Reducing Costs in Freight Transportation and Logistics While Improving Customer Service Quality

The process of managing stock, warehouse inventory, and freight transportation is at the heart of logistics. Logistics is the management and coordination of moving inventory from it's origination to its ultimate destination. The goal of a logistics team is to find a way to do this process in the most streamlined, cost efficient method possible.

When a product is ready for use, the clock starts to count down how long it will take to complete the cycle from completing the manufacturing of a product to the consumption of that product. The longer it takes to get the item into the hands of the consumer, the more money a company loses. So how does one streamline this process? By implementing a logistics plan of action, a company can do just that. Larger manufacturers will hire a logistics team that is responsible for the routing of goods from the company, to the freight transportation company, and finally to the end client. They will have a database system to track all inventory. They will monitor inventory levels to make sure that a backlog of supply occurs. The cost associated with storing inventory in a warehouse is often much greater than the expense of shipping products. For this reason, it is very important to carefully control how much stock is stored.

Another responsibility of logistics is to find the most cost-effective means of transportation. Obtaining freight rate quotes and striving to keep these rates as low as possible is a key factor to a successful logistics operation. When the trucking industry was deregulated, it sparked a new wave of competition and lower costs. This combined with improved technology to track and communicate shipments; freight transportation management became a little easier. Being able to follow and trace the cargo more efficiently has reduced the communication errors from supply chain to the wholesalers and retailers.

An additional responsibility of transportation and logistic specialist is to account for accurate transportation times. It is vital for companies to be able to rely and trust that their shipments will arrive in a timely manner. Being well organized accounts for much of this success, but the ability to transport the shipments quickly is also important. Because the country's infrastructure has improved with better maintained highways and interstates, transportation times have decreased. Freight transportation is more reliable now because companies can more accurately predict when a shipment will arrive. Some trucking companies will even guarantee the precise day and hour that a delivery will be made. This is very important because customer satisfaction is often based around on-time deliveries and accurate accounting of merchandise. This has also helped to reduce the cost of shipping freight, since trucking companies now have reliable, more direct routes to utilize. It indirectly affects cost because better roads create less wear and tear on shipping vehicles.

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If a logistic team only concentrates on reducing freight cost, they could potentially lower customer service quality. Therefore, the goal of a logistics manager, or third party administrator, is to find a balance between cost and customer satisfaction. They must also be able to provide accurate tracking information, correctly estimate shipping cost, and be able to calculate delivery dates and times. By being organized, keeping cost low for the clients, and by making on time deliveries, freight management can help control the overall customer satisfaction of their clients.

The Secret Behind the Pfaff Embroidery Machine

It is comforting to hear that a brand existed for a long period of time now. The Pfaff has proved itself and is still proving its consistency in providing familiarity, security and reliable quality. This brand goes with change and endeavor to bring products that the costumers' want. The Pfaff embroidery machine product line is without a doubt one of the best product collections in the world of sewing machineries. But, what makes them click?

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Responds to People's Need

Unlike any other brands, this brand once again proved to hobbyists that they are revolutionary. Due to the customer's demand, its product changes as technology improves. With over 150 years of experience, this company develops and manufactures products that only satisfy costumer satisfaction. It brings out your creativity and fantasy through your design project. As a pro-consumer company, it prioritizes safety, convenient and comfort all in one equipment.

Offers Unlimited Creative Possibilities

Most of the quality sewing machinery come from this highly recognized brand. And one of the most expensive models in the market today is its Creative 2170. However, its quality features always outweigh its cost. In the end, the consumers are still liking and recommending it despite the high cost of the model. Being a user friendly machine, you can easily release your creativity. The limit of the possibilities is endless!

Superior Performance with Easy to Use Feature

In the past, embroidered designs are traced and redrawn, relatively time consuming and energy wasting. With these modern machinery, you do not need to go back to the old days of designing, redrawing, and sewing. The simplicity is so staggering that it takes every moment of your embroidering experience into the next level. The products performance is superb and their precision and speed are of top notch. The bottom line is you get both quality and quantity.

Transportation & Logistics - 7 Benefits of a 3PL Vs Traditional Freight Carriers

The day and age of Freight Shipping has seen a drastic change over the last 15 years. There was once a time wherein a Traditional Freight Carrier would dominate the Heavyweight shipping market with it's large fleet of vehicles, brand name recognition, and it's so-called ability to service their customers total shipping needs.

Much like the deregulation of the Telecommunication Industry in 1996, when smaller companies were finally allowed to take part in the booming market of telecommunications, the freight industry witnessed a resurgence, wherein smaller Regional carriers began to understand that there was a market for them. By specializing in smaller sections of their local areas, these companies began to develop a niche. The larger carriers had a choice to make, whether or not they wanted to compete, or concede these lanes, and they elected the ladder. Although the Freight Industry didn't have any "mandates" on customers having to use certain carriers, the big guys seemed to corner the market on virtually all heavyweight shipping needs, mainly because of their size and notoriety.

Fast forward to 2010, and yet another entity has developed, and taken the Transportation Industry by storm. The concept of Third Party Logistics has swept through the shipping industry and transformed the way companies do business.

3PL's came along and decided, to not just focus on a customers small parcel business, or heavyweight freight business, but to take a look at their entire supply chain. So they came up with the idea of going to the small parcel industry, the large traditional carriers, the regional carriers, and the freight forwarding community to negotiate rates, to go out and offer ALL services to a client base. To say the idea worked would be an understatement, the 3PL market today is in the area of $110 billion dollars.

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Below are the top 7 features and benefits of using a Third Party Logistics company over a Traditional Carrier:

1) Flexibility- Having the ability to choose from multiple carriers who specialize in certain regions of the USA, benefit customers in that in many cases, the traditional carrier may not have a solid distribution process to a certain destination, thus being able to pick from multiple resources, allows the customer to plan more strategically to enhance their Supply Chain. TC"s are very predictable, long haul or short haul shipping, is what they do.

2) Improved Transit Times- The ability to better one's transit times means the faster they get their product to market, thus speeding up the time they are paid from their customers. Or the faster they can bring materials to their facility for production, the faster they can get their product out to market. Just in Time Management, also begins to play a part in a Supply Chain, which leads to customers being able to keep less inventory, and build on demand for better efficiency. TC's can have great transit times in some areas, but be slow in other areas-typically they give you very little options to improve the transit time.

3) One Stop Shopping- The idea of being able to go to a single source and having all the resources that is needed is huge. The Y2K age has brought about the need for speed. Shippers are constantly searching for more efficient ways to get their job done. Better technology, more resources, shorter lead times are a few of the reasons that shippers have turned to 3PL's. The ability to go to an online site, have competitive rates in place from a myriad of carriers, and be able to track and trace those shipments, have taken the place of the 800 lb. shipping gorilla. As mentioned already TC's are very vanilla, and you get what you get.

4) Versatility- 3PL's allow for small, to medium size companies, the ability to align resources with business objectives. By using a 3PL, the small guys can make themselves seem larger in the market place. TC's align themselves with the larger Fortune 500 companies, and service the smaller companies as a means to an end.

5) Total Supply Chain Management- A company has the ability to control costs and efficiency throughout their whole supply chain with a 3PL. A traditional carrier allows specific lane costs cutting, but doesn't look at the customer's Supply Chain as a whole.

6) Convenience- The ability to deal with 1 company for multiple services far outweighs having to deal with multiple companies for single service.Also, your accounting department will love you. as using multiple TC's can cause much confusion in the accounting department.

7) Partners- If you can find a 3PL that is looking out for your best interest, they can become a partner of sorts. A good 3PL will be constantly looking out for their customers best interest, throughout the life of the relationship. They have no biases toward any one carrier or methods that you are used to get the job done. Traditional Carriers are heavily biased and will only help you, as long as you are doing business with them.