Lack of in-depth knowledge and experienced assistance in the logistics process causes inefficiencies in your business's trade operations. The joint work of shippers and freight forwarders is aimed at successful transportation on time, safely, and cost-effectively. So which aspects of the supply chain should you pay attention to in order to ensure this? And what are the mistakes to avoid when preparing logistics operations? Let's analyze the common failures of businesses when planning transportation and explore ways to overcome them.
Mistake #1: Miscalculating the shipping budget
Overcharging freight rates can be caused by many reasons, two of which are late planning of urgent shipments and a lack of opportunity to select from a variety of quote options.
In order to avoid such complications, SeaRates provides you with access to the web version of the Logistics Explorer tool, as well as the ability to integrate our freight calculator as a widget to your site or as an API.
With this solution, you can find, compare, and instantly book favorable freight rates for a variety of shipping destinations.
The online quotation tool is equipped with an instant payment module, which prevents you from missing out on the best rate. By booking on SeaRates, you have already received the possibility of shipping at the preferred tariff and a guarantee of cargo space on the vessel.
How does SeaRates provide you with freight rates?
We at SeaRates are part of DP World Group, which is one of the TOP-3 largest port terminals in the world, operating logistics operations across continents. This opportunity and SeaRates' long-standing database that includes a network of globally reliable carriers and 160+ shipping lines allow us to provide users with a choice of freight rates and ensure they are executed according to the agreements after booking.
Avoid unreliable logistics offers with a guarantee of efficient shipping.
Mistake #2: Difficulties in the nuances of packing and loading cargo
We all know that the improper loading of containers and cargo packaging causes damage to both containers and goods. As a result, your freight bill is significantly increased due to damage compensation, while your reputation goes down in the eyes of your customers and partners.
Moreover, labeling your shipment is mandatory, even if you do not use additional packaging. Learn more here about the option of skipping extra packaging. However, be aware that this is not an option for dangerous or fragile goods. If required, you can also use pallets to consolidate goods of any size inside the vehicle.
Moreover, how do you make sure that you have used all the space in the container or truck and not irrationally loaded your cargo, taking up more space with fewer goods than expected? This can be done in 3 steps, the first two of which are to enter the specifics of your cargo, if necessary, the palletization option, and select the type of transport for delivery in the Load Calculator tool. The third step is to get a 3D diagram with the loading cargo groups according to the specified dimensions.
Mistake #3: Insufficient uptake of IT tools for logistics
Especially for small businesses, at first they may neglect to invest in setting up daily logistics processes using IT solutions. However, the absence of logistics services will definitely not make your trade and logistics business more likely to grow rapidly. On the contrary, you're depriving yourself of opportunities for scaling and development by wasting resources on manual process management.
Let's consider the disadvantages of such management:
Inefficient warehouse management
For example, such warehousing services as receiving a vehicle with a customer's cargo at a warehouse terminal, customs clearance, delivery to a port terminal, and others cannot be performed in a timely manner due to a lack of data on the container's arrival at the port or terminal and the specifics of cargo shipments (quantity, cargo characteristics, etc.). Without optimizing it for planning shipments, you won't be able to replenish your stocks in time or avoid warehouse overload. Warehousing services are complex and mandatory and should be entrusted to or consulted with specialists for smooth execution.
Failure to operate smoothly
Your business may lack IT assistance in logistics and shipping processes, resulting in increased expenses, uncontrollable losses, slower speed of operations, insufficient control and visibility, and high-risk exposure. Advanced logistics services and IT tools for shipping solve these issues:
- you gain cost savings by optimizing logistics processes and reducing mistakes in cargo tracking and shipment fulfillment;
- by replacing manual management with automated control, you can guarantee timely cargo transportation for your customers;
- the logistics and transportation industry requires analysis and accurate data on tracking, and reporting current and future supply chain operations, all of which can be improved with IT tools for logistics;
- delays in shipping, receiving, or other warehouse and port services are minimized due to the transparency of the entire supply chain;
- your business becomes fully protected against information loss.
Increased operational mistakes
Examples:
- Failure to track cargo movement in real-time results in a lack of comprehensiveness and quality of service in customers’ eyes. To get detailed information on the container's current location, logistics events, real-time shipping data, ports, routes, and much more, just enter a number of container, bills of lading, or booking on the Searates Tracking System tool. You can also provide extensive data to your customers through a widget on your website or API integration of the tool.
- Poor route optimization is also a common problem. Such inefficient planning leads to increased fuel costs and an uncontrolled carbon footprint during shipping. The solution to these issues is the right selection of transportation routes and transit time through the easy-to-use functionality of the Distance & Time tool and the ability to develop your own CO2 emissions calculator based on the API of the tool, which you can explore here.
Conclusion
By adapting to logistics challenges and applying cutting-edge IT solutions, businesses will have tons of opportunities to streamline their activities. We at SeaRates are delighted to be a part of our customers' success by supporting them in increasing the geography of their services and the volume of their supplies. You are always welcome to contact our team to improve these processes.
Reach out to us at [email protected] for assistance in implementing logistics IT tools in your business to the greatest benefit.
