Transportation logistics risks are critical to understanding for shippers looking to optimize their supply chain management and stay ahead of competitors.
These risks include fluctuations in demand, regulatory changes, and environmental and political issues that impact the trucking industry. To assess the top transportation logistics risks, shippers need a clear understanding of factors that affect freight rates, such as
- Available Capacity
- Transportation Mode
- Driver Preferences
- Timely Deliveries
- Freight Consolidation
Mitigating the Risks
Shippers need to leverage technology and data analytics to mitigate transportation logistics risks. A Transportation Management System (TMS) is a powerful tool that can help shippers manage freight expenses by providing timely and specific shipment data.
A Transportation Management System (TMS) is an essential tool that can help shippers mitigate transportation logistics risks and manage their freight expenses more effectively. By leveraging technology and data analytics, shippers can better understand the factors influencing their freight costs and allowing them to more easily evaluate carrier relationships, outsourcing, and perform thorough ROI analyses.
Partnering with third-party logistics providers (3PLs) can offer shippers TMS platforms that provide access to a comprehensive range of carriers. With a TMS like Amware’s proprietary web-based platform, Amrate, shippers can gain a big-picture view of their supply chain, boost performance and process planning, and enhance collaboration and stakeholder communication. This can help shippers reduce costs, improve efficiency, and stay ahead of the competition.
In addition to technology and data analytics, shippers can reduce transportation logistics risks by becoming a “Shipper of Choice” and providing the best driver experiences, leading to better rates and timely deliveries.
Partner with the Experts
By partnering with reliable 3PLs and using technology to optimize their supply chain management, shippers can mitigate transportation logistics risks and stay ahead of the competition. With Amware’s Amrate TMS platform, shippers can reduce their annual freight expenses and start saving up to 30% annually on LTL today.