Category Archives: Logistics

Logistics, News

Telematics Data from Visiontrack highlights increased levels of speeding amongst fleet and road transport drivers since lockdown

Vehicle data taken from VisionTrack’s IoT platform backs recent motoring research and Police figures that points towards drivers increasingly flouting the speed limit during the coronavirus crisis. In fact, the findings show that fleet and road transport drivers are amongst those speeding during the lockdown, with overall incidents increasing by 2.61% despite a 22.6% reduction in the number of miles driven.

The video telematics specialist used Autonomise.ai, its next generation IoT platform, to analyse the data, comparing speeding and harsh driving events in February, prior to the lockdown, with those that occurred in April when restrictions had been implemented. It shows that average monthly speeding events rose from 53.09 to 64.62 per vehicle, an increase of 21.72%, while the distance between speeding events dropped from one every 30.70 miles to one every 23.15 miles, a decrease of 24.59%.

However, harsh driving events excluding speeding reduced by 28.02% in April during the lockdown, including a decrease in harsh braking (32.44%), Harsh turning (22.72%) and harsh accelerating (12.55%). This perhaps suggests that speeding and aggressive drivers were not being held up as much by other road users due to the significantly lower levels of traffic on the roads.

Richard Lane, Commercial Director of VisionTrack commented:

“These findings show that fleet and transport operations cannot lose focus or become complacent about the dangers of irresponsible and illegal driving. With less vehicles on the road there is a temptation to drive faster than normal, but there is still a high number of vulnerable road users that are particularly at risk. Businesses need to engage with their drivers to ensure they understand their responsibilities during the lockdown and are aware of the potential threat not only to life but also brand reputation.”

Case Studies and Partnerships, Logistics, News

Aqualine Turns To Arrowxl To Support Significant Growth As The UK Focuses On Health & WellbeinK

Aqualine Saunas, the leading supplier of top brand saunas and steam rooms in the UK, has appointed a new delivery partner to support its significant growth which has seen sales rise by over 50% since the start of the Coronavirus Pandemic.

ArrowXL, the leading 2-person delivery company, will provide a comprehensive warehousing and delivery solution for the company’s SaunaMed range, which is flat packed and can be easily assembled in around 30 minutes. These will be stored at ArrowXL’s facility in Wigan and delivered nationwide six days a week, with items fully tracked and regular communication from the ArrowXL customer team provided about the progress of the delivery.

Adam Kershaw, Director at Aqualine Ltd, said: “Now, perhaps more so than any other time in our recent past, there is an emphasis on health. As a result, people are increasingly using a sauna to raise their body temperature and activate their immune systems. The healing power of artificially induced fever has been well documented, and saunas capitalise on the way in which our bodies naturally provide the building blocks for health and longevity, working with the immune system, enhancing an already sophisticated network of defence processes within the body.”

Craig Kavanagh, Sales Director at ArrowXL, said: “Our service brings a number of benefits for Aqualine customers in terms of convenience, communication and visibility with our diary booking method allowing customers to choose a delivery date that suits them. This supports Aqualine’s commitment to high levels of service throughout the whole customer journey.”

Commercial Property, Logistics, News, Property

What next for logistics property in the UK?

With the Covid-19 pandemic forcing many companies to increase stock levels and reshape supply chains, as well as driving an ever-greater reliance on on-line shopping, leading property consultancy, Gent Visick believes there are interesting times ahead for the logistics sector and big shed market.

Andrew Gent, a director at Gent Visick, said: “Imagine it being Christmas every week? This has been the situation which the supermarkets and on-line retailers have faced since the onset of the Covid-19 lockdown. The level of demand for certain products had simply overwhelmed their existing supply chains.

“The advantage of Christmas is that it is a single fixed date for which retailers can build their stock levels and gear up their distribution operations, the lockdown exposed the weaknesses inherent in supply chains which have been designed to maximise efficiencies and cut costs.

“Many retailers have taken additional short-term warehouse space to increase their stockholding and have re-geared to find alternate suppliers and with China now back on-line the situation is easing, although it has taken some unusual steps to get there.

“The temporary relaxation of the competition rules in the food retail sector has seen some pooling of resources, warehousing, vehicles and staff to enable the retailers to once more fill the shelves and avoid further panic buying.

“The Government have announced that, subject to observing the new social distancing guidelines, all shops can re-open on the 15th of June. However, will there be a mass return to the high street, or will people’s concerns continue to drive the expansion of the on-line retail sector?

“Food retailers have already noted a return to the “weekly shop” with customers seeking to limit their exposure and it is still difficult to secure an on-line shopping slot. For hundreds of alternate goods on-line shopping has become a way of life. Whilst the high street re-opens, it may be some time before the public have the confidence to return in numbers. With those that can still working from home, the convenience of home delivery may continue to outweigh the perceived risk of going out.

“The response to date has been a flurry of short-term large warehouse acquisitions and increased demand for smaller space, suitable for additional home delivery hubs. There has also been a race for open storage land close to the main ports as the flow of containers returns to pre-Covid levels but with retail outlets closed there is somewhat of a logjam at the moment.”

Andrew continued: “Looking to the mid-term, should demand for on-line shopping continue at the current rate, there will be further demand for some 14 million square feet of additional warehousing space across the country. With limited standing stock and existing pressure on the supply of employment land, this should help to maintain current rental and capital values.

“With supply chains adapting to carry more stock, manufactures looking to re-shore elements of production and diversifying production to avoid being too reliant upon a single market, we would again expect to see demand for additional warehouse space as we move on from the lockdown.

“However, all this does rather depend on the overall economic position and household confidence to maintain sales and demand for goods. With several large companies already announcing significant numbers of redundancies and a number of smaller companies, particularly in the hotel and leisure sector failing, the level of unemployment will grow. Inevitably this will impact upon consumer confidence which will lead to reduced demand for goods and services.

“That said, the changing shifts in supply chains, evolving patterns of consumer shopping, a nervousness to return to the high street allied to home working and the convenience of home delivery, will create future demand for additional stockholding warehouses and home delivery hubs. All of this certainly bodes well for the logistics sector and Yorkshire is ideally placed to capitalise geographically.”

Logistics, News

Hermes set to expand depot network, creating over 100 new jobs

Hermes UK, the leading consumer delivery company, has announced it is to open a new depot in Nottingham; creating over 100 new jobs in the area. It forms part of the company’s commitment to continuing to invest in its infrastructure to ensure it is able to continue to support the growth of online shopping.

Ideally located just off junction 26 of the M1, the 75,719 sq ft building is expected to process more than 100,000 parcels daily in its first year and has the capacity to process up to 120,000 a day. It is due to open on 1st June 2020, one month early, in order to support the increased volumes resulting from lockdown and will operate in line with the company’s strict Covid 19 operating measures.

To provide further capacity during the pandemic Hermes is also to open a new, dedicated returns centre at its site in Rugby which can process in the region of 120k parcels per day and is also investing in upgrading its facility in Nuneaton which is normally only used during the peak Christmas season.

Jon Ormond, Operations Director – Hubs & Depots at Hermes, said:

“During these unprecedented times we are seeing a new wave of adoption of online shopping as it becomes the core route for people to get their essentials and also send parcels as a way of connecting with their loved ones. This has generated an increase in parcel volumes and a demand for additional capacity and it is therefore imperative that we continue to make the right strategic investments in the right locations. This will also create new jobs and provide economic stimulation to these regions as the UK faces challenging economic times.”

Simon Jenkins, Development Director at Panattoni commented:

“We were pleased to work with Hermes to complete this transaction at Panattoni Park Nottingham. Hermes’ outline requirement was for a building of this size in this location. We were able to work with their team to adapt the building, which we had developed on a speculative basis, to suit their exact needs. The additional works required providing further yard space with four more level access doors on the end elevation of the building to meet Hermes requirements.”

The Hermes Nottingham depot will be based at Panattoni Park. For more details, visit: https://ppnottingham.com/site-plan/

Logistics, News

The value of 3PL

3rd Party Logistics (3PL) is on the rise in Europe, with technology playing a critical role in this. The term 3PL encompasses a wide range of services and shipping solutions, such as LTL (less-than-truckload) and truckload brokerage, intermodal, transportation management, freight forwarding, value-added logistics, warehousing, reverse logistics and final-mile. Currently, there are numerous technological trends within 3PL services. Digital tracking technology is becoming more and more prevalent, whilst API connectivity is another key focus for much of the industry.

Coyote, a leading global third-party logistics provider that matches more than 10,000 shipments every day, have spoken to one of their carriers, Greek company Marinos Trans, about the way in which they use 3PL.

Q&A with Monika Deligianni, Intra Europe Manager of Marinos Trans:

Coyote: What are some of your day-to-day business challenges?
Monika Deligiannis: The biggest challenge that we have now is our competition. When we started, we were the first to move refrigerated trucks, but now there are many others. Some of these newer companies accept rates that are below the actual cost to transport in order to avoid driving empty. It’s hard to keep up, but you don’t have a choice – after all, we have to keep our trucks moving.

C: Besides competition, are there any other challenges you’re facing?
MD: It is challenging to consistently find the right freight to keep our trucks moving but having a partner with a sizeable network like Coyote Logistics is very helpful. Being able to tap into a huge network of customers allows us to find freight that we couldn’t have found on our own. At times when capacity is low, like around certain holidays or when our trucks are in places where it’s harder to find freight, Coyote is there.

C: You mentioned that we have helped you to overcome some of the challenges you’re facing. Can you share what made you start to work with us to begin with?
MD: Our first contact at Coyote was with a rep named George. We talked quite often and we could see how motivated he was to learn more about our business. This personal touch made the difference. But the same way he learned about us, we learned about Coyote. George took his time to answer questions, explain how Coyote operates and what opportunities are available to us. It was only a short matter of time before we found lanes we could start hauling.

C: We’ve been working together for several years now. Can you tell us more about your experience working with Coyote?
MD: So far we are very happy with our relationship. Not only has Coyote been able to provide us with solutions and freight that we couldn’t have found on our own, but you always pay on time. It is a big relief not having to worry about delayed payments.

Coronavirus, Industry News, Logistics, Retail

How the Delivery and E-Commerce Sectors are Responding to the Global Pandemic

Matthew Robertson, Co-CEO, NetDespatch, discusses the multiple challenges for e-commerce and logistics operators during the global Covid-19 pandemic

As COVID-19 grips the nation and indeed countries around the globe, there is a degree of trepidation in the air with most of us locked down in our homes remote-working, apart from the essential key workers.

This has meant that many stores around the country have been forced to close and have seen their spring sales completely disrupted.  However, where supermarkets and convenience stores are concerned, these have boomed, with Tesco reporting a 30% uplift in sales.  We’ve also seen some real innovation across the industry, for example Morrisons creating pop-ups in hospital car parks to serve our amazing NHS workers.

Similar to what is happening in supermarkets online retail sales have risen dramatically in March, with a 74% growth in average transaction volumes compared with the same period last year, according to data from ACI Worldwide. The analysis, of hundreds of millions of transactions from global online retailers, demonstrates the extent to which people’s shopping habits have changed as a result of the COVID-19 crisis.

As you can imagine, this rise in eCommerce sales has been particularly profound in products related to staying indoors, such as home products and furnishings, DIY, electronics and garden essentials. Likewise, the food and beverage industry has seen a dramatic increase in online purchases.   I know from my own experience that trying to get a slot for an online delivery with any of the major supermarkets has proved somewhat difficult with slots all taken for the next few weeks.  Categories which witnessed a decline in transaction volume in this same period included ticketing by 60%, travel by 44%, and online dating by 8.9%.  I guess if you are self-isolating you can’t really meet up with anyone new and with travel severely restricted that market was always going to experience a decline.

Having reached the Easter holidays, this quarantine is set to continue for the foreseeable future which will be tough on the retail stores, who might not be able to quickly convert in-store sales to online.  Many have in fact closed their online operations as they simply don’t have the resources and manpower to run these from a logistics perspective.

To compound the above, any organisations that wish to take advantage of growing ecommerce opportunities also need to be mindful of the security landscape that this pandemic presents. In particular, the increase in online sales has led to an increase in fraud activity. According to Forter, the leader in ecommerce fraud prevention, fraudsters are exploiting confusion and uncertainty caused by government and corporate policies.  As people adjust to working from home, Forter sees a marked increase in social engineering fraud, associated with fake emails purporting to be from HR and corporate addresses. Here fraudsters invite people to click for more information, instead taking victims to malicious sites.

Likewise, with a shift to online shopping in apparel and accessories, Forter sees an increase in gift card purchases. While a higher number of legitimate buyers usually means that fraud rates drop, gift card fraud rates have not. Fraudsters have noticed an increased demand for the completely virtual merchandise that is easy to monetise.

The COVID-19 pandemic is also putting pressure on deliveries and local logistics.  I have heard some talk in the industry about the possibility of autonomous vehicles (AVs) helping to alleviate the strain on existing delivery services while reducing the risk of exposure for citizens.  However, there are significant regulatory hurdles to overcome before AVs can be deployed at scale.

The World Economic Forum recently published a report on “The Future of the Last-Mile Ecosystem,” where it anticipates that demand for e-commerce delivery will result in 36% more delivery vehicles in inner cities by 2030.  Again, COVID-19 has caused a huge increase in demand, as people around the world are self-isolating, quarantining or working from home for extended periods, suddenly increasing the need for food, groceries, household items and even medical supplies to be delivered to the homes of millions of people.  But using AVs for deliveries will require some work on the regulatory front.

Broadly speaking,  in order to trial an automated vehicle designed to operate without an occupant on the public roads, the AV developer must petition the regulator to make an exemption from the existing vehicle safety standards, which require human-operable controls and mirrors, for example.

Although it may be too late to ease the burden attributed to the current pandemic, I would urge regulators to consider the opportunities to streamline these processes for the future while upholding standards for safety and look at a new generation of agile regulation. This will enable trials of these technologies to help maintain the delivery ecosystem in future difficult times.

Out of adversity, comes innovation, and I’ve certainly seen plenty of that in the last few weeks.  Also, communities coming together and supporting each other as well as our NHS workers, who are doing a tremendous job.  Unfortunately, I don’t think anyone knows how long this pandemic will continue but I am sure we will come out of this stronger as a result.

To everyone reading this article – keep safe.

Logistics, News, Transport

Hermes supports ‘flourishing’ SME clients

SMEs across a range of sectors are flourishing as consumers look to online alternatives during the lockdown, according to Hermes UK, the consumer delivery specialist. The company is currently delivering around 700,000 parcels a week on behalf of its Business Account customers (SMEs) – an uplift of 100% on this time last year.

In order to support these clients, Hermes has adapted a number of its services in line with government guidelines. This includes providing increased contact-free collections and doubling the number of lockers available for its customers to use.

Jon Oldroyd, Head of Business Accounts at Hermes UK, said: “Many of our SME clients have been able to respond quickly to the changing needs of consumers who are looking for alternative sources of products as a result of shop closures and travel restrictions. Our account managers have worked closely with them to understand how we can best support them during these challenging times whilst ensure that the safety of our people and our customers remains a top priority.”

Janis Liepa, of Wigan-based Assured Products, said: “We are proud to play our part in helping to manufacture and sell essential items to our customers in these challenging times, including hand sanitiser and wipes. We have seen our online orders rocket from 300 a week to more than 500 a day, the majority of which are sent through Hermes. Our staff have been amazing in coping with the extra demand and adhering to guidelines.

“These past few weeks have been difficult but also a game-changer for online businesses like ours. It has meant we’ve been able to get items safely to customers who are self-isolating. We’re grateful we have been able to cope with this increase in demand with Hermes’ support.”

Appointments, Logistics

Arrow XL appoints Peter Lowden as COO

ArrowXL, the UK’s leading two-person home delivery expert, has appointed a highly experienced professional to its main Board to support the next stage of the company’s operational transformation and growth. Peter Louden is joining the business as COO with overall responsibility for the ArrowXL day-to-day operational performance and a remit to further develop the company’s successful business proposition.

Peter has extensive board-level operational experience in the sector which spans two-person delivery, home delivery, transport and warehousing. He joins from Clipper Logistics where he was Business Solutions Director. Previous roles include Managing Director at Nightfreight and senior positions within Amazon and Doddle.

Peter Louden COO at ArrowXL, said:

“I am excited to be taking up this role to support Charlie and the team in continuing to provide a range of excellent services to customers and growing the scope and profitability of the organisation. This is a challenging and fast-growing sector and ArrowXL is in a strong position to maximise these opportunities.”

Commenting on the appointment Charlie Shiels, CEO at ArrowXL said:

“Operational excellence is absolutely key to our success – both in terms of service and financial performance. Peter has over 30 years experience in the sector and a strong proven track record so is exactly what we need to help support our ambitious plans for change and growth.”

Fleet Management, Logistics

Winter driving doubles risks for fleet drivers, warns DriveTech

Winter weather and the festive season double the risk of accidents for fleet and work drivers, warns DriveTech, part of the AA and specialist in fleet risk and safety management and driver training.

The number of casualty crashes caused by driving too fast for conditions nearly doubles from October to December. With one in three road deaths involving a vehicle being driven for work, fleet drivers cite ‘pressure to meet schedules’ as the main reason for taking risks on the road, while increased workloads, fatigue and road rage are among the other top risks at Christmas.

Up to 4 times more vehicles than usual take to the roads over the Christmas period, and for fleet drivers the workload increases significantly, regardless of industry and vehicle category.

With 65% of all company vehicles estimated to be involved in an incident in the next 12 months, it is a sobering statistic that 71% of UK companies do not provide regular training for drivers. Additionally, 39% of companies do not have systems or procedures in place to manager driver fatigue and almost a quarter admit that they are not fully aware of their exact requirements for managing road risk.

Work drivers are:
– 48% more likely to drive while fatigued
– 40% more likely to tailgate
– 40% more likely to commit undertaking errors
– 25% more likely to commit junction errors

Driving accidents increase by 20% in winter and are much higher in December than any other month of the year. The performance of standard tyres deteriorates when the temperature drops below 7 degrees. ABS systems are less effective on ice and snow, increasing stopping distances. Another major risk is rain falling on frozen surfaces, causing black ice which is hard to spot and can occur when the temperature drops between +4°C and -4°C. On a wet road, the stopping distance doubles, while in snow and ice the stopping distance can increase by up to 10 times.

Colin Paterson, Head of Marketing at DriveTech says,

“We urge companies to ensure that all employees who drive for work are trained and prepared. Employees who drive on business are more likely to be killed at work than those employed as deep-sea divers or coal miners! Despite statistics demonstrating increased risks for fleet and at work drivers, less than one quarter of companies have regular training for their drivers.”

How to correctly mitigate risk

By simply expanding driver risk management approaches, companies could reduce accident rates by as much as 35%. There is an entire range of courses for fleet companies and drivers, including winter driving skills, which help equip and prepare fleet drivers, mitigate risks and prevent incidents.

About Drivetech

DriveTech, part of the AA, is the world leader in fleet risk and safety management, and driver training. It is also the UK’s largest provider of driver offender retraining courses.

With 25 years of successful experience, DriveTech now offers fleet consultancy, driver assessment and training services in over 95 countries and in 35 languages through over 40 partners. These products and services improve driver safety, reduce fleet running costs and ensure compliance with legal obligations and duty of care responsibilities.

In the UK, DriveTech provides educational courses to people who have committed a motoring offence or crashed. DriveTech directly serves 12 UK police forces and Transport for London and indirectly supports 34 UK forces through NDORS (National Driver Offender Retraining Scheme).

Environment, Logistics

Huge numbers of consumers would wait longer for goods if delivered ‘more sustainably’ – survey

A convenience trends survey commissioned by leading International branding and customer experience agency I-AM has revealed that almost three-quarters of consumers (74%) would be happy to wait longer for goods if the delivery method was more sustainable.

The ‘HERE: NOW Exploring The Next Generation of Convenience’ survey reports that these planet-conscious consumers would approve of deliveries by bicycles or ‘green cars’, while nearly two-thirds (65%) would be happy for their orders to be handled by a drone or robot, rather than a person.

The survey also reveals that 92% would back greener delivery options – but this figure drops to just 50% if it meant higher costs.

Other key findings in the survey include:

  • Over a third of consumers (36%) feel that sustainable and eco-friendly options should be more convenient.
  • Just a third (36%) of consumers consider their local store an important place to meet and get to know people.
  • Nearly two thirds (63%) would be happy for their local store to be fully automated.
  • Nearly a third (32%) of consumers would like more convenience offerings in train stations.

Elsewhere the survey discloses interesting findings about the way people order and pay for goods, with more than half (56%) welcoming an option to order restaurant food to public parks and spaces.

A third (33%) state the ideal amount of time to receive a product ordered online is within 24 hours, although a third would like to receive their products in under 12 hours.

A growing interest in the ‘take now pay later’ option by text or digital tab is also evident with 63% favouring this method, while a huge 93% of consumers would like their delivery provider to offer return collections from home, and 41% of them would like to choose the time slot.

Meanwhile, 79% of consumers like new things, and are open to their new local store introducing them to new products through tastings or other trending items.

Around half of those polled (52%) called for health and care services to become more convenient.

I-AM Group Partner Pete Champion said:

“Convenience services need to act more like concierge services, adding exclusivity as a key differentiator. By doing this, it is the first step in creating more initiatives that can tap into and connect with local communities, creating spaces for engagement and exploration.

“Convenience should be fast and seamless, but it doesn’t always have to take place at the same time. Introduce take now pay later schemes that are either technologically-powered or built on trust, so consumers will keep coming back, building loyalty in the meantime.

“With more digitally-enabled hyper-local formats popping up, consumers want retailers to give them the convenience of not having to work out what is good and what is not. Showing consumers offerings that both tell them that an item is trendy, good in quality and curating fresh, diverse and healthy product choices allow consumers to trust and learn more.”

The survey was conducted among 2000 18 to 45-year-olds across the UK.
I-AM, headquartered in Shoreditch, London, and with overseas offices in Istanbul, Dubai and Mumbai, has a portfolio of clients in many sectors including retail, food and drink, banking, fashion, estate, telecom and tech, showrooms, education, transport and destinations.

For more information please visit https://i-amonline.com/