DEAR SANTA,
You will notice that this year, I’m sending my letter to you by the
(for the most part) reliable U.S. mail. Given all the hacking, eaves-
dropping, and other unpleasantness surrounding e-mail, I wanted
to make sure my requests did not end up on someone’s basement
server.
With the tortuous presidential campaign sparking so much animosity, it has been a tiring year, but for better or worse, we have a
new president. While somewhat short on intellectual content, the
campaign itself was entertaining in a “Here Comes Honey Boo Boo”
kind of way, but it is time to look ahead and do what we can to keep
our supply chains functioning smoothly and efficiently. To do so,
we really need your help.
As you know, this industry has always been
fraught with buzzwords and terms, and they
seem to be getting more numerous and ridiculous. Space does not permit a full discussion,
but please see if you can kill “uberization.”
The so-called uberization of transportation and
warehousing really has little similarity to an
app-aided taxi service. On-demand warehousing
and transportation are not new. Certainly, the
new enabling technology is superior, but let’s just
call it what it is. Armstrong and Associates has
proposed “digital freight matching” for trucking,
and the warehousing version is simply on-demand warehousing.
Recently, I wrote about the Surface Transportation Board’s
proposal to make it easier for “captive shippers” to seek approval
for reciprocal switching under certain circumstances. Personally,
I think it is a good idea if the privilege is not abused. Surprisingly,
UPS has weighed in in support of the rails’ opposition to the new
rules. Although not a captive shipper by any stretch of the imagination, it maintains that the granting of this privilege could result in
higher costs and an overall deterioration in rail service. If that happens, says UPS, it might be forced to switch its intermodal business
back to the highways. As a $1 billion-per-year rail shipper, its clout
in Washington is not insignificant. I am sure the truckers would say,
“Go for it,” but will you please take a look and see if you can find
a solution that would be fair to all but require minimal regulatory
involvement?
Much to the surprise and consternation of political experts and
most of the media, Donald Trump is our new president-elect. Given
the way the campaign devolved into a personal battle between the
BY CLIFFORD F. LYNCH fastlane
My annual letter to Santa Claus
two candidates, it is difficult to know where he
stands on the issues that concern supply chain
professionals, or anyone else for that matter.
What we do know is that the election demonstrated to us how open some of our wounds are.
While this is a little out of your field, I hope you
will fill his stocking with the leadership skills
and tact he needs to succeed.
Trump did have some thoughts on infrastructure, however. Hillary Clinton had proposed a $250 billion expenditure over the next
five years. Trump said he would kick that up to
I happen to believe that the
Trans-Pacific Partnership
would be good for the country. Trump is opposed to it, so hopefully you
can put some nice toys in the right stockings
and help President Obama push it through the
lame-duck Congress.
As always, please be careful out there. Both
FedEx and UPS are predicting record holiday
seasons, and if their numbers are accurate, the
Christmas Eve skies may be a little congested.
Merry Christmas!
Cliff Lynch
Clifford F. Lynch is principal of C.F. Lynch & Associates, a provider
of logistics management advisory services, and author of Logistics
Outsourcing – A Management Guide and co-author of The Role of
Transportation in the Supply Chain. He can be reached at cliff@
cflynch.com.