Top 50 3PLs

Buoyed by the growth of the US domestic transportation management, the revenue of the 50 largest logistics companies increased 10.3 percent to $253 billion in 2017, according to Pittsburgh-based reseach and consulting firm SJ Consultng — good for a 10.2 percent growth rate. Further given the streghening global economy in late 2017/early 2018, analysts expect 2018 to be another year of substantial growth.

Buzz word / key phrase for 2018: "Adapt or else." 

Beyond that, the buzz words / key phrase for the sector is, “Adapt or else.” Consulting firm and anayst Armstrong & Associates noted that the rapid expansion of e-commerce will continue in 2018, as will the focus on supply chain visibility. Also, complete, integrated services are becoming paramount fo 3PLs, which are working to establish visibility in into all locations. “Simultaneously, from the customer side there’s is a need to be timely. They are placing much more emphasis on proper timing,” Armstrong said, as is integrating all services so that customers have one contact person. That’s the future, Armstrong noted.

 

Special Coverage

A warehouse.
In 2017, the strengthening global economy increased business volumes and freight rates — boosting Top 50 third-party logistics providers’ revenue, while fueling niche mergers and acquisitions.

News & Analysis

An Amazon center.
20 Sep 2018
The pace of technological change is set to increase exponentially. “This is the slowest rate of change you’ll experience the rest of your life,” Peter Sheahan, CEO of the Karrikins Group, said. 
San Francisco.
18 Sep 2018
Tech startup Flexport’s rockstar status in the international logistics sector means it's under the microscope concerning volume, whether it can produce a profitable business model or achieve a profitable exit for its investors, and what it actually does that represents a fundamental break in the forwarding industry.
A warehouse in the United States.
17 Sep 2018
“We sit in between the producers and our customers,” said Dirk Martin, senior director of transportation planning at Univar, a global distributor of industrial and specialty chemicals. “Downtime for [a customer’s] processing facility is hundreds of thousands of dollars, if not millions per hour. That’s our motivation for visibility: customer service.”
A warehouse in the United States.
13 Sep 2018
Overall, recent research by Drewry Supply Chain Advisors found that the liner shipping industry is exposed to $34.4 billion in invoice and payment processing inefficiencies, based on 1.26 billion invoices issued in 2017.
Trucks travel on a US highway.
06 Sep 2018
The provider, Lanehub, this week said it was extending its lane matching, collaborative procurement platform to capture empty backhauls on dedicated and private fleets based on demand from its customers.
A rail yard.
05 Sep 2018
Concor said the longer free time will reduce logistics costs substantially and streamline the warehouse ecosystem.

Commentary

US surface transportation (truck, rail) congestion is likely to increase in the quarters ahead, and that suggests increased risk for manufacturing’s supply chain segment. And that behooves manufacturers/shippers to proactively shorten and protect their supply chains.

More Commentary