This report looks at data before and after Hurricane Harvey in August 2017 and dives into the true cost and volume impacts experienced by logistics customers; it also shares advice on how shippers can prepare for another 2018 challenging storm season.
2017 Tropical Storm Harvey
Hurricanes have massive impacts on transportation capacity and spend.
To better understand true cost and volume impacts, Zipline Logistics evaluated a sample of 33,000 shipments, comparing data prior to the 2017 Tropical Storm Harvey with data after the event.
Access the full report and keep reading this post for the advice you can use to prepare your supply chain for the next tumultuous storm season (Note: the Atlantic Hurricane season runs from June 1 through the end of November.)
Hurricane Impacts on Transportation
We leveraged our KanoPI shipper intelligence platform to dig deep into hurricane impacts. Here’s what we found;
Market surcharges due to hurricane activity were the costliest of added fees in 2017 with a total cost of $673,000.91.
Data shows that the Average Cost Per Load after the 8/26 hurricane went up by $159.58, or 11% and that the Average Cost Per Mile increased by 15%.
915 fewer loads moved after the hurricane (date of 8/26/2017) when compared to previous four-month period. This tells us that people were holding on to shipments that would typically have moved into key areas like Florida, Texas, and surrounding states.
Looking specifically at Florida, there was an 8% drop in volume and 3.4% drop in spending. This shows that for shipments still moved, rates were higher.
Read more at The Impact of Hurricanes on Transportation and How to Build a Storm Resilient Supply Chain
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