- Get the correct transportation management technology
If you want to make your logistics better, find a transport management system (TMS) that meets your needs, ensures visibility- and savings. TMS can help you monitor your shipments, the performance of the carrier, and optimize routing. The most important thing about TMS is that it provides end-to-end visibility. TMS minimizes the overall transportation cost by over 30%. While this can be the case, it must meet specific needs. For instance, it must address issues in areas such as contracts, visibility, shipping trends, accounting tasks, and customer notification. With such a technology, your supply chain will become more fluid.
- Have a contingency plan
Regardless of how you think your supply chain is foolproof, you must always prepare for a possible eventuality. A good logistics manager who knows their job must prepare for disasters and accidents from fires, floods, pandemics to political problems that can affect the movement of goods. It would be best if you had contingencies for each element of your logistics plan. Know when to change your plan and when to stick to it.
The secret to efficiency and reduction of operational costs is automation. In addition to helping manage transportation, automation can help you manage workflow and things such as incoming goods, repackaging, customer care, and dispatch processing. In addition to reducing workforce costs, automation can also improve inventory and order accuracy.
- Develop a vendor compliance program
Efficiency in managing your vendors can make a significant difference. A vendor compliance program will make your supply chain fluid and allow you to set expectations for your vendors. Additionally, you can track their performance and ensure they meet the goals you have set. Generally, a vendor compliance program has other advantages, such as improving vendor performance, reducing costs, and improving customer service.
- Build alliances with key suppliers
Once you have established a vendor compliance program, you can use it as a launchpad to improve relationships with key suppliers. Building strong alliances with the key vendors will make them loyal to your company, allow you to bring problems to the forefront for a collective solution, find opportunities for mutual growth, and find pain points that you can improve together. The right relationships with suppliers can lead to loyalty, retention, and effective service delivery.
- Keep up on industry trends
The logistics industry keeps changing, and so should your processes. Therefore, look at your internal processes and find opportunities for improvement. You can only know where you need to do better by looking at what others are doing. Looking beyond your company provides you with the inspiration you need to make a positive change. Identify the trends that are helpful by benchmarking, following industry trends, and networking.