A lean business has optimised processes, such as sourcing, accounting,
manufacturing, and freight forwarding. A supply chain manager will
understand how to efficiently use these processes, and many choose to
use a freight forwarder in Australia to provide valuable assistance.
They can use cost reduction programs to add extra value that they can
pass on to their clients. In this article, we will look at three ways
that a good freight forwarder can help you to run a lean business.
1. Eliminating Extra Costs and Overheads
Analysing the costs of your supply chain is simple. If you notice that
your products costs are comparatively higher despite low manufacturing
costs your current freight handler is not operating effectively. Extra
costs and overheads, such as custom penalties, losses due to damage in
transit, bunker surcharges, demurrage, detention and port congestion
charges, can all have a devastating effect on your budget. The extra
costs incurred will increase the landed cost of your products, this will
have an impact on your profit margin, and it could make your goods less
competitive. A great freight forwarder can eliminate these extra costs
and overheads that arise from poor management of processes and the
subsequent waste that inevitably follows.
2. Using Technology to Support Processes
A lean business will consume far fewer resources and generate greater
outcomes. Reducing glitches in your supply chain will help you to
achieve minimum cost and time outcomes and the best technology will
support the processes necessary to reach that goal. However, investing
in this technology may not be the best investment to deliver a sound
return for many supply chain managers. But, a freight handler has an
association with a large number of companies and investing in this
technology is necessary. They can use this technology to monitor,
improve and manage your supply chain processes to reduce errors and
eliminate waste. Ask you freight handler how the use technology, such as
cloud data management, RFIDs and Electronic Data Interchange, can be
used to improve the supply chain for lean business managers.
3. A Proactive Approach
It’s important to implement a proactive approach in you want to reduce
your delivery lead times. In any supply chain, the management of time is
vital and every minute expended will cost more money. A delay due to
incorrect documentation, unnecessary overtime cost to process a shipment
or trucks hanging around to load and unload, are all factors that will
have a negative impact on your delivery schedules. Costs will increase,
and you may experience a decrease in customer satisfaction due to missed
deadlines. A good freight handler will be able to achieve shorter time
frames to put you closer to your customer's demands. Adopting lean
business principles, increasing flexibility and reducing oversupply
waste will ensure that your turnaround time is optimised.
If
you’re looking for a professional and reliable freight forwarding
service, get in touch with AFI
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