Posted on August 31, 2017
When companies present their transportation logistics solutions, they have tendency to either engage in corporate speak and not really say much about their solutions or speak with such expertise that they fail to give you a basic understanding of how logistics solutions can benefit your company in a daily way. For small to midsized companies, transportation logistics typically arrives in one of two forms: by a company outsourcing its logistics to a third party logistics (3PL) provider or by implementing logistics software solutions that are available as an online software application.
Given that logistics software offers an easy to use interface can be customized to a company’s particular shipping needs and costs far less than outsourcing to 3PL providers, it’s usually the logistics option of preference for small to midsized companies that don’t have the luxury of a shipping fleet or a large shipping budget. If you’ve heard of logistics software but are looking for a basic understanding of how it can aid your shipping process, we offer the following overview of how logistics-software solutions help companies in terms of freight optimization, shipping route optimization and shipping method integration.
For small to midsized companies that regularly ship less than a full freight load of products, freight optimization typically subsists on finding the best less than truckload (LTL) shipping options. LTL shipping is when a shipping carrier lets companies ship partial loads that combine to compose a full truckload. The cost value of LTL shipping comes from shippers splitting the cost of a full freight load. Although less than truck load shipping offers low shipping rates, due to numerous stops for delivery and pick up, it often takes goods longer to reach their destination than in other shipping arrangements. Nevertheless, logistics-software solutions can be used to find less than truckload carrier routes that offer the best delivery time. Because warehouse stops are a common feature of freight shipping, logistics software also offers warehouse optimization capabilities.
Shipping Route Optimization
If you use a 3PL provider, you probably won’t have any idea what shipping routes your carriers are using. But shipping routes are a major factor in determining overall shipping cost. Logistics-software can analyze shipping routes according to multiple criteria, including: length of route, traffic patterns, road quality and construction patterns. One example of how route optimization can decrease shipping cost and improve delivery time is by analyzing routes in terms of travel time. For example, a route that is shortest in distance may be longer than another route in terms of travel time due to traffic patterns.
Shipping Method Integration
Shipping method integration is an unofficial term that refers to the ability of logistics software to suggest integrated shipping methods for the sake of reducing shipping cost and improving delivery time. For example, even though air shipping is traditionally more expensive than ground shipping, logistics software might suggest shipping certain shipments by air due to expensive, unavoidable warehouse fees that would result from ground shipping. In addition, logistics software may make such suggestions as shipping products halfway to their destination by boat and the other half by freight truck.
Posted on August 30, 2017
Many carriers and ship operators have to deal with problems like huge bunker costs, labor costs, huge charter costs, poor tracking system and costly communication between the vessels. If such problems are not efficiently addressed, shipping operations are likely to encounter huge losses. Apart from the financial loss, such issues can harm the company’s reputation and goodwill. Shipping software allows carriers and ship operators to reduce expenses and get considerable cost benefits by minimizing the various tasks involved like time consuming and labor-intensive processes like redundant data entries, documentation, inventory, invoicing and much more.
In the last few years, the shipping industry has seen a considerable change as the tasks involved have become less time consuming and labor intensive. This means that all the shipping procedures have become error free, efficient and faster. As different business organizations have their specific needs and requirements when it comes to the shipping operations, the companies have come with various types of shipping software solutions which can serve specific functions as per the business needs and requirements.
With the advancement of internet and technology, the shipping industry has seen a significant change and thus helps simplify various important shipping operations which, requires considerable time and a lot of expertise. The shipping software offers scalable and efficient solutions to enable carriers maximize profits and reduce operational expenses. It also helps shipping lines in controlling shipping activities between different ports. A number of multinational corporations, today necessitate an efficient heavy duty team which offers them excellent and cost effective shipping operations. However, the most important factor here is comparing the different shipping rates. Business organizations need to choose a reputed and reliable company which delivers cost and quality which are definitely business friendly.
Selecting an efficient and cost effective company means saving profits and reducing operational costs to a significant level. Also, before choosing any company, you must consider the international shipping rates, compare the quotes offered and then select the one which suits your needs in the best way. The services you choose must help you to gain success and ensure cost effective and absolutely safe transportation. Many business organizations today use USPS software to ensure that mailing services are completed in an efficient and easy way. These mailing solutions make postage quite easy and safe as well. Thus, choosing a reliable and reputed company with efficient shipping software which integrates with your business operations and contributes in business growth as well as sustainability is quite an important task.
Posted on August 29, 2017
In the shipping industry, choosing a software solution is a crucial undertaking for long-term business growth and sustainability. It is therefore important for shipping companies to maneuver through the selection process with knowledge that not all shipping software vendors offer solutions that could address all their operational concerns.
In order to find the best software, shipping business leaders must always remember that acquiring new information technology should not just reduce costs but also assist the progress of processes to improve efficiency and gain significant business advantage. They must perform the following proactively when selecting the right shipping software solution:
Gather data. Choosing enterprise software solutions that do not meet a company’s operational requirements is a waste of time and resources. It is important to identify key issues prior to starting the selection process.
Develop a list of software requirements. This should be performed in order to find out which requirements solution providers respond to. Only then can a vendor short list be created to determine the candidates.
Request for information and prepare a proposal. Buying enterprise solutions demands scrutiny, piloting and comparison with other similar solutions. A collection of data from different departments of the company should be obtained. The information gathered should clearly define employee responsibilities, business processes, data and work flow for the vendors to identify which areas of operation the software solution is greatly and least advantageous to.
A proposal from the shipping company should be prepared to provide an orderly and sensible view of the business’ environment and ideals for automating vital business processes.
Create scripted scenarios. Conventional strategies for evaluating software have become insufficient for complex integrated systems. Scripted scenarios can be used by companies to help them with software selection. In a scripted scenario, businesses can present a unique challenge that they want to be addressed and resolved. Creating these scenarios provides the opportunity for the company to express their vision for their operational environment following the new software’s implementation.
Have the vendor perform a detailed demonstration. Companies should have vendors arrange a detailed product demonstration using the organization’s scenarios as basis. This should be done in order to avoid the vendor from running the demonstration freely and overlook vital issues that need to be addressed. Evaluating the software can be relatively simple if the software provider will perform a concise demonstration of their solution.
Choosing the most beneficial shipping software solution for liner businesses takes thorough analysis and proactive decision-making. Enterprise solutions can be extremely costly and companies do not want to waste both time and resources in implementing software applications that would fail. It helps businesses tremendously to utilize a system for evaluating and measuring software capabilities.