Gaps in the supply chain can create costly, inefficient
bottlenecks. In this QAD Precision Report, we share why cloud
logistics software is the bridge to upgrading your global shipping
operations amid disruption.
One word comes to mind for the current landscape of global shipping
and logistics operations: disruption. With a record
number of ships floating off the coast of US ports; a post-Brexit,
post-COVID UK causing fuel, labor and supply chain shortages;
and a manufacturing shortage of raw
materials due to pent-up demand, it’s no secret the global trade
and transportation network is in uncharted territory.
Nearly all major industries continue
to report fragile logistics operations due to the aftershocks of
COVID-19, while central
bank executives in the US and UK warn it could get worse before
it gets better. Even before the pandemic, however, it would be
difficult to find a company that could claim to have no gaps in their
shipping processes, but now those gaps appear to be widening.
At the same time, consumer demand is still at an all-time high.
E-commerce and online storefronts have set a new standard, promising
one- to two-day delivery, coupled with free or reduced shipping costs.
This has pushed carriers to their limits.
To cross this gap, parcel shippers should strongly consider
cloud-managed logistics software. Shipping operations powered by the
cloud have proven to increase flexibility, boost efficiency and
mitigate inevitable disruptions.
Possibly the greatest advantage to cloud-based logistics software is
With the cloud, chief logistics officers, shipping managers, and key
personnel can use the same critical data to ensure cohesive and
dependable operations. This data can also be accessed by any team
member — in a secure database — to allow users to respond quickly and
keep business on track no matter what the future brings.
Role-based administration can define what data is available to which
team members as required. For example, information about packages
in-transit can be shared across logistics staff and your customer
support teams, no matter where they are based.
You can add even greater flexibility if your cloud-based logistics
solution offers access to a multi
carrier network. This allows your business to select the lowest
possible rate while still hitting critical deadlines.
Automated decision-making simplifies this process even more. Parcels
will be automatically routed to the most appropriate carrier depending
on your business rules, or the characteristics of the parcel. This
eases economic pressures and is much less time-consuming — saving
shippers valuable time and capital.
A cloud-based multi carrier solution also makes it easier to rapidly
respond to market changes — such as serving customers in new
geographies or getting a new distribution center up and running.
Time is money, particularly when it comes to shipping. The faster a
package can be properly labeled and processed for shipment, the more
parcels can be sent per day. This directly equates to more revenue per
package, especially as shipping volumes grow.
It takes on average 2 to 5 seconds for most parcel shipping solutions
to generate a carrier compliant shipping label. On the surface, this
seems pretty quick, but in a high volume shipping environment, this
time lag can become a significant problem. If you process 1,000
parcels a day and it takes 4 seconds per label, you’ll need around 66
minutes to generate that day’s labels. But if you were processing
10,000 parcels a day, 4 seconds per label equates to over 11 hours.
Using a cloud-based shipping solution, it is possible to generate
labels in under a second. By slashing label generation time and
increasing throughput, cloud parcel shipping solutions prevent
bottlenecks, while drastically increasing the efficiency and speed of
operations for high volume shippers.
While cloud solutions can drastically improve operations, the truth
is that no service or software can solve all problems overnight,
particularly for parcel shippers. However, supply chain disruptions
will always exist, and cloud-based logistics platforms will help
prepare them for the next big challenge. These solutions provide
shippers with the tools they need to quickly address bottlenecks,
accurately send packages to their customers, and effectively react to
disruptions in real-time.
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BENEFITS OF MOVING GLOBAL TRADE AND TRANSPORTATION OPERATIONS TO THE CLOUD
BENEFITS OF MULTI CARRIER SHIPPING SOFTWARE
CONSOLIDATED SHIPMENTS (Infographic)