Shipping Logistics Strategies And The Supply Chain

In the shipping and transport business, you rely on your supply chain to get your product from the idea stage all the way to the customer

. There are a number of logistical strategies involved in handling the different aspects of your supply chain. Depending on the size of your business, you may have an in-house logistics manager or you may opt for a third-party logistics company to handle the process for you. With either strategy, all aspects of your supply chain need to flow smoothly together.

Warehousing

Once your product has been manufactured, you may need a place to store it until it is shipped. You may also need to store it on the shipping end until the customer is ready to use it. Part of your logistics strategy must include the need for warehousing.

Containers

Your logistics strategy should include whether you own or lease the containers in which you crate your cargo. The problem with purchasing containers is that you will need the empty containers returned to you so you can ship another load. Leased containers usually only need to go one way, and some other company will lease the containers once your delivery has been completed.

Manpower

Packing, loading, and storing all take manpower, and this must be figured into your strategy. Third-party logistics companies usually coordinate the necessary manpower for you, but if you are handling logistics yourself, this is not an area that can be forgotten. You may also need heavy equipment to handle heavy loads for loading and unloading.

Shipping

When you have a product ready to be shipped, you need a strategy to get it where it needs to go. You may work with a local freight company to get the cargo to a terminal where it will then transfer to an international company that will put it on a boat, or you may only need it transported across town. If you are working with a logistics company, they can price out the options and select the one that gives you a reasonable delivery timeline with a minimum of cost. This can include FTL and LTL loads and freight forwarding or consolidation services.

Electronic Services

A big part of the logistics strategy used in the shipping and transport business involves electronic services. Barcodes for tracking, emails, electronic receipts and forms can all save time and money and can improve communication. In order to compete in today's world, your strategy must include electronic communications.

by: John V

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