Why the U.S. freight shipping industry needs a new playbook
A new book by two former executives of freight shipping companies is being heralded as a blueprint for how the industry should approach new technology, especially in the face of growing competition from digital commerce.
The book, “The Future of Freight Shipping: From Innovation to Profit,” is co-authored by former freight shipping CEO James McWilliams and former chief financial officer Brian Fitch, both of whom were part of the company’s early leadership team.
The authors write that the book’s focus on innovation is “very much at the core of what I’m trying to do at the company.”
The new book, which is slated to be released in 2019, is being touted as a “tour de force” on how to navigate the transition from traditional to digital freight shipping.
“Freight shipping is in a transition.
We need to be able to understand what that means for our future,” Fitch said in an interview with Recode.
“We need to understand how we are going to compete in that environment.
And so the book is really a kind of a tour de force of what it means to be a freight shipping company in the next ten years.”
The authors also say that the business model for freight shipping needs to be fundamentally different than it is today.
They argue that it’s time to change the way freight shipping is done, in the name of innovation.
They say that while there are many things that can be improved, the biggest hurdle will be finding a business model that works.
“In the past, there was a lot of hype around this technology and all the innovation that’s going on in the field of digital commerce, but that hype was based on the wrong premise: that this was some sort of revolutionary new technology,” Fitches said.
“You have to think about how you get the goods into the market. “
You have to understand the supply chains. “
You have to think about how you get the goods into the market.
You have to understand the supply chains.
You can’t just go in and build a big warehouse.
That doesn’t scale.
You’ve got to understand, what are the distribution routes?
You’ve gotta understand the logistics, what do you need to do to get the cargo where it needs to go, what is the shipping process like?
They say it’s the future, not the past that is important. “
So we’ve got a long way to go in this field.”
They say it’s the future, not the past that is important.
“When I was running the shipping business, there were very few things that were changing.
In the past 10 years, I have seen that shift,” Fitching said.
The biggest change, according to the authors, is that the way people get the products to the ports of call is going to change.
“There is going a very big shift, and we need to transition to this new model,” McWilliams said.
Fitch’s former colleagues say that this shift is also critical.
“It’s very much at this time in our industry that we’re in transition,” McWilliam said.
Fitch believes that the shift is coming. “
If you think about it, the way that we’ve been able to move around the world is by innovating.”
Fitch believes that the shift is coming.
“For the last 30 years, we’ve seen a great deal of change in the freight shipping market,” he said.
“[It’s] a great challenge to get to this next phase of change.
They also argue that the current system of shipping isn’t going to last forever. “
And so I think that if you look at this transition, I think you’ll see that there are some significant new opportunities in the business, and they’re all going to happen within the next five years.”
They also argue that the current system of shipping isn’t going to last forever.
“This is a huge change, and it’s going to take a while to really understand how to make the changes that we need in this space,” Fitts said.