What is Blockchain Technology? Blockchain is an emerging technology that allows for the decentralization of data as well as making that data unalterable. A simple way to view blockchain is as a decentralized digital ledger of transactions. It is most famously known as the accounting method for the cryptocurrency, Bitcoin; but blockchain’s potential expands well beyond the current hype of cryptocurrencies.
The main characteristics of blockchain include being 1) decentralized, 2) verifiable, and 3) unalterable. These characteristics are viewed as having many advantages within the logistics industry. Transparency and trust between parties can be achieved by providing the same verified data to all members on the network. Blockchain technology has the promise of decreasing costs as middlemen are eliminated and antiquated systems are replaced with systems of higher efficiency.
Change in Logistics Blockchain technology has the potential to greatly benefit supply chain management. Examples include:
Improved traceability and trackability
Elimination of middlemen, which cuts costs, reduces paperwork, and shortens the supply chain
Reduction in the cost of regulations and compliance
Increased transparency of price, ownership, and the entire process
Accelerated payment, better security, and reduction of fraud
Simplified claims settlement
Another major advantage will be connectivity through IoT (the internet of things) where physical means of measurement, control and tracking can supply data and information. Blockchain technology will make sure this information is verified, distributed, and hacker-free. Major companies, such as UPS and Walmart, are starting to realize these advantages, and new organizations to implement uniform standards have started to develop. One of the most important is BiTA, the Blockchain in Transport Alliance. It is composed of companies ranging from truckers, freight consolidators, logistics firms (including Logistics Plus) as well as software and information technology firms. Recently, BiTA announced that it would use open standards to encourage adoption and usage.
In preparing for blockchain, BiTA cites the following many use cases:
Performance History – Performance history through the blockchain framework can allow parties to see solid and definitive evidence of past performance in all the relevant metrics. This removes the “trust” aspect from all deals
Vehicle Maintenance – Blockchain allows for the item by item records of vehicle repairs. Instead of one person holding an extensive repair history, it is held within the blockchain. The history can now effectively move with the equipment for anyone to see.
Quality Assurance – Thanks to the distributed nature of blockchain, everyone involved in the transaction has access to all points. Taking photos and evaluating freight at pick-up and delivery locations reduce the likelihood of unsubstantiated disputes.
Compliance – Blockchain and ELDs are a natural pair. ELDs can send a near endless stream of data to the blockchain in real-time. Pairing this information with traffic data, weather data, etc. allows for up to the minute rerouting.
Capacity Monitoring – In trucking, available capacity can change throughout the day. The blockchain can provide the necessary transparency to know when and where capacity opens up, allowing participants to take advantage of shifts in demand.
Payments and Pricing – Payment processing and settlement is all secure on the blockchain, and transaction information is easily accessible. By keeping detailed historic payment records, people can use more data than ever to determine rates.
Fraud Detection – Every transaction that takes place on the blockchain is visible to everyone on the network, and nothing can be removed. This transparency removes many points where fraud occurs and eliminates double brokering.
Theft Prevention – The blockchain can contain detailed information and rules. These can even include ID pictures and rules for the pick-up and delivery of the freight, increasing security and reducing the possibility of theft.
Blockchain isn’t just an industry disruptor, it’s the technology that will revolutionize the way people do business. As blockchain and IoT converge, the result will be that the transportation and logistics industry may never be the same.
Logistics Plus Joins Blockchain in Transport Alliance (BiTA)
Logistics Plus and BiTA Look to Develop Blockchain Standards and Education within the Transportation Industry
ERIE, PA (January 30, 2018) – Logistics Plus Inc., a leading worldwide provider of transportation, logistics and supply chain solutions, is proud to announce that it has joined the Blockchain In Transport Alliance (BiTA) to help develop and set standards for blockchain technology within the transportation industry.
A blockchain is a digital and decentralized ledger that is maintained across a network of computers and protected through encryption. Its transparency and incorruptibility helps facilitate transactions and agreements between different parties. Blockchain technology can bring added visibility, traceability, and security to global supply chains.
All companies within BiTA share a unified mission of developing a standards framework, educating the market on blockchain applications, and encouraging the use of said applications through exemplary implementation. In addition to establishing market standards, BiTA is focused on engaging with the industry and providing educational resources to ensure the full potential of the benefits of blockchain technology is carried through.
“BiTA is the standards creation, education and industry leadership organization in the area of blockchain within the transportation industry,” said Emile Zafirov, CIO for Logistics Plus. “By joining BiTA, Logistics Plus is among the early proponents and, potentially, adopters of blockchain technology and the benefits it brings for transportation and supply chains.”
About BiTA The Blockchain in Transport Alliance (or BiTA) is a consortium of the foremost leaders in the trucking industry forging a path towards industry standards in blockchain use. All companies within BiTA share a unified mission of developing a standards framework, educating the market on blockchain applications, and encouraging the use of said applications through exemplary implementation. Learn more at bita.studio.
About Logistics Plus Inc. Logistics Plus Inc. provides freight transportation, warehousing, fulfillment, global logistics, and supply chain management solutions through a worldwide network of talented and caring professionals. Founded in Erie, PA by local entrepreneur, Jim Berlin, 21 years ago, Logistics Plus is a fast-growing and award-winning transportation and logistics company. With a strong passion for excellence, its 450+ employees put the “Plus” in logistics by doing the big things properly, and the countless little things, that together ensure complete customer satisfaction and success.
The Logistics Plus® network includes offices located in Erie, PA; Alma, AR; Little Rock, AR; Los Angeles, CA; Riverside, CA; San Francisco, CA; Visalia, CA; Atlanta, GA; Chicago, IL; Detroit, MI; Kansas City, MO; Charlotte, NC; Lexington, NC; Buffalo, NY; Olean, NY; Cleveland, OH; Charleston, SC; Greenville, SC; Nashville, TN; Dallas, TX; Fort Worth, TX; Houston, TX; Laredo, TX; Winchester, VA; Madison, WI; Australia; Bahrain; Belgium; Canada; Chile; China; Colombia; Egypt; France; Germany; Hong Kong; India; Indonesia; Kazakhstan; Kenya; Libya; Mexico; Poland; Saudi Arabia; Singapore; South Sudan; Taiwan; Turkey; UAE; and Uganda; with additional agents around the world. For more information, visit www.logisticsplus.com or follow @LogisticsPlus on Twitter.
What are ELD’s? For anyone not familiar with the term, ELD is short for electronic logging device. This tool is used to document a driver’s Record of Duty Status (RODS). Before ELD’s came about, drivers had to manually enter their hours of service into a paper logbook. Although some individuals still utilize this method, ELD’s were created with the intent to be easily accessible, organized and a fast way to track, manage, and share RODS information. The device is able to connect with a truck’s engine, which transfers driving time directly to the ELD, making it easier and accurate for drivers when having to log their hours of service requirements.
The ELD Mandate About six years ago, in 2012, the U.S. Congress passed the MAP-21 bill, otherwise known as “Moving Ahead for Progress in the 21st Century.” This law requires drivers to have an ELD installed in their vehicle, replacing the previous manual logging method. The mandate was put into action in December of 2017, but drivers have until April of 2018 before the FMCSA (Federal Motor Carrier Safety Administration) requires them (inspectors will issue citations before April 1; after that date, out-of-service orders will be given to truckers that are non-compliant).
Impact on Truck Capacity The new ELD Mandate has raised issues concerning trucking capacity and much more. Although truck operators have known about this for a while, many have yet to install the electronic tracking device or find an authorized vendor, not to mention it is a lengthy process.
Based on FMCSA guidelines, the HOS rules are as follows:
Truckers have an 11-hour driving limit (only holds true if the driver has 10 consecutive hours off duty)
Drivers have a 14-hour absolute driving limit for driving after coming on duty (following 10 consecutive hours of off-duty)
Drivers must take breaks (may only drive if 8 hours or less have passed since the end of the drivers last off-duty)
Specification of how many hours a driver may work within an 8-day period
No more than 60 hours when driving 7 consecutive days in the same period
No more than 70 hours when driving 8 consecutive days in the same period
Restarts when the driver takes 34 + hours off duty
These new regulations hold strict limitations on the number of trips and hours drivers can complete in a given time frame. They also have drivers questioning what this means in terms of trucking capacity. Will truck drivers be able to fulfill their daily driving schedule? Will this decrease a carrier’s or operator’s profitability? As truckers are faced with increased costs and limited driving time, how much of these increased costs will be passed on to shippers?
Many media outlets are already reporting significant capacity constraints and rate increases across both the truckload and LTL segments. In fact, some truckload freight may be shifting to LTL in certain lanes as capacity has tightened and as truckload spot-market rates have increased. The TIA’s (Transportation Intermediary Association) data is also showing the impact of rising spot market truckload rates, which grew by double-digits year over year in the fourth quarter of 2017.
Although 3PLs are not immune to rate increases and capacity crunches, they are often in a better position to help customers find affordable solutions through their effective use of technology and their expansive carrier relationships.
There is no doubt that the ELD mandate will cause less trucking capacity, but in the long term, it will increase efficiency and productivity for users who implement it. Since the large fleet operators have implemented ELD’s years ago, they have an advantage over the smaller fleet and independent operators who have delayed ELD implementation. However, Logistics Plus is accomplished in finding the best logistic solutions to a shipper’s needs.
ELDs, new visibility tools, and automated enhancements will continue to change the transportation and logistics industry on every front. As costs are permanently reduced and efficiencies realized, the trucking industry may eventually see a prolonged period of price declines. However, that time horizon is at least a few years away. In the meantime, if you need a trusted logistics partner to help you find affordable truck capacity, Logistics Plus is ready to help.
Logistics Plus® eWorldPlus™, powered by CargoWise One®, is a powerful cloud based logistics platform that helps companies improve integration, automation, and communication within their supply chains. It integrates into a company’s business with its customers and partners, streamlining processes and increasing the efficiency, visibility, and profitability of its operations. With hundreds of new features, the newly upgraded platform offers end-to-end visibility – from purchase order (PO) to shipment, customs clearance, domestic transportation, warehousing and distribution, and to final delivery.
CargoWise One, a global integrated single-platform operating system for the logistics industry, is used by the world’s largest logistics companies in 115 countries to manage the movement of goods and information across the supply chain and is known for its powerful productivity focus, extensive functionality, comprehensive integration, and compliance capabilities. As the backbone to eWorldPlus, Logistics Plus customers enjoy some of the following capabilities:
A deeply integrated global freight forwarding solution that organizes and coordinates every aspect of shipments, consolidations, NVOCC operations, imports, exports, transshipments, and on-forwarding. For international and domestic operations covering multiple transport modes, eWorldPlus can help manage highly complex, time critical operations while improving productivity.
A customs clearance system that simplifies the customs process by retrieving the calculated duty and tax, and predicts entry fees for the relevant customs authority prior to submission.
Ocean liner and agency shipment management. All operations are consolidated into one cloud-based system. Access to integrated sailing schedules and space allocations, bookings and bills of lading, container control and detention, accounting, and automated data exchange provide the functionality, visibility, and automation necessary to manage seamless shipments on a global scale.
Comprehensive warehouse management system (WMS) with complete visibility and inventory control for effective operations. A company’s goods will be delivered in full and on time, every time. It suits the present scale of any business – from small warehouses with few orders to large, multi-warehouse operations – and can be reconfigured to match future growth.
Efficient local and overland domestic transportation. Whether door-to-port or port-to-door, trucks or tracks, refrigerated, point to point, bulk or line haul, eWorldPlus is the comprehensive solution that seamlessly manages consignments to and from everywhere in every form.
Online track and trace grants customers increased visibility to monitor the status and movements of goods in real-time at any time. Visibility is now a key customer requirement, and eWorldPlus web tracking capabilities provide customers with 24/7 access to tracking information through a feature-rich online portal. Information is available on demand, it can be pushed to designated staff, or it can be auto delivered to back-office systems.
Project management capabilities allow Logistics Plus specialists to create and configure tasks, supply-chain milestones, and exceptions; record, manage and display tasks, manage projects; and configure triggers to perform actions when events occur. All relevant documentation is kept in one place, always available and accessible in the cloud.
Enterprise efficiencies including accounting, customer relationship management, human resource management, electronic document management, EDI and data integrations are supported for virtually all modern and most legacy systems.
If you’re interested in learning more about eWorldPlus powered by CargoWise One, click the button below to get started. Logistics Plus technology solutions come with no contracts to sign, no commitments, and no hidden fees.
What is Blockchain Technology?
ERIE, PA (January 30, 2018) – Logistics Plus Inc., a leading worldwide provider of transportation, logistics and supply chain solutions, is proud to announce that it has joined the 
