Delivery drones may not be the pragmatic answer
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Good morning, Friday warriors. Ready for the weekend? 😎
Chances are, most readers have made an Amazon order this past week at some point. But how many received their orders via drone? Well, delivery drones were discussed frequently amongst technology news outlets a few years ago, when big companies announced ambitious plans for AI-controlled final-mile deliveries. However, the logistics of the matter are a little more complicated.
Check out today’s featured article from Supply Chain Brain for a detailed analysis of why Amazon delivery drones aren’t as practical as they were originally made out to be. ☕️
Drones Drone Photography GIF By Photojojo
Featured Article:
Amazon Is Proving That Delivery Drones Are Not Practical | SupplyChainBrain
“Just weeks after Google Wing launched drone deliveries in Texas, Alphabet Inc. CEO Sundar Pichai revealed on an earnings call that the company tripled its drone deliveries in the first quarter of 2022 — completing more than 50,000 commercial deliveries. That’s up more than three times year over year, Pichai said in late April.”
Water Cooler Topics
🔋 Electric vehicles ache for more raw materials amid continuous major shortages. The research company, E Source, has reported the next four years will be difficult for those looking to manufacture more electric vehicles. Raw materials needed to make battery cells are in short supply and the prices are expected to jump 22% from 2023 through 2026.
🐻 California’s average gas price per gallon has topped $6. The national average for gas peaked at $4.523 this week, hitting a record alongside the Golden State. The rising price of gas is inflating white rapidly and causing a minor panic among citizens.
🎯 Target has reported a huge profit plunge and stockholders are scrambling. Regardless of Wall Street’s bet on the retail company, Target revealed a 52% profit decline in Q1. After the report, the company’s shares dropped 25% in its worst stock day since 1987.
Container ships are lined up in the Panama Canal
Photo by Rikin Katyal on Unsplash
According to Bloomberg, 101 container ships are currently queuing for passage through the Panama Canal, making the average six more than typical. The Panama Canal is a 40-mile journey between the Pacific Ocean and the Gulf of Mexico.
There are significant ripple effects of the rampant Chinese lockdowns being felt at the trade route. Ships traveling through the Panama Canal rose 18% in April as compared to April 2021, but May dropped due to shutdowns in China. Panama Canal Authority Administrator Ricaurte Vasquez points to shipping delays being related to Beijing’s “Zero-Covid” policy.
Are speed limiters the final straw for truckers?
Driver retention has been one of the main issues for the U.S. Department of Transportation and Transportation Secretary Pete Buttigieg to tackle over recent years.
Larger carriers typically have a turnover rate of 90%+ and the Owner-Operator Independent Drivers Association says that low wages and overregulation are some of the largest reasons drivers flee. With the FMCSA proposing speed limiters on commercial motor vehicles, truckers have responded and they are overwhelmingly unhappy.
Shortages 🛒
Biden Invokes Defense Production Act Amid Baby-Formula Shortage (businessinsider.com)
“President Joe Biden announced measures Wednesday to address the national baby-formula shortage.”
Assessing the Baby Formula Shortage | AIER
“Baby formula was in the news earlier this year because of what was perceived to be among the worst baby formula safety concerns and supply shortages in history.”
Why Biden's response to the baby formula shortage is disappointing (msnbc.com)
“While necessary, the FDA recalls exacerbated a preexisting baby food shortage that was already hard to miss.”
Marketing Approach 🤳
The grandstanders | Seth's Blog (seths.blog)
“This is a common sort of feedback/criticism/brainstorming, and it deserves a name.”
Uh-Oh! Insights On How P&G Failed And What This Means For You – Supply Chain Shaman
“Supply chain excellence is easier to say than to explain.”
Fuel ⛽️
Energy & Environment — All 50 states hit gas-price milestone | The Hill
“Gas has surpassed $4 in every state for the first time ever, the White House tries to quiet senators’ worries on the investigation into solar panels and moderate Democrats are raising objections to a bill that opposes gas price-gouging.”
Owner-Operators 🚛
On the ground with inspectors, owner-ops on Roadcheck Day 1 | Overdrive (overdriveonline.com)
“Inspectors at White River Junction, about two-thirds of the way down Vermont on the way to Massachusetts and just across the Connecticut River from New Hampshire, weren't sweating the small things under the sun and breeze on the first day of 2022’s edition of the annual roadside inspection blitz, Roadcheck.”
Warehousing 📦
Watch: Digital Solutions Overcome Uncertainty in Warehouse Operations | SupplyChainBrain
“Artificial intelligence and machine learning are optimizing warehouse operations, says Chad Zollman, chief sales officer at TGW Logistics Group.”
Retail 🛍
“Even with high gas prices and rising interest rates, wage gains are offsetting that with a tailwind that should bode well for moderate-but-steady spending growth going forward, says NRF.”
News Bag 🗞
Supply Chain by the Numbers for May 19, 2022 | SC Digest
“That is how many container ships have been waiting in a queue outside the port of Port of New York and New Jersey in recent days.”
Safety 🦺
Traffic deaths reach 16-year high in 2021 | Commercial Carrier Journal (ccjdigital.com)
“The expiration of local, state and federal lockdown orders last year put many motorists back into their commuting routines and sent traffic crashes and fatalities to near-record levels, according to preliminary data compiled by the National Highway Traffic Safety Administration (NHTSA).”
4 ways to protect your small business from cyberattacks | AP News
“Since the beginning of the COVID-19 pandemic, small businesses have quickly adopted remote working and transitioned to new technologies, such as contactless payments and online ordering.”
Fuel Tech ♻️
Hydrogen’s future in trucking has steep hill to climb | FleetOwner
“For hydrogen fuel cell electric vehicles to be adopted at-scale in the trucking industry, there are hurdles that must be overcome.”
Driver Issues 🚛
Industry Faces Obstacles in Bid to Mitigate Driver Shortage | Transport Topics (ttnews.com)
“Accelerated retirements, an aging workforce, a decadeslong declining birthrate and low unemployment rate continue to cause challenges for the trucking industry as it seeks to overcome the 80,000-plus driver shortage.”
Maintenance & Repair 🧰
Breaking down heavy-duty air brake maintenance | Fleet Maintenance
“The integration of sensory technologies and other design improvements are giving technicians some assistance in the bay, but nothing can replace well-executed brake system PMs.”
Business Strategy💡
Quantix reveals new divisional structure | Bulk Transporter
“Updated alignment allows it to better respond to the chemical supply chain’s unique challenges, company says.”
Network Association 🤝
Annual Privatization Report 2022 — Surface Transportation - Reason Foundation
“In surface transportation policy, public-private partnerships are far more common than privatized roads.”
5 Benefits of Remote Collaboration for Logistics Leaders - Inbound Logistics
“Logistics is an industry that doesn’t get attention until there’s a problem.”
Trade & Border Issues 🗺
U.S. LNG Is Quickly Becoming The World’s Hottest Commodity | OilPrice.com
“Reports are coming in that India is purchasing large volumes of Russian LNG at heavily discounted prices.”
Industry Forecasts 📊
“Spot rates for dry van and refrigerated freight continued dropping since their peak in early 2022.”
Report: Chaotic peak shipping season ahead | DC Velocity
“Half of logistics industry pros surveyed say supply chain disruptions, congestion, and high costs will be worse this year than in 2021.”
April intermodal volume trends down, reports IANA - Logistics Management (logisticsmgmt.com)
“Total April volume—at 1,536,330 units—were down 6.1% annually. Trailers—at 79,818—saw a 24.9% annual decrease.”
“In January, New York Federal Reserve Bank researchers Gianluca Benigno, Julian di Giovanni, Jan J. J. Groen, and Adam I. Noble announced they had developed a new tool to measure the state of the global supply chain environment.”
Container Shipping: ZIM Profits Roll In (gcaptain.com)
“Though news reports are no longer highlighting the ships anchored in San Pedro Bay, the container shipping segment continues to pump out strong earnings.”
Trucker’s Lounge 🧢
“Minnesota is facing its largest truck driver shortage ever.”
“With the 72 hour Commercial Vehicle Safety Alliance Roadcheck inspection campaign underway, the Georgia Department of Public Safety (DPS) stopped a log truck driver with an overweight load — and a lot of honesty.”
Regulations ⚖️
Vast Swath of U.S. at Risk of Summer Blackouts, Regulator Warns | 2022-05-19 | SupplyChainBrain
“A vast swath of North America from the Great Lakes to the West Coast is at risk of blackouts this summer as heat, drought, shuttered power plants, and supply chain woes strain the electric grid.”
Ports 🚢
“U.S. shoppers increased retail spending 0.9% in April in the fourth straight monthly gain.”
U.S. Ports See Busy Spring Amid Supply Chain Disruptions - More Than Shipping
“Leading U.S. ports are seeing a very busy spring, as disruptions in the global supply chain continue to cause delays and congestion.”
Sales 🧾
Daimler Truck North America revenues climb 30% | FleetOwner
“The manufacturer’s CFO says price increases are leading to ‘intense dialogs' but promises reductions should raw-material costs retreat.”
Compliance 📋
Automated inspections drive fleet efficiency | Transport Dive
“J.B. Hunt and Western Express are among carriers participating in an electronic inspection pilot program that could ultimately save drive time.”
Diversity 🤜🏻🤛🏿
Women In Trucking Association Announces its May 2022 Member of the Month
“The Women In Trucking Association (WIT) has announced Charlene Frelix Johnson as its May 2022 Member of the Month.”
Stocks 📈
What is a bear market? And is Wall Street close to one now? | AP News
“Investors on Wall Street need a place to hide.”
American Politics 🇺🇸
What’s Next in Ukraine? Americans Deserve a Plan | RealClearPolitics
“Last night, the Senate advanced $40 billion in military, economic, and humanitarian aid to support Ukraine’s effort to repel Vladimir Putin’s unprovoked invasion.”
Quote of the Day:
“Your most unhappy customers are your greatest source of learning.”
— Bill Gates, co-founder of Microsoft
The Workday Dash is an aggregation of articles regarding the transportation logistics, trucking, and supply chain industries for July 31, 2025, from iLevel Logistics Inc.