The days when heavy trucks idle away the evening at truck stops and freight yards may be numbered. States and municipalities are cracking down on the practice, and DCs may be forced to follow suit.
Peter Bradley is an award-winning career journalist with more than three decades of experience in both newspapers and national business magazines. His credentials include seven years as the transportation and supply chain editor at Purchasing Magazine and six years as the chief editor of Logistics Management.
Old habits can be hard to break. But if it's a habit of idling a truck engine for hours on end, drivers might not have much choice in the matter. States and municipalities nationwide are cracking down on the practice, adopting new antiidling regulations (20 states now have restrictions) and stepping up enforcement of existing rules. These are no idle threats: Flout the regulations, and you risk a hefty fine.
But drivers risk more than fines if they don't kick the idling habit. They could also find themselves in hot water with their employers. Though they haven't always seemed terribly concerned about the practice, truckers today have become almost fervent in their zeal to minimize idling—and with good reason. Along with the potential legal exposure, they have powerful environmental (not to mention, public relations) incentives to reduce air pollution caused by idling trucks. And with diesel prices approaching a national average of $3 a gallon, their concerns about wasting fuel require no explanation.
For the nation's truckers, reducing idling could have a potentially enormous payoff. A typical long-haul tractor idles approximately 1,830 hours per year, according to the U.S. Department of Energy's Clean Cities program. Every year, U.S. trucks collectively burn more than 800 million gallons of diesel fuel while idling. The cost of that wasted fuel? Close to $3 billion a year.
A war on idling
Given those numbers, it's hardly surprising that truckers of all stripes—private fleets, truckload and less-than-truckload carriers, and small-package carriers—are vowing to cut back on idling. "Reducing idling makes great business sense," says Jim O'Neal, chairman of the Truckload Carriers Conference and president of O&S Trucking in Springfield, Mo. "It is a total waste of fuel and has a high maintenance cost to it. I'm not sure why we've done it all these years." Adds Dan Smith, corporate director of transportation for Smart & Final, a West Coast grocer that runs a private fleet of 55 tractors and 250 trailers, "Keeping idling to a minimum is good for the environment and good for the company."
As for how they're going about it, carriers have taken a variety of approaches. Some, like UPS Freight (the former LTL carrier Overnite Transportation), have chosen the technology route. UPS Freight has programmed its fleet vehicles' engines to turn off after five minutes of idling.
Others have taken what could be termed the behavior modification approach, rewarding drivers for cutting down on idling. Smart & Final, for example, offers additional compensation to drivers who avoid unnecessary idling. Smith reports that the strategy is working well. "Drivers are keyed into that. You rarely drive into one of our facilities and see a tractor idling."
Schneider National, the nation's largest truckload carrier, also rewards drivers for reducing idling time. Dennis Damman, Schneider's director of engineering, says the company asks drivers to idle their trucks only when the outside temperature drops below 10 degrees F. (Idling at low temperatures is necessary because it's difficult to start diesel engines when it is very cold.) Damman reports that the policy has been working. "Last January is a great example," he says. "We had 7,000 trucks that idled less than 5 percent of the time."
Carriers are also working with regulatory agencies to clean up their collective act. To date, well over 300 truckers (and a number of shippers) have joined the Environmental Protection Agency's SmartWay Transport Program. SmartWay, which includes an idling-reduction program, is a voluntary public-private partnership aimed at improving fuel efficiency and reducing greenhouse gas emissions in the freight transportation industry. Schneider National and O&S Trucking are both members of SmartWay, as is national LTL carrier FedEx Freight. "We view that as a commitment to our communities," says Doug Duncan, president of FedEx Freight.
No place for idling
The increase in state and local anti-idling ordinances might seem only peripheral to DC operations, but that's actually not the case. Though the regulations have the most direct effect on truckers, they're likely to have an impact on shipping and receiving operations as well.
Wal-Mart can attest to that. In 2005, the mega-retailer was fined by the Environmental Protection Agency (EPA) for clean air violations caused by idling trucks. In the fall of 2004, EPA inspectors had observed trucks owned by Wal-Mart and by other trucking companies idling for long periods at six different Wal-Mart properties in Connecticut and Massachusetts.
As part of the settlement, Wal-Mart agreed to pay a $50,000 penalty and establish idle-reduction programs at all of its facilities nationwide. The retailer also agreed to notify other delivery companies that idling is not permitted on Wal-Mart property and may violate state or local idling restrictions.
With the settlement behind it, Wal-Mart now prefers to frame its anti-idling initiatives as part of its broader environmental sustainability crusade. By establishing a "no idle" policy for its trucks and retrofitting them with high-efficiency generators, Wal-Mart claims it will save 10 million gallons of diesel fuel each year, reducing carbon dioxide emissions by 100,000 tons. It will also save nearly $26 million, according to company statements. (Wal-Mart officials declined to be interviewed for this story.)
Wal-Mart's initiatives have not gone unnoticed by other DC managers. O'Neal believes the retailer's anti-idling efforts have prompted others to follow suit, adding that he sees more shipping facilities establishing anti-idling rules.
One company that has cracked down on idling at its DCs is Smart & Final. Smith says the company has instructed inbound dry freight carriers not to idle in its yards, although he notes that the grocer makes an exception for temperature-controlled carriers that must run their engines to keep trailer-cooling systems operating.
What DCs can do
When it comes to discouraging idling, DCs have a huge role to play—one that goes well beyond simply handing down anti-idling rules, according to John Gentle. Gentle, the former global transportation leader at Owens Corning and now an independent consultant, believes DCs bear much—if not most—of the responsibility for the idling that takes place on their premises. And while creating anti-idling policies is a good start, Gentle maintains there's much more DCs can do.
To begin with, Gentle urges shippers and receivers to offer decent accommodations for drivers waiting for their trailers to be loaded or unloaded. When drivers are forced to sit in their rigs while awaiting their turn at the dock, they have no choice but to keep their engines running in order to maintain a comfortable cab temperature. That wouldn't be necessary if they had an acceptable place to wait, argues Gentle, who notes that he's seen some pretty small, uncomfortable waiting areas for drivers.
Offering comfortable quarters isn't just good business, Gentle says; it's basic decency. "Quite honestly, if shippers knew what some DCs looked like and how people are treated, they would be offended," he adds. "I'm not saying it's typical, but it is not an unfamiliar conversation."
The other thing DC managers can do, Gentle says, is take a candid look at their scheduling practices. Addressing any scheduling issues is imperative to reducing waiting—and therefore, idling—time. A history of long waiting times is an indication that DC operations are less efficient than they should be, he says. "If you cannot move a driver in and out, that's a problem."
Gentle adds that he doesn't buy the excuse that DCs have little control over what goes on outside their premises. "People say they measure from the time a truck pulls into the gate," he says. "That's a bunch of baloney. If a trucker is waiting two miles up the road to get in, you are kidding yourself."
Duncan of FedEx Freight agrees with Gentle that many DC traffic backups can be traced to scheduling problems. Noting that carriers are often willing to work with customers to improve turn times, he urges shippers experiencing tie-ups to take advantage of their truckers' expertise. Duncan adds that FedEx has found that setting up appointments at shipping and receiving locations can make a big difference in smoothing the flow of traffic.
Keeping their cool
In their zeal to put a stop to idling, state and municipal governments have inadvertently created a dilemma for long-haul truck drivers. What some (though not all) of the regulations fail to consider is that drivers need a way to heat or cool their sleeper cabs during their federally mandated rest periods. In the past, that has generally meant keeping their tractors running all night long. Now, bans in some areas are forcing drivers to choose between violating the law and risking heat exhaustion or hypothermia.
To address the heating and cooling issue, fleets are increasingly turning to technology solutions. They're installing auxiliary power units (APUs), which require only a fraction of the amount of fuel used during idling. Wal-Mart, for example, reports that it installed APUs in its entire fleet last year. According to the EPA, APUs typically consume between 0.05 and 0.2 gallons of fuel per hour, compared to about a gallon per hour for an idling truck.
However, the auxiliary units are costly, which may put them out of reach for many smaller carriers. "The expense is rather large," says O'Neal. "Certainly, the return on invested capital is there, but they are still too expensive."He adds that truck makers are currently developing low-power heating and cooling units that could be specified as original equipment on a vehicle. But he notes that the technology is still four to six years away.
At least one of the major players is searching for a system that doesn't require the use of diesel at all. Damman says that although Schneider has not decided on a technology for cooling tractor interiors without running the engine, it would like to find a battery-operated system. The company currently has 200 tractors in test programs for engine-off air conditioning equipment. "I think in the near future, we will find a cab-cooling solution," he says.
As for what lies ahead on the anti-idling front, carriers are generally optimistic about their prospects for reining in the practice. Duncan, for one, is confident that truckers and their equipment suppliers will succeed in getting better mileage from their equipment and reducing emissions, though he admits that both tasks seem daunting. "We have to do both and we can do both," he says. "If you look at it from a macro level, it looks impossible. You have to do it a piece at a time."
For both truckers and DC managers, the benefits of reducing idling go well beyond regulatory compliance or public relations, says Gentle. It's also good business, he says, citing the potential payoffs in better fuel mileage and more efficient DC operations. "We really need to do a better job of managing the challenge," he adds. "We will have less pollution and better asset utilization. It should really be about that, not the EPA."
"but officer, the sign said the county line was back there …"
The right thing to do shouldn't be the hard thing to do. But for truckers trying to stay in compliance with a vast array of state and local anti-idling ordinances, that's all too often the case.
In the absence of federal rules, the nation has ended up with a crazy quilt of state and municipal regulations, whose time limits, penalties, and exemptions vary widely from city to city and state to state. As things stand now, truckers driving across, say, northern Nevada had better figure out what county they're in before stopping to take a 20minute break. If they're in Humboldt County, they can safely leave the engine running. But if they're in neighboring Washoe County, they'd better turn it off—Washoe County bans idling for more than 15 minutes. (The American Transportation Research Institute maintains a list of state and municipal antiidling regulations as well as a downloadable cab card on its Web site. Visit www.atri-online.org and click on Idling Regulations Compendium.)
Fearing that the confusion would only worsen as more states and municipalities adopted anti-idling regulations, the Environmental Protection Agency (EPA) in 2004 announced that it would develop a model anti-idling law for states to use as a guideline. After soliciting suggestions during a series of public workshops held around the country, the agency unveiled a model law last May. The model, which has no regulatory weight, generally limits heavy-truck engines from idling for more than five minutes. Of particular interest to DC managers, it also prohibits shipping or receiving locations from causing trucks to idle for more than 30 minutes while waiting to load or unload. For a look at the model, visit www.epa.gov/smartway. Click on Idling Reduction, then on State Laws.
Progress in generative AI (GenAI) is poised to impact business procurement processes through advancements in three areas—agentic reasoning, multimodality, and AI agents—according to Gartner Inc.
Those functions will redefine how procurement operates and significantly impact the agendas of chief procurement officers (CPOs). And 72% of procurement leaders are already prioritizing the integration of GenAI into their strategies, thus highlighting the recognition of its potential to drive significant improvements in efficiency and effectiveness, Gartner found in a survey conducted in July, 2024, with 258 global respondents.
Gartner defined the new functions as follows:
Agentic reasoning in GenAI allows for advanced decision-making processes that mimic human-like cognition. This capability will enable procurement functions to leverage GenAI to analyze complex scenarios and make informed decisions with greater accuracy and speed.
Multimodality refers to the ability of GenAI to process and integrate multiple forms of data, such as text, images, and audio. This will make GenAI more intuitively consumable to users and enhance procurement's ability to gather and analyze diverse information sources, leading to more comprehensive insights and better-informed strategies.
AI agents are autonomous systems that can perform tasks and make decisions on behalf of human operators. In procurement, these agents will automate procurement tasks and activities, freeing up human resources to focus on strategic initiatives, complex problem-solving and edge cases.
As CPOs look to maximize the value of GenAI in procurement, the study recommended three starting points: double down on data governance, develop and incorporate privacy standards into contracts, and increase procurement thresholds.
“These advancements will usher procurement into an era where the distance between ideas, insights, and actions will shorten rapidly,” Ryan Polk, senior director analyst in Gartner’s Supply Chain practice, said in a release. "Procurement leaders who build their foundation now through a focus on data quality, privacy and risk management have the potential to reap new levels of productivity and strategic value from the technology."
Businesses are cautiously optimistic as peak holiday shipping season draws near, with many anticipating year-over-year sales increases as they continue to battle challenging supply chain conditions.
That’s according to the DHL 2024 Peak Season Shipping Survey, released today by express shipping service provider DHL Express U.S. The company surveyed small and medium-sized enterprises (SMEs) to gauge their holiday business outlook compared to last year and found that a mix of optimism and “strategic caution” prevail ahead of this year’s peak.
Nearly half (48%) of the SMEs surveyed said they expect higher holiday sales compared to 2023, while 44% said they expect sales to remain on par with last year, and just 8% said they foresee a decline. Respondents said the main challenges to hitting those goals are supply chain problems (35%), inflation and fluctuating consumer demand (34%), staffing (16%), and inventory challenges (14%).
But respondents said they have strategies in place to tackle those issues. Many said they began preparing for holiday season earlier this year—with 45% saying they started planning in Q2 or earlier, up from 39% last year. Other strategies include expanding into international markets (35%) and leveraging holiday discounts (32%).
Sixty percent of respondents said they will prioritize personalized customer service as a way to enhance customer interactions and loyalty this year. Still others said they will invest in enhanced web and mobile experiences (23%) and eco-friendly practices (13%) to draw customers this holiday season.
That challenge is one of the reasons that fewer shoppers overall are satisfied with their shopping experiences lately, Lincolnshire, Illinois-based Zebra said in its “17th Annual Global Shopper Study.”th Annual Global Shopper Study.” While 85% of shoppers last year were satisfied with both the in-store and online experiences, only 81% in 2024 are satisfied with the in-store experience and just 79% with online shopping.
In response, most retailers (78%) say they are investing in technology tools that can help both frontline workers and those watching operations from behind the scenes to minimize theft and loss, Zebra said.
Just 38% of retailers currently use AI-based prescriptive analytics for loss prevention, but a much larger 50% say they plan to use it in the next 1-3 years. That was followed by self-checkout cameras and sensors (45%), computer vision (46%), and RFID tags and readers (42%) that are planned for use within the next three years, specifically for loss prevention.
Those strategies could help improve the brick and mortar shopping experience, since 78% of shoppers say it’s annoying when products are locked up or secured within cases. Adding to that frustration is that it’s hard to find an associate while shopping in stores these days, according to 70% of consumers. In response, some just walk out; one in five shoppers has left a store without getting what they needed because a retail associate wasn’t available to help, an increase over the past two years.
The survey also identified additional frustrations faced by retailers and associates:
challenges with offering easy options for click-and-collect or returns, despite high shopper demand for them
the struggle to confirm current inventory and pricing
lingering labor shortages and increasing loss incidents, even as shoppers return to stores
“Many retailers are laying the groundwork to build a modern store experience,” Matt Guiste, Global Retail Technology Strategist, Zebra Technologies, said in a release. “They are investing in mobile and intelligent automation technologies to help inform operational decisions and enable associates to do the things that keep shoppers happy.”
The survey was administered online by Azure Knowledge Corporation and included 4,200 adult shoppers (age 18+), decision-makers, and associates, who replied to questions about the topics of shopper experience, device and technology usage, and delivery and fulfillment in store and online.
An eight-year veteran of the Georgia company, Hakala will begin his new role on January 1, when the current CEO, Tero Peltomäki, will retire after a long and noteworthy career, continuing as a member of the board of directors, Cimcorp said.
According to Hakala, automation is an inevitable course in Cimcorp’s core sectors, and the company’s end-to-end capabilities will be crucial for clients’ success. In the past, both the tire and grocery retail industries have automated individual machines and parts of their operations. In recent years, automation has spread throughout the facilities, as companies want to be able to see their entire operation with one look, utilize analytics, optimize processes, and lead with data.
“Cimcorp has always grown by starting small in the new business segments. We’ve created one solution first, and as we’ve gained more knowledge of our clients’ challenges, we have been able to expand,” Hakala said in a release. “In every phase, we aim to bring our experience to the table and even challenge the client’s initial perspective. We are interested in what our client does and how it could be done better and more efficiently.”
Although many shoppers will
return to physical stores this holiday season, online shopping remains a driving force behind peak-season shipping challenges, especially when it comes to the last mile. Consumers still want fast, free shipping if they can get it—without any delays or disruptions to their holiday deliveries.
One disruptor that gets a lot of headlines this time of year is package theft—committed by so-called “porch pirates.” These are thieves who snatch parcels from front stairs, side porches, and driveways in neighborhoods across the country. The problem adds up to billions of dollars in stolen merchandise each year—not to mention headaches for shippers, parcel delivery companies, and, of course, consumers.
Given the scope of the problem, it’s no wonder online shoppers are worried about it—especially during holiday season. In its annual report on package theft trends, released in October, the
security-focused research and product review firm Security.org found that:
17% of Americans had a package stolen in the past three months, with the typical stolen parcel worth about $50. Some 44% said they’d had a package taken at some point in their life.
Package thieves poached more than $8 billion in merchandise over the past year.
18% of adults said they’d had a package stolen that contained a gift for someone else.
Ahead of the holiday season, 88% of adults said they were worried about theft of online purchases, with more than a quarter saying they were “extremely” or “very” concerned.
But it doesn’t have to be that way. There are some low-tech steps consumers can take to help guard against porch piracy along with some high-tech logistics-focused innovations in the pipeline that can protect deliveries in the last mile. First, some common-sense advice on avoiding package theft from the Security.org research:
Install a doorbell camera, which is a relatively low-cost deterrent.
Bring packages inside promptly or arrange to have them delivered to a secure location if no one will be at home.
Consider using click-and-collect options when possible.
If the retailer allows you to specify delivery-time windows, consider doing so to avoid having packages sit outside for extended periods.
These steps may sound basic, but they are by no means a given: Fewer than half of Americans consider the timing of deliveries, less than a third have a doorbell camera, and nearly one-fifth take no precautions to prevent package theft, according to the research.
Tech vendors are stepping up to help. One example is
Arrive AI, which develops smart mailboxes for last-mile delivery and pickup. The company says its Mailbox-as-a-Service (MaaS) platform will revolutionize the last mile by building a network of parcel-storage boxes that can be accessed by people, drones, or robots. In a nutshell: Packages are placed into a weatherproof box via drone, robot, driverless carrier, or traditional delivery method—and no one other than the rightful owner can access it.
Although the platform is still in development, the company already offers solutions for business clients looking to secure high-value deliveries and sensitive shipments. The health-care industry is one example: Arrive AI offers secure drone delivery of medical supplies, prescriptions, lab samples, and the like to hospitals and other health-care facilities. The platform provides real-time tracking, chain-of-custody controls, and theft-prevention features. Arrive is conducting short-term deployments between logistics companies and health-care partners now, according to a company spokesperson.
The MaaS solution has a pretty high cool factor. And the common-sense best practices just seem like solid advice. Maybe combining both is the key to a more secure last mile—during peak shipping season and throughout the year as well.