How to prepare for disasters: a three-pronged approach for supply chain pros
This image generated by artificial intelligence provides an idea of the effect that flooding could have on distribution operations.
As disasters increase in frequency, it is essential that companies create an effective recovery plan. A comprehensive one will involve not only internal stakeholders but also potential external partners, such as emergency management organizations and nonprofits.
Kathy Fulton is the executive director of the American Logistics Aid Network (ALAN). She leads the organization in facilitating donations of logistics equipment and services to enable millions of dollars of worth humanitarian aid.
The nearly consecutive landfalls of Hurricanes Helene and Milton made two things clear: disasters are inevitable, and they’re increasing in frequency, scope, and severity. As logistics and supply chain leaders look toward 2025, disaster recovery planning should be top of mind—not only for safeguarding business operations but also for supporting affected communities in their recovery efforts. (For a look at lessons learned from 2024, please refer to the sidebar below.)
To ensure that they have a comprehensive plan in place, supply chain professionals should take a three-pronged approach that incorporates working with local emergency organizations, nonprofits, and internal partners.
Build relationships with local organizations
A critical first step in disaster readiness is identifying and establishing relationships with local emergency management organizations. Local emergency managers specialize in coordinating immediate disaster responses on the ground in their communities. While they’re well-versed in terms of supporting the continuity of critical infrastructure like hospitals, fire stations, and city services, they’re often less acquainted with the important connection between healthy supply chains and community resilience.
When local officials have a limited understanding of the critical role that distribution centers, manufacturing plants, or food suppliers play in disaster response, it can delay restoration of the flow of supplies to grocery stores, big box stores, and similar locations. For example, ensuring that debris on roads to a warehouse is cleared rapidly following a storm may not be high on the government’s priority list. However, doing so can help keep grocery stores stocked and supply chains intact, reducing the burden on the government to provide those resources.
With this in mind, invite local emergency management officials to tour your logistics facilities and explain the critical role your organization plays in maintaining the flow of goods within the broader community. This firsthand look will help them understand how your operations contribute to community resilience and support the local economy.
ALAN has been helping to connect nonprofits with logistics resources since 2005. Here supplies are packed up for transport and distribution to Hurricane Maria survivors in 2017.Photo courtesy of ALAN
Partner with nonprofits
There are many reasons why it makes sense for members of the logistics community to build partnerships with nonprofits before disasters hit. But one of the most important is this: Even the most well-organized of them usually experience logistics gaps. Many nonprofits lack a comprehensive understanding of how to create an effective logistics organization. Even if they do have logistics staff, they will often need additional logistics resources once a disaster hits to meet surging demand for services. However, after a disaster most nonprofits are usually operating at such a high capacity that they don’t have the time or bandwidth to onboard new logistics partners.
These logistics gaps—and the onboarding challenges that disasters create—are a key reason why the American Logistics Aid Network (ALAN) exists. The organization has spent 19 years connecting nonprofits with the logistics services and expertise they need with the help of a well-established network and preplanned resources. ALAN works to make it easy for logistics professionals to support disaster-stricken areas with everything from warehousing to transportation to material handling equipment.
Like all nonprofits, ALAN is able to carry out its work even more effectively when organizations reach out to ask, “How can we help?” long before a disaster occurs. The most effective disaster response is based on the preparation and strong relationships that have been built during quieter times.
Companies can offer their services ahead of time via ALAN’s webform (www.alanaid.org/volunteer/). ALAN then meets with each business to determine what services and equipment it can offer in tmes of need. When there is a request that matches a business’ profile, ALAN will reach out to see if the organization can assist.
By onboarding new partners when things are calm, ALAN can ensure that resources and logistics networks are primed, optimized, and ready for immediate action. This proactive approach makes sure that critical supplies and aid can reach those in need without delay. As a result, itprovides quicker support for affected residents and businesses alike and strengthens the resiliency of communities.
The nonprofit Unity in Disasters needed 30 pallets of food transported to Jackson, Miss., to help Hurricane Ida survivors in 2021. ALAN was on hand to coordinate a response.Photo courtesy of ALAN
A culture of safety, preparedness
While community preparedness is crucial, building a strong culture of personal and corporate readiness within your organization is equally important. A preparedness culture can safeguard employees and ensure operations can resume as quickly as possible after a disaster.
In light of this, encourage your personnel to identify safe locations for shelter or evacuation, assemble emergency supply kits, and follow advice from local officials during a crisis. This responsibility typically falls to a corporate safety officer, but for smaller organizations, supervisors or administrative staff may have to coordinate the efforts.
Just as important, consider taking a page from the book of the many logistics companies that have already begun offering training sessions to help employees prepare for various disaster scenarios. Some of these training sessions are as simple as start-of-shift conversations about shelter-in-place locations or evacuation routes. Other organizations do full-scale exercises. There are lots of resources companies can pull from to develop these training sessions, including businesses that specialize in corporate crisis training. The Association of Continuity Professionals has resources, as does the Federal Emergency Management Agency (FEMA), via their Ready Business website.
Some businesses even partner with local first responders to conduct walkthroughs of their facilities, ensuring firefighters and paramedics are familiar with the layout. These partnerships provide vital information that enables emergency crews to navigate facilities more effectively in a crisis, further safeguarding employees and reducing potential downtime.
Strengthening community resilience
When disasters strike, logistics and supply chain organizations have the ability to be game changers in the best possible way, strengthening community resilience.
By building relationships with local emergency management and nonprofit organizations, they can contribute to considerably more efficient and coordinated disaster response. Likewise, sharing their supply chain resources with nonprofits ensures help will arrive faster and allows each donated dollar to go farther. And by doing what they can to protect themselves and restore the ability to deliver food, water, and medical supplies to disaster survivors, they can make the difference between stability and prolonged hardship.
Working collaboratively, logistics and supply chain organizations can help communities withstand and recover from the worst, enabling a faster, stronger return to normalcy.
Learning from 2024
By looking back on the logistics challenges of the 2024 hurricane season and reflecting on the responses to Hurricanes Helene and Milton, we can gain valuable lessons for the future.
North Carolina faced severe infrastructure damage, including to roads, bridges, and utilities. Prioritizing road and rail rebuilding became paramount in order to reestablish connections between cities and manufacturing hubs.
Similarly, pharmaceutical facilities in affected areas needed clean water sources restored to resume production. When two separate IV fluid suppliers’ facilities—one in North Carolina and one in Florida—could not gain access to clean water due to hurricane damage, hospitals across the country experienced shortages. This disruption highlighted the importance of immediate utility restoration for critical industries.
Effective disaster preparedness must include insight into each community’s unique infrastructure and supply chain risk factors. It comes as no surprise that logistics organizations with strong ties to a community are especially qualified to help other business and government professionals understand these dynamics, which help to effectively allocate and position recovery resources.
In a statement, DCA airport officials said they would open the facility again today for flights after planes were grounded for more than 12 hours. “Reagan National airport will resume flight operations at 11:00am. All airport roads and terminals are open. Some flights have been delayed or cancelled, so passengers are encouraged to check with their airline for specific flight information,” the facility said in a social media post.
An investigation into the cause of the crash is now underway, being led by the National Transportation Safety Board (NTSB) and assisted by the Federal Aviation Administration (FAA). Neither agency had released additional information yet today.
First responders say nearly 70 people may have died in the crash, including all 60 passengers and four crew on the American Airlines flight and three soldiers in the military helicopter after both aircraft appeared to explode upon impact and fall into the Potomac River.
Editor's note:This article was revised on February 3.
By the numbers, global logistics real estate rents declined by 5% last year as market conditions “normalized” after historic growth during the pandemic. After more than a decade overall of consistent growth, the change was driven by rising real estate vacancy rates up in most markets, Prologis said. The three causes for that condition included an influx of new building supply, coupled with positive but subdued demand, and uncertainty about conditions in the economic, financial market, and supply chain sectors.
Together, those factors triggered negative annual rent growth in the U.S. and Europe for the first time since the global financial crisis of 2007-2009, the “Prologis Rent Index Report” said. Still, that dip was smaller than pandemic-driven outperformance, so year-end 2024 market rents were 59% higher in the U.S. and 33% higher in Europe than year-end 2019.
Looking into coming months, Prologis expects moderate recovery in market rents in 2025 and stronger gains in 2026. That eventual recovery in market rents will require constrained supply, high replacement cost rents, and demand for Class A properties, Prologis said. In addition, a stronger demand resurgence—whether prompted by the need to navigate supply chain disruptions or meet the needs of end consumers—should put upward pressure on a broad range of locations and building types.
Artificial intelligence (AI) and the economy were hot topics on the opening day of SMC3 Jump Start 25, a less-than-truckload (LTL)-focused supply chain event taking place in Atlanta this week. The three-day event kicked off Monday morning to record attendance, with more than 700 people registered, according to conference planners.
The event opened with a keynote presentation from AI futurist Zack Kass, former head of go to market for OpenAI. He talked about the evolution of AI as well as real-world applications of the technology, furthering his mission to demystify AI and make it accessible and understandable to people everywhere. Kass is a speaker and consultant who works with businesses and governments around the world.
The opening day also featured a slate of economic presentations, including a global economic outlook from Dr. Jeff Rosensweig, director of the John Robson Program for Business, Public Policy, and Government at Emory University, and a “State of LTL” report from economist Keith Prather, managing director of Armada Corporate Intelligence. Both speakers pointed to a strong economy as 2025 gets underway, emphasizing overall economic optimism and strong momentum in LTL markets.
Other highlights included interviews with industry leaders Chris Jamroz and Rick DiMaio. Jamroz is executive chairman of the board and CEO of Roadrunner Transportation Systems, and DiMaio is executive vice president of supply chain for Ace Hardware.
Jump Start 25 runs through Wednesday, January 29, at the Renaissance Atlanta Waverly Hotel & Convention Center.
Cargo theft activity across the United States and Canada reached unprecedented levels in 2024, with 3,625 reported incidents representing a stark 27% increase from 2023, according to an annual analysis from CargoNet.
The estimated average value per theft also rose, reaching $202,364, up from $187,895 in 2023. And the increase was persistent, as each quarter of 2024 surpassed previous records set in 2023.
According to Cargonet, the data suggests an evolving and increasingly sophisticated threat landscape in cargo theft, with criminal enterprises demonstrating tactical adaptability in both their methods and target selection.
For example, notable shifts occurred in targeted commodities during 2024. While 2023 saw frequent theft of engine oils, fluids, solar energy products, and energy drinks, 2024 marked a strategic pivot by criminal enterprises. New targets included raw and finished copper products, consumer electronics (particularly audio equipment and high-end servers), and cryptocurrency mining hardware. The analysis also revealed increased targeting of specific consumable goods, including produce like avocados and nuts, along with personal care products ranging from cosmetics to vitamins and supplements, especially protein powder.
Geographic trends show California and Texas experiencing the most significant increases in theft activity. California reported a 33% rise in incidents, while Texas saw an even more dramatic 39% surge. The five most impacted counties all reported substantial increases, led by Dallas County, Texas, with a 78% spike in reported incidents. Los Angeles County, California, traditionally a high-activity area, saw a 50% increase while neighboring San Bernardino County experienced a 47% rise.
WALNUT, CA, Jan. 17, 2025 (GLOBE NEWSWIRE) -- Armlogi Holding Corp. (“Armlogi” or the “Company”) (Nasdaq: BTOC), a U.S.-based warehousing and logistics service provider that offers a comprehensive package of supply-chain solutions related to warehouse management and order fulfillment, today announced the integration of Amazon Shipping into its suite of shipping solutions. This new addition is expected to enhance Armlogi’s shipping capabilities, providing customers with more efficient and cost-effective options for parcel delivery.
Since its launch last week, Amazon Shipping has already enabled Armlogi to handle thousands of parcels daily. This service supports Armlogi’s commitment to offering versatile, reliable logistics solutions by ensuring timely pickup and delivery for a broad range of customer needs. Amazon Shipping is particularly noted for its efficiency and cost-effectiveness, making it an attractive option for businesses looking to optimize their shipping and distribution strategies.
“The adoption of Amazon Shipping marks a significant enhancement in our logistics operations,” said Aidy Chou, Chairman and Chief Executive Officer of Armlogi. “This service is expected to allow us to expand our shipping capabilities and provide our customers with additional low-cost, reliable shipping options. It’s an essential part of our strategy to continually adopt innovations that enhance service quality and operational efficiency.”
This new shipping channel is expected to improve customer satisfaction by providing more flexible delivery options and maintaining the reliability that Armlogi's clients have come to expect. The Company anticipates this enhancement will support ongoing growth and strengthen its position as a leader in the logistics sector.
About Armlogi Holding Corp.
Armlogi Holding Corp., based in Walnut, CA, is a fast-growing U.S.-based warehousing and logistics service provider that offers a comprehensive package of supply-chain solutions relating to warehouse management and order fulfillment. The Company caters to cross-border e-commerce merchants looking to establish overseas warehouses in the U.S. market. With eleven warehouses covering over three and a half million square feet, the Company offers comprehensive one-stop warehousing and logistics services. The Company’s warehouses are equipped with facilities and technology for handling and storing large and bulky items. For more information, please visit www.armlogi.com.
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