How to Improve Transportation in Your Supply Chain
Is transportation the weakest link in your supply chain?
Countries are working on drone delivery to change logistics and add a new facet to the transportation industry. But we’re not there yet. We still have fuel costs, volume density, and other requirements to worry about on trucks, planes, ships, and trains. Depending on your situation, you may need customized solutions, additional funding, or better technology.
Since 2014, most supply chain managers have been working towards strengthening the methods of transportation we use every day with the goal of refining operations and improving their bottom line.
Looking for ideas on how to improve your transportation methods? Orca is here for you!
Invest in Infrastructure
Canada’s Trade and Transportation Corridors Initiative (TTCI) declared in 2016 that they would be investing in trade and transportation projects over the course of the next 11 years.
Why is this important?
Companies rely on a solid infrastructure to remain in touch with:
- the population growth
- market demands
- geographic and climate challenges
- technological advancements
Think of an infrastructure as a starting point. Without knowing the aforementioned aspects, companies won’t know the size or type of consumer that is attracted to their business. Companies will not provide the right products and services to their clients nor will they be able to adapt their business in advance to changing weather and geographic conditions. Most importantly, companies will be stuck in the past with obsolete equipment, wrong or insufficient data, and never expand.
If you don’t have a good starting point for your business, it will go nowhere fast.
With the help of the TTCI, Canadian businesses will have an easier time moving products throughout the country and have the chance to expand their fleet capabilities. Tire manufacturers and businesses that provide replacements parts and repair services will prosper as a result.
Practice Lateral Thinking
In some cases, businesses require extraordinary solutions that stretch the brain to think outside of convention. Such was the case for the popsicle company located in Alabama, Frios Gourmet Pops. It was founded by Andy Harp who operated out of his garage, making the popsicles using organic ingredients while selling them out of a cart in his neighbourhood. From there, his business took off, but he had a problem: how to ship his cold merchandise across longer distances without the popsicles melting.
Harp faced several transportation problems:
- He started with small package carriers, but this was costly.
- He wrapped his popsicles in dry ice, which protected his stock for only 72 hours. This time limit meant his company couldn’t send merchandise to any place that had a travel time longer than 72 hours. This also prevented him from expanding his business.
- Harp was using parcel shipping to send orders out, which cost the company a substantial amount of money. Sometimes, their coolers weren’t returned and they had a difficult time disposing of packing materials.
- Harp was receiving so many orders that he was going to need a larger work area, as well as a better and larger way to ship his merchandise.
While Harp was scratching his head about his company’s problems, another company called Cold Box was founded and made an impact on the shipping industry. They offered temperature-controlled boxes that size of a pallet. It was the economical and unique solution Harp was looking for and he partnered with them to reach a wider customer base.
Start Using Better Technology Support Systems
Orca Intelligence strives to help Canadian and U.S. businesses prosper with efficient data collection and software programs. We specialize in implementing TruckMate® and Tableau® so you have a customized user interface, real-time information, mobile access to analytics, and much more! Call now at 1-844-GET-ORCA, or email us at email@example.com.