The importance of gate and yard operations in supply chain management cannot be overstated, even if they are often underappreciated. The logistics of moving vehicles and goods into and out of a warehouse or manufacturing facility each day require a high degree of precision in order to create a smooth, efficient flow.
The days of paper-based systems and spreadsheets to track and manage yard operations are unfortunately not behind us quite yet. While the adoption of yard management system software (YMS) has been increasing, it’s not widespread yet. A 2021 Gartner survey found between 35%-45% of businesses with transportation yards were using some form of YMS. This number is expected to increase as digital transformation continues across industries.
Having a YMS in place should be a baseline requirement for addressing three main challenges companies face in maintaining efficient yard operations. Chronic gate congestion leads to delays in both inbound and outbound shipments, throwing schedules out of whack. An inefficient yard layout hinders location and access to assets like trucks, trailers, and containers, degrading asset utilization. And a lack of real-time communication causes delays, poor coordination, and increased wait times.
All of the above lead to higher operating costs and potential safety risks, hampering productivity, supply chain management, and, ultimately, customer satisfaction. Conversely, optimizing the flow of goods within a yard improves overall supply chain performance and creates a competitive edge.
A YMS, while a useful tool, doesn’t go quite far enough in terms of enabling the use of real-time data for gate access, yard asset management, and dock scheduling. We’ll discuss the three main challenges in more detail, and how artificial intelligence technology (AI) is enabling significant gains in yard optimization.
Gate Congestion and Delays
The facility’s gate is the main access point, but it can also quickly become a choke point. Manual processing of inbound trucks can hold them up at busy times, causing delays of up to 20 minutes per vehicle.
This quickly causes a domino effect, affecting gate schedules, inventory management, and production planning. Personnel such as yard spotters sit idle while waiting for the incoming trailer to be processed. Costs increase, and idling trucks pump CO2 emissions into the air.
Causes of gate congestion include:
- Inefficient scheduling due to poor coordination with third-party carriers and in-house transportation teams.
- High volumes and peak delivery times.
- An out-of-date manual gate access process.
To reduce gate congestion, automated vehicle access control systems (VAC) streamline entry and exit, cutting down on truck wait times. An appointment scheduling system — which can be used for trucks arriving at the gate and at the docks — helps create a smoother traffic flow. Both capabilities are built into most modern YMS software. Optimizing traffic flow management at entry and exit points can also minimize bottlenecks.
Inefficient Yard Layout and Space Utilization
This can significantly disrupt the flow of goods and vehicles, leading to operational challenges. Common issues include inadequate dock positioning, where they are not strategically located to facilitate smooth traffic flow, and a lack of clear signage, causing confusion and delays.
Underutilized space further compounds these problems, leaving parts of the yard congested while others are unused. These inefficiencies increase handling times, create safety hazards due to poorly managed traffic, and lead to higher operational costs.
Redesigning the yard to improve traffic flow and better align docks with operational areas is essential. Clearer, more effective signage helps guide vehicles and personnel efficiently. Using vertical storage helps optimize space, freeing up ground level for more critical operations.
Lack of Real-Time Visibility and Communication
Poor communication among yard staff, drivers, and warehouse teams often results in misplaced trailers, delayed shipments, and increased labor costs as workers have to track down assets. This can cause significant supply chain disruption, increase costs, and negatively impact production and delivery schedules.
A YMS provides real-time tracking and communication tools that improve coordination among teams, leading to smarter decisions. All stakeholders can access up-to-date information on trailer locations, shipment status, and yard operations, improving response times and smoothing out workflows. An AI-based solution can augment YMS and improve yard optimization by automating yard processes, predicting potential delays, improving asset management, creating a smoother flow of goods, and reducing costs.
Don’t Let Poor Yard Management Be the Weak Link in the Supply Chain
Addressing gate congestion, inefficient yard layout, and lack of real-time communication helps reduce costs, enhance safety, and improve operational performance. A YMS augmented with an AI-based solution significantly optimizes these areas, ensuring smoother, more efficient yard operations that ultimately boost supply chain effectiveness and customer satisfaction.
EAIGLE, a leader in AI-driven yard operations technology, delivers measurable efficiency gains from the gate to the dock. Its innovative optical character recognition (OCR) technology is a key component of its gate management (AVAC™ — Automated Vehicle Access Control) and yard operations (YardSight™) solutions. Both solutions capture data from security cameras to optimize vehicle flow and manage yard assets. This allows yard operations managers to speed up gate security, reducing delays and dwell time.
EAIGLE’s technology also optimizes dock scheduling and yard routing, while keeping track of the location and status of all yard assets in real time. To learn more about how EAIGLE can optimize your yard operations, request a demo.