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As vice president of sales and solutions at Nimble, a fully autonomous 3PL, Jonathan Briggs knows just how powerful warehouse robotics can be. In this episode, he and Lori discuss the history of robotics in logistics, what companies are doing today, and how things will evolve in years to come.
What are robots capable of?Jonathan explains that in the past five years, the development of sophisticated artificial intelligence has led to “full-task robotics, where a robot can now do a full task of a person end to end.”
“It’s not just moving an item around a warehouse to make it a little bit more efficient. Now we can displace people because [robots have the same] functionality.”
What about human jobs?Lori poses a tough question: If robots can replace humans in the warehouse, won’t that harm workers? Jonathan says no, explaining that robots aren’t necessarily leaving people jobless; they’re usually used when there isn’t enough human labor to meet logistics needs.
Even more importantly? Robots can perform tasks that are often taxing and dangerous for humans. As Jonathan points out, “Everywhere you look, there's a shortage of labor, there's injuries and accidents. What we do is get rid of jobs that people aren't showing up for, are getting hurt doing, or don't want to do.”
Save money on warehouse real estateOne often overlooked benefit of robots? They allow businesses to make their DCs smaller while maintaining efficiency. Jonathan says, “Most people look at automation through the lens of labor, labor, labor—cost of labor versus cost of machine. But you can add in another layer of dimension there: [you] can shrink the building, [you] can shrink [your] utilities.”
LinksWhen businesses first start out, developing their product is usually a reactive process—and it’s hard to tell which new features make a difference. Ching Pei, VP of product at EasyPost, explains what product managers do to make the development process more proactive and effective.
The role of product teamsProduct teams are involved with every part of the business: customer success, sales, marketing, and more. Ching explains how she views product’s role: “I think of product as a center spoke of a wheel, with each of your departments surrounding it. [Product managers are] hearing feedback [from] external customers and internal customers, and it’s their job to come in and prioritize.”
Meeting the logistics industry where it isIf you’re a logistics tech company, you know that the industry is traditionally slow to adopt new, innovative solutions. But product teams still have an opportunity to design technology that makes a difference.
As Ching puts it, “Logistics [technology] is a little bit more tangible [than other types of software] … so you don't always get to push the boundaries of innovation. You have to meet the industry where it is. You may not be the forerunner in innovating and technology, [but] you're bringing in forward-thinking tech to an industry that has traditionally been a laggard in change.”
How to get customer feedbackCustomers should be involved with product development from day one, but you don’t want to overwhelm them with requests for feedback. Ching’s team finds a balance by “piggybacking off of already existing calls with customer success or support. If support faces an interesting topic, we may say, can I jump on the call with the customer when you explain this?”
“You should never be afraid to let your customers talk to your product team.”
LinksPeter Klevecz, regional and global customer manager at DHL Express, has witnessed the carrier’s sustainability innovations throughout the years (including purchasing 800 million liters of sustainable aviation fuel). Now, he joins Lori on this episode of Unboxing Logistics to discuss the what, why, and how of sustainable shipping.
What is a carbon footprint?Lori and Peter kick off the conversation by discussing what the term carbon footprint really means. Peter says, “[a] company's carbon footprint includes all of their direct and indirect greenhouse gas emissions.”
The importance of authenticityWhatever you do, don’t make false claims about your sustainability efforts. As Peter explains, doing so destroys consumer trust. “Building an authentic sustainable strategy is really the key to enhancing your brand image and gaining that competitive advantage in an ethical way.”
Customers want sustainable optionsHow can you get customers on board with your sustainability efforts? The answer is simple: communicate! “You can actually share with the customer how their decision is impacting the globe. It's a small investment to make a big impact.”
When you share your sustainability goals and initiatives, customers will continue supporting your brand. “Data supports that customers are willing and even happy to pay for sustainable options. They're more loyal to companies that provide them.”
LinksThe logistics industry has come a long way in 40 years—and the future holds many exciting opportunities. John Campo, vice president of government and carrier relations for EasyPost, shares some key insights into the evolution of logistics.
2024 trends: carrier diversification and post-Covid market changesJohn and Lori kick off the episode with a discussion about the shipping market, where John points out that “carriers nationally have gone through some labor discord.” Although the threatened strikes were avoided, more shippers began trading their “one-trick ponies” for multi-carrier shipping strategies.
Moving forward, John predicts that some logistics companies will go out of business now that the Covid-19 consumer shipping craze has died down. “During that time there was massive over-investment … I think there’s going to be a consolidation in the business. The strong ones, they’ll survive and thrive.”
Importance of accurate delivery timesAs shipment tracking data improves, customers will be able to access automatic updates for every step of the delivery process. This proactive approach doesn’t just benefit consumers—it also saves carriers the cost of failed deliveries.
John says, “if the delivery can be made as exact and precise as possible using data, then the customer wins, the carrier wins, the merchant wins, and it keeps costs down.”
Understanding carrier performanceConsumers hold ecommerce businesses accountable for their shipping performance. That includes fulfillment activities like picking and packing orders, but it also includes carrier performance—something you often don’t have direct control over.
Because of that, John says, “understanding carriers' performance [by] utilizing time in transit data is really critical.”
LinksNo initiative is an island—and that includes sustainability. By implementing efficiency-boosting changes like automation, your business will also limit its carbon footprint. Kim Baudry, market development director at Dematic, explains how automation helps people, profits, and the planet.
Sustainability, labor, and automationBecause labor is a resource, sustainability includes making people’s jobs physically and mentally easier.
Kim explains, “Automation brings everything to the level where you're not bending, you're not lifting. It can reduce the amount of time that you're walking back and forth. … We have to think about how we're treating [people] so we can retain and attract them.”
How software helpsWarehouse automation isn’t all robotics; software plays an essential role. As Kim puts it, “Good software creates efficiencies in operations. When you have inventory tied to where it needs to be and where it needs to go, you're spending less time, which means less energy. You should be able to take up less space, and you have higher accuracy on your order. All of those things are good for sustainability.”
Balancing the costs and benefits of eco-friendly practicesIs sustainability worth the cost? According to Kim, the answer is an unequivocal yes—when you look at the big picture. “It's a gut reaction to go, oh my gosh, this is going to cost me a lot of money. But you really have to look at the long term. If [automation] benefits your people, you're going to have a more stable workforce. You can avoid getting more space. If you can cube your trucks, you have fewer trucks on the road, fewer expenses.”
LinksIn this episode of Unboxing Logistics, James Sutton announces a new EasyPost solution: EasyPost Analytics. As head of the EasyPost Analytics engineering team, James has seen firsthand how crucial it is for shippers to have full visibility into their supply chain. He shares what EasyPost Analytics can do, who it’s for, and how it sheds light on complex logistics operations.
Why use analytics software?Businesses that ship products to customers often have an extensive collection of technology: shipping software, TMS, WMS, OMS, ERP … and the list goes on. James explains that the goal of EasyPost Analytics is “to integrate all those systems' data,” giving supply chain professionals a full view of what’s working well and what can be improved.
“Having the right visibility into performance metrics … can empower operations to be more efficient and save money, but also execute at a high level.”
EasyPost Analytics modulesEasyPost Analytics has several modules, each focusing on a different aspect of shipping and logistics. James and Lori dive into the details of omnichannel operations, warehouse management, and parcel visibility.
While each module can be purchased separately, James says it’s “pretty powerful if you have all of them, because then you have all the data in one place and can tell the whole story.”
What’s the ROI?James explains that shippers see two major results when using EasyPost Analytics. “One is cost avoidance. … You don't have to pay for the data analyst to build and maintain the infrastructure to do [analytics] in-house. … Two, by having the right visibility, there are many operational improvements that can save you money."
With these factors combined, most shippers see a 5 to 15 times ROI on their annual subscription.
LinksIn 2022 alone, porch pirates made off with 19.5 billion dollars worth of goods. As package thieves adopt new tactics, it’s up to merchants, carriers, and consumers to stay one step ahead of them. Jessica Lowrance, vice president of federal affairs at UPS, shares some of the most effective ways to fight back against porch piracy.
Porch piracy—our new realityFor Jessica, it’s clear that porch piracy will never go away entirely. She says, “I think it's part of the customer buying experience now. And it's not the fault of the carrier or even the company you're buying from; it's just the reality of the world we live in today.”
Federal and state porch piracy lawsWhile some porch pirates snag a package or two on a whim, others get organized. They’re known to follow delivery trucks, stealing an entire neighborhood’s packages in one fell swoop.
Unfortunately, many of these criminals don’t face severe consequences for their actions. Jessica explains that “under current federal law, only [packages delivered by] the Postal Service are treated as a felony for porch pirates. [Packages delivered by other carriers] are up to local jurisdiction.” Nine times out of 10, [porch piracy] would be considered a misdemeanor.”
She recommends getting involved at a state and even federal level to support new legislation that would make porch piracy a felony regardless of carrier.
What can businesses do?Jessica offers practical tips to help merchants fight back against porch piracy:
Chris Caplice has deep knowledge of supply chain management: he’s the executive director of the MIT Center for Transportation and Logistics, chief scientist for DAT Freight and Analytics, and a Silver Family Research Fellow.
To kick off the second season of Unboxing Logistics, Chris uses his wealth of experience to predict what 2024 has in store for the supply chain industry.
An evolving relationship-building approachIn the old days, building business relationships involved taking someone to dinner or a sports game. Now, Chris says, the focus has shifted. The best way to establish great relationships with partners? Help them solve their business problems. “You need to have trust on both sides. And trust is only earned with repeated success.”
Geopolitical tensions on the riseGeopolitical tensions have the potential to cause major supply chain disruptions, and they’re on the rise. As a result, Chris has seen organizations becoming more cautious when it comes to global trade.
“The US and other Western countries have woken up to the idea that they need to be a little more self-sufficient. I don't think global trade is going away … but I think we're being more strategic there.”
Preparing for the unknownIn the world of logistics, a million things can go wrong—how can you prepare? Chris suggests using a technique called scenario planning.
While he goes into more detail in the episode, here’s the in-a-nutshell version: “You envision three to four worlds, the way the future can be … and then say, if this was the future, what should I be doing now to prepare? By doing that, you're preparing the organization to be flexible.”
LinksWhether you’re a small, medium-sized, or enterprise business, your customers probably expect an omnichannel shopping experience. Kylie Schafer, practice lead at Summit Advisory Team, talks with Lori about the benefits of omnichannel commerce and gives some advice for getting started.
Omnichannel in a nutshellKylie explains that omnichannel is all about “cross pollination” between sales channels. For example, customers might be able to buy something online and return it to the store, or view their online purchase history and in-store purchase history side-by-side.
In a broader sense, though, omnichannel is “just good retail.” The best brands “meet the customer where they are [and] help them shop the way they want to shop.”
Why invest in omnichannel strategies?Why use an omnichannel fulfillment approach? The answer is simple: “Your customers expect it. … They expect things to be fast. They expect things to be easy. They expect minimal friction.” Through every stage of the customer journey, from purchase to returns, buyers value a seamless shopping experience—and omnichannel is the best way to provide one.
Getting started with omnichannelIf you’ve never used an omnichannel strategy before, or want to level up your current processes, what should you do? Kylie offers the same advice for every business, regardless of size. She says, “The first thing I always encourage … is starting with a proper strategy. Why do you think you need to do this? What are your customers telling you? What are your main competitors doing? Where do you want to be?”
LinksAccording to Gartner, women make up just 39% of the logistics industry. At the executive level, that number drops to 21%. In this episode, Lori talks with Anna Podolskaya, product manager at EasyPost, about the value women bring to logistics and technology roles, how they can advance their careers, and why diversity matters.
Challenges Anna has faced in the logistics industryIn the beginning of Anna’s career, people often assumed she was a secretary or executive assistant. While she recognizes the value in those roles, she also emphasizes the importance of recognizing women as subject matter experts: “They're like, can we ask someone technical? And I'm like, I am technical.”
Tips for advancing your careerWondering how to jumpstart your career in a male-dominated field? Anna shares some of her most impactful activities:
Lori and Anna discuss several ways men can support women in the workplace, including sharing constructive feedback and asking for feedback themselves. Anna sees the power of praise combined with questions: “Hey, you did a really great job. What would you want to do differently?”
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