1. Consider if the provider has full-time employees outside of North America. If you do business globally, choosing a freight audit and payment provider with global employees can help streamline transactions. Providers with full-time staff around the world can offer multilingual support. A worldwide presence also demonstrates international business is an important part of their operations.

2. Gain transparency with digital images of EDI transactions. EDI transaction imaging capabilities securely document freight expenditures and ensure data is stored securely and is easily accessible. Virtual images also provide transparency throughout the transaction process.

3. Meet country-specific compliance needs. International payments can involve navigating different regional compliance requirements. Global trade demands certain financial transactions to be conducted through local bank accounts and in specific currencies. Meeting the requirements of each region is essential to the completion of payments.

4. Explore online exception management. Online exception management solutions allow shippers and transportation providers to collaborate on invoices requiring additional information or approval for payment—making sure payments are delivered quickly, while ensuring transparency for all parties involved.

5. Increase accuracy with data normalization and cleansing. Data normalization requires that all freight invoices are provided in an electronic format so no manual entry is needed and data can be standardized for accuracy. Data cleansing ensures all invoice information is accurate and up-to-date before entering the payment processing cycle.

6. Leverage a reporting and analytics solution. Choose a freight audit and payment provider that can accurately and efficiently identify freight billing discrepancies, as well as monitor key performance indicators of your carrier partner’s service. Having access to detailed analytics allows for transparency when evaluating costs associated with a carrier invoice and gauging the effectiveness of transportation service-level agreements. A thorough reporting function provides opportunities to gain insights into shipping trends and adjust operations.

7. Prioritize and evaluate experience. With the diverse array of freight audit and payment providers available, it is important to choose one that best aligns with your business needs. When assessing their level of experience, look for case studies, awards, and reviews from past and current customers.

8. Determine if the provider can auto-rate all transportation modes. Auto-rating across all transportation modes helps streamline billing processes and ensures accurate shipment pricing. This functionality is especially helpful for shippers that use multiple transportation providers or manage shipments of many sizes.

9. Automate your invoice processing business rules. Determine if your prospective freight bill audit and payment provider has an automated system that recognizes your unique internal invoice processing business rules. Being able to automate these rules ensures they are always triggered and frees up your time to handle other tasks. This feature can help ensure data accuracy and reliability.

10. Look beyond costs. Beware the economical provider. Consider all of the options available to you before deciding on a freight bill audit and payment provider. It can be tempting to pick the least-expensive option, but be wary. All providers are different, so research their reputation and understand exactly what services they offer when making your decision.

Building Smarter Homes

Consumers love their smart home devices. Spending on smart home hardware that includes individual devices, such as automated lighting systems and controllers, grew in 2022. It surpassed $30 billion worldwide, up 15% over 2021 spending, according to an ABI Research market data report.

Manufacturers have taken notice. The largest consumer technology and home goods players, including Amazon, Apple, and Google, have expanded their product ranges to connect into existing smart home systems, finds the report.

To simplify purchase and installation of new devices for consumers, Version 1.0 of the Matter specification, a royalty-free standard for home automation devices that enables cross-vendor device interoperability, was released in October 2022 and may spur further growth.

Version 2.0 could arrive in spring 2023 and may include support for robotic vacuum cleaners, ambient motion and presence sensing, smoke and carbon monoxide detectors, environmental sensing and controls, closure sensors, energy management, Wi-Fi access points, cameras, and major appliances.

Other growth may come from previously under-served markets such as multi-dwelling units and hospitality, the report notes.

“That is not to say growth will be even across device categories or vendors,” says Jonathan Collins, smart homes and buildings research director at ABI Research. “Interoperability, functionality, and application integration will all be key to spending as consumers increasingly transition from single device purchasing to building out whole-home systems.”

Supply Chain Tech Takes on Loss Prevention

Home improvement retailer Lowe’s is applying supply chain technology to its efforts to thwart shoplifters.

As many retailers combat shrinkage by placing product out of reach of potential shoplifters, Lowe’s is exploring a different approach by making pilfered items useless to shoplifters. It has introduced Project Unlock, which combines RFID and blockchain technology to protect both retailers and consumers. Here’s how it works.

Lowe’s asks manufacturers to embed a wireless RFID chip into a powered product, such as a drill. This tag is preloaded with the item’s serial number and the box’s barcode and disables operation until scanned at the point-of-sale.

When a shopper hits the checkout line, a point-of-sale RFID scanner reads all tags in range, finds the tool, and writes a unique secret key value that activates the tool for use. What this all means is that if a power tool is stolen, it will not work.

In tandem with the RFID capabilities, Project Unlock uses blockchain to create an anonymous record of product purchases. Legitimate purchases are recorded to the blockchain, which contains no personal information. Retailers, manufacturers, and law enforcement can use this information to validate authentic purchases.

Taking Inventory in Hand

The Home Depot is putting inventory management in the hands of in-store associates. A new app, named Sidekick, helps associates at more than 600 stores more efficiently prioritize tasks.

The app, which integrates into hdPhones—mobile devices previously provided to Home Depot associates—uses machine learning (ML) to guide priorities. For example, Sidekick notifies associates when specific shelves need to be restocked and lets them know where to find excess product in the store. Specifically, the app:

• Leverages a cloud-enabled ML algorithm to determine which tasks are actionable and when they should be completed.
• Utilizes machine vision to detect and fill out-of-stock products, as well as to locate products in stores.
• Alerts associates to tasks that need to be completed first via a common tasking engine.
• Shows where and how to complete a task in a dashboard with associate and manager views.
• Integrates with other platforms to ensure all data and task prioritization is up-to-date and aligned with broader business needs.

“The first step to customer service is being in stock with the right product that’s easy to locate,” says Muzammil Akram, vice president for store technology, The Home Depot. “Equipping our associates with innovative technology is one key factor in delivering on that initiative.”

Setting Sale

The home improvement supply chain gets busier in early spring as home buying season kicks off and sellers hoping for quick sales begin projects to increase curb appeal. Sixty-five percent of recent sellers responding to research conducted by The Harris Poll and commissioned by Zillow took on at least two home improvement projects prior to listing their homes for sale.

The most common projects are interior painting (40%), carpet cleaning (35%), and landscaping (33%). About 3 in 4 sellers (74%) in the past two years say they believe that improvement projects helped their home sell.

35% of consumers responding to an Ikea survey say they expect to cancel or postpone home improvement plans as a result of concerns about the general economy due to inflation.

Some companies are rethinking their supply chain plans to include closer and friendlier partners, finds a recent Coupa survey. For example, the data shows that in the next six months to one year:

• 28% of respondent companies will reduce dependency on suppliers from any one region.
• 28% say they rely on suppliers that are geographically closer to production and distribution facilities.
• 31% plan to strengthen relationships with their current suppliers and/or buyers.

“When supply gets constrained and capacities and materials go on allocation, suppliers tend to prioritize their preferred customers,” says Dr. Madhav Durbha, vice president of supply chain innovation, Coupa Software. “Organizations are gaining this status as ‘preferred customers’ through collaborating with suppliers by providing visibility into their anticipated demand and ensuring payments happen on time.”

As companies diversify operations, many see the benefits of closer economic relationships with businesses in countries that closely align politically. For example, the United States and India hosted a summit in January 2023 to explore efforts to enhance the resiliency and sustainability of trade between the two allies so both are “better able to withstand current and future global challenges,” according to U.S. Treasury Secretary Janet Yellen.

The close relationship between the countries may culminate in companies moving operations out of countries less friendly with the United States and into the Southeast Asian nation. Case in point: Container xChange published survey results that show 67% of respondents consider India and Vietnam as attractive alternatives for a China-plus-one strategy.

Mexico is another U.S. trade partner benefiting from both nearshoring and friendshoring. In 2022, Mexican imports to the United States rose 19.5% year-over-year to reach $479.6 billion according to Mexico’s National Institute of Statistics, Geography and Informatics. Mexico houses assembly plants for GM, Toyota, BMW, Honda, Volkswagen, Mazda and others, and is the top importer of motor vehicle parts made in the United States.

The retail giant indicates that barcode reading may hinder plans as it integrates robotics solutions into warehouses and distribution centers. Amazon says that legacy code-reading technology has gotten in the way as it attempts to move forward with robotics.

Variances in barcode placement, along with sizes and shapes of products, create difficulties for robots attempting to read the codes. Amazon anticipates that machine learning can change the game.

Currently, Amazon needs to catalog products by photographing them; an intimidating step given how many different SKUs the retailer offers. In an early pilot, images were translated into a vector, which allowed Amazon to apply machine learning to the process. Early attempts demonstrated that the robots were about 80% accurate in matching the image with the item. With a few tweaks, investments, and time, match rates are now near 99%, according to the project team.

The new process also pairs with Amazon’s inventory tracking system that can identify specific bins that house 12 different products. This can simplify the process by allowing the algorithm to identify items against only those within a specific bin.

As part of a $9-billion investment, the USPS anticipates increasing the quantity of purpose-built Next Generation Delivery Vehicles to a minimum of 60,000. Of these, at least 45,000 will be battery electric by 2028. Plans call for vehicle acquisitions delivered in 2026 and thereafter to be 100% electric. As it explores the possibility of a 100% electric fleet, USPS also expects to purchase an additional 21,000 battery electric delivery vehicles through 2028.

Mail carriers also will see benefits. The new vehicles will offer air conditioning and advanced safety technology—options unavailable in the older models the USPS is replacing.

The report, however, points to a gap between where respondents want the industry to be versus where it is now. For example, 72% say less than 50% of their supply chain processes are currently automated, while another 33% automate just 25% of their processes. Almost half of respondents are looking to close that gap, with 47% saying they are considering implementing artificial intelligence and machine learning technologies over the next 24 months.

Respondents also say that process automation has led to benefits that include:

• End-to-end process visibility (82%)
• Increased process efficiency (79%)
• Defining and documenting standardization (77%)
• Integrated processes across the end-to-end supply chain (75%)
• Building internal skill sets (72%)

“CEOs say they plan to mitigate risk by accelerating innovation and digital transformation, pursuing new opportunities in higher-growth markets, and revising business models—the three most-cited actions,” says Dana Peterson, chief economist for The Conference Board.

Some concerns are abating. Although COVID remains top of mind for many CEOs operating in Asia, their U.S. counterparts seem to have placed the issue in their rear-view mirrors. By-products of the pandemic, such as labor shortages, remain constant. Finding and retaining talent continues to be a huge challenge that nearly all CEOs place at the top of their internal priority list. 

“To attract and retain talent—the biggest internal worry of CEOs worldwide—leaders are focused on building stronger cultures,” says Rebecca Ray, PhD, executive vice president, human capital, The Conference Board. “But some key factors that contribute to such an environment—including addressing pay inequality, development opportunities, and a psychologically safe workplace—are relatively low on their list of priorities.

“This presents an opportunity for C-suites to revisit their companies’ goals for strengthening organizational culture and the specific actions required to do so,” she adds.

Here’s where SMBs are spending their energy and money as they deal with disruption and discover new best practices:

• 88% plan to or are currently switching at least some of their suppliers to ones closer to the United States.
• 64% have joined or plan to join a group purchasing organization to help manage procurement costs and challenges.
• 90% are committed to implementing emerging technologies. SMBs are increasing or maintaining investments in the Internet of Things (42%), blockchain/smart contracts (41%), and artificial intelligence (39%).

Through strong seasonal forecasting, SMBs also have been able to avoid many of the pitfalls larger retailers face. 67% say their forecasting techniques helped them avoid excess inventory. But many SMBs entered 2023 with some trepidation, concerned about inflation (65%), inventory shortcomings (45%), and economic recession (42%).

Technology

• Pio (Product In/Out), a plug-and-play version of AutoStore’s cube storage technology tailored for small and medium-sized businesses (SMBs), is now available in North America. Based on a pay-per-pick service model, Pio allows SMBs, such as retailers of apparel, sporting goods, crafts, and cosmetics, to deploy robotic automation for storage and distribution for a relatively low investment. Retailers pay a fee per item picked; robots, ports, and software are owned and maintained by Pio.
• Front AGV solutions cover a range of processes, from machine tending, assembly and labeling, to picking, packing, and palletizing. Front AGV, an integrator and designer of automated guided vehicles (AGVs), partnered with Kollmorgen Automation, which provides a customizable software and hardware solution for vehicle routing and navigation, to boost its AGV solutions.
• The drone-powered inventory monitoring solution from Gather AI creates a digital representation of the warehouse to elevate inventory accuracy. Warehouse managers are able to take inventory and view the results from a dashboard, identify and fix inventory inaccuracies, and trace the history of a pallet or location.

Products

• EcoSonic ESD Self-Seal Bubble Bags provide corrosion protection for metal components. Corrosion inhibitors form a protective molecular layer on packaged metals, making this packaging product suitable for electronic parts and electric vehicle components.
• ORBIS added the 40×48 Odyssey Low Profile pallet to its reusable plastic pallet line. Designed to provide repeatable performance with automated equipment, it has a low-profile 5.6-inch height and can carry 2,800-pound-plus loads.
• The PullBuddy Automatic Guided Vehicle from ResGreen Group International can transport loads up to 450 pounds up and down inclines of 5 degrees or less. The vehicle is designed to clear ramp entry, exit, and cresting.
• Designed to produce fluffy paper pads for void filling in large and medium-sized boxes, Storopack’s new PAPERplus Dragonfly machine can reduce the amount of paper used in packaging. Adjustable to three different speeds, the machine produces between 160 to 200 feet of extra-wide crimped paper pads per minute.

Services

• Logistics Plus opened a 1.1 million-square-foot warehouse in the greater Phoenix area. The new warehouse, located at the NEC Loop 303 and Bethany Home Road intersection in Glendale, Arizona, offers freeway access, 395 trailer stalls, and 40-foot ceilings.
• Performance Team is supporting cold chains in the U.S. Gulf with its new cold storage facility in Houston, Texas. Within a one-day drive, customers can reach the markets of San Antonio, Dallas, Laredo, McAllen, New Orleans, and Mobile. The facility introduces a 90-foot refrigerated loading dock section for trucks to streamline loading and unloading of refrigerated cargoes.
• Hellmann Worldwide Logistics now offers specialized logistics services for the consumer goods, technology, and industrial sectors. The consumer goods service provides global transportation solutions, sets up online stores, and lends support at the point of sale; the industrial and technology solutions offer supply and returns management.
• CEVA Logistics opened a multi-client warehouse in Bogota, Colombia, to serve its technology, industrial, and automotive clients. The new facility consolidates the operations of three former sites in Colombia and adds space for new customers.

Transportation

• DHL Express launched a direct flight to the Dominican Republic from the United States. Operated by Swift Air, the flight runs 5 times per week between Américas International Airport and the DHL Hub at the Miami International Airport.
• Sterling Transportation now offers an LTL and FL service out of Miami into Texas. Leveraging its service into Florida from Dallas and Houston, the provider enhanced the return lane.
• PITT OHIO added 32 next-day lanes to and from New York state. Shippers gain one-day transit times from 9 of PITT OHIO’s terminals to and from Albany, Buffalo, and Utica to Mid-Atlantic terminals. Five PITT OHIO terminals in the Mid-Atlantic are now next-day to and from Watertown, New York.
• ZIM Shipping Lines doubled its service from Asia to Maryland, increasing its E-commerce Baltimore Express frequency from every two weeks to weekly.
• GEODIS expanded its GEODIS MyParcel product, its direct-to-customer cross-border delivery offering, with a new air zone skip service from the United States to Canada. U.S. retail shippers now have a faster method to ship into Canada, as the new service consolidates shipments via air transport with final delivery to the end consumer, bypassing multiple touchpoints.