Supply Chain Task Force launches program to improve information flow

The White House Supply Chain Task Force is launching an information-sharing initiative aimed at expediting the movement of goods and lowering costs for consumers.

Freight Logistics Optimization Works, or FLOW, will create an information exchange between parts of the supply chain, the White House said in a news release on Tuesday, March 15. The initiative will involve 18 initial participants across the supply chain representing trucking, logistics and ports.

“These key stakeholders will work together with the administration to develop a proof-of-concept information exchange to ease supply chain congestion, speed up the movement of goods, and ultimately cut costs for American consumers,” the administration said. “The Department of Transportation will lead this effort, playing the role of an honest broker and convener to bring supply chain stakeholders together to problem solve and overcome coordination challenges.”

The first phase of the program is expected to start by the end of the summer.

Initial partners in FLOW 

Port authorities:

Port of Long Beach

Port of Los Angeles

Georgia Ports Authority

Ocean carriers:

• CMA CGM
• MSC

Terminal operators:

• Fenix Marine Terminal
• Global Container Terminals

Business:

• Albertsons
• Gemini Shippers
• Land O’ Lakes
• Target
• True Value

Trucking:

• CH Robinson

Chassis:

• DCLI
• FlexiVan

Logistics and warehousing:

• FedEx
• Prologis
• UPS

Improving the information exchange

The Biden administration said that recent supply chain disruptions have highlighted the need for an improved information exchange.

“Supply chain stakeholders deserve reliable, predictable and accurate information about goods movement, and FLOW will test the idea that cooperation on foundational freight digital infrastructure is in the interest of both public and private parties,” the White House said. “FLOW is designed to support businesses throughout the supply chain and improve accuracy of information from end-to-end for a more resilient supply chain.”

David Correll, a lecturer at the Massachusetts Institute of Technology Center for Transportation and Logistics, discussed the inefficiencies in the supply chain during a U.S. House of Representatives hearing in November.

The transportation expert said that truckers typically drive only 6.5 hours of their allowable 11 hours each day, because they spend a huge amount of time waiting at shippers and receivers.

“My research leads me to see the current situation not so much as a headcount shortage of drivers but rather an endemic undervaluing of our American truck drivers’ time,” Correll said.

As part of his recommendations to improve the supply chain, Correll suggested an analysis of detention time issues and increased communication between warehouses and trucking companies.

Growing the FLOW program

Although the initiative will begin with 18 stakeholders, the White House said it plans for the list to grow.

The administration said plans to launch a webpage in the next month to gauge additional stakeholder interest in supporting foundational freight infrastructure:

“While starting with a limited pilot, DOT wants to hear from others who are interested in engaging as part of FLOW as a participant as the initiative grows,” the White House said. LL