National Forklift Safety Day Chair Cesar Jimenez is enthusiastic about the potential for new technologies to bring more improvements in forklift safety.
Contributing Editor Toby Gooley is a writer and editor specializing in supply chain, logistics, and material handling, and a lecturer at MIT's Center for Transportation & Logistics. She previously was Senior Editor at DC VELOCITY and Editor of DCV's sister publication, CSCMP's Supply Chain Quarterly. Prior to joining AGiLE Business Media in 2007, she spent 20 years at Logistics Management magazine as Managing Editor and Senior Editor covering international trade and transportation. Prior to that she was an export traffic manager for 10 years. She holds a B.A. in Asian Studies from Cornell University.
Cesar Jimenez, the 2024 National Forklift Safety Day Chair, did not plan to work in the forklift industry. Rather, as a mechanical engineering student, he had set his sights on the automotive industry. In 1993, he was awarded a four-year scholarship to the University of Southern California from the Hispanic Scholarship Fund. Between his junior and senior years, he had a summer internship with Toyota’s automotive business, which had funded his scholarship.
After graduating, Jimenez returned to Toyota and entered a career rotation program that sent him to work at TIE (Toyota Industrial Equipment), the forklift arm of the company. The rotation included a stint in a parts distribution center; while there, he learned how to operate different types of lift trucks and to pick and pack orders. It wasn’t what he was looking for, though. “After that I went back to the car side of Toyota,” he recalls. “I thought that would be the end of my life in material handling.”
Jimenez changed his mind when the manager he’d been reporting to from the time he was a college intern—Brett Wood, now president and CEO of Toyota Material Handling North America and senior executive officer of Toyota Industries Corp.—called and offered him a new position. He has stayed with forklifts ever since.
Over the past 27 years, Jimenez has held a number of product planning and technical positions and has been instrumental in the launch of more than 50 material handling products. Now vice president of regulatory affairs, product planning, and product assurance, he oversees Toyota’s products from predevelopment through launch, warranty, and resolution of any technical issues, as well as regulatory and trade compliance. A member of the Industrial Truck Association (ITA), he has chaired the organization’s Energy Storage Systems Subcommittee and General Engineering Committee.
In his role as National Forklift Safety Day Chair, Jimenez spoke with DC Velocity about the past, present, and future of forklift safety.
Q: WHAT ASPECTS OF THE FORKLIFT INDUSTRY DO YOU ESPECIALLY ENJOY OR FIND MOST REWARDING?
A: One of Toyota’s core values is to be studious and creative, striving to stay ahead of the times. So solving customer problems with new solutions is what I truly enjoy. For example, designing products in a way that reduces energy usage to improve sustainability is a passion for me. I have also thoroughly enjoyed the opportunity to work within such a diverse group of companies. Toyota is a global organization, so I have been fortunate to work with a lot of great companies, such as Bastian Solutions, The Raymond Corporation, our parent company, and other sister companies in Japan and Europe. I am even doing some outreach back to the car side, where I also enjoyed working.
Q: HOW HAS FORKLIFT SAFETY IMPROVED SINCE THE TIME YOU BEGAN WORKING IN THIS INDUSTRY?
A: Safety definitely has come a long way since then. There are a number of reasons why 1999 was a huge year for the industry in regard to safety. That’s when OSHA adopted required operator training, which marked a huge step forward in operator safety. At that time, the industry also saw the introduction of active stability systems.
Since then, many OEMs have introduced some form of telemetry that includes features such as operator checklists and user access badge-in, which restricts who is able to operate a particular truck. Other developments in the works include the automatic parking brake, which automatically engages when the forklift comes to a complete stop, and seatbelt interlocking devices to prevent the truck from starting if the operator is not buckled in.
There are so many others. Blue lights and now also “side curtain” lights, which are typically red, help to draw the attention of pedestrians. Changes in ANSI [American National Standards Institute] standards like the clamp release interlock require the forklift operator to make two distinct operations before a clamped load is released. This helps to prevent the operator from inadvertently releasing something like an 8,000-pound paper roll. And there is VR [virtual reality] simulation that “gamifies” part of operator training. It doesn’t replace hands-on training, but it can be the next best thing—before new operators start actually using a forklift, they can have an immersive, interactive experience that makes the lessons and training more memorable.
Q: ARE THERE ANY AREAS YOU THINK MERIT MORE ATTENTION FROM FLEET OPERATORS?
A: I think it’s important to remind anyone who operates a truck as well as fleet managers to prioritize safety at all times. That needs more attention, I think. When people take safety for granted, they don’t put it front and center.
Another area fleets should pay special attention to is using technology to improve operator safety. Adopting new technologies can be a challenge and something that comes with added expense. Fleet managers don’t have to commit up front and can work with the forklift OEM or the dealer to try it as a demo. I encourage fleet operators to be open to trying something new and be willing to adopt new technologies that will help to enhance and improve operator training and [provide] a safe work environment.
Q: ANY FORECASTS FOR WHERE FORKLIFT SAFETY TECHNOLOGY WILL BE IN ANOTHER FIVE TO 10 YEARS?}
A:} I don’t have a crystal ball, but being in product planning, I think about emerging technologies a lot! I can tell you about a few things we at Toyota foresee. One is forklifts becoming better connected to vision technology. For example, Toyota’s Smart Environment Sensor Plus (SEnS+) uses a stereoscopic camera mounted on the back of the truck to detect objects and pedestrians behind the forklift and alert the operator. The system has the ability to slow the truck to a stop or not allow the truck to move if something or someone is behind it. As forklift vision technology products get better, we expect to see more customers using them, and they may become commonplace in the next five to 10 years. We also think advances in vision technology mean we will see more AGVs [automated guided vehicles]. Although there won’t be operators on that type of equipment, there will still be plenty of work for forklift operators.
Integrated safety systems are also likely to bring enhancements to forklift safety. Think about some of the newer safety features in your car, like collision avoidance and steering correction. Some are based on light detecting and ranging (LiDAR) technology, which can be used for tracking other vehicles to maintain safe distances. For example, if you’re out on the highway, adaptive cruise control will automatically slow the car if it “sees” that you’re approaching another vehicle. We think that type of technology will eventually make its way from the automotive industry into material handling, including forklifts.
Q: WHY DOES NATIONAL FORKLIFT SAFETY DAY MATTER TO DC Velocity’s READERS—WAREHOUSE AND DC MANAGERS AND FORKLIFT FLEET OWNERS?
A: Customers tell us that safety remains their number one concern, whether that’s the safety of forklift operators or of pedestrians in the vicinity of where trucks are operating. National Forklift Safety Day highlights forklift safety training and best practices, so it’s a valuable source of information for end-users. With ITA livestreaming the June 11 portion of the program, that information is very accessible to everyone. We plan to continue doing that every year to make this event available to more people.
Editor’s note: This interview has been edited and condensed for length and clarity.
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.
A Canadian startup that provides AI-powered logistics solutions has gained $5.5 million in seed funding to support its concept of creating a digital platform for global trade, according to Toronto-based Starboard.
The round was led by Eclipse, with participation from previous backers Garuda Ventures and Everywhere Ventures. The firm says it will use its new backing to expand its engineering team in Toronto and accelerate its AI-driven product development to simplify supply chain complexities.
According to Starboard, the logistics industry is under immense pressure to adapt to the growing complexity of global trade, which has hit recent hurdles such as the strike at U.S. east and gulf coast ports. That situation calls for innovative solutions to streamline operations and reduce costs for operators.
As a potential solution, Starboard offers its flagship product, which it defines as an AI-based transportation management system (TMS) and rate management system that helps mid-sized freight forwarders operate more efficiently and win more business. More broadly, Starboard says it is building the virtual infrastructure for global trade, allowing freight companies to leverage AI and machine learning to optimize operations such as processing shipments in real time, reconciling invoices, and following up on payments.
"This investment is a pivotal step in our mission to unlock the power of AI for our customers," said Sumeet Trehan, Co-Founder and CEO of Starboard. "Global trade has long been plagued by inefficiencies that drive up costs and reduce competitiveness. Our platform is designed to empower SMB freight forwarders—the backbone of more than $20 trillion in global trade and $1 trillion in logistics spend—with the tools they need to thrive in this complex ecosystem."