Tuesday, February 26, 2013

Future Logistic Transportation by Coyote Logistic



Most of products have been on a truck or train at some point before it ended on customer’s hand. Because of that, one of the key components in product price is transportation cost. These days, oil price continues to rise in result made transportation cost in supply chain also increased. In the end it will affect also on the product price. Supply chain experts said that the answer for this problem is collaborative supply chain. It contains solution like shared transport, share infrastructure and share information. Collaborative supply chain represents one of the most overlooked opportunities to reduce cost in order to increase profits for a company. However, very few companies are doing a good job in addressing this issue. One of the examples is Coyote Logistic. This company has expertise in its shared transport solution.  The company was founded in 2006 and right now become the fastest growing transportation and logistics service provider in North America by moving over 2,800 loads per day across North America.

The company has basic idea to gain efficiency in transportation cost by eliminating empty backhauls (the practice of returning truck trailer with empty cargo to its point of departure after delivering goods).  With increased oil price, empty backhauls have become an urgent issue with most logistics service provider. The company is using software systems programmed to eliminate empty backhauls. Coyote system matches companies' and organizations’ shipments with available carriers. The system will also make scheduling for shipments to travel on carriers’ return trips so that the trucks do not travel without loads. The company called it fleet backhaul services. By using this business concept, the company gains advantage in more capacity and emissions reduction. In 2012, Coyote Logistic is on pace to eliminate 5.5 million empty miles, prevent 9,000 tons of CO2 exhaust, and contribute $9M back to customers.

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4 comments:

  1. HaHa...I'll try to do some sketch when i got the time...






    LOGISTICS MANAGEMENT

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  2. Great post. Finding ideas to write about is one of the hardest things about running a blog. Please visit
    Ground transportation companies | Supply chain management services

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  3. Thanks for the post about the future of logistics transportation! Great logistic management still is the key to every success.

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