Inbound Logistics | September 2023

GOODQUESTION Readers Weigh In

What’s One Transportation Metric Shippers Should Pay More Attention To?

FIRST-PASS YIELD is the number of shipments that cycle through without further handling. If a shipment is rebooked/rescheduled, or the corresponding documentation must be revised/resent, it’s considered a defect. If your overall rolling throughput yield is low, a shipper will be challenged to leverage automation or enjoy handling costs from 3PLs. –Andrew McLoone Executive Director, PSA BDP RATE OF LAND CONSUMPTION. It is critically essential to sustainable operation because excessive land use for transportation infrastructure can lead to environmental degradation, habitat loss, and increased carbon emissions. –Giorgio Ferdinandi Head of Procurement, Linnea SA YOUR CARBON FOOTPRINT. Incorporate sustainability into carrier selection. Partner with providers who oˆer dashboards or applications that track emissions so you can identify and act on opportunities to reduce environmental impact. –Phil Sullivan VP, NA Enterprise Managed Services, Odyssey YOUR CUSTOMERS’ SATISFACTION with the carriers you are selecting. There can be assumptions the receiver/customer is happy, but if the carrier is not doing a good job on delivery (product condition, driver attitude, on-time, etc.) then you may lose that customer to another supplier. –Mitch Luciano CEO, Trailer Bridge

That’s So Yesterday

While traditional transportation performance metrics have a place in process improvement, relying on them alone is a bit like reading yesterday’s newspaper. Shippers today have an opportunity to leverage global positioning in predictive analytics, enabling more accurate estimated arrival times than ever before, and integrating comprehensive risk assessments of financial, social-political, and climate risks. –Tony Harris SVP & Chief Marketing & Solutions Ocer SAP Business Network

FUEL SURCHARGES. Prices are volatile and can fluctuate significantly, aˆecting shipping costs. By tracking fuel surcharges via getting quotes from carriers, monitoring prices, and negotiating with carriers on lower surcharges, shippers can save money on shipping costs. –Chella Palaniappan President, Client Services Trigent Software MISSED APPOINTMENTS. Shippers who drive more than 97% of all activity through a transportation management system can see scheduled load fulfillment rates of over 90%, implying missed appointments are less than 10%. This reduces labor, improves inventory accuracy, minimizes detention fees, reduces CO2 emissions, and improves retail on-time and purchase order fulfillment scores.

PERFECT ORDER RATIO measures the ability to deliver products and services as promised. It is the percentage of orders delivered on time, in full, undamaged, and defect free as a percentage of the total orders delivered. And I like to add: No billing errors from your carrier. –Nicole Glenn Founder & CEO, Candor Expedite, Inc. THE TIME IT TAKES TO EMPTY A CONTAINER at a warehouse. The ability to make sure containers are emptied in time results in less exposure to fees like per diem. –Toni Ann Careccio ON-TIME DELIVERY, ALWAYS. The entire goal of the supply chain is to create a delightful customer experience. –Michael Johnson CEO, Metrc Chief Customer Ocer & Board Member, PortPro

–Barak Bar-Cohen Founder and CEO, Sojo Industries

8 Inbound Logistics • September 2023

Powered by