Inbound freight management is multifaceted. A large manufacturer could have hundreds of suppliers, and a national retailer can expect business partners to deliver shipments to thousands of facilities.
42% of shippers refer to controlling costs as the greatest challenge with inbound freight management.
Transportation rates are rising; shippers report higher base rates, additional accessorial charges and higher premiums on expedited shipping. Businesses are scrambling to control costs and find logistics solutions that effectively manage these expenses.
Managing inbound freight means warranting an efficient and cost-effective movement of raw materials and goods coming into a facility. The Aberdeen Group estimates that 40% of the average organization’s annual freight budget is spent on this process.
“Cost is what everyone goes after, and improving inbound freight management yields a significant opportunity to reduce costs. Companies also see service improvement,” says Robert Murray, REM Associates.
Best practices to cut costs and improve processes:
An efficient inbound freight process benefits all parties. Reduced costs, administrative competence and better inventory management are 3 of the key benefits to managing complex inbound freight processes.
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Need help improving your inbound process? Click here to contact an inbound freight management specialist at PLS Logistics Services.