Kuehne+Nagel Visualize Port Congestion Index! Effectiveness in Action Plan Development.

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I would like to broadcast IINO san’s Logistics Radio.

Today, I would like to talk about, “Kuehne+Nagel Provides Congestion Indicators for Ports in Nine Countries”.

Daily Logistics Radio by IINO san in 28th Jan. 2022

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KN, New port Congestion Index Available

Kuehne+Nagel, a leading international logistics company, has announced that it has launched a new indicator of congestion in ports around the world, “the Disruption Indicator”.

The indicator is designed to visualize the level of congestion by aggregating the waiting times of ships at nine major ports around the world.

Ports Covered by the Index

Prince Rupert and Vancouver in Canada
Seattle, Oakland, Los Angeles-Long Beach, New York and Savannah in North America
Hong Kong area, Shanghai and Ningbo area
Rotterdam in the Netherlands
Antwerp district in Belgium

Visualization of Bottlenecks Using Indicators

Kuehne+Nagel uses this indicator to measure congestion in the global container transportation network and to visualize bottlenecks in the supply chain.

Users can also use the index for advanced analysis to predict the future impact on their own supply chains and use it to develop action plans.

Advantage of Visualization

By looking at this indicator, you can avoid busy ports.

For example, if a port in North America is crowded, you can choose to ship to a relatively empty port such as Vancouver, and take a route by truck or rail.

You can also choose to send the cargo by air, since sending it by ship now would cause a huge delay.

I think this is a very useful tool.

IT Introduction of Kuehne+Nagel

The company has a platform for online quoting, booking, tracking, and now it has launched a tool to visualize congestion.

The forwarder is turning into an IT company, and the company is promoting its own SaaS offering.

IT Introduction in Logistic Industory

Major forwarders are enhancing their services with IT while expanding their scale through M&A. As I have talked about many times on this radio, IT introduction in logistics is inevitable.

It is an age where large companies can invest aggressively and IT makes things more convenient.

Medium-sized companies will probably follow the IT trend of large companies and aim for more niches.

IT and Manpower

However, it does not mean that 100% of IT stuff will be chosen.

In Case of Job Market

For example, in the job market, some people use recruitment agent instead of a job site to find a job on their own.

Recruitment agents have jobs that companies don’t want to reveal. Those are often jobs with relatively good positions and high salaries.

Middle class people, for example, may use that one.

In Case of Fashon Industory

Also, even when buying clothes, some people use free AI recommendations, while others prefer to hire a stylist of freelancer.

IT can handle a large amount of general work, but special or difficult work is done by agents, although they are a little more expensive, so I think there is a polarization.

What is the Future of IT in Logistics?

However, as the accuracy of IT continues to improve, there is also the question of how much of what people can do will remain.

I believe that IT and actual human work will remain separate in logistics for the time being, but as IT advances, it will become more efficient.

I will continue to report on IT introduction of logistics.

That’s all for today. Thank you.