The Freight Logistics Optimization Works (FLOW) platform was once again highlighted in a recent Supply Chain Dive article. In it, reporter Alejandra Carranza provided a quick overview of the program and noted that membership has expanded significantly from the initial 15 companies and three ports. According to the website, total membership has now jumped to 86 different entities (as of January 20, 2025).
Although we covered FLOW in two of our past articles, “Interoperability in the Supply Chain: Will FLOW Make a Difference?” (originally published June 2022) and “Two years later: How FLOW is making a difference,” we thought it’d be nice to take a deeper look into the type of data that’s collected and what’s done to keep it secure.
A FLOW refresher
Launched in March 2022 in response to supply chain disruptions, FLOW is a public-private partnership among industry and government to “build a forward-looking, integrated view of supply chain conditions in the United States,” according to the U.S. Department of Transportation (USDOT), which administers the program.
FLOW helps participants forecast whether future demand can be met with current capacity so companies can “anticipate changes in supply chain throughput and take proactive steps to mitigate previously unanticipated delays.”
The FLOW program collects key information from importers’ purchase orders, as well as logistics supply, demand, and throughput data from participants (e.g., beneficial cargo owners, ocean carriers, ports, terminals, railways). USDOT then “anonymizes, regionally segments, and aggregates the data.”
Once that’s done, program participants receive FLOW data that provides a “broad, daily view of the current conditions of the overall logistics network, beyond what they may observe within their own operations.”
“Because importer POs drive the demand for logistics services, aggregating future demand data (e.g., purchase orders, incoming container volumes, origin and/or destination regions) coupled with regional supply and throughput data across different transportation modes (ocean, truck, rail) enables participants to forecast how current capacity and throughput will fare against the future demand,” USDOT says. “Participants then use this insight to optimize operations and ensure healthy throughput.”
Logistics data collection
USDOT describes FLOW as “voluntary, secure, and participatory” for logistics providers, since participation isn’t required, the data provided is uniquely protected, and only companies that provide “qualified” data can access it.
“FLOW is a shared industry platform designed so that companies can share specific imported Twenty-foot Equivalent Unit (TEU) data and, in exchange, get access to a feed of streams of data specific to each asset owner type (i.e., chassis owner, terminal operator, etc),” USDOT says. “This feed, updated daily, consists of the aggregated and anonymized imported TEU data from FLOW Members. This platform helps improve the efficiency and resilience of the U.S. supply chain by providing access to actual supply chain asset availability for logistics resources.”
USDOT summarizes the process with four succinct steps:
- FLOW partners with private industry on a voluntary basis.
- Industry securely shares information with DOT.
- DOT anonymizes and aggregates the imported TEU information by asset owner type.
- FLOW provides access to the FLOW data portal so that Members can view and download the imported TEU information by asset owner type.
Data stewardship and security
The Bureau of Transportation Statistics (BTS) says it serves as an “unbiased data steward” for FLOW and does so in collaboration with the Office of Multimodal Freight Infrastructure and Policy (OST-F), which is responsible for overseeing and operating the FLOW program.
OST-F describes itself as a “new” office within the Office of the Undersecretary of Transportation for Policy “established and funded by Congress to carry out the national multimodal freight policy.” In addition to various freight-related responsibilities, OST-F is tasked with promoting and facilitating the “sharing of information between the private and public sectors with respect to freight issues.”
In its role as data steward, BTS says it “guarantees compliance” with the Confidential Information Protection and Statistical Efficiency Act (CIPSEA), which “establishes uniform confidentiality protections for information collected for statistical purposes.” The agency notes that when it collects or acquires information for a statistical purpose under CIPSEA, it:
- Must use a pledge of confidentiality
- Must protect the information
- Cannot allow unauthorized access to the information
- May share the information for statistical purposes if the respondent consents, and then only under a written agreement signed by the director of BTS
- Makes sure any party or agent receiving released confidential information pledges confidentiality, becoming subject to the restrictions and penalties provided in CIPSEA
- Enforces that employees, contractors, and agents are subject to felony charges and fines for knowingly disclosing confidential information (5 years prison and/or $250,000 fine)
- Cannot release the information under a Freedom of Information Act (FOIA) request
“Under FLOW, BTS anonymizes, regionally segments, and aggregates information submitted by FLOW participants to maintain confidentiality,” the agency says. “These efforts are executed using strict protocols for data collection and protection.”
CIPSEA and data protection
In its FAQs section regarding data confidentiality and security, BTS notes that CIPSEA has been around since 2002, when Congress initially passed it into law. It was later “recodified” in the 2018 Foundations for Evidence-Based Policymaking Act and stipulates that a federal agency “may collect information under pledge of confidentiality for statistical purposes.”
BTS notes that CIPSEA protections include the following assurances:
- No government agency may require, for any reason, a copy of a respondent’s report.
- Court cannot require a copy of any respondent’s report.
- Reports are immune from the legal process and cannot be admitted as evidence.
- Reports are exempt from Freedom of Information Act (FOIA) requests.
- Information may not be disclosed in identifiable form for any non-statistical purpose without the informed consent of a respondent.
- Willful disclosure of confidential information by Federal employees, agents, and contractors may incur sanctions and penalties.
A recent FLOW update
In its most recent FLOW update, USDOT announced on August 13, 2024 that the Port of Oakland and the Northwest Seaport Alliance, which includes the Port of Seattle and Port of Tacoma, had also become FLOW members, expanding the initiative’s reach to “the five largest container ports on the West Coast.”
“We are excited to be an official FLOW member,” said Port of Oakland Executive Director Danny Wan. “This partnership will provide us with enhanced visibility of goods movement trends across the country and the added benefit of expanding and improving data sharing efforts throughout the supply chain.”
“The Northwest Seaport Alliance is glad to become a member of the FLOW program. This public-private collaboration presents a unique opportunity to work alongside industry partners and the USDOT to address supply chain challenges proactively,” said Port of Seattle Commissioner Toshiko Hasegawa and Co-Chair of The Northwest Seaport Alliance. “By sharing data and insights, we can collectively optimize freight movement, reduce congestion, and strengthen the resilience of our region’s logistics network.”
“We are pleased to join the USDOT’s FLOW initiative. By collaborating across the supply chain and leveraging data-driven insights, the Northwest Seaport Alliance hopes to drive increased efficiency and reliability of port operations,” said Port of Tacoma Commission President Kristin Ang and Co-Chair of The Northwest Seaport Alliance. “This partnership aligns with our mission to deliver best-in-class service for our customers and contribute to the overall strength of the U.S. supply chain and national economy.”
These latest ports join the Port of Los Angeles and the Port of Long Beach as FLOW members, according to the announcement, collectively making up about 95% of West Coast inbound container volume.
“With all major West Coast ports now FLOW members, ocean carriers, shippers, truckers, and railroads will be able to better plan for and predict capacity needs to keep cargo moving and avoid bottlenecks,” USDOT said.
To learn more about FLOW, please visit the USDOT website.
