Quest for Quality

As we roll deeper into 2015, the longer-haul less-than-truckload (LTL) sector remains solidly profitable overall. Carriers in this category are seeing capacity closely aligned with demand, and with significant barriers to entry in the sector, little additional capacity is expected in the near future.

According to the reporting of our veteran trucking correspondent John Schulz, the truckload sector now accounts for about 37 percent of total freight transportation spending in the U.S.—and is by far the largest single piece of the trucking market.

As Jeff Berman recently reported in our 2015 Rail/Intermodal Roundtable, the many service performance issues that faced the nation’s rail networks over this past winter and into early spring are clearly on the mend—and that’s great news for shippers heading into the peak season.

On the heels of the labor disruptions on the U.S. West Coast in late 2014 and early 2015, as well as less dramatic port congestion issues in Europe and Asia, delays to containerized cargo movement have been the subject of many of our news stories and features over the last year—and understandably so.

As Executive Editor Patrick Burnson has been reporting over the last few years, the ocean shipping industry has been navigating tumultuous waters as shippers have worked diligently to control costs at the same time that trade has witnessed a spotty recovery in the face of global financial troubles.

According to the latest figures compiled by the third-party logistics consultancy Armstrong & Associates, major domestic 3PL players posted double-digit growth in 2014, with more of the same in this year’s forecast.

The International Air Transport Association (IATA) recently announced an upward revision of its 2015 industry outlook to a $29.3 billion net profit.

The editorial staff of Logistics Management would like to thank the readers who took time out of their busy schedules to complete and submit the 2014 Quest for Quality ballots. This year, 7,451 readers offered their valuable insight and helped Logistics Management maintain the Quest for Quality as the premier benchmark study of logistics and transportation service excellence for 31 years.

Which carriers, third-party logistics providers, and U.S. ports will walk the red carpet to receive their award for outstanding service performance over the past year? Our readers have cast their votes, and now it’s time to introduce this year’s winners of the coveted Quest for Quality Awards.

While the national LTL market had been slowly, but surely, pulling itself out of its recession-induced slump, the sector now seems to have hit a bit of a leveling-off period in terms of growth.

While revenue numbers have flattened a bit, the Regional LTL category continues to represent some of the most forward-thinking carriers in trucking.

The truckload (TL) business is volatile by nature.

Despite an uneven economy and an atmosphere of political uncertainly that has put several freight transportation modes on shaky ground, shippers continue to find that rail and intermodal service providers are chugging forward, improving service, and creating value despite the well-publicized challenges.

As executive Editor Patrick Burnson documents in this month’s Special Report, the business dynamics of ocean shipping continue to change for carriers as global supply chain practices become more strategic—putting pressure on those shippers looking to coordinate more modes in new regions around the world.

U.S. ports are planning and investing in a balanced portfolio of services to prepare for continued volume growth.