The holiday season traditionally brings with it a surge in demand, and this year is predicted to be even busier. COVID-19 has resulted in less foot-fall on the high street, with consumers turning to online shopping to satisfy their shopping lists. This has led to the shipment of more parcels, and carriers are in high demand.
It appears that the ball is firmly in the court of carrier companies, a notion recognized by many in the freight industry. There seems to be a shortage of courier companies capable of moving national shipments, and this has given carriers plenty of pricing power. Supply chain leaders are only too aware of the situation and understand that they must take action to optimize operations. This is where technology and freight analytics come in very handy.
Monitor Activities and Data Across the Supply Chain
To keep on top of the supply chain, managers must monitor activities and gather data from a range of systems – this includes scrutinizing statistics relating to forward and reverse logistics. Goods are despatched in high numbers in peak forward logistics season, but we need to keep in mind that straight after this there will be a surge in shipments (reverse logistics) as consumers return goods. Businesses need to get to grips with minimum ship / return dates and can do this by utilizing data-driven freight analytics.
Creating Carrier Scorecards
Shippers can also consider generating carrier scorecards, making use of supplier and carrier portals to run advanced analytics and gather insightful data. The scorecards will assess the performance of carriers in relation to adherence to routes, ability to adapt to dock schedule alterations etc.
Monitoring Accomplishments of Key Workers
Peak season shipping periods have an impact on frontline workers. Gauging and monitoring the performance of frontline employees will enable you to gain a useful insight into responsiveness and customer satisfaction. You can also make staffing decisions such as deciding whether temporary employees should be offered permanent contracts.
Merging Shipments
Data can provide an overview as to how shipments can be merged to improve efficiency. This will help shippers to decrease the risk of delays and reduce associated costs. Customers expect goods to be delivered on time, so improving the proficiency of delivery is of high importance.
Reporting and Auditing
Advanced analytics can also help shippers with the automation of reports – a key tool in the quest to stay in control. Freight auditing can be used to keep a firm hold on costs too. In an ideal world you get the service you pay for, but we all know in the real-world problems do arise e.g. incorrectly delivered packages / late parcels etc. Freight auditing companies check the accuracy of deliveries made by couriers such as FedEx, UPS, and DHL and will secure a refund if problems are found.
Optimizing Your Carrier Agreement
It’s the perfect time to take a critical look at your carrier agreement too. Added “extras” in the form of fees and waivers soon mount up, and you could be paying more than you expected. Carrier contracts can be complex and hard to negotiate, so it’s worth seeking expert help. A comprehensive audit will enable you to save on shipping costs, and if you employ the services of a professional company, they will make recommendations and negotiate with the carrier on your behalf.