Tag: logistics

While it was founded in 1934 to help the Lehigh Valley’s big manufacturers, like Bethlehem Steel, get their product to market, The Traffic Club of the Lehigh Valley has evolved greatly from its early days. 

And now, as supply chain and logistics issues have become more prominent in the public eye after the massive product shortages seen during the COVID-19 pandemic, the club has become more popular than ever. 

David Higgins said more people are seeing the need to understand the supply chain and are getting involved in the club, which promotes educational and networking opportunities. 

He said people want to know more about the subject. 

“How do we get these things shipped to us in the cheapest way possible?” he said is a big question.  “Retailers are carrying more stock, worried about having the goods they need and we’re starting to see companies shifting to nearshoring, primarily over the last two years.” 

He said membership now represents all of the cogs in the supply chain wheel as well as many of the industries that support those in warehousing, trucking and logistics. 

Membership has grown to over one hundred seventy single members, he said. They represent over a hundred local companies and universities.  

Corporations and partners include manufacturers, shippers, freight forwarders, rail service providers, air organizations, ports of entry, trucking and delivery organizations, distribution and fulfillment and third-party logistics providers as well as support and suppliers to these industries. 

He said there are even janitorial supply companies represented in the club’s membership now, because the industry uses such products and vendors are more aware of the logistics players than they were in the past. 

“We’re definitely getting more diverse,” he said. 

Higgins said that while the major hiccups of the COVID-19 shutdown are now gone, the industry is still adapting to the changes brought about by those supply chain issues and still faces many challenges. 

One of the major challenges right now is the workforce, especially in trucking. 

“The number of truck drivers retiring out of the industry outpaces those entering the profession,” Higgins said. 

Especially with over-the-road trucking, where drivers earn more but are away from home for long stretches at a time, he said it is difficult to attract young people to the profession. 

“That’s not a traditional home life,” he said, and with younger people strongly interested in a work/life balance, it’s not the first choice for the younger generation. 

He said, nationally, the Department of Labor is estimating that the U.S. will be short about 50,000 to 100,000 drivers compared to what is needed and those numbers are only expected to increase. 

Some of the changes have been good for the players in the industry. 

Rick Croy, first vice president of the Traffic Club of the Lehigh Valley, owns a 3PL warehouse in Allentown, and he’s seen an increase in business. 

“A lot of companies don’t want to spend the dollars to build out for distribution either for b to b or direct to consumer,” Croy said. 

Because of that, even retailers like Walmart and Target, which were pioneers in promoting ecommerce right behind Amazon, are even looking for support from third party logistics providers. 

He said such retailers store much of their merchandise targeted for local consumers at his facilities. 

“People think it came from Target’s warehouse, but it didn’t. It came from mine,” he said. “The expectation to get their product in one to two days is becoming commonplace and support from facilities like this help make that happen.” 

As club membership grows, Higgins said the group is working to host many events to keep people interested in the logistics industry. 

The Club’s annual schedule of events includes a number of educational seminars, facility tours, various social and networking events, and they maintain a membership directory to promote collaboration amongst their members.  

The Club takes an active role with the Lehigh Valley Chamber of Commerce, co-sponsoring the yearly Transportation Week luncheon, and engages with local businesses and political figures.  

They further partner with The Traffic Club of Philadelphia, WERC, Council of Supply Chain Management Professionals (CSCMP.) 

It also provides scholarships to young people looking to study supply chain management and logistics to get more students interested in pursuing a career in what is expected to continue to be a rapidly expanding industry with a strong workforce demand. 

And now, as supply chain and logistics issues have become more prominent in the public eye after the massive product shortages seen during the COVID-19 pandemic, the club has become more popular than ever. 

David Higgins said more people are seeing the need to understand the supply chain and are getting involved in the club, which promotes educational and networking opportunities. 

He said people want to know more about the subject. 

“How do we get these things shipped to us in the cheapest way possible?” he said is a big question.  “Retailers are carrying more stock, worried about having the goods they need and we’re starting to see companies shifting to nearshoring, primarily over the last two years.” 

He said membership now represents all of the cogs in the supply chain wheel as well as many of the industries that support those in warehousing, trucking and logistics. 

Membership has grown to over one hundred seventy single members, he said. They represent over a hundred local companies and universities.  

Corporations and partners include manufacturers, shippers, freight forwarders, rail service providers, air organizations, ports of entry, trucking and delivery organizations, distribution and fulfillment and third-party logistics providers as well as support and suppliers to these industries. 

He said there are even janitorial supply companies represented in the club’s membership now, because the industry uses such products and vendors are more aware of the logistics players than they were in the past. 

“We’re definitely getting more diverse,” he said. 

Higgins said that while the major hiccups of the COVID-19 shutdown are now gone, the industry is still adapting to the changes brought about by those supply chain issues and still faces many challenges. 

One of the major challenges right now is the workforce, especially in trucking. 

“The number of truck drivers retiring out of the industry outpaces those entering the profession,” Higgins said. 

Especially with over-the-road trucking, where drivers earn more but are away from home for long stretches at a time, he said it is difficult to attract young people to the profession. 

“That’s not a traditional home life,” he said, and with younger people strongly interested in a work/life balance, it’s not the first choice for the younger generation. 

He said, nationally, the Department of Labor is estimating that the U.S. will be short about 50,000 to 100,000 drivers compared to what is needed and those numbers are only expected to increase. 

Some of the changes have been good for the players in the industry. 

Rick Croy, first vice president of the Traffic Club of the Lehigh Valley, owns a 3PL warehouse in Allentown, and he’s seen an increase in business. 

“A lot of companies don’t want to spend the dollars to build out for distribution either for b to b or direct to consumer,” Croy said. 

Because of that, even retailers like Walmart and Target, which were pioneers in promoting ecommerce right behind Amazon, are even looking for support from third party logistics providers. 

He said such retailers store much of their merchandise targeted for local consumers at his facilities. 

“People think it came from Target’s warehouse, but it didn’t. It came from mine,” he said. “The expectation to get their product in one to two days is becoming commonplace and support from facilities like this help make that happen.” 

As club membership grows, Higgins said the group is working to host many events to keep people interested in the logistics industry. 

The Club’s annual schedule of events includes a number of educational seminars, facility tours, various social and networking events, and they maintain a membership directory to promote collaboration amongst their members.  

The Club takes an active role with the Lehigh Valley Chamber of Commerce, co-sponsoring the yearly Transportation Week luncheon, and engages with local businesses and political figures.  

They further partner with The Traffic Club of Philadelphia, WERC, Council of Supply Chain Management Professionals (CSCMP.) 

It also provides scholarships to young people looking to study supply chain management and logistics to get more students interested in pursuing a career in what is expected to continue to be a rapidly expanding industry with a strong workforce demand.