With the threat of continuous supply chain disruption, there is a clear need for optimization and managed services. The value of top-quality shipping execution, whether leveraging a 3PL’s brokerage services or choosing to outsource the full transportation management process, is best seen among full-service logistics providers. The value of transportation optimization is rapidly expanding. And shippers need to know more about it.
What Do Transportation Optimization and Managed Transportation Mean
Transportation optimization relies on the use of data to identify areas of waste and enable continuous improvement. It’s an ongoing process that may range from shipment planning through dedicated account management, depending on the needs of your business.
Shippers Are Turning to Managed Services to Reduce Risk
Managed services also give rise to improved risk management and supply chain resiliency, a topic everyone knows all too well over the past year’s events. Managed service providers help shippers with inventory tracking, granular data insights, procurement, cybersecurity and the disruptions yet to come.
When Is It Time to Switch to Managed Logistics Services
Part of the challenge is recognizing when the typical supply chain falls short. If you’re experiencing excess or unexpected freight spend, limited visibility, unnecessary manual processes, capacity challenges and more, it’s time to consider managed logistics services.
What to Look for When Vetting Transportation Management Services
After deciding it’s time for a switch, shippers need to know what characteristics to look for in a top-quality provider. The most common include:
- Acting as a trusted advisor to your business
- Logistics advice and consulting
- Carrier procurement and management
- Data-driven decision making
- Automated capabilities
- Use of both technology and people
Transportation-as-a-Service Is the New Trend in Managed Services
Everything we just covered adds up to the value of managed service, delivering transportation-as-a-service. This is a cloud-based approach that leverages 3PL value with the focus of a 4PL to realize leading benefits in the market:
The world of transportation is no longer linear, and supply chain strategy is evolving. That’s why more companies are turning to experts that have the right technology and capabilities to handle the increased demands of e-commerce and uncertainty of disruption. Has your organization considered managed services?
To learn more about Transportation as a service, transportation optimization and managed services, Download Transportation Optimization: Its Strategic Role in Transportation Management
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