Chicago Logistics & Supply Chain industry host to tech activity
Logistics and Supply Chain has not historically been a sexy area for technology entrepreneurs but recently many have entered to disrupt various areas of this sector especially by applying the on-demand model. Chicago ranks as one of the largest logistics corridor with the nation’s busiest inland port and is the second-largest market by inventory. Many entrepreneurs have taken notice of this and have set up shops in Chicagoland. Recent success stories include:
- ShipBob is a smartphone application, allowing its users to ship items by a simple click of their phone camera. ShipBob raised $ 5.02M over a period of two years
- Project 44 is an enterprise SaaS integration platform powering the dynamic supply chain of the future through global, on-demand connectivity and visibility. Project44 recently raised a capital of $10.5M.
- FourKites is a logistics technology platform that utilizes machine-to-machine technologies to enable better collaboration between shippers, 3PL’s, brokers and asset-based trucking companies. They secured a total of $16.5M capital in three investment rounds.
- DashHaul is a neutral B2B app that connects truckload shipping and logistics companies to a network of location based truck drivers.
In addition to Tech Startups, the city is host to market leading 3PLs including Coyote Logistics (now acquired by UPS), Echo Global Logistics, Load Delivered, Redwood etc.
The City of Chicago has identified various areas that have been bottleneck to growth including workforce shortage and convoluted permit systems, and is trying to tackle that through various initiatives. It has incubated an organization Supply Chain Innovation Network of Chicago (SINC) to collaborate with the private sector on these issues through working committees, events, working papers etc.
SSI has participated with various members of SINC to collaborate on a framework to drive innovation in the sector locally and specifically find ways to use technology to solve some of these complex problems. With 25+ years in supply chain management and technology we are excited about the growing ecosystem of players in the local ecosystem and believe Chicago can build itself as a hub for logistics and supply chain tech.