In highly competitive markets, like today’s transportation and shipping environment, the need for shipment visibility remains a critical factor to supply chain stability. In-transit monitoring is a critical part of omnichannel shipping optimization, especially in tight capacity markets.
According to Coyote, spot rates are approximately 14% higher than March 2020 levels at the onset of the e-commerce explosion. Contract rates are 12% higher than March 2020 levels, too. The price hikes come as container backlogs mount. Other factors, including a higher-than-average peak season, are making the problem worse. Even if ample trucking capacity exists, a backlog at a port may lead to delays. Such delays become major disruptions if not considered at the time of planning a shipment.
What Does In-Transit Visibility Mean
Consumers have plenty of options when they need shipping services, so a single bad experience can lead to a lost customer. In-transit visibility means keeping track of shipments in real time, so you can update customers with status reports and actions that are being taken to address issues that may arise. This is why an omnimodal TMS is so essential to customer satisfaction within day-to-day transportation management.
Where Traditional Shipping Management Loses Visibility
- Limited touchpoints.
- Uncertainty about processes outdated by real-time status.
- Confusion about the next steps in the delivery and transportation process.
- Manual check calls.
- Human errors and introduced disruptions.
- Disparate systems failing to integrate.
- Poor collaboration between partners.
- Too many things to do and not enough time.
At the heart of supply chain visibility is empowerment for shipping managers and logistics directors.
Lack of visibility is a common obstacle for companies that rely on global supply chain resilience to succeed and grow. Most supply chain managers and directors acknowledge that they do not have full visibility of their supply chains. They recognize that it causes problems throughout their networks.
A recent survey review published by GlobalTranz found that 48% of supply chain executives have an overarching favorable view of operations going forward over the next three months. Approximately 69% believe the supply chain will be in better condition in six months, and 81% view a year from now as being better.
There is a vast array of supply chain issues that can drive cost and impact service when there is poor planning due to limited visibility.
How a TMS Enables In-Transit Visibility
To enable optimal shipment visibility and improve supply chain performance, transportation service providers must implement the following:
- Smart transportation instant alerts to notify appropriate team members of issues and disruptions as they occur.
- Automated tendering processes and dynamic rerouting systems that track packages in real-time.
- An approach to supply chain management that closely mirrors exception management practices.
- A singular supply chain control tower and tech stack that can be accessed and utilized by all team members.
- Data-driven insight into all modes and shipment methods at all times with in-transit tracking and monitoring.
- Careful monitoring and planning for anticipated reverse logistics, returns, and customer claims down the road.
- Predictive analytics to understand what’s happening and what needs to happen to achieve delivery that is on time and in full (OTIF).
- Tailored services and communication options that fit each customer’s unique wants and needs.
Gain Real-Time, In-Transit Visibility With the Right TMS
Without TMS platforms, supply chain managers cannot achieve this goal due to poor transparency and lack of shipment visibility. Improving in-transit visibility with accurate data and real-time data tracking and analysis is easy with the right TMS in place. Contact MercuryGate today for a demo to get started.