FedEx take on busiest day in company history
Today is forecasted to be FedEx’s busiest shipment day in the company’s history, with a projected 19 million packages expected to move through the FedEx networks.
FedEx have been preparing for almost a year for the busy holiday season, when approximately 20,000 seasonal personnel will have their hands full on “Busiest Day,” supporting systems that will process more than 200 packages per second.
T. Michael Glenn, executive vice president of Market Development at FedEx said: “The spirit and drive of our team members, backed by the efficiency of our networks, will help us deliver what we expect will be a record-breaking 280 million packages through our global networks between Thanksgiving and Christmas, up 13 percent from 2011.”
Majority of Volume Surge from Online Shipping
Increased e-commerce spending is directly contributing to record holiday FedEx volumes and a 10 percent year-over-year increase in volume from 2011. The majority of these shipments will enter the FedEx Ground and FedEx SmartPost networks. FedEx SmartPost works with online retailers and cataloguers—businesses that traditionally see increased sales during the holiday season—to ship high volumes of lighter shipments to residential customers.
Monday, December 10, will also serve as “Green Monday,” a term coined by eBay to describe the best sales day in December and traditional kick-off to the heaviest online shopping week of the year. In 2012, online holiday sales are forecasted to climb 17 percent compared to last year, according to eMarketer.
Elon Musk's Boring Co. planning wider tunnels for freight
Elon Musk’s drilling outfit The Boring Company could be shifting its focus towards subterranean freight and logistics solutions, according to reports.
A Boring Co. pitch deck seen and shared by Bloomberg depicts plans to construct wider tunnels designed to accommodate shipping containers.
Founded by Tesla CEO Musk in 2016, the company initially stated its mission was to offer safer, faster point-to-point transport for people, particularly in cities plagued by traffic congestion. It also planned longer tunnels to ferry passengers between popular destinations across the US.
The Boring Co. completed its first commercial project earlier this year in April. The 1.7m tunnel system is designed to move professionals between convention centres in Las Vegas using Tesla EVs. It says the Las Vegas Convention Centre Loop can cut travel time between venues from 45 minutes to just two.
Boring Co.'s new freight tunnels
The Boring Co.'s new tunnel designs would allow freight to be transported on purpose built platforms, labelled as “battery-powered freight carriers”. The document shows that, though the containers could technically fit within its current 12-foot tunnels, wider tunnels would be more efficient. Designs for a new tunnel, 21 feet in diameter, show that they can comfortably accommodate two containers side-by-side, with a one-foot gap between them.
The Boring Co.’s new drilling machine, dubbed Prufrock, can tunnel at a rate of one mile per week, which is six times faster than its previous machine, and is designed to ‘porpoise’ - mimicking the marine animal by ‘diving’ below ground and reemerging once the tunnel is complete.
Tesla’s supply chain woes
Tesla is facing its own supply chain and logistic issues. The EV manufacturer has raised the price of its vehicles, with CEO Musk confirming the incremental hike was a result of “major supply chain pressure”. Musk replied to a disgruntled Twitter user, confused as to why prices were rising while features were being removed from the cars, saying the “raw materials especially” were a big issue.
Car manufacturing continues to be one of the industries hit hardest by a global shortage in semiconductor chips. While China’s chip manufacturing levels hit an all-time high in May, and the US is proposing a 25% tax credit for chip manufacturers, demand still outstrips supply. Automakers including Volkswagen and Audi have again said they expect reduced vehicle output in the next quarter due to a lack of semiconductors, with more factory downtime likely.
Top Image credit: The Boring Company / @boringcompany