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volume shipping

The Definition of Transparency

As companies mature and the market changes, our understanding of crucial operating components of any industry has also grown. Supply chain transparency, in particular, has come a long way over the past twenty years. Transparency within the supply chain has gone from an unrecognized concept to a focus item for the C-Suite across a vast number of companies and industries. Given the current state of the market, it’s no small surprise either.

So in order to begin understanding transparency in the supply chain, we first need to define it.

Many, if not all, companies are facing increasing pressure from governments, consumers, non-profit / activist groups, and stakeholders to provide more information about their supply chain. Failure to do so could mean some serious damage to the company’s reputation. Slave or forced labor conditions, health and safety violations, animal exploitation, and child labor are all becoming hot button topics of the growing consumer conscience. While the reasons for explaining a higher need for transparency are clear, what is less clear is how to get there. Some companies are struggling to make a meaningful change to their operations to provide the much-needed levels of transparency.

As it is with most problems there is a lack of a clear and concise definition, according to an MIT study which conducted a survey of the apparel industry only to find wildly different results. So in order to begin understanding transparency in the supply chain, we first need to define it.

Understanding the Need Transparency

At its core, supply chain transparency is understanding what’s happening within the supply chain and being able to communicate that knowledge both within and outside the organization.

As we mentioned earlier, there is an increase in customer demand for insight into the supply chain, but it’s not without benefit. The researchers at the MIT Sloan School of Management found that consumers are willing to pay between 2 and 10 percent more for products produced by companies that have better supply chain visibility. The study showed that consumers place a higher value in a company that can prove the ethical treatment of their workers. What’s more is that this growing consumer base is seeking more information about product ingredients and materials, where the product is coming from, and the conditions in which it was produced.

As the demand for visibility continues to increase, so too will the potential fallout for companies that fail to provide it.

As the demand for visibility continues to increase, so too will the potential fallout for companies that fail to provide it. Over the last decade, there have been a number of scandals that have had a significant detrimental impact on company image and reputation. Slave labor in the Thai seafood industry and deforestation in Malaysia and Indonesia are ample examples of this.

The backlash created from these scandals has forced the creation of new transparency laws around the world. Australia the UK have created new regulations to combat forced labor. The state of California has also created supply chain transparency laws (California Transparency in Supply Chains Act.) The U.S. Food Safety Modernization Act is targeting food safety and ingredient fraud. There are also further regulations to come from the Netherlands and Switzerland, with other countries to follow suit.

What this means for companies is that a lack of supply chain transparency can stop operations dead in their tracks.

What this means for companies is that a lack of supply chain transparency can stop operations dead in their tracks. Something as simple as missing origin documents could cause a shipment to be either held up or even turned away at ports which can result in a costly delay throughout the entire supply chain.

So Why Aren’t All Companies on Board?

You would think that with the new levels of consumer consciousness and the growing global regulations that all companies would be scrambling to build transparency into their supply chains. Yet, there are many companies that are either slow to act or not act at all.

One reason for the delay is that the supply chain itself was never designed to allow for transparency. Manufacturers and suppliers alike fear to expose their sources as they might lose the edge against their competition. Another explanation for being slow to act is inaccurate data coming from upstream, assuming there is data to be had at all. Lastly, there’s also considerable concern about the ROI for investing in supply chain transparency.

Despite the challenges, there are plenty of reasons to get on board with supply chain transparency.

The Benefits of Supply Chain Transparency

The returns gained from efforts made on improving supply chain transparency will vary by business model and industry but overall there are a number of benefits that are applicable to most companies.

One of the most straightforward benefits is that increased transparency means keeping in compliance with the new regulations that are being enforced. Operational risks drop as a result as companies no longer have to worry about being able to get freight through customs.

There are also considerable benefits to a company image that come with higher levels of visibility. Consumer conscience is a huge market factor right now. Customers are happy knowing that their products are made with care and concern towards the environment and the people working to make their products. As a result, they’re willing to pay more, which can help offset potential higher supply chain costs. Additionally, consumer trust and satisfaction also rise, which creates stronger brand loyalty and a larger customer base.

Better visibility means better, more actionable data, which in turn can help drive a company’s growth and profitability.

Of course, there are also operational benefits to be had by utilizing a highly visible supply chain. Better visibility means better, more actionable data, which in turn can help drive a company’s growth and profitability. That data also highlights areas of improvement, meaning a company can run leaner, cleaner, and a whole lot greener.

This isn’t a trend in the sense that we’ll see it fall out of fashion any time soon. Supply chain transparency is becoming an industry standard and will continue to flourish. If your company isn’t working towards transparency, it might be time to get started. For more information on how BlueGrace can help give you the visibility you need to gain efficiency, feel free to contact us at 800.MY.SHIPPING or fill out the form below:

What is Volume LTL Shipping?

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Businesses who ship product and carriers looking to maximize business revenue have come to embrace Volume LTL shipping.

The simplest explanation is volume LTL provides many of the benefits of truck load (TL) or partial TL with the cost savings associated with less than truckload (LTL). It’s a win-win for everyone.

 It’s a win-win for everyone.

A Quick Definition: A shipment greater than 5,000 lbs, 6 pallets or more and taking up 12 to 32 linear feet of trailer space qualifies as Volume LTL. Although sometimes referred to as partial truckload, volume LTL has distinct size requirements and does need product crated or on pallets, not a requirement for partial TL shipments. If the shipment will take up 20% or more of the trailer, volume LTL may be the way to go.

Volume LTL has distinct size requirements and does need product crated or on pallets

Why Customers Like It?

With Volume LTL, a business only pays the going rate for the space the freight uses and the total weight of the shipment along the shipping lane. This generally results in a lower cost to ship. Plus, shipments get out the door faster, usually same day and there’s a lot less risk of damage for freight. (Freight goes from dock to dock much like partial or full TL, not getting off-loaded at different terminals like standard LTL shipments.)

A business only pays the going rate for the space the freight uses and the total weight of the shipment

Why Shippers Like it?

Shipping companies get more business, more quickly. The daily demand for volume shipping continues to grow as companies look to reduce shipping costs by shipping greater volumes. Shippers do not need to turn down requests for those not-quite-partial TLs. Plus, volume LTL increases the loads on all runs – no more driving empty trucks home, making every trip profitable.

The daily demand for volume shipping continues to grow

Does Volume LTL Replace standard LTL Freight?

Not at all. Volume LTL makes sense for a lot of companies who need to ship products; and for many asset-based carriers looking to expand their business. Standard LTL freight offered by common carriers will continue to meet the needs of businesses in terms of costs, shipment size (5 pallets and smaller) and speed of getting product out the door each and every day.

Volume LTL makes sense for a lot of companies who need to ship products

A Real Win-Win!

Volume LTL allows companies to quickly ship larger volumes of product at lower costs. Win!
It allows shipping companies, especially asset-based carriers, to increase the profitability of every run; plus, it expands market exposure for greater revenues. Win! And both groups benefit from faster agreements (Click. Book. Ship.) and quicker pickups.

This means companies get their product delivered more quickly and shipping companies keep the revenue flowing!

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Volume Quotes: Improving processes and turn around times

2013 is a much anticipated year of tremendous process improvements which include getting our customers the information they need faster, more efficiently and with more accuracy. With that said, our customers can now take advantage of our new volume quoting process. You no longer have to wait for a volume quote when booking your shipments. Our new processes allows anyone to get a volume quote with the same speed as an LTL Quote! No more waiting 30-45 minutes, hoping that your customers expectations have ceased on your behalf to deliver. Our new process increases our response time and we are proud to say we can over-deliver volume quoting shipping needs with the same expectations of a standard LTL shipment! Click here for details on differentiating standard LTL shipping with Volume Shipping. 

Time is of the essence and we get that better than anyone else in the business. With our new volume quoting density calculator, combined with the power of the TMS Rate Shop we can provide you with pricing in less than 2 minutes!  The new calculator takes in consideration one very important factor: CUBIC CAPACITY

We’re providing our customers with a quick estimate, reducing turnaround time significantly and giving them more options with more carriers. They will be able to acquire more customers with this new process because the time for them to shop will be reduced significantly and will see that less people will need to be involved with overall operations. Everyone understands that price is a determining factor in sales processes across all industries, but we give our customers an opportunity to sell on value.

To take advantage of our new process there are several things you can do. For more information or to get a quote over the phone call 800.MY.SHIPPING, or send an email to [email protected] You can also ask to request a BlueShip TMS account . When calling to get a quote make sure you have the weight, dimensions and piece count of your shipment(s) available in addition to your pickup and delivery destinations.

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