Efficient transportation management ensures on-time deliveries. In addition, it eliminates errors associated with moving goods while improving customer satisfaction. Unexpected challenges are not obstacles because the company will have strategies in place to overcome them. The entire operation runs smoothly when shippers efficiently manage their transportation.
However, some organizations struggle in this area. They recognize the importance of managed logistics but still cannot seem to reach the highest level of efficiency. The following tips are helpful in achieving this goal.
Transparency Throughout the Shipping Process
Consumers want to follow their purchases throughout the fulfillment process. The right transportation management software allows them to do so. They see where their order is at any time and when it should be delivered. However, they aren’t the only ones who benefit from this transparency.
When a customer service representative sees a delivery will be delayed, they can proactively alert the customer. Sharing information about the reason for the delay and the new anticipated delivery day goes a long way toward appeasing a customer who is eagerly waiting for an item they purchased. This transparency leads to an increase in customer satisfaction scores while minimizing customer churn. The consumer knows the company is looking out for their best interests.
Automated Transportation Management
The easiest way to streamline transport management is through automation. This program allows the operator to see which trucks are in operation, the location of each one, and more. In addition, the program can assign drivers and track them as they go about their duties. The application will record and arrange trips while tracking fuel usage. The company can track the cargo based on the established delivery schedule and gather real-time analytical data. This data becomes of help in further streamlining operations.
A company must ensure staff members are properly trained, as everyone must work together for enhanced transportation management. Each employee needs to be familiar with the company’s standard operating procedures, what their responsibilities are, and how to use the tools and resources provided by the employer as they go about their daily tasks.
Companies must prioritize orders by their importance to ensure an efficient transportation management process. High-priority deliveries need to be handled first to ensure customer satisfaction. How might a company prioritize the order?
First-in, first-out is one way to handle order fulfillment. Orders are fulfilled based on when they come into the warehouse, which helps the company to avoid valueless inventory. However, some companies choose to use customer importance when determining which orders should be handled first. Customers are placed into one of three groups: high priority, medium priority, and low priority. Orders are then prioritized accordingly.
Shortest processing time is another way to prioritize orders. Orders that call for the least processing time are handled first. On the other hand, some companies choose to use the minimum slack time method of prioritizing orders. Products that take the least time to process from their due dates are handled first. Regardless of which method is selected, orders with the earliest due dates need to be handled promptly to ensure customer satisfaction.
When choosing a transportation provider, a company must consider the capacity and availability of the shipper, its historical data, and how it secures cargo. A business owner may feel overwhelmed when making this critical decision. However, it must be done. Efficient transportation management remains key to customer satisfaction and enhancing business operations, so this is one area that can never be overlooked.