final mile delivery in Ohio

Final Mile Delivery in Ohio – Getting a Leg Up on the Last Leg

Final mile delivery is widely recognized as the most challenging link in the most supply chains. Factors like time sensitivity, complex delivery routes and customer expectations for quick service mean there’s a lot of room for something to go sideways. Relying on a trusted third party for final mile delivery in Ohio can help save businesses time, money and the fallout of customer dissatisfaction.

Also known as last-mile delivery, final mile delivery refers to the transportation and delivery of goods from a distribution center or warehouse to the end destination – usually a residential or commercial address where customers receive the shipment.

Increasingly, consumers expect delivery to be fast and cheap (if not free) – especially those using ecommerce platforms. Some surveys have shown consumers will go out of their way to avoid a retailer after just one poor delivery experience. On the flip side, 75% are willing to spend a bit more and show more brand loyalty if they’ve had an excellent final mile delivery experience.

Getting it right is critical for retailers, logistics companies, manufacturers and others to stay competitive.

Market researcher RationalStat reported the global final mile delivery market is expected to grow from $80 billion to $138 billion by 2030. Key market drivers include e-commerce expansion, shifting customer expectations and technology advances.

On Time Delivery & Warehouse is committed to superior service for final mile delivery in Ohio. We have 54′ and 48′ trailers, 24′ and 26′ box trucks and flatbeds, and offer same day and next-day delivery with full truckload and less-than-truckload.

Addressing the Final Mile Delivery Problem

You may have heard of the “final mile delivery problem” or “last-mile delivery problem.” It refers to the difficulty of squaring climbing customer expectations for expeditious deliveries with the reality that the last leg of the journey – whether it’s a few miles or a few blocks – is often fraught with bottlenecks and roadblocks (sometimes literally).

As explained recently by Forbes, a product can be designed and manufactured in Asia, shipped all the way across the Pacific Ocean, be loaded on a truck and driven to a Midwest warehouse. And all of that will cost roughly the same as the last mile delivery – just getting the product from that warehouse to its final destination on the customer’s doorstep.

Keep in mind: Last-mile delivery isn’t just a single action. It’s a series of steps, and all of them have to go off without a hitch in short order for successful delivery.

customs bonded warehouse Cleveland Ohio

Ways a Customs Bonded Warehouse Boosts Your Company’s Bottom Line

If international imports are central to your operation, using a customs bonded warehouse may be key to your supply chain efficiency.

Successful navigating global logistics requires effective coordination of numerous components: Transportation, warehousing, inventory management, etc. In that context, a bonded warehouse can be an ideal means to cost-effectively store imports closer to the final destination for extended periods of time while also maintaining compliance with the maze of legal and regulatory requirements for such goods.

As noted by U.S. Customs and Border Protection, companies that move large volumes of imports (particularly those subject to customs duty tax) in a secure site – where it can be stored, manipulated and undergo manufacturing) – without payment for up to 5 years. Liability is transferred to the warehouse proprietor, who guarantees the goods will be stored securely and appropriately until cleared by customs for release.

Federal regulations for bonded warehouses are outlined in Title 19, U.S.C. section 1555 and 19 CFR 19, which includes details on the 11 different classifications for bonded warehouses. Businesses shopping for a Cleveland bonded warehouse may have several options of bonded warehouse providers, depending on their volume, special storage requirements, and last-mile delivery locations.

Probably the most common are public bonded warehouses, which are used exclusively for storage of imported merchandise, and bonded warehouses utilized for cleaning, sorting, repacking, etc. Other types include privately-owned bonded warehouses (all goods in the facility belong to the warehouse owner), bonded yards or sheds (used for storing heavier, bulkier imports), bonded warehouses for manufacture in bond (mostly for exported goods made in whole or in part of imported materials), and bonded warehouses set up for smelting and refining imported metal materials.

Shield Against Supply Chain Disruptions

A primary feature of customs bonded warehousing is that it defers duty tax payments on imported goods for up to five years. Products can be stored, manufactured and manipulated while at the facility, but the shipper doesn’t pay duties until they are ready to be shipped out for delivery. For a company that ships sizable volume, the ability to hold off on paying duty taxes until goods actually sell and are ready to be shipped out can insulate businesses from sudden market swings and dips. By strategically controlling stock levels in this way, companies can protect themselves from the brunt of supply chain volatility impacts.

Perfect example: The pandemic. Dramatic demand shifts led to major bottlenecks and high inflation for all kinds of goods. Certain goods (luxury, for instance) saw a sharp drop in demand, but manufacturers and distributors didn’t want to lose out on supplier contracts. By utilizing bonded warehouse facilities to store excess stock without the need for immediate duty payments, lot of operations were able stay afloat until demand bounced back.

Potential tax savings is another upside for many bonded warehouse clients. Duty taxes on bonded warehouse items don’t have to be paid upfront. They only pay when items are released. If the import tax has been lowered during storage, the company gets to take advantage of the lower rate.

Furthermore, if demand stagnates long-term, bonded warehouse users can export goods elsewhere without paying any duties.

warehouses in Cleveland Ohio

Checklist When Comparing Warehouses in Cleveland, Ohio

Warehouses are more than central storage locations. They can be essential for safeguarding your goods, monitoring your inventory, labeling and kitting your products, facilitating smart logistics, and ensuing intact, on-time deliveries. But all companies have differing (sometimes very specific) warehousing needs – perhaps ones that they don’t even fully understand. So when exploring options for warehouses in Cleveland, Ohio, it’s important to carefully weigh whether the facility aligns with your operational requirements, growth strategy, budget, and overall supply chain efficiency.

Rising Warehouse Demands

Warehousing in the U.S. has grown exponentially in the last two decades. As noted in research published in the Journal of Transport Geography, the number of warehouse workers went from about 120,000 in 1998 to more than 800,000 by 2015 – an increase of nearly 580%.

This growth has continued in the years since, driven by the accelerated growth of e-commerce, which spiked nearly 40 percent between 2019 and 2021, according to Forbes. It slowed a bit in 2023, but the American Journal of Transportation reports warehouse construction is expected to climb again in 2024, thanks in part to heightened demand for just-in-time deliveries.

That means businesses will have more options. Being more highly selective can help boost your bottom line and operational efficiency.

Warehouses in Cleveland Ohio – and the rest of the country – serve as pivotal points within supply chains. Contracts continue to include more specialized services, with advancing automation and customized add-ons like distribution and fulfillment, product coding and repacking, kitting, cross-docking, CES (Centralized Examination Station), and bills of lading preparation.

Must-Haves for Warehouses in Cleveland Ohio

To make an informed choice about warehouses in Cleveland Ohio, it’s a good idea to do more than simply get a quote. That’s the first step, of course. But consider also engaging potential providers on the phone or in-person. Gather detailed information on their operations and maybe even schedule an on-site visit.

Some key considerations to get you started:

liftgate service from Cleveland trucking company

Need a Lift? Advantages of Cleveland Trucking With Liftgate Services

Incorporating liftgate services into Cleveland trucking logistics is a leg-up for customers who need extra assistance with loading an unloading – particularly with goods that are heavy, oversized, or can’t be easily manually handled.

Liftgate delivery is an add-on service offered by Cleveland trucking companies and other freight carriers to pick up and delivery freight. It involves the use of a hydraulic lift (i.e., the liftgate) that’s installed on the back end of a truck. It lifts packages and other material goods from ground level to truck level and back. Most are stowed beneath the rear of the vehicle when not in use, allowing for full access to the rear door when they’re folded up.

You may have heard from long-time business owners that liftgates can be a pain. In the past, it’s true that many were plagued with constant maintenance and power issues. But such problems have become largely non-existent as technology has improved.

Liftgates can allow for lifting heavier loads than ramps. They also tend to be safer and more efficient for drivers to operate. Ramps can be great for a truckload of light cargo, particularly at locations with a loading dock. But for with anything heavier or outside of a loading dock area, a liftgate is the easy choice. Unlike ramps that need to be manually dragged out and lifted back up, liftgates are operated with the touch of a button. Liftgates also only need about 5 feet of space behind them, whereas ramps require about 15 feet of clearance.

Many small-scale businesses, particularly those that require delivery to residential destinations, don’t have a docking service for safe loading and unloading of freight. It’s also ideal for commercial and construction sites or any other location where there is no loading dock availability. If the load weighs 150+ pounds and there’s no other equipment for loading/unloading, you need a liftgate for your Cleveland truck deliveries.

Cleveland trucking company with liftgate delivery services

Cost-Benefit of Liftgate Delivery With Cleveland Trucking

Liftgate delivery services will come with a higher price tag. But for those who need it, liftgate services can actually provide cost savings. Among these:

  • Injury prevention. Lifting heavy loads or materials without the proper equipment and technique can lead to serious workplace injuries. Employers and deliveries are adversely impacted by this as well. With liftgate services, you protect your people and your freight.
  • Lower labor costs. Proper lifting of heavy or awkward-sized loads sometimes requires more than one worker. A truck equipped with a liftgate can reduce the number of workers needed to safely move your packages.
  • Driver retention. Going up and down a ramp multiple times with a sizable load – even with a dolly – can wreck havoc on the knees, joints, and back. Drivers may be more likely to take a job – and stay on it – if the truck they’re operating uses a liftgate.
  • Damage avoidance. Freight that isn’t loaded/unloaded with care by your Cleveland trucking service has a greater potential to be damaged. Loss of damaged goods – and the delays and costs associated with a whole new delivery – often far outweigh the add-on cost of liftgate deliveries.
  • Expanded delivery options. When you are limited to delivery destinations with loading docks or other infrastructure designed for smooth freight handling, you might miss out on faster, more efficient delivery routes.
  • Versatility in freight handling. If you have large or oddly-shaped deliveries, you may be limited in your Cleveland trucking service options unless you secure one with a liftgate.
  • Improved customer satisfaction. Shippers offering last-mile delivery are often able to reach more customers, safely bringing goods direct to their door, when they’re using a truck with a liftgate.

Liftgates can last up to 10 years, but they may require quarterly maintenance (or every 3,000 cycles), though it’s generally minimal if you kept up with. By working with a dedicated Cleveland trucking service with a lift-gate delivery as an add-on, you get all the benefits while leaving the purchase, maintenance, training, and labor to us.

For information on our Cleveland OH trucking services, contact On Time Delivery & Warehouse by calling (440) 826-4630 or send us an email.

Additional Resources:

Liftgates Versus Ramps, Fleets Focus on Easing Driver Workload, Preventing Injury, Sept. 21, 2018, Transport Topics

More Blog Entries:

3PL Trucking Companies in Ohio Invest Heavily in Safety, Risk Avoidance, Dec. 29, 2023, Cleveland Trucking Company Blog

3pl trucking companies in Ohio

3PL Trucking Companies in Ohio Invest Heavily in Safety, Risk Avoidance

As substantially as societies rely on trucking, it remains a risk-prone industry. Constant concern about driver safety and retention, adverse weather, poor road conditions, vehicle breakdowns and cargo theft means 3PL (third-party logistics) trucking companies in Ohio must not only adhere to strict federal operating guidelines but also continually invest in safety. According to a recent analysis by the American Trucking Associations, that’s exactly what they’re doing.

A new ATA study shows the trucking industry invests $14 billion every single year in training, technology, and other initiatives aimed specifically at highway safety.

“Risk avoidance in trucking has been an ongoing discussion, but trucking companies in Ohio are actually putting their money where their mouth is,” On Time Delivery & Warehouse CEO Anthony Figliano said. “We’re doing the work every day, but also investing in long-term initiatives that not only secure our client’s shipments, but ultimately make the roads safer.”

The ATA analysis indicated the $14 billion safety initiative expenditures in 2022 was 40% higher than the last time the survey of fleet owners and truck carriers of all sizes was conducted seven years earlier. Such numbers are reflective of the fact that the industry is going above and beyond mere regulatory compliance investments.

Third-party logistics trucking companies in Ohio are paying for things like:

  • Additional training for all drivers, not just the novices.
  • Safer driving practice incentives.
  • The latest technologies that track trucker driving schedules and behaviors and boost crash avoidance.
  • Safety-related fleet maintenance.

There are nearly 14 million large trucks in the U.S., representing 5% of all registered motor vehicles but responsible for moving nearly two-thirds of the country’s freight. As of this spring, there were 750,000 motor carriers in the U.S. employing some 8.4 million people (excluding those who are self-employed).

trucking safety checklist - 3PL trucking companies in Ohio Cleveland

Working With Trucking Companies in Ohio That Prioritize Safety

Safe trucking practices don’t “just happen.” They’re part of an intentional, strategic effort. Given the scope of such efforts, many shippers conclude it’s easier and more effective (generally and cost-wise) to outsource trucking services to a third-party – particularly one that also provides logistics support.

At On Time Delivery & Warehouse, our safety investments include:

  • Fleet safety tech The fleet itself can be armored with tech like lane departure warning devices, collision avoidance systems, and telematics. We can glean real-time data not only on vehicle performance but driver data. Shippers in turn get greater transparency on the condition and location of their shipment. This tech, combined with the expertise of our logistics teams, can minimize the risk of risk delays and cargo damage.
  • Driver education & training. Truck drivers must meet certain aptitude requirements before they’re even allowed on the road. But top trucking companies in Ohio view driver education as a continuous process. Ongoing education courses can help boost driver skills and awareness. Research shows continuing driver education contributes to fewer accidents, less cargo damage, greater adherence to safety regulations, and better on-time delivery track records.
  • Safety compliance. Standards set by the Federal Motor Carrier Safety Administration (FMCSA) aren’t mere suggestions. Trucking carriers must abide hours-of-service regulations and regular schedules for vehicle inspections and maintenance. Working with 3PL trucking carriers gives shippers peace of mind that transport of their goods meets all the legal requirements, and thus they’re less likely to face regulatory-related fines and delays.
  • Load securement apparatus. Proper cargo loading is one of those things that requires time, labor, training, and the right tools, such as tie-downs and straps. This minimizes the odds of damage during transit.
  • A plan for the unplanned. Anyone in logistics knows expecting the unexpected is an imperative. Warehouse bottlenecks, highway traffic jams, sudden adverse weather conditions, vehicle breakdowns – any of these are possible. Ohio trucking companies with logistics capabilities can help minimize the impact of unforeseen problems. In addition to emergency protocol, we have contingency plans and alternate routes already mapped. And customers can see our maneuvering in real time.

By partnering with a 3PL trucking company that prioritizes safety above and beyond regulatory compliance, shipping companies can maximize efficiency, protect their goods, and improve customer satisfaction with intact, on-time deliveries.

For information on our Cleveland third-party logistics, warehousing, CFS freight, intermodal transportation and trucking services, contact On Time Delivery & Warehouse by calling (440) 826-4630 or send us an email.

Additional Resources:

New Study Underlines Trucking Industry’s Commitment to Safety, Dec. 11, 2023, American Trucking Associations

More Blog Entries:

Leveraging 3PL Intermodal Shipping to Offset Cleveland Trucking Costs, Nov. 15, 2023, Ohio Trucking Company Blog

Cleveland 3PL warehouse staff helps with onshoring

How a Cleveland 3PL Warehouse Can Help With Onshoring & Nearshoring

Reducing risk and improving resiliency of supply chains is always a priority for many companies. This was true even before the pandemic, but pressure from numerous high-profile wars, inflation costs, and natural disaster disruptions has companies placing supply chain streamlining at the top of the list. Increasingly, doing so includes strategies like “onshoring,” “nearshoring,” “reshoring,” and “friendshoring” – all things an established Cleveland 3PL warehouse can help with.

Defining Shifting Supply Chain Strategies

To understand why businesses are increasingly shifting their supply chain strategies, we first need to know what each of those different strategies entail.

1. Onshoring

Onshoring is when a business – or elements of the business operation – are positioned in one’s home country in order to reduce costs.

Although companies choose to offshore certain aspects of their operations for a number of reasons (mainly, cost), offshoring also involves a fair amount of risk. In general, the farther away your manufacturers and other supply chain partners, the higher the chance that there will be some disruption that could lead to delays, lost product, etc.

Motivations for onshoring include incentive to support local economies, better quality control, lower lead times, and enhanced communication/collaboration.

Similar to onshoring is “reshoring.” This involves relocating certain aspects of your supply chain back to your home country from another.

2. Nearshoring

Nearshoring involves relocating certain aspects of one’s business operations to a closer or neighboring country from one that’s farther away. The general idea is that closer geographical proximity is better in the long-run to minimize logistical challenges, such as language barriers and different time zones.

Similar to onshoring, nearshoring can reduce transportation cost, minimize lead times, and improve coordination between supply chain partners.

3. Friendshoring

This term/practice isn’t as widely used as onshoring and nearshoring, but it’s basically the practice of partnering with suppliers, service providers, and others with a strong reputation for reliability and trustworthiness. A dedicated Cleveland 3PL warehouse can help you achieve this, whether your supply chain partners are across the sea or down the street.

The Shift Toward Onshoring, Nearshoring, Reshoring, and Friendshoring

As noted in a recent analysis by Supply Chain Dive, there are a number of catalysts that have been U.S. supply chain trends in the direction of these strategies.

Among these:

Work crew at Cleveland industrial warehouse and logistics center

Cleveland Industrial Warehouse & Logistics Among Fastest-Growing Jobs

A new report by the U.S. Bureau of Labor Statistics (BLS) reveals that transportation, warehousing, and logistics will be among the most rapidly-growing economic sectors over the next 10 years. As a longtime Cleveland industrial warehouse & logistics service provider, On Time Delivery & Warehouse has always prioritized the strength of our team – which ensures we’re always ready to adapt to market growth, shifts, and advances.

While BLS projects overall “subdued” job growth in the labor force over the coming decade (about 0.3% annually), the transportation, warehousing, and logistics sector is expected to grow nearly three times as fast (0.8% annually). Cleveland industrial warehouse services in particular are expected to be in high demand – perhaps partially because retail and manufacturing are expected to see slight economic shrinkage by 2032.

Although there’s a tendency to think of warehousing and distribution as “blue collar” (and some positions are), the reality is that the technology, systems, and operations our teams manage are increasingly complex. Our clients trust us to be reliable and knowledgeable when it comes to the essentials like understanding supply chain design and decision-modeling, contract and pricing negotiations, national/international supply chain management, and risk mitigation.

A number of higher education institutions offer associate’s, bachelor’s, master’s, and even doctoral degrees in fields like supply chain management, operations management, and logistics & supply chains.

Graduates of these programs are prepared to take on positions at Cleveland industrial warehouse and distribution centers as logistics managers, configuration analysts, and business operation specialists. Most management roles in these sectors require graduate or post-graduate degrees. Certifications in specialties like inventory management can help graduates further stand out in what is an increasingly competitive field. The same can be said for those with additional background experience in business, economics, mathematics, and engineering.

Industrial warehouse managers are responsible for supervising everything that occurs. They’re tasked with planning, managing, and coordinating all the broad functions that occur on site, while also optimizing efficiency, reducing costs, and minimizing safety risks. They’re also counted upon to ensure regulatory compliance, resolve sudden complex logistical problems, and provide superior customer service.

At On Time Delivery & Warehouse, we have always recognized that our people ARE our business. Nothing here runs without them. That’s why we choose our team carefully and prioritize their well-being and professional development.

Why Midwest Region Industrial Warehousing Demand is Rising

The increasing demand for industrial warehousing in the Midwest can be attributed to a number of factors and trends reshaping the logistics and supply chain landscape in the region.

intermodal shipping through third-party logistics Cleveland

Leveraging 3PL Intermodal Shipping to Offset Cleveland Trucking Costs

Over the last few years, opportunities for intermodal shipping ceded way to higher demand for truckload deliveries – which has resulted in some of the highest costs for Cleveland trucking in years.

But as our third-party logistics experts have noted, the tide appears to be shifting for intermodal shipping. Our customers may find a growing number of opportunities to cut costs by opting for a combination of rail, sea, air, and truck transport – something our Northeast Ohio 3PL supply chain experts can help arrange.

As recently reported by FreightWaves.com, rail transport tapered off considerably during the pandemic. Many have concluded that time period to be a missed opportunity for the railroads and rail shipping in general. However, demand for freight has risen over the last six months – with truckload demand leveling out and intermodal loaded container volumes the highest they’ve been since 2021. That growth can largely be attributed to shippers converting their truckload freight to rail. This makes sense because rail service has improved, as have the rates.

Strategic use of intermodal shipping can ultimately save your company a significant sum in transport and delivery costs.

What Exactly is Intermodal Shipping?

Intermodal transport, also known as intermodal transportation or intermodal shipping, is a logistics strategy that involves the use of multiple modes of transportation to move goods or cargo from the point of origin to the final destination.

This approach typically combines at least two of the following modes: road (truck), rail, water (usually ocean shipping), and air. The key idea is to seamlessly transfer cargo containers or units between different modes of transportation, making the overall logistics process more efficient and cost-effective.

How Intermodal Transport Saves Money

Intermodal transportation offers cost savings, environmental benefits, and increased flexibility.

Examples of strategies shipping companies can employ to optimize pricing through intermodal transportation:

  1. Route Optimization. Shipping companies should analyze their shipping routes and identify opportunities to use intermodal transportation. By choosing the right combination of modes for different legs of the journey, they can reduce costs and improve efficiency.
  2. Volume Commitments. Negotiating volume commitments with intermodal providers can lead to lower pricing. Shipping companies that commit to a certain amount of freight can often secure better rates and service agreements.
  3. Transit Time Considerations. Depending on the nature of the goods and the customer’s requirements, it’s essential to balance cost savings with transit time. Slower intermodal routes may be more cost-effective, but faster routes may be necessary for time-sensitive shipments.
  4. Long-Term Contracts. Entering into long-term contracts with intermodal providers can help lock in favorable rates and terms, providing stability and predictability in pricing.
  5. Efficient Equipment Utilization. Maximizing the utilization of containers and trailers is critical to cost savings. Using specialized intermodal equipment and optimizing the loading and unloading processes can reduce empty miles and increase efficiency.
  6. Negotiation and Collaboration. When you work with a 3PL partner with strong, established working relationships with intermodal providers, you get the benefit of our negotiations to secure better pricing on your shipments. Collaborating on innovative solutions can also lead to cost savings and improved service.
railroad with containers used in intermodal shipping by a Cleveland trucking and 3PL provider

Our Cleveland 3PL Helps Our Customers Make the Most of Intermodal Shipping

Working with a Cleveland 3PL (Third-Party Logistics) provider like On Time Delivery & Warehouse can be a valuable strategy to optimize intermodal pricing.

  1. Expertise and Resources. 3PLs have the expertise and resources to help shipping companies navigate the complexities of intermodal transportation. They can leverage their industry knowledge and relationships with intermodal providers to negotiate better rates and terms.
  2. Network Access. 3PLs often have a broad network of transportation providers and can identify the most suitable intermodal solutions for a specific shipment, optimizing routes and modes.
  3. Technology and Visibility. 3PLs can provide technology solutions that offer real-time visibility into shipments, helping shipping companies track their cargo and make informed decisions about routing and timing.
  4. Flexibility. 3PLs can adapt to changing market conditions and shipping needs, making it easier for shipping companies to take advantage of cost-effective intermodal options.
  5. Risk Management. 3PLs can help shipping companies manage the risks sometimes associated with intermodal transportation, such as delays, disruptions, or damaged goods.

Bottom line: With the right combination of intermodal strategies and partnerships, our dedicated logistics experts help clients reduce costs and improve overall supply chain efficiency.

For information on our Cleveland third-party logistics, warehousing, CFS freight, intermodal transportation and trucking services, contact On Time Delivery & Warehouse by calling (440) 826-4630 or send us an email.

Additional Resources:

Intermodal’s gain is trucking’s loss, Oct. 28, 2023, By Zach Strickland, Freight Waves

More Blog Entries:

NE Ohio 3PL Partner Helps Businesses Build Supply Chain Sustainability, Sept. 15, 2023, Cleveland Trucking & Logistics Blog

traffic jam illustrating how Cleveland trucking companies minimize freight congestion risk

How Cleveland Trucking Companies Minimize Freight Congestion Impact

Staring down a mass of snarled traffic on the internet is never anyone’s idea of a good time. But for Cleveland trucking companies, the fallout is more than mere inconvenience. Per the American Transportation Research Institute, traffic congestion costs the trucking industry an estimated $75 billion in added operational costs and 1.2 billion trucker hours.

The ripple effect would extend far beyond trucking firms. Consider that if every truck in America grinded to a halt for 24 hours, gas stations would start running out of fuel, manufacturing would be at a standstill, and U.S. mail and parcel services would cease. If it went any longer than that, food, cars, and jobs would quickly become scarce.

All of this would occur even though trucking represents just one of many modes of the U.S. freight transport system – which just drives home the point of how essential timely truck deliveries really are to a functional, thriving economy. In fact, it’s so critical that the U.S. Department of Transportation has a robust special initiative aimed squarely at reducing traffic congestion.

There are also ways that Cleveland trucking companies can limit the impact of freight congestion – particularly if they’re a third-party logistics operations with their own fleet lots, warehousing, and distribution centers.

Causes of Freight Congestion

Freight congestion occurs anytime goods being moved from source to destination through a supply chain are held up due to too much traffic. Although we’re focusing here on freight congestion on the road, it can also occur at railroads, airports, customs exam stations, and ports.

USDOT classifies two types of congestion: Recurring and non-recurring.

illustration of Cleveland warehouse security to reduce cargo theft

OTDW Cleveland Trucking & Warehouse Security Limits Cargo Theft Risk

While supply chains are beginning to stabilize from an extended period of volatility, there’s one concern that appears to be steadily increasing: Cargo theft. On Time Delivery & Warehouse has always taken seriously our trucking and warehouse security efforts. We’re keenly aware of what the National Insurance Crime Bureau is characterizing as a “growing and significant threat” to companies, carriers, and consumers.

Cargo theft is defined as the criminal taking of any cargo (i.e., goods, cash, baggage, chattel, etc.) that is wholly or partially a commercial shipment of freight that’s between the points of origin and destination. It can include snatching goods right off of a railroad car, truck, or other vehicle, or breaking into a CFS (commercial freight station) or warehouse/distribution facility.

Sometimes thieves are making off with small amounts of valuable cargo. But a fair number are making off with entire truckloads. The NICB estimates the total cost of cargo theft in the U.S. tops $15-$35 billion annually.

Online marketplaces (particularly on social media platforms) are the most common point of resale, which is why the practice poses such a threat to consumers too. Stolen/resold items often aren’t properly transported, stored, or delivered – meaning there’s no guarantee of their freshness, effectiveness, or safety.

Recent analysis of reported truckload carrier cargo theft incidents indicate that there’s been a 55 percent increase this past quarter compared to the one prior. Full truckload theft is up 17 percent nationally. Theft of high-value cargo is a bigger risk in or near larger cities and freight hubs, such as Route 40, which runs through southern Ohio.

Common Cargo Theft Techniques

Cargo may be especially vulnerable during loading and unloading, but also while goods are parked in unsecured lots (public and private) or if stored in a facility that lacks adequate warehouse security.

In some cases, thieves are simply targeting the low-hanging fruit of vulnerable goods in unsecured lots or vehicles. Such heists often involve small, easy-to-turn-around items, such as home, garden, food, auto, electronics, and beverage products. Hot spots for this have been identified in Georgia, Kentucky, and Indiana.

However, uptick in cases of fictitious pickups targeting larger hauls is a more sophisticated and rising concern for many carriers. Fictitious pickup is a cargo theft technique typically carried out by organized crime groups engaged in internet fraud and forgery. They use false IDs, bogus carrier names, or hacked data systems to intercept entire shipments. Most reported cases of fictitious pickup thefts in the last year have been on the West Coast/Los Angeles area, though there have also been a fair number reported in Florida and Illinois as well.

It’s for this reason that On Time Delivery & Warehouse logistics professionals understand that bolstering Cleveland trucking & warehouse security requires both physical protections and cybersecurity measures.

Clients Can Trust Our Trucking & Warehouse Security Practices

Preventing cargo theft requires a multi-pronged approach from many different touchpoints and partners. As longtime logistics partners facilitating Cleveland trucking, CFS, and warehousing/distribution, we have made robust security measures an integral part of our practices – and ongoing operational reviews.

Although we won’t tip our whole hand on internal security protocols, we can say that our trucking & warehouse security measures generally include:

  • Access control. Restricted entry to the facility, fleet vehicles, and storage lots ensures only authorized personnel have access. Meticulous personnel logs and real-time tracking of inventory are also utilized.
  • Site and perimeter security. Monitored doors, high-resolution security cameras, alarm systems, ample lighting, and fencing, provide protection to the goods coming to, going out, or staying at our warehouse.
  • Loading dock security. Our processes ensure tight control over access to loading dock areas – including vigorous driver verification checks and outgoing cargo inspections.
  • Scrupulous inventory management. Regular inventory checks and real-time tracking help to quickly detect discrepancies and other red flags for theft.
  • Employee background checks and training. Knowing who all of our employees are, developing a clear system of security protocols, and cultivating a culture of awareness and responsibility goes a long way toward minimizing cargo theft risks.
  • Secure storage. Special security protocols may be initiated for certain items that are high-value or easily pilferable. Some containers may be equipped with tamper-resistant seals.
  • Strong cybersecurity. Protecting our digital records and systems against cyberattacks will always be top on our short list of warehouse security features.
  • Clear emergency protocol. In the event there is a cargo theft, having a clear, concise, effective emergency response plan is essential. Our team is trained on not just how to prevent cargo theft, but identify, report, and respond to it.

By implementing these security measures and staying vigilant, warehouses can significantly reduce the risk of cargo theft and protect their assets. Regular security audits and adjustments to security protocols can help adapt to changing threats and maintain a high level of security.

For information on our Cleveland warehousing, CFS freight, and trucking services, contact On Time Delivery & Warehouse by calling (440) 826-4630 or send us an email.

Additional Resources:

Cargo thefts from trucks, warehouses spike during Q2, Sept. 25, 2023, By Noi Mahoney, Freightwaves.com

NE Ohio 3PL Partner Helps Businesses Build Supply Chain Sustainability, Sept. 15, 2023, Cleveland Warehouse & Distribution Blog