For decades, transportation executives viewed the industry as a cut-throat competition to win the business of global shippers. In this view of the market, the ongoing battle for freight volumes defined most interactions in the supply chain. Prevailing incentives justified the frequent addition of complex and costly services to win contracts, the near-constant undercutting of freight rates, and almost any sacrifice that would increase market share.
Fortunately, at the insistence of ever more powerful global shippers, the industry has been shaken out of this destructive paradigm and forced to consider ecosystems as an alternative to counterproductive rivalries. The transportation industry is quickly recognizing that working together in ecosystems has set the industry on a course toward happier customers, more profitable providers, and a more sustainable future for the entire industry.
Ecosystems deliver value for customers by smoothing over operational choke points.
Global…