The supply chain and transportation industries face unprecedented times. A lot has changed and will continue to change for years to come. Product shortages abound, causing shipment delays. Manufacturing and production are still at a fraction of capacity. Changing customer demands make everything more challenging. Supply chains will survive the current crisis, but only if they embrace data-driven transportation management practices. And it must be done sooner rather than later. According to a report from IoT World Today, “If we’re going to be able to prepare for these types of events in future, we have to identify appropriate sources of information that we should focus on all the time — not just when crisis manifests.” To that end, shippers and supply chain managers need to know a few things about leveraging collaborative processes in logistics.
The Costs of Not Using Data-Driven Transportation Management
Companies are increasingly beginning to recognize that a streamlined manufacturing approach works only when supply chain participants and team members have full end-to-end visibility. Today, most manufacturers and shipping managers lack that awareness. They don’t know how things are going once a product leaves on the truck or have limited opportunities to check in to see how things are progressing. There is increasing pressure on manufacturers to digitize and get their data streams and towers in order. To reduce costs and shipping delays and to optimize inventory, manufacturers must embrace data-driven transportation management sooner rather than later.
The need for a digital, automated, and data-driven approach to managing transportation and shipping logistics is more apparent than ever before. According to MHL News: “a recent survey by Clear Peak Supply Chain Advisory Council [showed] 81% of survey respondents view their supply chain as a strategic asset… Nearly three quarters (74%) indicated their organizations lack a strategic plan for end-to-end management of the supply chain, 57% pointed to significant budget constraints, and 43% cited “inaccurate data or lack of access to data” as areas of concern. The need is apparent, and the desire is there. Unfortunately, it is implementing data-driven transportation management practices that often escape management and is the most challenging aspect.
Data-Driven Logistics Creates New Ways to Maximize Efficiency
Modern supply chains are incredibly multifaceted, regularly involving investors from within inter-connected networks covering vast power tiers and broadly separated geographies. Monitoring the transactions and the movement of assets or goods across organizations, detecting products’ conditions, and ensuring timely delivery is a challenge every transportation management team faces. Using data-driven transportation management systems makes it easier to maintain efficiency with communication, updates, tracking, data analysis, problem-solving, and more.
By embracing data-driven transportation management practices, supply chains can enjoy improved efficiency in several key areas, including
- Logistically, frontline worker performance can see a great deal of improvement with a more streamlined and automated process from start to finish.
- There will be fewer missed pickups and fewer delays since communication and up-to-the-minute updates will be available to everyone.
- There will be increased availability and output with the dock scheduling as delays are reduced, and the maximum number of loads can be scheduled.
- It will be easier to improve and maintain customer satisfaction as information will always be available to them, and issues can be quickly addressed and fixed.
Best Practices to Leverage Data-Driven Transportation Management
Some retailers and suppliers are struggling to keep up with the changing demands of the world today. With data-driven transportation management, it is easier to leverage the power of automation to the direct benefit of your brand and your customers. A few practical ways to improve overall performance through optimization within the supply chain include:
- Create transparency between systems with end-to-end visibility and communication.
- Reduce delays and hold-ups within supply chain networks by using dynamic control tower methods.
- Lower miscommunication issues with clear visibility and alerts for all involved members.
- Gain better control over the flow of product with automated tracking and reporting.
- Focus from start to finish on all goals, and keep all team members connected through every step.
- Ensure platforms and mechanics are backed with a healthy IoT system for maximum results.
Build a Stronger Competitive Advantage With a Single Pane of Glass Platform for Collaborative Logistics
The best-laid supply chain plans will fail without clear, concise communications and a cohesive view of operations. And with data-driven transportation management, it is possible to build a more substantial competitive advantage, even in these trying times. Visit Turvo online to get started.