TPM, March Madness, and Supply Chain Value Creation

It's been a couple of weeks since TPM23 and I don't know about you, but I'm just now caught up and finding the time to reflect. I’ve come to learn that March Madness means something wholly different for us shipping people. Each year this month, we travel to California from all over the earth to pack more than is humanly possible into 54 hours, surviving merely on caffeine and contagious energy from familiar faces. We come home on two cylinders and, for three weeks, pound chicken soup and vitamin C while climbing the K2 that is our burgeoning inbox. That IS madness!

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This year's TPM did have some new themes. But anyone who’s been in this industry as long as I have, probably shuffled onto their departure flight feeling a bit like Bill Murray in?Groundhog Day. Here's why:

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1. Carrier results for 2022 were substantial. However, 2023 looks uncertain as there are no signs of increasing demand, and costs continue to rise, muddying the market and future pricing. We've lived this before.
2. This transpacific contracting season will have a long runway for takeoff, as the industry waits to see how the market develops before signing agreements. We've lived this before, too.
3. The last three years spurred an emphasis on working smarter, managing risk, and becoming better partners to one another. Now that space isn’t tight, many are back to taking advantage of that vicious cycle where no one really owes anyone anything.

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As a community, we come together at TPM, and we celebrate. We talk about solving issues and future-proofing the shipping industry. Still, we behave almost exactly as we did 5, 10, and 15+ years ago. My biggest takeaway is that, in our industry, we make the most beneficial strides forward when we are forced to in desperate times. Then, when the dust settles, we return to our old reactive processes and treat supply chains as cost centers instead of value creators.

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The team at NYSHEX and I are motivated to change this dynamic. Our goal – replacing the vicious cycle with a virtuous one – can be achieved, and it is already benefitting the global supply chain.?We’re partnering with many innovators who have recognized the pattern and are investing in technology to improve contract performance, strengthen relationships, and reduce manual workload. When contractual expectations are clearly defined, and mutual performance is transparent, old behavior patterns can break and new efficiencies are realized.

As we enter Q2, I am super excited that we have released a new product for global NVOs that harmonizes all data sets - from their TMS and their carriers’ systems - to help them steer their cargo and prevent shortfalls. These are the Cinderellas that will thrive throughout the Madness and make it to the Big Dance!

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Don't hesitate to contact me if you'd like a sneak peek at our new NVO solution!