Depending on the size
of your company, poor logistics management processes can cost your company up
to hundreds of thousands of dollars each year. Profit-chasing logistics
companies tend to be more focused on saving costs. Such companies may head to
the top rapidly but are destined for a crash at the same rate.
Logistics companies
are constantly involved in decision-making due to the volatile nature of
business. Add to that the pressure from the competition to try newer ways to
stay relevant. The answer to - What makes a company truly competitive? - may
vary due to the ambitions of the company. But since logistics has been around
for decades, following a few fundamental practices can help gain an advantage
over your competition.
Make technology your partner
Digitalization is one
of those revolutions that brought the world closer. Electronic mode of
communication has reduced misinformation by far. Customers can get information
about schedules and rates almost instantaneously. With technology, your
business benefits from real-time information on your fleet, inventory, and
other assets, allowing you to enhance your processes.
Collaborating with sync
Adding to the use of
technology is powering your staff to exchange data and information seamlessly.
When collaborating for multiple shipments, your teams must be on top of their
game. Using a logistics ERP like Logi-Sys, the status and progress of each
shipment are available via on-demand reports and live charts. Necessary action
can be taken depending on the priority of shipments. In the absence of
software, this task would need to be completed by several emails and phone
calls without being able to track progress.
Plan for the best, prepare for the worst
The result of a good
strategy is the least time spent in tackling a hurdle. Regular issues such as
price fluctuations and shortages of transport availability can be predicted
with forecasting. If your software allows you to foresee demand and possible
challenges, your company is better placed among your competition. No matter how
well you plan, it’s impossible to prepare for every possibility. So preparing a
contingency plan helps to move a Plan B in case of extreme situations.
Work to solve customers' problems
The customer
determines the reputation of a company and therefore must hold a key position
in the company's strategy. A happy customer brings more business to you and is
usually the result of a fluent logistics execution plan. Bringing customers
visibility about their shipments via auto-alerts is an example of automation
done right. When you prioritize customers' convenience, you ensure long-term
business ties.
Optimize processes
To save costs,
logistics companies avoid investing in end-to-end logistics managementsolutions. The cost-saving decision adds a lot of manual work on the staff.
Manual processes take up additional time while increasing the risk of errors.
Logistics leaders understand that automation is the key to unlocking
productivity. When you use smart logistics systems like Logi-Sys that integrate
all functions on a single platform, your team's efficiency is boosted.
Optimized processes lead to streamlining of functions and provide a good return
on investment.
Learning from experience
You may follow all of the above-discussed best practices to gain useful insights for continual improvement. But a company truly grows when it can learn from faltering and rising again. Leading logistics service providers have been able to streamline functions and stay competitive with solutions like Logi-Sys. If you'd like to experience how Logi-Sys can help your business, schedule a demo today.
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