David Maloney has been a journalist for more than 35 years and is currently the group editorial director for DC Velocity and Supply Chain Quarterly magazines. In this role, he is responsible for the editorial content of both brands of Agile Business Media. Dave joined DC Velocity in April of 2004. Prior to that, he was a senior editor for Modern Materials Handling magazine. Dave also has extensive experience as a broadcast journalist. Before writing for supply chain publications, he was a journalist, television producer and director in Pittsburgh. Dave combines a background of reporting on logistics with his video production experience to bring new opportunities to DC Velocity readers, including web videos highlighting top distribution and logistics facilities, webcasts and other cross-media projects. He continues to live and work in the Pittsburgh area.
At International Paper's manufacturing operation in Courtland, Ala., logs enter the building at one end and come out the other in the form of large paper rolls and cases of 8 1/2- by 11-inch paper. It takes trained workers and specialized machinery to keep the pulp and paper flowing in the highly automated operation. But as in most manufacturing plants, things can go wrong. That's why the company makes employee safety a priority.
"It's the most important facet of our business. Without our people being well, we could not run properly," says Tim Agee, who recently retired after 10 years as safety manager of the plant.
Most employers would agree with Agee that their people are their most important asset. Finding good workers is never easy. And when you factor in recruiting and training costs, workers represent a significant investment for employers. Protecting them from injury and lost days is vital to good performance. Most importantly, it is the right thing to do as an employer. That's why it's essential to keep workers informed of safety procedures—first with good training, and then through proper signage and labeling that reinforce safe practices.
SAFE WAY
Safety programs save lives. According to Occupational Safety and Health Administration (OSHA) statistics, workplace fatalities have dropped by more than 65 percent since 1970, while occupational injuries and workplace-related illnesses have declined by 67 percent. Most of this is due to regulations and safety programs that are deployed in workplaces, including the use of proper signage and safety labeling.
OSHA and other federal and state agencies set requirements for most of the safety signage found in a warehouse. The OSHA website (www.osha.gov) is a good resource on regulations. But local jurisdictions also have a say in creating safe work environments. For instance, local fire inspectors are typically charged with assuring that exits are clearly marked, directions to storm shelters are posted, and the locations of fire extinguishers and eyewash stations are clearly identified.
Local requirements can vary greatly, which tends to create headaches for companies that operate facilities in multiple locations. "It is important for managers to know the regulations [that apply to] the dirt under their feet," says Paul Burgess, regulatory specialist at Labelmaster, a company that provides safety labels and related products. "People think they have their ducks in a row, but then are surprised when the local inspectors show up and [tell them] they are not compliant."
Burgess notes that a wealth of material on fire, electrical, and building safety, including hazard marking and signage, can be found on the National Fire Protection Association's website (www.nfpa.org). Most fire departments use NFPA standardized codes as the basis for their own local codes, but individual requirements may vary. For that reason, it's wise to check with your local fire department to see how closely it follows NFPA guidelines and what other codes may be in force.
SIGN LANGUAGE
As for what kinds of signs companies use, Jeff Tanner, vice president of risk management at Kenco, a third-party logistics company, says the signs posted in his company's facilities fall into three basic categories: danger signs, caution signs, and safety instruction signs.
Danger signs warn of conditions that can cause serious harm or even death, such as exposure to high-voltage electricity. Caution signs warn against other possible threats, such as a hot surface or a conveyor that could start without warning. Safety instruction signs provide directions on where people should go in case of emergency or the proper use of a piece of equipment.
"As an advocate of safety, we have to go out and look for areas where we need to develop signs to assure safety," says Tanner. "For instance, we might place a sign near our dock doors that states, 'Jumping from dock doors is prohibited, use the pedestrian door.'"
Other signs might identify areas in which propane fuel is in use, "no smoking" areas, low clearances, or zones where lift trucks are prohibited from entering.
Agee reports that signs play a major role in assuring safety at the International Paper plant. "Every door you go through tells if forklift traffic is on the other side," he says. "Being in 'tornado alley,' there are also signs to direct people to storm shelters."
As for the signage itself, today's signs (which can be bought ready-made from suppliers or created in-house) are just as likely to feature symbols as the traditional text. In fact, symbol signs are growing in use and are required in some instances. Research confirms that people respond faster to graphics, known as pictograms, than to text. "Pictograms improve sign recognition from a distance, well before text is legible," says Jack Rubinger of Graphic Products, a supplier of industrial label printers for safety, productivity, and compliance programs.
We've all seen these symbol-laden signs before: A picture of a person walking with a line drawn through it means "Don't walk here." A pictogram of safety glasses in a battery changing room reminds workers to wear eye protection. A symbol of a horn blowing warns lift truck drivers to hit their horn when approaching a blind corner.
Good signage and labeling are especially important for facilities that experience high turnover, rely heavily on temp workers, or have a lot of visitors. And at warehouses where English is not the first language for a majority of workers, pictograms are essential.
While the primary purpose of signs in facilities is to promote safe practices, good signage can also yield other benefits.
"The [main] reason to use signs is to promote safety, but they can also [improve] workflow," says Barry Alves, label systems consultant at Peak-Ryzex, a systems integration company that also provides labeling solutions. He says that while good signage saves on lost employee workdays, the return on investment from productivity increases alone can be as short as six to eight months.
"The signs can tell people where to be, where not to be, and how to go. It gives them a workflow pattern and process that they can follow," Alves says.
Another way to accomplish that is through floor markings. Some operations mark travel lanes for facility vehicles (and include stop-sign warnings at major intersections to reduce the chance of accidents), while others use floor markings to identify designated pedestrian lanes, where workers and visitors can walk safely away from forklift traffic.
Among the companies that use floor markings to denote pedestrian lanes is Kenco. "We train our people to stay in the lanes [wherever possible], as the lift truck drivers look for you to be there," says Tanner. He adds that some sites mark the pedestrian lanes with large footprints to further indicate where people should walk.
STICK WITH IT
In addition to proper signage, many regulations require specific labeling. Again, OSHA, NFPA, and your local fire department can provide details on what's required. If your facility uses or distributes hazardous chemicals (and just about all do, as the definition is broadly interpreted), you're required to mark them according to the Globally Harmonized System (GHS), a worldwide standard for the classification and marking of chemicals.
"GHS requires distributors to label containers that they are shipping," says Labelmaster's Burgess. "For instance, a case of paint may contain six cans," he says. "The paint cans inside the carton are required to have the hazard standard (GHS) labeling applied to them. The shipping case may also require other markings, but not necessarily GHS labels. Many facilities also may require certain signage where chemicals are stored within the facility."
Many of the markings are placed on these products at the point of manufacture. However, if they're not, you're still responsible for making sure they're marked properly when in your facility and for shipments that you initiate.
In addition to product markings, other labels must be placed on facility infrastructure to alert workers to hazards. According to Graphic Products, the six most common types of safety labels used in industrial facilities are arc flash labels, used in electrical panels to warn of shocks, burns, or possible electrocution; lockout/tag out tags, which assure that machinery is shut down when someone is performing maintenance or other operations; wire and cable marking labels, which identify the types, locations, and functions of the cables used in machinery and communications; pipe and valve marking labels, which let workers know what the pipes are carrying, the direction of flow, and any hazardous materials they might contain; and fire safety and exit signs that show workers where to go in case of emergency.
The International Paper facility, for instance, has a large number of pipes that carry water, steam, oil, and chemicals. "We labeled every pipe we could, on both sides of a wall they go through," says Agee.
Labels can also be placed on material handling equipment to promote safe operation. Many equipment manufacturers include warning and cautionary labels with the systems they provide. But in addition to these, facilities may want to provide instructional labels that encourage operators to use the equipment properly. For instance, a label might direct a lift truck operator to exchange a battery once it drains to a certain power level in order to maintain efficient performance.
The International Paper facility also uses labels to promote safe behaviors. "People know what they can and cannot do there. There isn't any doubt [as to] what is expected," says Agee. "If the maximum lifting [limit] is 50 pounds, there is a label to show that. Safety is number one; that's for sure."
Each facility should have a safety manager who is charged with understanding what signs and labels are needed for compliance as well as providing the informational signs that can boost productivity and efficiency. Good signage and labeling programs do more than just promote safe practices—they instill habits that can assure that a company's most important assets are well protected.
Congestion on U.S. highways is costing the trucking industry big, according to research from the American Transportation Research Institute (ATRI), released today.
The group found that traffic congestion on U.S. highways added $108.8 billion in costs to the trucking industry in 2022, a record high. The information comes from ATRI’s Cost of Congestion study, which is part of the organization’s ongoing highway performance measurement research.
Total hours of congestion fell slightly compared to 2021 due to softening freight market conditions, but the cost of operating a truck increased at a much higher rate, according to the research. As a result, the overall cost of congestion increased by 15% year-over-year—a level equivalent to more than 430,000 commercial truck drivers sitting idle for one work year and an average cost of $7,588 for every registered combination truck.
The analysis also identified metropolitan delays and related impacts, showing that the top 10 most-congested states each experienced added costs of more than $8 billion. That list was led by Texas, at $9.17 billion in added costs; California, at $8.77 billion; and Florida, $8.44 billion. Rounding out the top 10 list were New York, Georgia, New Jersey, Illinois, Pennsylvania, Louisiana, and Tennessee. Combined, the top 10 states account for more than half of the trucking industry’s congestion costs nationwide—52%, according to the research.
The metro areas with the highest congestion costs include New York City, $6.68 billion; Miami, $3.2 billion; and Chicago, $3.14 billion.
ATRI’s analysis also found that the trucking industry wasted more than 6.4 billion gallons of diesel fuel in 2022 due to congestion, resulting in additional fuel costs of $32.1 billion.
ATRI used a combination of data sources, including its truck GPS database and Operational Costs study benchmarks, to calculate the impacts of trucking delays on major U.S. roadways.
In a separate move, the U.S. Environmental Protection Agency (EPA) also gave its approval for the state to advance its Heavy-Duty Omnibus Rule, which is crafted to significantly reduce smog-forming nitrogen oxide (NOx) emissions from new heavy-duty, diesel-powered trucks.
Both rules are intended to deliver health benefits to California citizens affected by vehicle pollution, according to the environmental group Earthjustice. If the state gets federal approval for the final steps to become law, the rules mean that cars on the road in California will largely be zero-emissions a generation from now in the 2050s, accounting for the average vehicle lifespan of vehicles with internal combustion engine (ICE) power sold before that 2035 date.
“This might read like checking a bureaucratic box, but EPA’s approval is a critical step forward in protecting our lungs from pollution and our wallets from the expenses of combustion fuels,” Paul Cort, director of Earthjustice’s Right To Zero campaign, said in a release. “The gradual shift in car sales to zero-emissions models will cut smog and household costs while growing California’s clean energy workforce. Cutting truck pollution will help clear our skies of smog. EPA should now approve the remaining authorization requests from California to allow the state to clean its air and protect its residents.”
However, the truck drivers' industry group Owner-Operator Independent Drivers Association (OOIDA) pushed back against the federal decision allowing the Omnibus Low-NOx rule to advance. "The Omnibus Low-NOx waiver for California calls into question the policymaking process under the Biden administration's EPA. Purposefully injecting uncertainty into a $588 billion American industry is bad for our economy and makes no meaningful progress towards purported environmental goals," (OOIDA) President Todd Spencer said in a release. "EPA's credibility outside of radical environmental circles would have been better served by working with regulated industries rather than ramming through last-minute special interest favors. We look forward to working with the Trump administration's EPA in good faith towards achievable environmental outcomes.”
Editor's note:This article was revised on December 18 to add reaction from OOIDA.
DAT Freight & Analytics has acquired Trucker Tools, calling the deal a strategic move designed to combine Trucker Tools' approach to load tracking and carrier sourcing with DAT’s experience providing freight solutions.
Beaverton, Oregon-based DAT operates what it calls the largest truckload freight marketplace and truckload freight data analytics service in North America. Terms of the deal were not disclosed, but DAT is a business unit of the publicly traded, Fortune 1000-company Roper Technologies.
Following the deal, DAT said that brokers will continue to get load visibility and capacity tools for every load they manage, but now with greater resources for an enhanced suite of broker tools. And in turn, carriers will get the same lifestyle features as before—like weigh scales and fuel optimizers—but will also gain access to one of the largest networks of loads, making it easier for carriers to find the loads they want.
Trucker Tools CEO Kary Jablonski praised the deal, saying the firms are aligned in their goals to simplify and enhance the lives of brokers and carriers. “Through our strategic partnership with DAT, we are amplifying this mission on a greater scale, delivering enhanced solutions and transformative insights to our customers. This collaboration unlocks opportunities for speed, efficiency, and innovation for the freight industry. We are thrilled to align with DAT to advance their vision of eliminating uncertainty in the freight industry,” Jablonski said.
Global trade will see a moderate rebound in 2025, likely growing by 3.6% in volume terms, helped by companies restocking and households renewing purchases of durable goods while reducing spending on services, according to a forecast from trade credit insurer Allianz Trade.
The end of the year for 2024 will also likely be supported by companies rushing to ship goods in anticipation of the higher tariffs likely to be imposed by the coming Trump administration, and other potential disruptions in the coming quarters, the report said.
However, that tailwind for global trade will likely shift to a headwind once the effects of a renewed but contained trade war are felt from the second half of 2025 and in full in 2026. As a result, Allianz Trade has throttled back its predictions, saying that global trade in volume will grow by 2.8% in 2025 (reduced by 0.2 percentage points vs. its previous forecast) and 2.3% in 2026 (reduced by 0.5 percentage points).
The same logic applies to Allianz Trade’s forecast for export prices in U.S. dollars, which the firm has now revised downward to predict growth reaching 2.3% in 2025 (reduced by 1.7 percentage points) and 4.1% in 2026 (reduced by 0.8 percentage points).
In the meantime, the rush to frontload imports into the U.S. is giving freight carriers an early Christmas present. According to Allianz Trade, data released last week showed Chinese exports rising by a robust 6.7% y/y in November. And imports of some consumer goods that have been threatened with a likely 25% tariff under the new Trump administration have outperformed even more, growing by nearly 20% y/y on average between July and September.
Declaring that it is furthering its mission to advance supply chain excellence across the globe, the Council of Supply Chain Management Professionals (CSCMP) today announced the launch of seven new International Roundtables.
The new groups have been established in Mexico City, Monterrey, Guadalajara, Toronto, Panama City, Lisbon, and Sao Paulo. They join CSCMP’s 40 existing roundtables across the U.S. and worldwide, with each one offering a way for members to grow their knowledge and practice professional networking within their state or region. Overall, CSCMP roundtables produce over 200 events per year—such as educational events, networking events, or facility tours—attracting over 6,000 attendees from 3,000 companies worldwide, the group says.
“The launch of these seven Roundtables is a testament to CSCMP’s commitment to advancing supply chain innovation and fostering professional growth globally,” Mark Baxa, President and CEO of CSCMP, said in a release. “By extending our reach into Latin America, Canada and enhancing our European Union presence, and beyond, we’re not just growing our community—we’re strengthening the global supply chain network. This is how we equip the next generation of leaders and continue shaping the future of our industry.”
The new roundtables in Mexico City and Monterrey will be inaugurated in early 2025, following the launch of the Guadalajara Roundtable in 2024, said Javier Zarazua, a leader in CSCMP’s Latin America initiatives.
“As part of our growth strategy, we have signed strategic agreements with The Logistics World, the largest logistics publishing company in Latin America; Tec Monterrey, one of the largest universities in Latin America; and Conalog, the association for Logistics Executives in Mexico,” Zarazua said. “Not only will supply chain and logistics professionals benefit from these strategic agreements, but CSCMP, with our wealth of content, research, and network, will contribute to enhancing the industry not only in Mexico but across Latin America.”
Likewse, the Lisbon Roundtable marks the first such group in Portugal and the 10th in Europe, noted Miguel Serracanta, a CSCMP global ambassador from that nation.