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Multimodal optimisation seen as critical to freight capacity

MANY feel shippers need to not only choose the right mode but the right combination of modes to get goods where they'll be on time as Covid crisis and loss of logistics expertise are now driving demand, reports, IHS Media

26 November 2020 - 19:00

MANY feel shippers need to not only choose the right mode but the right combination of modes to get goods where they'll be on time as Covid crisis and loss of logistics expertise are now driving demand, reports, IHS Media.

The digital freight management platform added less-than-truckload (LTL) and intermodal rail to its service portfolio, as well as over-the-road truckload and drayage.



'You should consider not just an LTL move, but maybe a combination of modes,' said Loadsmart vice president Hunter Yaw.



Mr Yaw sees rising demand for partial truckload and LTL and customers moving freight from intermodal rail to truckload and vice versa to get capacity as truckload capacity tightens.



Multimodal optimisation has been a major goal of shipper and technology companies for a long, and the pandemic's disruption is raising demand even more.



'Shippers are really struggling because supply chains have collapsed,' said Mr Yaw.



Capacity continues to be tight across the truckload, LTL, and drayage sectors. Companies need to not only add speed to deliveries but find new lanes and ways to deliver freight.



'We saw a lot of need to redirect goods to go direct to store rather than a distribution center,' said New Jersey's GAF transport manager Laura Eory.



'When people are overselling by double, triple, or quadruple of what they normally sell, their supply chain has to look completely different,' said Mrs Eory.


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