20 DC VELOCITY DECEMBER 2018 www.dcvelocity.com
newsworthy
Most companies that aspire to disrupt
their sectors need either economies of
scale (like Walmart Inc.) or a powerful
network effect (like LinkedIn), but the
rise of artificial intelligence (AI) offers
a third option—data analytics—a
speaker told an October conference
of freight brokers and third-party
logistics service providers (3PLs).
Data analytics can reveal hidden
patterns and formulate predictions
that provide a competitive advantage
for firms as they enter “the mysterious
world of a thinking business,” said
Paul Zikopoulos, vice president of cognitive big data systems for IBM Corp.
However, even if they can collect the data, most companies face
a major challenge in figuring out
how to leverage it, Zikopoulos told
attendees at 3PL Technovations, a
conference held in Tucson, Ariz., by
the Transportation Intermediaries
Association (TIA). “Most companies
have an A+ in data collection, but
only a C- in data decisioning,” which
is the process of using the data to
make better choices, he said.
Without an effective strategy for
applying AI and algorithms to that
data, businesses will simply obscure
their own results by drowning them
in data. “Did we really think that adding more hay to the haystack would
help us find the needle?” he asked.
To avoid that problem, users need
either better algorithms or more creative sources of data. “You have to
both use the data you have and
understand that data will come
from places you never imagined,”
Zikopoulos said. He cited examples of
valuable data sprouting from unexpected sources, such as rail line BNSF’s
practice of detecting wheel cracks by
analyzing the sounds of trains passing
over tracks.
Businesses urged to get
creative when choosing
data sources for
analytics projects
Ryder and FedEx to roll out 1,000
electric panel vans
Fleet management and transportation giant Ryder System Inc. has teamed
up with FedEx Corp. to purchase 1,000 electric trucks, a deal the partners
called the largest commercial electric vehicle (EV) purchase in the U.S.
Under terms of the agreement, Memphis, Tenn.-based FedEx purchased
100 of the Chanje V8100 electric delivery vehicles, while Ryder bought
900. FedEx will lease the vehicles
from Ryder and use them for its
FedEx Express U.S. commercial and
residential pickup and delivery service, deploying them throughout
California over the next two years.
The vehicles are manufactured by
FDG of Hangzhou, China, and purchased through Chanje Energy Inc., the company’s subsidiary for global
business. Miami-based Ryder will provide support services for all of the
vehicles through its ChoiceLease program.
Ryder and FedEx did not disclose the purchase price of the trucks.
While electric vehicle technology itself is not new, the large scale of this
rollout could enable broader adoption of commercial EV technology to a
wider market, the partners said.
Both Ryder and FedEx have reserved electric semi trucks from Tesla
Inc., joining a list of major retailers and carriers that have pre-ordered
the battery-powered 18-wheeled vehicle that is set to launch in 2019.
However, FedEx has said that it plans to deploy those trucks to FedEx
Freight, its less-than-truckload (LTL) unit.
In contrast, FedEx plans to use Chanje’s medium-duty electric panel
vans for local multiple-stop delivery routes.
CLEAN, QUIET OPERATION
The Chanje EV can store 675 cubic feet of cargo and is configured to
match the current shelving, specifications, and workflow that FedEx
Express delivery drivers use today, without the emissions, noise, or maintenance associated with gas or diesel vehicles. Each Chanje EV can carry
about 6,000 pounds of cargo and travel more than 150 miles when fully
charged, potentially saving FedEx 2,000 gallons of fuel while avoiding 20
tons of emissions per vehicle each year, the company says.
“With our focus on innovation and technology, combined with our
entry into the EV market more than a year ago, we’ve made it easy for
customers such as FedEx to adopt sustainable, advanced vehicle technol-
ogies,” Dennis Cooke, president–global fleet management solutions for
Ryder, said in a release. “We continue to see broadening interest in EVs
from businesses of various sizes and industries looking to outsource—
especially in the final-mile delivery space, where a smaller, more environ-
mentally friendly vehicle is required.”
Ryder is the exclusive sales channel, service, and warranty partner for
Chanje and its medium-duty EVs, and will also provide truck leasing and
preventive maintenance solutions to customers. It will support the FedEx
fleet by opening access to Ryder’s network of 800 facilities across North
America to support its Chanje electric vehicle fleet, which will help maxi-
mize uptime, lower costs, and keep the FedEx fleet moving, Ryder said.
