2024: A Year in Review

2024 COULD GO down as the sucker punch year for the logistics industry. After years of boom time because of the pandemic, the market has been correcting itself ever since, leaving brokers with slim profit margins all while dealing with the ever-present, increasingly sophisticated strategic fraud and cargo theft.

Through it all, one thing has remained constant – TIA working for its members. To consistently meet the needs of our membership, TIA has been actively creating and organizing programs and opportunities for our members to not only survive the past year, but in some cases thrive. Three key themes stood out this year for TIA and its members: fraud is a scourge on the industry; AI and technology integration into the industry does not equate to Rise of the Machines; and membership has its privileges.

Fraud Plagues the Supply Chain

We all know someone (might even be us) who has experienced either identity theft, unauthorized brokering, straight up cargo theft and other means that bad actors employ to dupe brokers and industry partners out of nearly $1 billion.

While fraud has always existed in the supply chain, 2024 seems to hurt just a little bit more as those committing fraud have gotten savvier in their onslaught on the industry. Thanks to technological advances like AI and other means that take people out of the loop, we saw a higher rate of identify and MC number theft this year than ever before. It doesn’t help when government bureaucracy and inefficiencies do not keep up with technology leaving company registrations vulnerable to attack.

To help our members combat fraud, TIA’s Fraud Taskforce has been busy this past year updating the Framework to Combat Fraud to include new technologies and fraudulent activities that brokers need to be aware of and released the inaugural State of Fraud in the Industry survey report that showed, on average, that fraud costs companies more than $400,000 annually. The Fraud Taskforce continues to grow and add members who can help industry colleagues combat fraud as best they can. This includes adding a Vendor Advisory Committee to the Taskforce for TIA’s associate members who have products or services that can help brokers mitigate against fraud.

Not to be outdone by the Fraud Taskforce, other TIA committees, like the Shippers Committee, have also produced whitepapers outlining how shippers and brokers can work together to fight fraud.

TIA’s Government Affairs team have been active on Capitol Hill (see their year-in-review article on page XX) seeking Congressional help to fight fraud. They were able to get the bipartisan backed H.R. 8505 “The Household Goods Shipping Consumer Protection Act” introduced by Del. Eleanor Holmes-Norton (D-D.C.) and Rep. Mike Ezell (R-Miss.). H.R. 8505 aims to restore the FMCSA’s ability to enforce civil penalties and enhance scrutiny on registration fraud. This bill passed the House Transportation & Infrastructure Committee with strong bipartisan support and is awaiting a full vote.

Additionally, cargo theft prevention language was successfully included in the FY25 Transportation, Housing, and Urban Development (THUD) Appropriations Bill, directing the DOT to coordinate with other agency stakeholders to report cargo theft trends and develop a comprehensive strategy to combat it.

The FMCSA has also established a new internal fraud prevention team and is set to implement a registration modernization system in early 2025 to streamline processes and enhance verification tools. TIA is committed to creating an environment where industry can flourish without the devastating effects of supply chain fraud.

AI Takes Center Stage

One of the trends taking over the world is the everyday use of AI in the workplace and the supply chain industry is no different. We have seen an explosion of companies focused on providing technological products and services to help brokers do business better.

This was never more prevalent than during TIA’s Technovations conference in October. With the largest gathering of technology creators and users gathering in Florida for the two-day conference, attendees were blown away by what goods and services are new to or coming to the market to help brokers not only work more efficiently but also can help fight fraud.

During TIA’s Technovations conference the key theme was how to use technology for the better of your company and what pitfalls to look for when investing in technology. Investing in technology for technology’s sake is not a good business practice, but thanks to TIA’s Technology Committee and Technovators, attendees were able to see how to make technology work for them.

Technology is not something to fear. It can help members streamline their back-office work as well as keep you nimble so you can go after more business. And more importantly, you don’t have to break the bank to take advantage of the technology our industry suppliers are developing for you. TIA’s Technology Committee will continue to evaluate and study ways for members to take advantage of advancements.

Membership has Its Privileges

You already know that by being a TIA member you have made the decision to be the best of the best in the industry. To help our members continue their success, TIA was busy in 2024 creating a better membership experience for you.

In October, TIA launched a news website (news.tianet.org) that includes all the information fit for print in the 3PL industry to help you stay ahead of the competition. Between blogs written by your colleagues and TIA staff on topics important to you, to promoting TIA’s continuing education opportunities or just housing easy-to-access resources for you and your team, TIA’s news site is meant to be your go to for all things 3PL and TIA related to your needs.

And because we know you understand the importance of continuing education, we have made it even easier for you and your team to gain the expertise they need to do their job to the best of their ability. TIA has launched 12 FREE member-benefit courses for your team to take advantage of at their leisure. These courses, as well as TIA’s tried and tested certifications and new courses, will only be available to TIA members.

So, when you look back at 2024 and grimace because of inflation, the correcting of the supply chain economy, the hassle of dealing with fraud and theft and other business oddities to make you cringe, remember that TIA is working for you and will continue to do so in the future. We will continue to meet our members where they are and provide the support you need to grow.

Melanie Hinton | TRANSPORTATION INTERMEDIARIES ASSOCIATION