Earlier this year, I worked with the Supply Chain Insights team to analyze and write our annual supply chain talent report. There were over 400 respondents to the survey, and the results of our cross-tabbing and data analysis were enlightening.
[Figure 3] Differences in drivers/characteristics of employment opportunities by ethnicity Enlarge this image
In general, the study shows that people with supply chain careers have a high level of job satisfaction. Seventy percent of respondents are either satisfied or very satisfied with their current job. The most satisfied are baby boomers working for technology companies.
The survey also shows that the supply chain profession is evolving. As baby boomers retire, Generation X and millennial employees are taking the baton. There are stark differences in behavior among the different generations. For example, while baby boomers are willing to work longer hours and focus on improving traditional processes, Generation X-ers and millennials are pushing to drive change and adopt next-generation processes.
The use of the term "supply chain management" to describe the activities of make, source, and deliver as a single function is still developing. While we have centuries of experience in building logistics and transportation teams, the concept of supply chain management was first defined in 1982. Thirty-five years later, the term still needs to be better recognized and understood. For example, our talent report found that within manufacturing companies only one-third have a supply chain-focused human resource team. Most of those teams are less than five years old, and only 50 percent are effective, according to respondents.
The need for different views and experiences
As I wrote the report and delved further into the results, one thing became clear to me: Supply chain management is still a white male profession. Only 28 percent of the respondents were female, and 57 percent were Caucasian (see Figure 1). Sadly, diversity in the profession remains an issue. I foolishly thought we had made more progress.
By and large, our survey showed that supply chain professionals in both genders have similar goals and aspirations (see Figure 2). The only difference is a greater concern with working from home, flex time/hours, and commuting considerations.
The similarities indicate to me that supply chain management as a profession can be just as appealing and satisfying to women as to men. I think the issue is that we are not educating young women about supply chain management as a career, and that we need to build an awareness of supply chain management in young females in high schools and in the larger community.
We also need to do a better job of reaching out to women from different backgrounds. A year ago I attended a badly facilitated women's networking conference. I left angry. One reason was that I felt the content was patronizing and underserved the greater need. I was looking for a forum of women leaders focused on building women leaders. As I looked around the room I was disturbed by something else: There were few women of color. To be successful, I believe supply chain management needs diversity. I want to work in a career that is inclusive.
Note that the Supply Chain Insights talent survey shows that the differences in drivers for job satisfaction are greater by ethnicity than by gender (see Figure 3). Employees of color are seeking greater career path opportunities, more diversity in the workforce, and greater benefits. Companies that are aware of this can make sure that they lead with this information when recruiting students of color.
Recently when I toured colleges with strong African-American populations, I was shocked to see few recruiters and a shortage of job opportunities. I couldn't help shaking my head as I contrasted this experience with my discussions with graduates of Penn State's supply chain program, who were sorting through multiple job offers and saw employers bid for placement in the school's career fair. It was a stark and disturbing difference.
How can we do better?
I was a female supply chain pioneer in the 1980s. In those days there were few women or people of color in the profession. I tried to forget the difficulties they encountered then, but the distasteful stories linger in my memory. After four decades, I thought we had made more progress. In working on this report, I realized that we need to fight harder, and that I personally need to do more. As a result, this year I will be focusing on several actions:
1) Speaking at U.S. colleges with strong minority populations. Over the last three years I have participated in career days and networking events that tried to find greater placement for students of color. The report reminds me that I need to stay focused on this mission.
2) Networking at the Imagine 2017 Conference. At this year's Supply Chain Insights Global Summit, I will be hosting a networking session to help companies better understand and embrace the needs of a diverse workforce. We need to move past self-serving and patronizing groups to build a more global and diverse workforce.
3) Hiring and mentoring. During the year, I will look for opportunities to hire and mentor diverse candidates. I will staff my events with students of color and hire co-ops with this intent in mind.
I hope you will join me in making supply chain management more inclusive. For greater insights on the current state of talent, we are also sharing our full report to help global supply chain teams.
New Jersey is home to the most congested freight bottleneck in the country for the seventh straight year, according to research from the American Transportation Research Institute (ATRI), released today.
ATRI’s annual list of the Top 100 Truck Bottlenecks aims to highlight the nation’s most congested highways and help local, state, and federal governments target funding to areas most in need of relief. The data show ways to reduce chokepoints, lower emissions, and drive economic growth, according to the researchers.
The 2025 Top Truck Bottleneck List measures the level of truck-involved congestion at more than 325 locations on the national highway system. The analysis is based on an extensive database of freight truck GPS data and uses several customized software applications and analysis methods, along with terabytes of data from trucking operations, to produce a congestion impact ranking for each location. The bottleneck locations detailed in the latest ATRI list represent the top 100 congested locations, although ATRI continuously monitors more than 325 freight-critical locations, the group said.
For the seventh straight year, the intersection of I-95 and State Route 4 near the George Washington Bridge in Fort Lee, New Jersey, is the top freight bottleneck in the country. The remaining top 10 bottlenecks include: Chicago, I-294 at I-290/I-88; Houston, I-45 at I-69/US 59; Atlanta, I-285 at I-85 (North); Nashville: I-24/I-40 at I-440 (East); Atlanta: I-75 at I-285 (North); Los Angeles, SR 60 at SR 57; Cincinnati, I-71 at I-75; Houston, I-10 at I-45; and Atlanta, I-20 at I-285 (West).
ATRI’s analysis, which utilized data from 2024, found that traffic conditions continue to deteriorate from recent years, partly due to work zones resulting from increased infrastructure investment. Average rush hour truck speeds were 34.2 miles per hour (MPH), down 3% from the previous year. Among the top 10 locations, average rush hour truck speeds were 29.7 MPH.
In addition to squandering time and money, these delays also waste fuel—with trucks burning an estimated 6.4 billion gallons of diesel fuel and producing more than 65 million metric tons of additional carbon emissions while stuck in traffic jams, according to ATRI.
On a positive note, ATRI said its analysis helps quantify the value of infrastructure investment, pointing to improvements at Chicago’s Jane Byrne Interchange as an example. Once the number one truck bottleneck in the country for three years in a row, the recently constructed interchange saw rush hour truck speeds improve by nearly 25% after construction was completed, according to the report.
“Delays inflicted on truckers by congestion are the equivalent of 436,000 drivers sitting idle for an entire year,” ATRI President and COO Rebecca Brewster said in a statement announcing the findings. “These metrics are getting worse, but the good news is that states do not need to accept the status quo. Illinois was once home to the top bottleneck in the country, but following a sustained effort to expand capacity, the Jane Byrne Interchange in Chicago no longer ranks in the top 10. This data gives policymakers a road map to reduce chokepoints, lower emissions, and drive economic growth.”
It’s getting a little easier to find warehouse space in the U.S., as the frantic construction pace of recent years declined to pre-pandemic levels in the fourth quarter of 2024, in line with rising vacancies, according to a report from real estate firm Colliers.
Those trends played out as the gap between new building supply and tenants’ demand narrowed during 2024, the firm said in its “U.S. Industrial Market Outlook Report / Q4 2024.” By the numbers, developers delivered 400 million square feet for the year, 34% below the record 607 million square feet completed in 2023. And net absorption, a key measure of demand, declined by 27%, to 168 million square feet.
Consequently, the U.S. industrial vacancy rate rose by 126 basis points, to 6.8%, as construction activity normalized at year-end to pre-pandemic levels of below 300 million square feet. With supply and demand nearing equilibrium in 2025, the vacancy rate is expected to peak at around 7% before starting to fall again.
Thanks to those market conditions, renters of warehouse space should begin to see some relief from the steep rent hikes they’re seen in recent years. According to Colliers, rent growth decelerated in 2024 after nine consecutive quarters of year-over-year increases surpassing 10%. Average warehouse and distribution rents rose by 5% to $10.12/SF triple net, and rents in some markets actually declined following a period of unprecedented growth when increases often exceeded 25% year-over-year. As the market adjusts, rents are projected to stabilize in 2025, rising between 2% and 5%, in line with historical averages.
In 2024, there were 125 new occupancies of 500,000 square feet or more, led by third-party logistics (3PL) providers, followed by manufacturing companies. Demand peaked in the fourth quarter at 53 million square feet, while the first quarter had the lowest activity at 28 million square feet — the lowest quarterly tally since 2012.
In its economic outlook for the future, Colliers said the U.S. economy remains strong by most measures; with low unemployment, consumer spending surpassing expectations, positive GDP growth, and signs of improvement in manufacturing. However businesses still face challenges including persistent inflation, the lowest hiring rate since 2010, and uncertainties surrounding tariffs, migration, and policies introduced by the new Trump Administration.
As U.S. businesses count down the days until the expiration of the Trump Administration’s monthlong pause of tariffs on Canada and Mexico, a report from Uber Freight says the tariffs will likely be avoided through an extended agreement, since the potential for damaging consequences would be so severe for all parties.
If the tariffs occurred, they could push U.S. inflation higher, adding $1,000 to $1,200 to the average person's cost of living. And relief from interest rates would likely not come to the rescue, since inflation is already above the Fed's target, delaying further rate cuts.
A potential impact of the tariffs in the long run might be to boost domestic freight by giving local manufacturers an edge. However, the magnitude and sudden implementation of these tariffs means we likely won't see such benefits for a while, and the immediate damage will be more significant in the meantime, Uber Freight said in its “2025 Q1 Market update & outlook.”
That market volatility comes even as tough times continue in the freight market. In the U.S. full truckload sector, the cost per loaded mile currently exceeds spot rates significantly, which will likely push rate increases.
However, in the first quarter of 2025, spot rates are now falling, as they usually do in February following the winter peak. According to Uber Freight, this situation arose after truck operating costs rose 2 cents/mile in 2023 despite a 9-cent diesel price decline, thanks to increases in insurance (+13%), truck and trailer costs (+9%), and driver wages (+8%). Costs then fell 2 cents/mile in 2024, resulting in stable costs over the past two years.
Fortunately, Uber Freight predicts that the freight cycle could soon begin to turn, as signs of a recovery are emerging despite weak current demand. A measure of manufacturing growth called the ISM PMI edged up to 50.9 in December, surpassing the expansion threshold for the first time in 26 months.
Accordingly, new orders and production increased while employment stabilized. That means the U.S. manufacturing economy appears to be expanding after a prolonged period of contraction, signaling a positive outlook for freight demand, Uber Freight said.
The surge comes as the U.S. imposed a new 10% tariff on Chinese goods as of February 4, while pausing a more aggressive 25% tariffs on imports from Mexico and Canada until March, Descartes said in its “February Global Shipping Report.”
So far, ports are handling the surge well, with overall port transit time delays not significantly lengthening at the top 10 U.S. ports, despite elevated volumes for a seventh consecutive month. But the future may look more cloudy; businesses with global supply chains are coping with heightened uncertainty as they eye the new U.S. tariffs on China, continuing trade policy tensions, and ongoing geopolitical instability in the Middle East, Descartes said.
“The impact of new and potential tariffs, coupled with a late Chinese Lunar New Year (January 29 – February 12), may have contributed to higher U.S. container imports in January,” Jackson Wood, Director, Industry Strategy at Descartes, said in a release. “These trade policy developments add significant uncertainty to global supply chains, increasing concerns about rising import costs and supply chain disruptions. As trade tensions escalate, businesses and consumers alike may face the risk of higher prices and prolonged market volatility.”
New York-based Cofactr will now integrate Factor.io’s capabilities into its unified platform, a supply chain and logistics management tool that streamlines production, processes, and policies for critical hardware manufacturers. The combined platform will give users complete visibility into the status of every part in their Bill of Materials (BOM), across the end-to-end direct material management process, the firm said.
Those capabilities are particularly crucial for Cofactr’s core customer base, which include manufacturers in high-compliance, highly regulated sectors such as defense, aerospace, robotics, and medtech.
“Whether an organization is supplying U.S. government agencies with critical hardware or working to meet ambitious product goals in an emerging space, they’re all looking for new ways to optimize old processes that stand between them and their need to iterate at breakneck speeds,” Matthew Haber, CEO and Co-founder of Cofactr, said in a release. “Through this acquisition, we’re giving them another way to do that with acute visibility into their full bill of materials across the many suppliers they work with, directly through our platform.”
“Poor data quality in the supply chain has always been a root cause of delays that create unnecessary costs and interfere with an organization’s speed to market. For manufacturers, especially those in regulated industries, manually cross-checking hundreds of supplier communications against ERP information while navigating other complex processes and policies is a recipe for disaster,” Shultz said. “With Cofactr, we’re now working with the best in the industry to scale our ability to eliminate time-consuming tasks and increase process efficiencies so manufacturers can instead focus on building their products.”