States Logistics

States Logistics in the Community

2010-05-27T08:14:00.000-07:00

At States Logistics, our employees feel it is our responsibility to come together as a team and give back to our community. Through customer donations and employee donations we have walked for the cure of Breast Cancer and Alzheimer's, volunteered at the Orange County Food Bank and we have contributed to the Door of Faith Orphange in Mexico.

Green Third Party Logistic Research Report

2010-04-29T13:54:00.000-07:00

To view the original article on Logistics Viewpoints, please click here.

Customers to 3PLs: Be Green, But Cost is King

Posted on Apr 28 2010 By Adrian Gonzalez

Last Thursday, in commemoration of Earth Day, Penske Logistics, Dr.
Robert C. Lieb, Professor of Supply Chain Management at Northeastern University,
and Dr. Kristin J. Lieb, Assistant Professor of Marketing Communication, Emerson
College, issued the “Third Party Logistics Sustainability Report.” The
information is based on the 2008 and 2009 annual survey of forty 3PL CEOs
conducted by Lieb and Lieb.[...]

3PLs are making investments in “green” initiatives; they are seeing positive results from these investments; existing and prospective customers are interested in 3PL sustainability efforts, but it is not an important factor in their selection process.

3PLS are investing and taking action is a wide variety of sustainability-related
initiatives, which the authors categorized into four groups: administrative
(e.g., setting sustainability goals for operating units), analytical (e.g., investing in evaluation software, developing environmental KPIs), transportation-related, and “other” (e.g., promote use of LEED warehouses). Based on the detail provided in the report, it appears that 3PLs are most active in transportation-related initiatives, including:

•Experimenting with
alternative fuels
•Purchasing more fuel efficient vehicles
•Reducing
vehicle mileage operated
•Participating in government-sponsored programs
such as the EPA’s SmartWay program in the trucking industry
•Promoting
freight consolidation initiatives within the company
•Shifting freight to
more fuel efficient modes
•Limiting the speeds at which company equipment is
operated
•Sharing vehicles across multiple customers
•Reducing vehicle
idling time
3PL CEOs in the 2008 survey reported that about 21 percent of
existing customers and about 20 percent of prospective customers raised
sustainability issues in their discussions with the 3PLs. Customers are
interested in a 3PL’s ability to:

•Support customer efforts to reduce
their carbon footprints
•Enhance existing return logistics programs
•Reduce fuel, water and electricity consumption
•Help customers comply
with various industry certification programs
•Dispose of hazardous materials
•Develop recycling programs
•Improve the performance of customer vehicle
fleets
•Develop renewable energy sources, especially at customer facilities
These findings underscore a point that we have raised in previous postings:
sustainability opens the door to new business opportunities for 3PLs (see
“Ryder’s Answers to Carbon Disclosure Project” and “A New Business Intelligence
Solution…from a 3PL!”).

But as the authors noted, “While the 2008 survey results clearly demonstrated that there was considerable customer interest in discussing sustainability issues with major 3PLs, those issues were not yet playing a major role in either the 3PL selection or retention process, and they were not being significantly reflected in 3PL contracts.”

Based on our research, cost is by far the most important factor in a 3PL selection process (see chart below), a point that was also reflected in the report. The 3PL CEOs ranked “balancing sustainability efforts with customer expectations for
low-priced 3PL services” as the most important short-term sustainability
challenge they faced.

Give A Day Get A Day

2010-04-19T13:09:00.000-07:00

States Logistics Services, Inc Volunteers March 20, 2010 Orange County Food Bank

States Logistics Services, Inc. participated in the "Give A Day - Get A Day" program Disney and the Hands on Network pledged set a goal to inspire One Million people to volunteer a day of service to their communities and offered vouchers for Disneyland. Val Itula of the Dolly Warehouse location in Southern California coordinated 45 volunteers from States Logistics Services, Inc. providing food donations and volunteering 2 hours of their time to build and fill cases of food for senior citizens with less than 1000.00 income per month at the Orange County Food Bank. Our customer Clif Bar donated 3500lb of energy bars and drinks. Way to Go Team States Logistics Services, Inc. another successful mission at the OCFB!

States Logistics Services Joins Distribution Centers of America (DCA)

2010-03-30T08:21:00.000-07:00

Integrated 3PL to Represent Both Arizona and Southern California Regions

Buena Park, CA – January 11, 2010: States Logistics Services Inc (SLSI) has assumed regional representation in both the Arizona and Southern California markets for the national marketing cooperative, the Distribution Centers of America (DCA). Membership in DCA, now celebrating 25 years of national advantage through regional excellence, is a highly coveted privilege, by invitation only and reflects the voted approval of all member companies.

States Logistics is an excellent illustration of that caliber. In a recent ExecDigital online magazine, SLSI is cited for differentiating itself through integrated service, technology, and sustainability initiatives, having earned numerous “Best of the Best” ratings within their customers’ distribution networks.

“States’ mission is to be the best fully integrated provider of 3PL services,” states Ryan Donovan, VP Operations in California. “With so many customers in food manufacturing, we have to stay ahead of the game to survive.”

Sustainability is core to the company’s philosophy and operations, with recent achievements including Silver LEED status for the new Arizona warehouse, achieved in part, by using locally provided products, T-8 lamps and solar panels powering half the 417,000 sq ft facility. Last quarter, States won a U.S. EPA Smartway Environmental Excellence Award for conserving energy and lowering greenhouse gas emissions in freight and transportation activities, related to SLSI’s B99 Biodiesel fleet – a pioneering joint initiative with progressive customer, ClifBar.

About States Logistics Services, Inc (SLSI):
States Logistics Services provides fuly integrated solutions including contract packaging, assembly, consolidation and import/export management beyond the basics of transportation and warehousing. The company maintains leading edge technology throughout more than 2Mil sq ft of both public and private warehousing capacity in Arizona and Southern California.
For more, contact: AZ: Kirk Hellofs, VP Operations, 623-936-9122, x6101; CA: Ryan Donovan, VP Operations, 714-521-6520, x514 and visit www.stateslogistics.com.

About TeamDCA:
For 25 years, Distribution Centers of America (DCA) has been recognized for service excellence throughout its national network of member companies, together comprising 23 million square feet of warehouse space. Individually owned and operated, each member of TeamDCA is a leader in its regional market, providing value-added warehousing and third party logistics services responsive to the needs of global companies and committed to customer success in that region. Request a quote for service at www.teamdca.com.

Green Shipping Practices

2010-02-25T06:55:00.000-08:00

States Logistics is making an impact in the logistics industry by focusing on sustainability and green business practices. With green shipping and bio-diesel transportation, States services have positioned themselves as a leader for fellow businesses. Alternative fuel methods have decreased carbon dioxide emissions, unburned hydrocarbons, the amount of sulfates released and much more. From SCMR, we have found this great article on others forming guidelines to help save the environment and promote green shipping.

Green logistics: New set of guidelines from World Economic Forum and Accenture focus on carbon impact of product transport

One major obstacle to more widespread carbon awareness in the corporate world has been a lack of standardized methods for measuring carbon emissions. Now, an industry group and a consultancy firm are trying to change that.

Jeff Berman, Group News Editor -- Supply Chain Management Review, 2/23/2010

An effort by The World Economic Forum's Logistics & Transport Industry Group with help from consultancy Accenture has come up with so-called standard guidelines for calculating consignment level carbon emissions from logistics and shipping operations.

Entitled the "Consignment-Level Carbon Reporting Guidelines," their objective is to help the transportation and logistics industries inform consumers and businesses about the carbon impact of product transport, and the guidelines were endorsed by the Governors of the World Economic Forum's Logistics & Transport Industry Group at its recently-held meeting in Davos, Switzerland.

These guidelines include principles for defining the scope of emissions to report and how these emissions should be allocated for things like shared transport or backhaul, according to the World Economic Forum and Accenture. They added that these guidelines will also complement broader upcoming and existing product-level carbon reporting standards, including the GHG (greenhouse gas) Protocol Life Cycle and Scope 3 Standards, which they said should be released by the end of this year.

In an interview with Logistics Management, Jonathan Wright, senior executive in Accenture's Supply Chain Practice, said that there were a number of factors that influenced the introduction of these guidelines.

Wright explained that as confidence begins to return to the freight sector, with weak signals of an upturn, or at least stability, conversations among industry executives shift from survival to growth. But in a highly commoditized and convergent market, new growth opportunities require the development of different business models by the sector's firms-from tackling the challenges presented by emerging markets-to embracing renewed demands from customers for granular reporting on sustainability.

"To help address uncertainty around carbon and sustainability in particular, Accenture has been collaborating with the World Economic Forum's Logistics and Transport group for the past couple of years," said Wright. "A year ago, Accenture jointly published the Supply Chain Decarbonization report...[which] outlined the main ways in which the transport sector-both unilaterally and working with the wider supply chain-can begin to take practical, near-term steps to cut its carbon footprint."

In 2009 between the Davos meeting and this year's meeting, Wright said Accenture has seen the demand for product-level carbon footprinting information take off, with many leading global retailers and manufacturers launching their own labeling efforts, which has led to a significant uptick in the number and detail of requests made of freight firms, where accurate product-level carbon footprint data is currently hard to calculate on a systematic and standardized basis.

These guidelines, Wright said, are a set of practical guidelines that the transport industry can use to respond to the increasing numbers of requests from its customers for product-level carbon footprint data.

"The guidelines come at a time when consumer interest in the carbon footprints of the products they buy is growing," said Wright. "For example, a recent Accenture survey found that 90 percent of consumers would be willing to switch to a new product if it was certified as minimizing its impact on climate change, our research shows that transport and logistics operations typically make up 5-15 percent of the carbon footprint of a product's carbon emissions. The remainder of the footprint is elsewhere in the value chain-in raw materials extraction, manufacturing, selling or disposal phases. These guidelines represent a first step towards creating a standard approach for measuring the transportation portion of a product's carbon footprint, which shippers can use as an input to reporting the total carbon emissions associated with the products they sell."

A leading expert on green logistics and supply chains said that these guidelines are very promising in that standardizing guidelines for calculating consignment-level carbon emissions from logistics and shipping operations reaffirms the impact that logistics drivers (facilities, inventory, and transportation) will have on the bottom lines of companies as the Green movement continues to grow.

"Simply trying to compete on price or through innovation is being severely tested by the increasing focus on reducing the carbon footprint of the products companies manufacture and that consumers purchase," said Brittain Ladd, a supply chain consultant and lecturer on green supply chain strategies for a consulting firm. "As we move towards a point and time when most products will have a carbon footprint rating, imagine how even more important supply chain management will become in ensuring competitive advantage in terms of minimizing the carbon rating of products. If consumers are willing to choose one brand over another because of small differences in price, why wouldn't consumers choose one brand over the other due to small differences in carbon rankings?" Ladd also noted that achieving low carbon rating on products is directly related to how well companies manage their supply chain and logistics drivers.

In order for these guidelines to come to fruition, Accenture's Wright said the in order to implement these guidelines logistics and transportation providers will have to invest in process, reporting and IT, which will take some time.

"We recommend the industry take two key next steps: conduct pilot operations on various transport modes and logistics facilities to establish consignment-level reporting at an operational level and assess implementation difficulties; and adopt automated reporting systems and software to increase efficiency and accuracy in reporting and enable automated information transfer to suppliers, shippers, contractors or customers," commented Wright.

Wright also explained that if done successfully, there is often a win-win on cost and carbon for shippers, and both the bottom line and the organization's emissions can benefit from an increased focus on energy usage.

"Quite simply, looking along the supply chain at carbon brings a different perspective that can yield new and previously unseen savings," he said. "One example is PepsiCo's Walkers Crisps, which switched to 100 percent British potatoes to lower food miles and used biodiesel containing 5 percent used cooking oil for their delivery trucks. There are other reasons to pursue carbon emissions reporting and reduction--it can often contribute to improved employee engagement and enhanced customer service, and perhaps most importantly is what many customers want."

Vote for States Logistics!

2010-01-25T13:49:00.000-08:00

Vote now!

From Inbound Logistics' 3PL Excellence Survey page:

“Each year, in its July issue, Inbound Logistics publishes the most definitive resource on third-party logistics and the outsourced logistics market. If you are already a subscriber, you know that we ask our readers which third-party logistics companies provide excellent service, and publish the results. If you are not yet a subscriber, you can get a list of this year's Excellence Survey winners, as well as the Top 100 third-party companies in the world, by checking the box below.

We're now conducting next year's 3PL Excellence Survey. The results will be presented in the July 2010 3PL issue. Give us your input and we'll express our appreciation by entering you in a drawing for a free 18-carat gold Parker pen, which includes a coupon for free engraving."

~~~~~~~~~~

To get more info on States Logistics, green shipping and contract packaging Phoenix Arizona, please visit our website!

Going Green: Responsible Packaging & Shipping Decisions

2009-12-22T09:23:00.000-08:00

States Logistics is offers green shipping with bio diesel transportation. It is very important to work towards sustainability in our community. Businesses can take a look at the following article to enhance their packaging practices. Let us take care of the green shipping and transportation efforts!

"Product packaging and shipping practices play a substantial role in a business' carbon footprint. According to the Environmental Protection Agency, product packaging currently makes up approximately one-third of the non-industrial waste produced in most of the developed world. This is of significant importance to anyone that is looking to run an environmentally responsible business. By making green packaging and shipping choices, we can greatly reduce our waste production and encourage our customers to do the same.

So, where do we begin? Let's first look at packing/shipping materials. A good place to start is with the materials that we receive from our own vendors. If you receive books, supplies and other materials that come in less than environmentally friendly packing materials, reusing rather than discarding them is always a wise choice. If the packaging does not suit your product(s), or is not in good enough shape to reuse for shipping, look for other ways to use them. A banged up box may still be good for storing some supplies or transporting products, for example. Recycle and/or reuse what you can. Giving existing materials a longer life is a great way to reduce our impact on the environment, while also reducing costs.

Another environmentally responsible shipping decision is to choose environmentally friendly alternatives to traditional packing materials. When packing items for shipping, you can recycle and save money at the same time by using shredded paper as a padding material. If your a die-hard fan of packing peanuts or bubble wrap, seek biodegradable and recycled alternatives. Staples carries biodegradable packing peanuts made from cornstarch that dissolve in water, as well as recycled packing peanuts made from the remains of other loose fill. As an alternative to the traditional plastic bubble wrap, Bio-Bubble wrap is a 100% biodegradable bubble wrap option that breaks down naturally when exposed to environmental factors. When selecting shipping boxes, you can choose 100% recycled boxes produced from post-consumer waste... .

If you take the time and effort to ensure that your packaging and shipping materials are eco-friendly, be sure to include a small statement about your green shipping practices on your shipping invoice and on your website. Always let your customers know what steps you take to operate an environmentally responsible business. It does make a difference.

Learn more about waste prevention and source reduction via Project Green."

Read full article here

States Logistics Services Wins US EPA SmartWay Environmental Excellence Award

2009-11-19T11:12:00.000-08:00

Release date: 10/6/2009
Contact Information:
Matt Montford, Transportation Sales Manager mmontford@stateslogistics.com
States Logistics Services Inc. of Buena Park, California received an Environmental Excellence Award from the U.S. Environmental Protection Agency SmartWaySM Transport Partnership for its leadership in conserving energy and lowering greenhouse gas emissions from its transportation and freight activities. States Logistics has been a pioneer in the use of B99 Biodiesel (99% domestically produced soy-based diesel) and has aggressively implemented use of the latest engine and aerodynamic technology. The combination of these “bleeding-edge” practices result in commercial vehicles that far exceed government standards in most measures of emissions.

“Our partnership with SmartWay Transport shows companies can lower their fuel use, save money and help the environment,” said Bill Martin, Director of Transportation. “The partnership provides us with tools and information, and contributes on a daily basis to significant improvements in our efficiency and environmental performance. We urge all of our colleagues in the freight industry to consider joining SmartWay.”

States Logistics Services was one of 37 companies and organizations, from among the Partnerships’ more than 2100 Partners, to receive this distinction. The awards were announced today at the American Trucking Association’s Annual Management Conference & Exhibit in Las Vegas, Nevada.

"EPA is pleased to recognize these SmartWay Partners with a 2009 Excellence Award. I commend States Logistics Services for its leadership in promoting sustainable transportation practices through the SmartWay Transport Partnership", said Margo T. Oge, Director of the Office of Transportation and Air Quality, EPA. "These actions demonstrate a commitment to a cleaner environment and more secure energy supply."

SmartWay was introduced by EPA and a select group of fifteen shipping and business leaders in 2004 as an innovative, market-based partnership to reduce fuel use, greenhouse gas emissions, and air pollutants from the freight sector. Today, more than 2200 businesses and organizations have joined the Partnership, including companies of all sizes, from Fortune 500 companies to family-owned businesses, each working to improve their environmental performance.

Together, through the SmartWay Partnership, these companies, including States Logistics Services will eliminate six million tons of carbon dioxide that contribute to global warming, and save more 540 million gallons of diesel fuel – an economic savings of at least $2 billion a year.

For more information about SmartWay visit: www.epa.gov/smartway or call (734) 214-4767.

For more information about the SmartWay Award recipients, visit: www.epa.gov/smartway/awards07.htm

States Logistics Inc.: Going the Extra Mile

2009-11-03T05:08:00.000-08:00

This fully integrated provider of third party logistics has used technology and sustainability to stand out. With years of experience under their belts, the management team at States Logistics Inc. knows the significance of smoothly-run supply chain for any company. They also recognize most companies would prefer a single source provider of logistics, warehousing transportation and packaging. These factors alone make the West Coast company a standalone organization in a competitive industry.

States Logistics, Inc. featured in Executive Digital Magazine – http://www.execdigital.com/Magazine.aspx?id=1506

States Logistics, Inc. Partnering with Clif Bar & Company – In Good Company 2009 New Orleans

2009-10-28T06:20:00.001-07:00

States Logistics, Inc. has been invited by our business partner Clif Bar & Company to participate in a community initiative called “In Good Company”. Clif Bar & Company supports causes they believe in which has been part of the company’s identity from the start. They know that they have a special role to play in working toward a healthier, more sustainable world, and Clif Bar & Company have learned that their efforts can be even more effective when they partner with others. With this in mind, they reached out to businesses that share our interest in serving our communities––both local and global––to join us in growing In Good Company. The idea behind the program is to bring like-minded, community-oriented companies together to focus awareness on people and places in need through hands-on action. In Good Company is designed to evolve traditional philanthropy into a more active, engaging, personal part of life.

This year States Logistics, Inc. will be sending two associates, Val Itula and Todd Christensen to join with Clif Bar & Company in this exciting project. The devastation of Hurricane Katrina and the spirit of the people of New Orleans have transcended the distance between communities, making New Orleans local to all of us. This is ideal ground for In Good Company, which promotes community on multiple levels at once by fostering relationships among employees, businesses, nonprofit organizations, and local residents, as well as creating opportunities for collaboration and shared learning among companies.

Partner Organizations in New Orleans
They will be working directly with 3 organizations while they are down in New Orleans, Rebuilding Together, New Orleans Food and Farming Network, and Bayou Rebirth. Each of these organizations is still working hard to restore the community of New Orleans by getting their neighbors safely back into their homes, while also providing access to reliable sources of fresh and healthy food for one and all.

1. Through Rebuilding Together, we have elected to sponsor one home and will be working on a variety of projects together, ranging in levels of difficulty, so there will be something for everyone interested in home restoration.
2. For those who are interested in food and farming issues, they are excited to be working with New Orleans Food and Farming Network and will have an opportunity to work on a range of projects, including completion of several backyard gardens for those who like to get their hands dirty.
3. They also wanted to make sure that we had a broader perspective on the environmental risks facing the area that have been amplified by a combination of regional development and increasingly intensive weather systems that have ravaged the local swamp and marshlands. They all will travel one day east to Big Branch Reserve to work together with local park rangers and experts from Bayou Rebirth on a habitat restoration project that will replant marsh grasses in a very vulnerable area of the bayou.

Green logistics: Industry expert cites ways of going green and cutting costs at the same time

2009-10-27T11:32:00.000-07:00

WALTHAM, Mass.-It's possible to save money and the environment at the same time, and if you need proof, just look at the Green Machine.

That was the message Jack Ampuja, president of the consulting firm Supply Chain Optimizers, and executive director of the Center for Supply Chain Excellence at Niagara University in Lewiston, N.Y., was trying to get across at a Council of Supply Chain Management Professionals (CSCMP) New England Round Table event in Waltham, Mass. Tuesday night.

The event featured, among other things, a description of a new type of tractor for hauling freight, which Ampuja dubbed the "Green Machine" because of its environmentally-friendly design.

The tractor, he said, was conceived and built by a number of former trucking industry workers and veterans in Michigan. The tractor, Ampuja said, contains a long list of "green" enhancements, including nitrogen-filled tires (ordinary air escapes through the rubber over time), carbon-fiber springs, and a special hydrogen injector system for the engine.

Right now, companies like office furniture maker Hayworth, along with Pepsi, Anheuser-Busch and other companies, are expecting to save thousands of gallons of fuel per truck per year, and cut greenhouse gas emissions by amounts measured in metric tons.

But Ampuja was selling a point, not a truck: for all the cutting-edge improvements and patented design, Ampuja said the tractor is built out of off-the-shelf parts, and therefore costs the same as any other tractor on the market, so using them will not cost extra. If anything, Ampuja said, using them will save money long-term.

And that, Ampuja told the packed room, is the reality of the green movement in the corporate world.

"They (cutting costs and helping the environment) are not at odds," he said. "They complement each other."

Ampuja cited a recent study by the Aberdeen Group which found that leading companies are "greening up" by, among other things, redesigning logistics systems and redesigning packaging.

In addition to technological advances, Ampuja challenged the audience of supply chain managers, consultants and vendors to look to their own operations for other ways to go green and save money. Network optimization applications, he said, will be another major component of a green plan in the future, especially with oil prices expected to rise.

Read the rest of the logisticsmgmt.com article here.

2009-10-08T11:00:00.000-07:00

As a company, part of our mission is to support our local communities. One of the organizations that we continue to support is the Alzheimer’s Association. The Orange County Alzheimer’s Association is having their annual Memory Walk on Saturday, October 17th at 10am on the campus of Cal State University of Fullerton. The Arizona Alzheimer’s Association is having their annual Memory walk on Saturday, October 24th in West Valley at the Beardsley Recreation Center at 9am.

The States Logistics “teams” for CA and AZ have been created on Memory Walk web site, where you can join the team and we can all walk as a group – or just support your fellow co-workers. Click the following link to go directly to the States Logistics Team Pages for CA and AZ:

http://memorywalk.kintera.org/csuf/stateslogistics

http://memorywalk2009.kintera.org/westvalley/stateslogistics

In addition to walking, we have also reached out to the Alzheimer’s Association about volunteer opportunities on the day of the walk. For more information contact the States Logistics Human Resources Department.

The States Logistics family has participated in the Memory Walk for the past several years. It is a great opportunity to support a worthy cause … get in some light exercise … and spend a couple of hours with family and friends.

New Study Highlights Role of Third-Party Logistics Providers in Helping Shippers Adapt to Economic Challenges

2009-09-24T11:03:00.000-07:00

The fourteenth Annual Third Party Logistics (3PL) Study examining the current global market for logistics outsourcing was recently released. The study surveyed shippers and logistics service providers in North America, Europe, Asia Pacific and Latin America. Key findings included:

* The economic downturn has created significant challenges for both shippers and third-party logistics providers (3PLs) – 82% of shippers are employing cost-cutting tactics and 60% are rethinking their supply chains and relationships with 3PLs
* 88% of shippers feel that IT-based logistics services are important, but only 42% are satisfied with the capabilities of their provider – as a result of this IT capability gap, shipper respondents reported a lack of the key performance indicators, alerts and visibility required for an adaptive supply chain and 3PLs reported similar difficulties in getting the data and commitment they need from shippers
* There are significant differences between how 3PLs evaluate their role in the supply chain and how they are viewed by shippers – 59% of shippers feel their use of 3PLs has a positive effect on customer service compared to 88% of 3PL respondents
* Shipper respondents devote an average of between 47% (in North America) and 66% (in Europe) of their total logistics expenditures to outsourcing and this is expected to increase in the next five years.

“Shipper-3PL relationships are being impacted significantly by the prevailing uncertainty and economic volatility in global markets,” said Dr. C. John Langley Jr., Professor of Supply Chain Management, Georgia Institute of Technology. “It is very important for 3PLs to mitigate or reduce any financial risk or service level impact that this may cause.”

Economic uncertainty and the use of 3PLs
Economic volatility has challenged shippers and 3PLs alike to contend with factors such as unpredictable demand, instability in fuel costs and currency valuation, and excess inventory. In response, not only are shippers attempting to cut costs, 77% are also seeking to improve forecasting and inventory management.

Cost reduction and improved reliability in services are the main factors likely to increase shipper respondents’ use of 3PLs. This includes converting fixed to variable costs (59%), expanding to new markets or offering new products (56%), and restructuring the supply chain network to improve financial performance (48%).

Read the rest of the mhia.org article here.

Why 3PLs need to build their brand

2009-08-25T08:50:00.001-07:00

Over the past several years, the global third party logistics (3PL) industry has changed dramatically. While the demand for 3PL services has grown steadily, the major logistics service providers have expanded their geographical reach and broadened their service offerings. At the same time, the structure of the industry has changed not only through mergers and acquisitions, but also through new market entry by many companies, including some funded by private equity investors. 3PL company reorganizations and name changes have become commonplace.

These changes have fostered a degree of buyer confusion in the marketplace, and many large 3PLs fear a possible “commoditization” of their services in the eyes of those who currently buy their services or are considering doing so. If this is indeed occurring, existing and potential customers will become increasingly indifferent when choosing between logistics service providers. And this, in turn, will intensify the price compression pressures that already plague the 3PL industry.

A key question that needs to be asked here is: What are executives of those 3PL companies doing in response to these market developments? Specifically, what steps have large 3PLs taken in recent years to differentiate their service offerings in the marketplace while strengthening their brands? Further, is there more that those executives should be doing in those areas?

This article addresses the typical steps that companies should take in building, refining, and strengthening their brands—and in particular examines recent attempts by major 3PLs to do so. Branding literature forms the basis for discussion of the general case, and the branding steps taken by large 3PLs were documented through data generated during 2006 and 2007 in surveys of the CEOs of major 3PLs operating in three geographic regions: North America, Europe, and the Asia-Pacific region. (For more on the surveys, see accompanying sidebar). We conclude with suggestions for 3PL industry executives concerning their future branding efforts—and the potential positive implications of these efforts on the buyers of these services.

Read the rest of the scmr.com article here.

Transportation infrastructure: Funding options for next surface transportation authorization presented at House hearing

2009-07-29T07:21:00.000-07:00

At a Ways and Means subcommittee hearing last week the top two members of the House Transportation and Infrastructure Committee—Chairman James L. Oberstar (D-Minn.) and Subcommittee Chairman Peter A. DeFazio (R-Ore.) presented their options for the lack of capital in the Highway Trust Fund (HTF), as well as recommendations for their recently-introduced six-year, $500 billion surface transportation authorization bill, the Surface Transportation Authorization Act of 2009.

This hearing came at a time when there are many questions about how to keep the HTF solvent and how to finance the new legislation.

Among the measures presented by Oberstar and DeFazio for funding the next surface transportation authorization were:

* restoring the HTF for emergency relief, vehicle safety research, and foregone interest;

* issuing $60 billion of 10-year Treasury bonds to finance increases in funding provided during the first several years of the bill, which would be repaid in fiscal year 2012 with revenue from the HTF and be retired in 10 years;

* requiring fuel tax exemptions to be reimbursed from the United States General Treasury Fund;

* increase the per barrel fee on crude oil and imported gasoline and diesel;

* instituting a transaction tax on speculative trading of crude oil futures;

* the implementation of other user fees like an increase in the Heavy Vehicle Use Tax, vehicle registration fees, and container fees, which would finance freight related infrastructure improvements (this would be comprised of a $10 fee on every TEU (twenty-foot equivalent unit) container moving through a U.S. port and raise $3 billion over six years;

* a freight waybill tax that would act as a sales tax on freight shipping costs, with a 0.1 percent tax on truck freight waybills that would raise $620 million per year and a similar tax on waybills for all transportation modes that would raise $740 million annually; and

* a transition from a gas and diesel tax to a vehicle miles traveled (VMT) fee system that charges users for each mile driven.

“There are many options for financing the Surface Transportation Authorization Act of 2009,” said Oberstar. “None will be popular. However, without new revenues, our highway, highway safety, and public transit programs face enormous cuts at a time when the nation’s surface transportation network requires a substantial increase in investment just to maintain current standards. By making this investment, we will transform the future of surface transportation in the United States.”

Read the rest of the logisticsmgmt.com article here.

Trucking news: Transport Capital Partners survey points to heightened future expectations for trucking market

2009-06-25T06:47:00.000-07:00

A recent quarterly survey from Transport Capital Partners indicates that expectations for trucking carriers are lifting across several key metrics.

These metrics, according to TCP, include freight volumes, freight rates and credit, among others.

In terms of freight volumes, TCP found that expectations for increases over the next year rose up to 37 percent in the second quarter, a sharp increase from 17 percent last November, as well as a 6 percent bump from the first quarter’s 21 percent.

Freight rates also appear to be stabilizing, according to the survey, with 54 percent of respondents stating they expect rates to remain the same over the next 12 months, compared to 30 percent in the first quarter. Meanwhile those respondents that expected rates to decrease fell to 29 percent in the second quarter from 58 percent in the first quarter.

“Earlier in the year, we were wondering when the other shoe was going to drop, due to many factors like a slow fourth quarter and a new White House, and people were somewhat scared,” said Lana Batts, a partner at TCP. “Now, people have reached the conclusion that we will get through this, but it will be different, and ‘normal’ is the new normal.”

Batts added that in the trucking industry there is a sense the worst may be over, although it will take a while, given that freight volumes are still sluggish. But at the same time, most carriers are not expecting a major future decrease either.

With more respondents now indicating they expect freight rates to remain the same compared to February, when more expected a decrease in rates, it stands to reason that the trucking market is one in which carriers have stripped away a significant amount of capacity and are competing fiercely for whatever freight they can move.

Batts maintains that the trucking industry still has too much capacity, and rates would be going up has more capacity already been removed.

“Normally when you have this kind of dramatic drop in tonnage and the supply and demand drop in rates, you see a lot of carriers go out of business,” Batts said. “And while more carriers left the business during the fourth quarter of 2008 and the first quarter of 2009, it was not anywhere near where we thought it would be. The reason more carriers have not left the market is because carrier’s lenders were not pulling the plug for non-payment of trucks, because the price of used equipment has dropped so dramatically that lenders are willing to have truckers make every other payment, as long as they don’t get too far behind.”

Read the rest of the logisticsmgmt.com article here.

States Logistics Services’ New Warehouse to Achieve LEED Silver Certification

2009-05-27T07:42:00.000-07:00

By Tiffany Beffel, LEED AP

Known by its customers as one of the best providers of third-party logistics services, States Logistics Services, Inc. has grown to accommodate more than 100 customers and over two million square feet of warehouse space company-wide. Since the company’s inception, the vision to provide outstanding services to a wide variety of industries in Southern California and Arizona has expanded to include a significant focus on sustainability opportunities that reduce the impact of the company on the environment. Their vision of sustainability is employed in daily operations and procedures, and has expanded to include environmentally-conscious building development. The commitment to green building is showcased in their first LEED registered facility, which is anticipated to achieve Silver level certification through the U.S. Green Building Council’s LEED (Leadership in Energy and Environmental Design) Rating System for New Construction.

States Logistics Services’ new sustainable facility provides office and warehouse space to serve the growing warehousing, transportation, and packaging needs of Arizona. The 417,000 square foot facility has multiple environmentally-responsible facets including design, construction, and operations. Green operations include an extensive corporate recycling program, buying regional products and materials to support local businesses. and raising sustainability consciousness within the staff.

As a major supplier of packaging services, States Logistics Services, Inc. recognizes the benefits of reducing waste sent to landfills and reducing transportation of products and materials. This is one of the company values that led to the use of building products and materials with recycled content sourced from local providers. Steel, a material having high post-consumer and pre-consumer recycled content, was used extensively for the skin and structure. It enabled long roof spans which were needed for the open floor plan. Additional specified materials having recycled content include miscellaneous metal frames and doors and acoustical ceiling tile made from old ceiling tiles and mineral fibers.

Click to read the rest of the States Logistics warehouse article.

States Logistics Services, Inc. Partners with Dogswell for the Bow Wow Bailout

2009-04-28T05:42:00.000-07:00

States Logistics Services Inc., a Third Party Logistics provider in Southern California and Phoenix Arizona partners with Dogswell for the BOW WOW BAILOUT.

Beginning April 15th, DOGSWELL launched the DOGSWELL® BOW-WOW BAILOUT! DOGSWELL® is committed to providing up to 10,000 FREE bags of DOGSWELL® dry food for dogs, one per household, to folks who have lost their job, took a pay cut or had their hours cut due to this economic downturn.

Families are being forced to take their pets to animal shelters or abandon them because they cannot afford to care for them anymore. DOGSWELL® decided it's time to give back and asked States Logistics Services, Inc. if they would participate in the handling and shipping of the orders from their operation in Ontario California. “This is a great opportunity for States Logistics Services, Inc. to offer our 3PL services at no cost to help those in need,” said Ryan Donovan, V.P. - Operations and Business Development at States Logistics Services.

DOGSWELL® says it's doing everything it can to ensure that more pets stay in their homes and with their owners. Also, they will be attaching a coupon to each bag sent out for use at a local independent pet retailer so they can replenish their DOGSWELL® pet food supply at a deep discount.

The DOGSWELL® Bow-Wow Bailout will last until May 15th.

Applicants must fill out a redemption form. This form can be found at www.dogswell.com, by emailing bailout@dogswell.com or calling 888.559.8833.

For more information regarding States Logistics, Inc. go to www.StatesLogistics.com

Converting our transportation fleet to run on B99 biodiesel fuel

2009-03-25T07:16:00.001-07:00

Biodiesel is a clean burning alternative fuel produced from domestic, renewable resources. Biodiesel contains no petroleum, but it can be blended at any level with petroleum diesel to create a biodiesel blend. It can be used in compression-ignition (diesel) engines with little or no modifications. Biodiesel is simple to use, biodegradable, nontoxic, and essentially free of sulfur and aromatics.

At States Logistics we have started the process of converting our transportation fleet to run on B99 biodiesel fuel. B99 is a blend of 1% diesel and 99% biodiesel, which yields significant environmental benefits. The environmental results we have witnessed thus far have been dramatic. They include:

Each biodiesel powered tractor is the equivalent of removing 18.6 cars from the road each day
100% decrease in the amount of sulfates released to the atmosphere
75% decrease in carbon dioxide emissions
90% decrease in nitrated polycyclic aromatic hydrocarbons
67% decrease in total unburned hydrocarbons
We are ecstatic with the results of our biodiesel initiative and are eager to complete the transition to our entire transportation fleet.

About States Logistics

2009-02-23T11:52:00.000-08:00

Since 1958, States Logistics Services has understood the requirements needed, and has provided organizations with cost effective and value driven 3PL and supply chain management solutions. Our wide range of third party logistics services including warehousing, transportation, and value added services, has enabled us to deliver the necessary capabilities that have taken our clients’ supply chains to the next level of performance.

With facilities in Southern California and Phoenix Arizona, our service offerings are designed to provide integrated solutions to companies seeking adding value to their supply chain while keeping costs under control. Please contact us today for your logistics needs.