The latest yard management systems are using computer vision and mobile apps to marshal incoming trucks and trailers into an orderly parade, then move them through the yard efficiently and get drivers right back on the road.
Ben Ames has spent 20 years as a journalist since starting out as a daily newspaper reporter in Pennsylvania in 1995. From 1999 forward, he has focused on business and technology reporting for a number of trade journals, beginning when he joined Design News and Modern Materials Handling magazines. Ames is author of the trail guide "Hiking Massachusetts" and is a graduate of the Columbia School of Journalism.
A warehouse yard can be a messy, raucous place. Trucks loaded with freight sometimes arrive earlier or later than expected. New arrivals may have to wait their turn if all of the dock doors are occupied. Facilities sometimes lack enough workers to unload the trucks and reload them with outbound freight due to the nationwide labor shortage. And there may not be any space to slot the incoming goods if operations inside the distribution center are backed up.
Those complications happen every day, but the right yard management system (YMS) can bring order to the chaos, creating an optimized flow of goods that minimizes backups and wasted time. And that’s good news for all three parties with a stake in the operation: the truck drivers hauling the goods, the warehouse operators handling them, and the retailer or manufacturer who owns the inventory and is eagerly waiting for it to reach its destination.
There’s more than one way to get the job done. Just as a judge might pick a gavel of a specific size or shape to restore order to a fractious court, DCs can choose from a variety of YMS products with differing capabilities.
TECH TO THE RESCUE
A key tool for taming the chaos of a warehouse yard is vision sensor technology, according to supply chain software developer Blue Yonder. The company recently introduced its own YMS product—one that’s enabled with outdoor cameras, computer vision technology, and machine learning—and announced that Penske Logistics had become the software’s first user.
As a logistics service provider (LSP), Penske was looking for a way to track and monitor the trailers and containers in its yards, as part of its overall mission to work with shippers and carriers to optimize shipments, reduce miles, cut transportation costs, and improve asset utilization, according to the company.
Blue Yonder’s computer vision-based YMS supports those goals by automatically checking in trucks as they arrive at the gate and identifying the incoming trailers so users know what shipments are in the yard and where the trailer or container is parked. The YMS also automatically checks the trailers out as they leave the yard, providing time stamps to record their exit time.
Automating the process provides benefits on many levels, according to Ann Marie Jonkman, vice president for industry strategies at Blue Yonder. For starters, the system eliminates manual errors, logs precise times instead of estimates, helps mitigate detention fees, and improves safety by reducing the need for employees to walk around the yard searching for missing trailers, she says. It also boosts freight processing speed by coordinating trailer movements with orders in the facility’s warehouse management system to determine which trucks to unload first.
And crucially, adopting that kind of data-based approach strengthens accountability, heading off the disputes that can arise when, say, a DC claims a truck arrived late but the driver insists it was on time.
“It’s like when an e-commerce order is delivered to your home, and your doorbell camera records the time,” Jonkman says. “[With our YMS,] you get driver accountability: ‘What time did they arrive, when did they leave, was there idle time?’”
PLAYING WELL WITH OTHERS
Like Blue Yonder, software developer Manhattan Associates considers tracking and monitoring to be key capabilities for any YMS. But the company believes there’s more to it than that, arguing that it’s also critical that the yard management platform be able to orchestrate with other software products. For that reason, Manhattan sells its YMS only in combination with its warehouse management system (WMS) or transportation management system (TMS), not as a standalone product, says Blake Coram, the company’s director of product management.
“Our edge is [that we offer] a unified solution. That allows each component to inform and be informed by the others. We see the yard as a great opportunity for that approach because it’s the physical contact point between WMS and execution,” Coram says.
Instead of using automated cameras to record truck arrivals, Manhattan Associates relies on a mobile app that generates a quick response (QR) code that truck drivers can show to the guard when they enter and exit the yard. “The mobile app is scan-and-go, so when [truck drivers] arrive, they theoretically don’t even have to say anything to the gatekeeper,” Coram notes. “They just hold up their phone and the guard scans it.”
Among other advantages, the scanning system forestalls disputes over the yard’s recordkeeping practices. “The possibility of detention fees can be contentious; drivers might ask, ‘When did you start the clock?’ or ‘Why did you start the clock?’” Coram says. But with an automated system, that’s not an issue. “The TMS ‘informs’ the process by tracking the carrier, the trucker, the shipment, the [purchase order], and the shipment pickup. So there are fewer lookups by guardhouse or clerical staff.”
The integrated system also helps minimize drivers’ “time on yard” to get them in and out as swiftly as possible. It does that by making dynamic decisions based on real-time arrival estimates sent when trucks are still on the road to ensure that a warehouse door is available when they arrive.
Because it’s linked to the WMS, the system can also speed up truck turnarounds by directing each trailer to the dock door closest to where its cargo needs to go inside the building. “You need put-away optimization because everything you unload off the trailer needs to be put away. And the YMS can do that because it has access to data on the SKUs [stock-keeping units], quantities, and license plates [identifying numbers assigned to each pallet or containment unit]. Then that is fed into the WMS, which knows the location of the inventory,” Coram says. “So then we can turn more trailers overall, and therefore, get the drivers out faster and increase throughput at the dock.”
THERE’S AN APP FOR THAT
Getting drivers in and out of the yard quickly is key to maintaining peak yard efficiency, agrees Scott Hebel, solutions director at software developer Kaleris, which also offers a YMS product.
To help streamline drivers’ journey through the yard, Kaleris’s YMS app includes a “driver pre-check-in” feature that allows drivers to use their mobile phones to notify a facility they’re on their way, enabling the warehouse to prepare for their arrival.
“As the driver completes app check-in, the YMS reserves a dock door or parking spot and queues drivers for arrival appointments to reduce gate congestion, which is understandably a major source of frustration for drivers. The driver then receives a QR code to scan for entry at the gate, along with in-app instructions on how to proceed to their assigned location,” Hebel says.
Kaleris says its app reduces check-in time by over 80%, which accelerates gate velocity. And because the app supports two-way communications, drivers can remain safely in their cabs and receive regular status updates from the facility.
“Once a driver is in the gate, the clock is ticking [to ensure that drivers have] a wonderful experience [at the facility]. The best shippers strategically plan operations to avoid putting drivers in ‘hurry up and wait’ [mode],” Hebel says. “YMS technology fills in the gaps created by manual operations. Those gaps—lack of communication, safety issues, unclear instructions, and long wait times—negatively impact the driver experience and yard efficiency. The great news for today’s shippers is that these challenges are easily solved with a YMS.”
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.
There’s a photo from 1971 that John Kent, professor of supply chain management at the University of Arkansas, likes to show. It’s of a shaggy-haired 18-year-old named Glenn Cowan grinning at three-time world table tennis champion Zhuang Zedong, while holding a silk tapestry Zhuang had just given him. Cowan was a member of the U.S. table tennis team who participated in the 1971 World Table Tennis Championships in Nagoya, Japan. Story has it that one morning, he overslept and missed his bus to the tournament and had to hitch a ride with the Chinese national team and met and connected with Zhuang.
Cowan and Zhuang’s interaction led to an invitation for the U.S. team to visit China. At the time, the two countries were just beginning to emerge from a 20-year period of decidedly frosty relations, strict travel bans, and trade restrictions. The highly publicized trip signaled a willingness on both sides to renew relations and launched the term “pingpong diplomacy.”
Kent, who is a senior fellow at the George H. W. Bush Foundation for U.S.-China Relations, believes the photograph is a good reminder that some 50-odd years ago, the economies of the United States and China were not as tightly interwoven as they are today. At the time, the Nixon administration was looking to form closer political and economic ties between the two countries in hopes of reducing chances of future conflict (and to weaken alliances among Communist countries).
The signals coming out of Washington and Beijing are now, of course, much different than they were in the early 1970s. Instead of advocating for better relations, political rhetoric focuses on the need for the U.S. to “decouple” from China. Both Republicans and Democrats have warned that the U.S. economy is too dependent on goods manufactured in China. They see this dependency as a threat to economic strength, American jobs, supply chain resiliency, and national security.
Supply chain professionals, however, know that extricating ourselves from our reliance on Chinese manufacturing is easier said than done. Many pundits push for a “China + 1” strategy, where companies diversify their manufacturing and sourcing options beyond China. But in reality, that “plus one” is often a Chinese company operating in a different country or a non-Chinese manufacturer that is still heavily dependent on material or subcomponents made in China.
This is the problem when supply chain decisions are made on a global scale without input from supply chain professionals. In an article in the Arkansas Democrat-Gazette, Kent argues that, “The discussions on supply chains mainly take place between government officials who typically bring many other competing issues and agendas to the table. Corporate entities—the individuals and companies directly impacted by supply chains—tend to be under-represented in the conversation.”
Kent is a proponent of what he calls “supply chain diplomacy,” where experts from academia and industry from the U.S. and China work collaboratively to create better, more efficient global supply chains. Take, for example, the “Peace Beans” project that Kent is involved with. This project, jointly formed by Zhejiang University and the Bush China Foundation, proposes balancing supply chains by exporting soybeans from Arkansas to tofu producers in China’s Yunnan province, and, in return, importing coffee beans grown in Yunnan to coffee roasters in Arkansas. Kent believes the operation could even use the same transportation equipment.
The benefits of working collaboratively—instead of continuing to build friction in the supply chain through tariffs and adversarial relationships—are numerous, according to Kent and his colleagues. They believe it would be much better if the two major world economies worked together on issues like global inflation, climate change, and artificial intelligence.
And such relations could play a significant role in strengthening world peace, particularly in light of ongoing tensions over Taiwan. Because, as Kent writes, “The 19th-century idea that ‘When goods don’t cross borders, soldiers will’ is as true today as ever. Perhaps more so.”
Hyster-Yale Materials Handling today announced its plans to fulfill the domestic manufacturing requirements of the Build America, Buy America (BABA) Act for certain portions of its lineup of forklift trucks and container handling equipment.
That means the Greenville, North Carolina-based company now plans to expand its existing American manufacturing with a targeted set of high-capacity models, including electric options, that align with the needs of infrastructure projects subject to BABA requirements. The company’s plans include determining the optimal production location in the United States, strategically expanding sourcing agreements to meet local material requirements, and further developing electric power options for high-capacity equipment.
As a part of the 2021 Infrastructure Investment and Jobs Act, the BABA Act aims to increase the use of American-made materials in federally funded infrastructure projects across the U.S., Hyster-Yale says. It was enacted as part of a broader effort to boost domestic manufacturing and economic growth, and mandates that federal dollars allocated to infrastructure – such as roads, bridges, ports and public transit systems – must prioritize materials produced in the USA, including critical items like steel, iron and various construction materials.
Hyster-Yale’s footprint in the U.S. is spread across 10 locations, including three manufacturing facilities.
“Our leadership is fully invested in meeting the needs of businesses that require BABA-compliant material handling solutions,” Tony Salgado, Hyster-Yale’s chief operating officer, said in a release. “We are working to partner with our key domestic suppliers, as well as identifying how best to leverage our own American manufacturing footprint to deliver a competitive solution for our customers and stakeholders. But beyond mere compliance, and in line with the many areas of our business where we are evolving to better support our customers, our commitment remains steadfast. We are dedicated to delivering industry-leading standards in design, durability and performance — qualities that have become synonymous with our brands worldwide and that our customers have come to rely on and expect.”
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.
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.