This week we’ll shed some light on transportation spend management. Sounds like a boring topic but, understanding it and putting it to use is extremely beneficial to your bottom line. By controlling your transportation spend (costs) you can save money and provide better service to your customers.
It's all in the process
Important steps in the process. We are here to help.
- Talk numbers with the head of your shipping department. Knowing your total transportation costs will encourage you. to become more involved. Get a feel for the basics. Understand how and where money is being spent or misspent.
- Develop a plan. The key to getting the most from your carriers and shipping department is by carefully analyzing your current supply chain system. If you find yourself a little overwhelmed by this, this is where we may be able to help you. We will work with you to align your transportation goals with your overall management plan. You may decide to make some cuts or you may increase your spending to ensure customer satisfaction.
- Implementation. This is the hardest step because it never stops. Transportation and shipping logistics are not something that you can “set and forget.” You will constantly be making adjustments and implementing new ideas to improve your current system and build towards a better future.
Follow the steps above and you’ll be well on your way to controlling shipping costs for your company.
Over time, huge savings can be achieved while improving productivity and customer service levels. The steps outlined above can be applied to any company scaled to the shipping needs of that organization.
If you would like to learn more about transportation spend management, and how a 3PL company like Action Transport, Inc., can help you and your business, contact us, we would love to help you better understand how important shipping and freight logistics is to your operations and your bottom line!