pursue the future and imagine what could be possible. The team still adapts, moves quickly, and is willing to break the rules, without going too far. I tell them, ‘Anything’s on the table—just nothing illegal. No one’s going to jail or getting hurt.’ IL: What qualities do you look for when hiring people? I ask for examples of how they took responsibility and corrected when things went wrong. There’s no room in a startup for blaming others. I even rewarded an employee who admitted he had rushed and ordered the wrong part. We all make mistakes. You recognize it and then course-correct. IL: Who do you look up to? People who can rally others to do brave things. Greta Thunberg, for instance, is impressive—so young, with bold ideas and the conviction to act on them. IL: Who would you trade places with? A famous inventor. I would love to be in their heads at that moment of despair; the moment when you don’t know how you’ll pull something off. Then, almost suddenly, it shifts to: ‘Now I know what to do.’ No “I” in Team When I was a relatively new manager, I had a weekly meeting with my boss. I started going through my list of what I’d accomplished. I remember vividly how she stood up and closed her office door. I thought, ‘Oh my gosh. What’s happening?’ She sat back down and said, ‘You are now running a team. I don’t want to hear again about what you are doing. This is about the impact of your team.’ That was about 25 years ago, but today I still intentionally think about the team—how is the team being productive and effective? It’s not so much about what I’m doing; it’s about knocking down barriers for what the team can do.
It also has some special super-human features like on-board air so it can work anywhere. IL : This meant changing the trajectory of the company. How did you decide to make this shift? Until about a year ago, we used off-the-shelf robots. We used computer vision and AI to enable them to identify objects and determine how to put them in boxes, so they could handle the variability of ecommerce fulfillment. Yet the sales cycle wasn’t moving as quickly as I thought it could, given the challenge we were addressing, and how our solution was better than others on the market. Also at this time, I visited a brownfield facility. I soon recognized that even a compact work cell wasn’t going to work. There was too much existing infrastructure to work around. The thing that does work is a robot with the footprint of a human. Yet, it does not need to walk. Warehouses already have autonomous forklifts, AMRs and other moving equipment. More moving equipment would just add to the risk and disruption. Plus, the current battery life of mobile robots means you have to stop and recharge them every few hours. That makes it hard to hit throughput goals. Reinventing a robot with the footprint of a human, while maintaining high productivity and the ability to move from one task to the next, would eliminate these risks. We eliminated barriers and made it less disruptive for the customer. That helps accelerate adoption. IL: How did you get your investors to buy in? It was scary as a relatively new CEO to say to our board, ‘I need a few million more dollars.’ Rapid has undergone a few pivots, and it took time to convince them this was the right move. Plus, there’s so much hype in the humanoid market. Investors were skeptical about whether we could compete with other companies that are raising billions or hundreds of millions of dollars. But as I sometimes joke, ‘Some robots are built for viral videos—but viral videos don’t pack boxes.’ IL: How did you get employees on board? It was easy to get buy-in because they now have a clear direction of what needs to happen. Then it becomes: ‘How
June 2025 • Inbound Logistics 11
NOTED [ IN FOCUS ]
The Supply Chain in Brief
> M&A
> UP THE CHAIN
n DHL Supply Chain acquired U.S.-based ecommerce fulfillment and retail distribution logistics provider IDS Fulfillment .
Jason Spencer Knox was appointed group chief operating officer at freight forwarder AGI Global Logistics. He will work with the AGI board to develop and implement growth strategies and optimize the AGI network.
The acquisition adds 1.3 million+ square feet of multi- customer warehouse and distribution space across the United States. n WorkStep , a holistic frontline employee engagement platform, purchased WorkHound , an employee feedback management platform built for the supply chain.
William Ryan was named the new CEO of Nulogy, a provider of supply chain and external manufacturing solutions. He most recently served in executive roles at Körber Supply Chain Software.
The Transportation Intermediaries Association appointed Alicia Bly to the Board of Directors’ Executive Committee as TIA Services Chair. Bly is vice president of corporate operations at Johanson Transportation Service.
n SpotSee acquired Telatemp , a provider of temperature and environmental monitoring devices.
n Kabal , which provides logistics solutions for the energy sector, acquired IronSight , a SaaS company specializing in onshore logistics. n Global logistics and supply chain solutions provider PSA BDP strengthened its foothold in Mexico by acquiring a majority stake in ED Forwarding , a Mexico-based logistics solutions provider. n Everest Transportation Systems , a brokerage focused on dry truckload and drayage moves, merged with Simple Logistics , a brokerage specializing in service-sensitive refrigerated truckload freight.
Avetta named Dawn Andre chief product officer and Abid Yousuf chief customer officer.
> MILESTONES
n Packsize , a sustainable, right-sized, on-demand packaging company, acquired Sparck Technologies , a Europe- based manufacturer of high-throughput, fit-to-size automated packaging solutions.
n WattEV, a provider of heavy- duty freight electrification services and
infrastructure, surpassed 75,000 miles per week of zero-emission freight transport for the nation’s leading brands and logistics providers.
12 Inbound Logistics • June 2025
NOTED
> RECOGNITION
> SEALED DEALS
• As part of its digital transformation, Boulanger , a consumer electronics and home appliance retailer in France, deployed LocusOne from Locus Robotics —a flexible robotic solution that scales dynamically with demand.
• Thanakorn Vegetable Oil Products , an edible oil company in Thailand, implemented the AX4-based transportation management system from Siemens Digital Industries Software to optimize and monitor transportation and logistics processes across all modes and geographies.
• Echo Global Logistics named Dayton Freight Lines its Platinum LTL Carrier for outstanding service, commitment, and performance for Echo’s customers and employees. • Averitt received the 2025 Career Catalyst Award , presented by the Next Generation in Trucking Association and sponsored by the National Transportation Institute. This new national award honors transportation and logistics companies that are actively shaping the future of the industry’s workforce. • John Deere recognized Landair, a Covenant Logistics Group company, with two honors: the Partner-Level Supplier Award —the highest supplier rating awarded by John Deere—as well as the 2024 Sustainability Award. Both awards highlight exceptional performance and dedication to delivering best-in-class logistics solutions. • Syfan Logistics was honored as a General Motors 2024 Supplier of the Year , an award that recognizes the achievements of the automaker’s top suppliers.
• Global retailer Carrefour Global Sourcing will implement TradeBeyond’s supplier management and compliance solutions to manage its supplier base covering non-food products, ensuring full transparency. • Chocolate manufacturer Clasen Quality Chocolate and Odyssey Manufacturing , a chemicals supplier and distributor, implemented a TMS from BeyondTrucks that provides their tank truck fleets with a multi-tenant platform built for AI. • New Look , a womenswear brand in the UK, onboarded its core supplier base to TrusTrace , a supply chain traceability and compliance data management platform.
Tactacam, which markets action and trail cameras for hunting, shooting, and outdoor enthusiasts, has officially launched operations with Barrett Distribution Centers as its third-party logistics provider.
> INVESTMENTS
n Persona AI, an embodied artificial intelligence company, closed its pre-seed funding round, raising $27 million. The investment will accelerate the development and deployment of Persona's humanoid robot platform, engineered for shipbuilding and industrial manufacturing.
• Modula Inc. , a manufacturer
of vertical lift modules and automated storage solutions, named Carolina Handling a top performer , scoring a second- place finish in overall sales of Modula units during 2024.
n Supply chain risk management platform Tradeverifyd secured $4 million in new funding from SJF Ventures.
n Optimal Dynamics, which provides artificial decision intelligence for trucking companies, announced a $40 million Series C financing round led by Koch Disruptive Technologies.
June 2025 • Inbound Logistics 13
TAKEAWAYS Shaping the Future of the Global Supply Chain 2025 STATE OF LOGISTICS REPORT: A FOGGY FORECAST
The report also includes breakdowns by mode, with the following highlights:
3PLs: Growing in importance as shippers face a heady array of challenges, third-party logistics providers are under pressure this year to evolve
rapidly and expand their scope of services. They are also being called on to integrate advanced technologies to deliver greater flexibility, visibility, and resilience. 3PLs will invest more in regional hubs and last-mile delivery networks in 2025, the report predicts.
Air: In 2024, the airfreight market experienced a banner year, driven by record-breaking demand and notable capacity expansion, which was propelled by booming ecommerce from platforms
such as Temu and Shein. The report predicts slower growth for 2025—5.8% versus 2024’s 8.6%—with projected volumes reaching 80 million tons. Ocean: A 4.5% global demand increase featuring shipment frontloading, regional disruptions, and supply chain bottlenecks kept rates high in 2024 despite carrier fleet expansion. For 2025, demand growth is expected to slow to 3%, while supply, driven by new vessel deliveries, will outpace demand, leading to reduced rates and increased competition. Trucking: After a stabilizing year in 2024, the face new financial pressures from tariffs, potentially declining freight volumes, higher duties on commercial vehicles, and possible increased equipment costs. Rail: Class I railroads reported modest revenue growth and a stronger increase in operating income in 2024. This is leading them in 2025 to invest in infrastructure and strategic partnerships to support long-term growth and attempt to convert a share of the $50 billion long-haul truck freight market to rail. motor freight sector now faces an outlook clouded by escalating global geopolitical tensions. Carriers
The logistics and supply chain sector continues to chart a course through economic turbulence, geopolitical pressures, and shifting trade landscapes, according to the newly released 2025 State of Logistics Report by CSCMP, authored by Kearney and presented by Penske Logistics. Themed “Navigating Through the Fog,” this year’s report paints a picture of a sector in flux. Logistics costs in the United States rose to $2.58 trillion, holding steady at 8.8% of GDP, even amid flat business volumes and surplus truck capacity, the report finds. The data signals a return to some pre-pandemic patterns, but with persistent headwinds such as operational cost inflation, ongoing labor shortages, and global trade volatility. Mexico overtook China as the United States’ top trading partner in 2024 (with $840 billion in trade), highlighting a broader reshoring and nearshoring trend, accelerated by tariff instability and the need for more reliable supply networks. Meanwhile, ecommerce’s continued boom—global online sales hit nearly $6.3 trillion in 2024— is reshaping last-mile delivery expectations and warehousing agility. A clear message from the report: Resilience is no longer optional. With AI, automation, and data analytics becoming more accessible, companies that act now to integrate long-term durability into their networks and decision-making will have a better chance of cutting through the fog.
14 Inbound Logistics • June 2025
TAKEAWAYS
CROSS-BORDER TRADE 2025: GLASS HALF FULL OR HALF EMPTY? Ongoing geopolitical tensions, regulatory
In addition, Redwood’s data shows U.S.- Mexico trade up 4% YoY in April 2025, hitting $73.77 billion. Businesses are mitigating risk with inventory stockpiles, supplier diversification, and trade zone usage, the report notes. Half Empty: Mounting Headwinds Nearly half of retailers report negative tariff impacts; high shipping costs and customs delays are also major issues. Political instability, especially in Europe, adds further risk.
shifts, and rising costs continue to challenge global shippers. Two new reports—Asendia’s Beyond Borders and Redwood Logistics’ Q2 Cross Border Index —highlight a trade landscape marked by both opportunity and disruption.
Half Full: Growth Amid Complexity Retailers aren’t backing down from global ambitions. Asendia finds 72% of global retailers expect international ecommerce sales to grow in 2025. Strategic shifts reflect this optimism: • 35% of global retailers are investing in faster shipping and automation to stay competitive. • 33% have adopted “returnless returns” to cut costs and emissions. • Regional expansion is rising —U.S. brands eye Canada (47%) and South America (24%), while Chinese brands focus on East Asia (42%) and the Middle East (38%).
Redwood’s report warns of new disruptions: a U.S. order requiring English proficiency for Mexican truck drivers could worsen labor shortages and border delays. Plus, tariff policy volatility adds further complexity to already fragile supply chains.
Bottom line: Cross-border trade is still moving—but navigating it now requires more agility than ever.
PORTS HIT A CROSSROADS Global ocean shipping faces a paradox: while some ports show signs of efficiency gains, others remain major chokepoints, reveals Beacon’s latest Port Performance and Operations Report .
Overall port performance shows improvement, with shorter anchor waiting times and faster container movement. Notably, the Port of Savannah saw a 43% drop in anchorage waiting time, marking a major turnaround. Certain regions, however, still face operational setbacks. Chittagong (Bangladesh) emerged as the most congested port, with ships waiting nearly 69 hours. Other key regional findings include: Oceania leads with the most efficient port performance overall. Sub-Saharan Africa improved significantly, yet continues to struggle with the longest berth turnaround (2.5 days) and highest container dwell time (161 hours). Shanghai topped ship counts at anchorage (62), while Hong Kong saw an 88% drop. Several ports—including Barcelona, Oakland, and Busan—reported zero anchorage wait, signaling strong operational health. Djibouti, Seattle/Tacoma, and King Abdullah stood out for their resilience and efficiency across multiple performance metrics.
June 2025 • Inbound Logistics 15
TAKEAWAYS
OVERHEARD
AUTONOMOUS SUPPLY CHAINS GAIN FAVOR Traditional supply chain agility and efficiency strategies need a revamp in order to keep up with pressures from disruptions such as growing online demand, a changing trade environment, and workforce shortages. An increasing number of companies now view tech-powered, AI-led autonomous supply chains as the potential fix. That’s the key takeaway from Accenture’s new survey, Making Autonomous Supply Chains Real , a poll of 1,000 C-suite executives across 10 industries. Findings indicate that while supply chain autonomy hasn’t been a key focus and is not yet highly adopted, it is quickly gaining favor. AI-led autonomous supply chains can enable organizations to predict and respond to disruptions faster, balance supply and demand dynamically, and free up human talent for innovation instead of addressing problems, the report notes. Here’s what the research shows: Today, the average autonomy level remains low— only 21% on a 0–100% scale. Most companies still rely heavily on manual interventions; few use AI to adjust sourcing, reroute logistics, or rebalance inventory in real time. 66% of companies currently plan to increase supply chain autonomy in the next decade, and about 40% aim to reach higher autonomy levels where systems handle most operational decisions. Before the most recent tariff developments, only 25% of companies saw autonomous supply chains as a strategic priority. The report also details a three-step roadmap toward autonomous supply chains: 1. Build a solid, secure data foundation. This involves integrating real-time data from various parts of the supply chain into a single accessible platform. 2. Invest in critical, AI-enabling technologies, then scale strategically. Companies should focus on investments that improve agility and efficiency—for instance, upgrading legacy systems and building an adaptable AI stack. 3. Restructure how people and technology work together. Preparing the workforce for change and boosting employee engagement is imperative for building an autonomous supply chain.
BRANDS BULK UP ON INVENTORY In a high-stakes game of inventory management roulette, companies across the United States are loading up their shelves as they scramble
to keep up with and/or outrun the Trump administration’s tariff policies. Inventory levels increased a staggering 228% in just two months , shows new data from unified commerce solutions provider Deposco.
The analysis shows this Days of Inventory on Hand (DIOH) increase was based on actual WMS system transaction data rather than forecasts, underscoring the validity of the increase. The current inventory surge represents only the first phase of a two-part market reaction to trade tariffs, Deposco’s analysis suggests. The initial pre-buying surge is likely to be followed by a period of margin compression as carrying costs eat into profits, potentially forcing businesses to discount heavily to move excess inventory later in 2025. Here’s how the scenario is playing out: Warehousing capacity crunch: Brands and consumer packaged goods companies are rapidly filling available warehousing space to beat tariff deadlines, creating a nationwide capacity challenge. Profitability paradox: Logistics providers face reduced revenue potential as warehouse space fills with static inventory rather than flowing through for fulfillment, where margins are highest. Industry-specific impacts: The data reveals significant variations in inventory strategy by sector, with consumer electronics, apparel, and home goods seeing the most aggressive stockpiling behaviors. Inventory carrying cost explosion: Detailed analysis shows how storage costs, insurance, and financing expenses are dramatically increasing as a percentage of product value across nearly all categories.
16 Inbound Logistics • June 2025
TAKEAWAYS
SUPPLY CHAIN CAREERS DELIVER
Positive work environment: Globally, 62% of supply chain professionals report a positive company culture, and 78% have flexible work arrangements. High job satisfaction: 82% of respondents enjoy high levels of job satisfaction (ranking it at least 7 out of 10), and 83% would recommend a supply chain career. The report also shows the correlation between advanced education and increased salaries, with professionals who obtain graduate or masters degrees receiving a median salary of $119,000. In addition, survey respondents shared their ideas on what emotional skills it takes to succeed in the field, ranking trouble shooting, collaboration, and critical thinking as the most important. Total Compensation Packages for U.S. Supply Chain Professionals
Pat yourself on the back for choosing a career in supply chain—it’s widely viewed as a great field in which to work. That’s the overall sentiment of employees in the sector, according to The 2025 ASCM Supply Chain Salary and Career Report , based on responses from more than 3,500 supply chain professionals. The research reveals that the supply chain sector continues to provide stable career paths, strong earning potential, and high job satisfaction. Here’s a breakdown of key wins: Competitive compensation: The median U.S. supply chain compensation has reached six figures for the second year in a row ($103,000), including bonuses, which is 52% higher than the national median. Strong job market: One-third of U.S. supply chain professionals are optimistic about their career prospects, indicating a robust job market. Job mobility and advancement: Younger professionals experienced a significant number of job changes and promotions in 2024, demonstrating a dynamic career landscape. Clear career progression: The report shows a straightforward path for career advancement, with directors earning substantially more than managers and entry-level professionals.
• Total Compensation • Additional Compensation • Base Salary
$188,000
$141,000
$103,000
$78,000
$62,000
10th percentile $60,000
25th percentile $74,000
50th percentile $84,000
75th percentile $125,000
90th percentile $158,000
asi_halfpgIL_0625_final_• 5/28/25 1:38 PM Page 1
▪ RAIL INTERMODAL ▪ HIGHWAY CAPACITY ▪ TEMPERATURE CONTROL ▪ INTERNATIONAL ▪ CUSTOMS CLEARANCE
SUSTAINABILITY PROMISE At Alliance Shippers Inc., we continuously work towards arranging cleaner and more energy-efficient transportation services and solutions. Our 13th Green Supply Chain Partner award underscores our steadfast commitment to a greener environment.
www.alliance.com
June 2025 • Inbound Logistics 17 2017+2019 EXCELLENCE AWARD WINNER CERTIFIED MEMBER SINCE 2006
KNOWLEDGE Base SPONSORED CONTENT
For a Competitive Edge, Safety Is a M.U.S.T. B eyond the obvious reasons for carriers and freight agents in the transportation industry to foster to fully understand each unique situation, sometimes the
Fostering a solid safety culture not only saves lives and reduces accidents and cargo damages, it strengthens customer relations.
meeting is moved outside, into the shipping environment. During a M.U.S.T. customer visit, Landstar safety team members, the Landstar agent, and shippers may examine product
a safety culture—saving lives, reducing accidents and cargo damages—there is another reason to take safety seriously. A solid safety culture can strengthen customer relations. Safety Isn’t One Size Fits All For safety practices to be truly effective, they should be a good fit for both carriers and shippers. But with so many different types of freight, and practices and policies that vary from company to company and carrier to carrier, in addition to federal and state regulations, finding a good fit can be challenging. That’s why an integrative approach, like Landstar’s Mutual Understanding of Safety Together or M.U.S.T. customer program, is so often the right choice for many shippers. With M.U.S.T., safety practices are customized to fit the shipper, instead of squeezing the customer into a one size fits all program. Mutual To put the mutual in M.U.S.T. we often start with a discussion about Landstar’s safety culture and how we aim to provide a shipper with the best, safest, most secure transportation available. But it’s not about us. We open a dialog with the customer on their safety goals, practices, and possible solutions. Understanding A round table collaboration can be quite effective in loss prevention. We believe there are no secrets in safety and appreciate the opportunity to share our perspectives, experience, and data. But
loading/unloading and securement to
determine the best way to ensure the product is properly prepared for transit for an on-time, damage-free delivery. Safety Collectively, the carrier and customer work toward solutions, or agree that the practices in place are in the best interest of everyone involved. Often the result is either standardizing those safety practices and implementing them at the customer’s other locations or may be as simple as clarifying existing processes and practices. Together Whatever the resulting solutions are, both the customer and the carrier have a stake in the safety protocols, making compliance or adherence to the self- imposed actions much more likely to be effective. With M.U.S.T., no two visits are the same, because no two customers or shippers are exactly alike. So, while the particulars may be different, the results are the same—safety as a service. M.U.S.T. serves both the customer and carrier in working to achieve their common goals of improved safety
practices, reduced accident risk, and claim-free delivery. But working together also strengthens the safety bond, creating lasting dialogue and relationships. Adopting integrative safety programs like M.U.S.T. often lead to the expansion of safety practices within multiple customer locations, growing a safety culture, and making more people safer than before—and that’s an advantage for everyone in the industry. A collaborative approach, like the M.U.S.T. customer program, involving the carrier, freight agencies, and customers to formulate and implement safety solutions has been a part of the way Landstar operates for more than 25 years.
–By Shelly Seaton
Vice President of Safety and Compliance Landstar www.landstar.com
18 Inbound Logistics • June 2025
Page 1 Page 2 Page 3 Page 4 Page 5 Page 6 Page 7 Page 8 Page 9 Page 10 Page 11 Page 12 Page 13 Page 14 Page 15 Page 16 Page 17 Page 18 Page 19 Page 20 Page 21 Page 22 Page 23 Page 24 Page 25 Page 26 Page 27 Page 28 Page 29 Page 30 Page 31 Page 32 Page 33 Page 34 Page 35 Page 36 Page 37 Page 38 Page 39 Page 40 Page 41 Page 42 Page 43 Page 44 Page 45 Page 46 Page 47 Page 48 Page 49 Page 50 Page 51 Page 52 Page 53 Page 54 Page 55 Page 56 Page 57 Page 58 Page 59 Page 60 Page 61 Page 62 Page 63 Page 64 Page 65 Page 66 Page 67 Page 68 Page 69 Page 70 Page 71 Page 72 Page 73 Page 74 Page 75 Page 76 Page 77 Page 78 Page 79 Page 80 Page 81 Page 82 Page 83 Page 84 Page 85 Page 86 Page 87 Page 88 Page 89 Page 90 Page 91 Page 92Powered by FlippingBook