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WebCargo, China Southern Air Logistics becomes First Chinese Carrier to Offer China Import eBookings

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Archives, Global Logistics, Global Trade Daily, News

WebCargo, China Southern Air Logistics becomes First Chinese Carrier to Offer China Import eBookings

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China Southern Air Logistics unlocks instant Chinese import bookings for freight forwarders worldwide. Carriers on WebCargo now account for over 50% of air cargo capacity, with connections to over 10,000 forwarding offices on platform. 

China Southern Air Logistics, the cargo arm of China Southern Airlines, is partnering with WebCargo, the leading digital booking and payments platform, to offer forwarders real-time rates, capacity, and eBookings. Shipments originating in China represent one of the largest segments of global air cargo trade, accounting for 7.3 million metric tons of a global 65.7 million metric tons1. Forwarders around the world, including the 3,500 freight forwarders in over 10,000 offices that already use WebCargo, will gain direct access to China Southern’s leading coverage into this key region. 

These forwarders will also benefit from WebCargo’s combination of real-time booking with digital payments, helping forwarders quickly begin booking and reconciling payments with China Southern Air Logistics, as well as other carriers.  

About China Southern Air Logistics 

Being the cargo arm of China Southern Airlines, China Southern Air Logistics undertakes all cargo business from the parent company. 

Currently, China Southern Air Logistics operates 14 B777 freighters with more than 60 flights per week, flying from Guangzhou, Shanghai, Shenzhen, and Chongqing to Amsterdam, London, Frankfurt, Los Angeles, and Chicago. Expanding its freighter fleet in the near future, the company plans to launch more international freighter routes from China to major cities in the world. 

Ranking among top 5 in terms of aircraft fleet in the world, China Southern’s well-developed belly network has enabled China Southern Air Logistics to provide extensive belly capacity covering China, radiating throughout Asia, linking Europe, America, Oceania, and Africa. With more than 880 aircraft and 1000 plus flight routes, the Air Logistics company can carry cargo and mail to over 170 destinations around the globe. 

China Southern Air Logistics’ product portfolio includes CZ-Speed for express cargo, CZ-Special for specialized service, CZ-Exclusive for customized solutions, CZ-Transfer for diversified transfer options, and CZ-standard for general cargo. Its dedicated cargo team is always ready to offer quality service to meet customer needs. 

About WebCargo, a Freightos Group Company 

WebCargo is the most advanced digitization platform for logistics service providers. 

WebCargo Air is the leading platform for live air cargo rate distribution and bookings between hundreds of airlines and 3,500+ forwarders across over 10,000 forwarding offices. Partners using fully digital eBooking and rate distribution on WebCargo include over 30 airlines, including American Airlines, Turkish Airlines, Lufthansa, Etihad Cargo, Air France KLM, IAG Cargo, SAS, Qatar Airways, El Al, and Emirates SkyCargo. Freight forwarders can access dynamic capacity, pricing, and eBooking by signing up for free at webcargo.co.

WebCargo joined the Freightos Group in 2016. The Freightos Group also operates freightos.com, the world’s largest digital freight platform for the trillion-dollar international shipping industry, and the Freightos Baltic Index, the only daily container index, in collaboration with the Baltic Exchange. 

Founded by serial entrepreneur Zvi Schreiber, Freightos is a logistics technology pioneer with a worldwide presence, and has raised over $120 million from leading venture funds, including GE Ventures, Aleph and the Singapore Exchange. In June 2022, Freightos announced that it would merge with GESHER I (Nasdaq: GIAC) with the intent of going public on the Nasdaq (FROS).

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Archives, Global Logistics, Global Trade Daily, Uncategorized

74% of Freight Forwarders from Asia affirm Market Opportunity for Shipper owned Containers in the Region

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The market opportunity for Shipper-owned containers (SOCs) is recognized by 74% of freight forwarders as surveyed by Container xChange. Pudong Prime, a freight forwarder from Asia recently experienced exceptional demand for SOCs from Vietnam. Recognizing the opportunity, Pudong Prime ventured into expanding its market in Vietnam leveraging the digital operational support of Container xChange, an online container logistics platform.

Growth in acceptance for Shipper-owned Containers has been triggered by market uncertainties caused by supply chain crises globally over the past two years. This created a thriving environment for Shipper owned containers globally. Asia developed as a key market for SOCs, according to the analysis by Container xChange.

Pudong Prime, an international freight forwarding company, with a key focus on SOCs, observed that freight forwarders and shippers are increasingly identifying the competitive advantage of SOCs over COCs with their low pick-up charges and D&D charges. 

Commenting on the newfound opportunity in the SOCs market, Wilson Le, Marketing Development Strategy, Pudong Prime said, “We have gained a competitive advantage with SOCs as compared to the high detention charges and equipment shortage associated with COCs. We’ve achieved a cost advantage due to the lower pick-up charges with SOCs compared to COCs.”

Christian Roeloffs, Co-Founder and CEO of Container xChange, said, “The rise in awareness for SOCs shows that industry participants are responding to the supply-chain pressures by diversifying their sourcing strategy. Lack of transparency and standardized digital processes has fueled inefficiency for a very long time in the logistics industry. These struggles are further worse for shipper-owned containers where no carrier takes care of processes. This hinders the adoption of SOCs in the market. With the adoption of digital tools, all of this could be streamlined in a manner that there is a standardized procedure for all users.”

Container xChange has helped Pudong penetrate by simplifying its operations and contributing to a better business flow, explained, Wilson Le Marketing Development Strategy, Pudong Prime, “Our aim was to limit unforeseen situations with SOC operation at both the origin and destination to avoid bad trips. And with Container xChange’s real-time Connect tool we achieved just that and gained more operational control.”

“We were able to proactively connect with numerous affiliated inland depots to coordinate the leasing pick-up and drop-off locations. This reduced many unforeseen errors and setbacks. “, he added.

In half year, Pudong Prime has made 16 new partners and leased 659 containers to 18 locations in North America and Canada and continues to grow the volume of containers leased through the Container xChange platform.

To read the case study further, visit: https://www.container-xchange.com/blog/customer-success-story-pudong-prime/

About Container xChange   

The container is one of the most impactful innovations in history—using standardization to power globalization and lift billions of people out of poverty. But contrary to the standardized container itself, most processes in container logistics have not been standardized nor innovated — and are still frustratingly complex, manual and error-prone. Combined with thin margins, this makes it difficult for logistics businesses to survive and thrive.

Container xChange is the leading online platform for container logistics that brings together all relevant companies to book and manage shipping containers as well as to settle all related invoices and payments.

The neutral online platform that:

  1. connects supply and demand of shipping containers and transportation services with full transparency on availability, pricing and reputation,
  1. simplifies operations from pickup to drop-off of containers,
  1. and auto-settles payments in real-time for all your transactions to reduce invoice reconciliation efforts and payment costs.

Currently, more than 1500+ vetted container logistics companies trust xChange with their business—and enjoy transparency through performance ratings and partner reviews. Unlike limited personal networks, excel sheets and emails you rely on, Container xChange gives its users countless options to book and manage containers, move faster with confidence and increase profit margins.

About Pudong Prime Vietnam 

Pudong Prime Vietnam has been in the freight logistics game for more than 21 years and remains on the list of the top fifteen freight forwarding companies from Asia to the USA and Canada.

Unlike traditional forwarding companies, Pudong specializes in SOC transportation from main shipping lines. By utilizing these shipping lines’ containers for extended periods, the company provides the necessary storage and long-term container occupation services and addresses the issue of high detention fees.

 

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Archives, Global Logistics, Global Trade Daily

Freight Forwarding: In a Sea Full of Forwarding Fish, be a Whale

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With thousands of fish in the sea of forwarding operations, be a whale

Just about everything in logistics can now be digitized. The industry has access to an astonishing number of technology platforms that can perform almost any conceivable function – from securing rate quotes and locating carrier capacity to freight visibility and dock access.

Freight-forwarders looking to bring their own unique value proposition to the industry are both blessed and cursed by the plethora of digital tools. The blessing is that digitizing functions is easy. The curse is that it’s just as easy for everyone else in the industry. And merely digitizing is no longer a value-add for an industry that’s struggling to overcome difficult challenges.

What was once the exclusive realm of tech-savvy companies is now utilized by even the smallest of competitors. The advantages that once belonged to those with access to the latest technology now belong to those who can apply the sharpest thinking to the use of that technology.

The freight forwarder who wants to stand out must add high-level strategic insight to the tools that are now available. Just providing data is no longer acceptable for freight forwarders in the eyes of their customers. The Targets, Walmarts, and Krogers of the world require actionable data that not only tells them what’s currently happening but also provides insight into steps that should be taken next. Forwarders must take the extra step and become customer driven in order to remain competitive.

Harmonizing customer needs with technology solutions during the onboarding phase.

 It’s often said that if the only tool you have is a hammer, every problem looks like a nail. Freight-forwarders who invest in certain digital technology may be tempted to recommend the “solution” that doesn’t address the customer’s problem but rather fits with the capabilities of the digital technology the forwarder wants to use.

With so many kinds of technology available, there is no reason for this approach. Freight-forwarders need to objectively consider all capabilities of every available platform, then design applications that work to solve specific problems of specific customers.

One factor that can complicate this approach is too many software implementations. What’s needed is an integration platform that brings together different technologies and aligns them to speak the same language. The marketplace is seeing high demand from companies who want more technology options – without having to grapple with the many different platforms.

When companies in the supply chain industry can plug their legacy systems into modern API-based SaaS tools to better manage things like freight visibility, pricing and compliance risk, the real strategic thinkers are in a better position to achieve the best solutions, while freeing up people to perform customer relationship duties.

Thinking strategically about where to invest in digital assets.

More digitization doesn’t necessarily lead to a market advantage. The best strategy for investing and deploying digital assets is to align them with a company’s existing brand and service offerings.

Company leaders should ask: Where do we already offer industry-leading ideas and insights? What kinds of value does the industry trust us to deliver?

Investing in digital assets to bolster those areas of strength is the best way to find a unique positioning in the market.

Of course, it’s always worthwhile to consider establishing new services that can benefit from digital tools. But either way, the key is to strategically tie digital investments to a company’s strategic positioning and capabilities.

Aligning new digital technologies with a familiar TMS.

One advantage of cloud-based technologies is that they can be aligned with a company’s existing TMS. Rather than making companies deal with a series of individual software deployments, the smart move is to simply integrate them with the system company leaders are already using – so they become one more feature in an already familiar system.

This makes it possible to move quickly past the difficult deployments and into the impact phase of heightened visibility and all-around better information. It is one of the most frequent things our clients mention as a priority.

And the industry needs effective tools like this right now. The Federal Maritime Commission is looking for better ways to examine shipping data and determine existing constraints to help the flow of cargo. FMC Commissioner Carl W. Bentzel says this will start with an examination of data already available to the public.

Some of the best data is in the TMS systems of companies that have integrated their digital assets. The most effective freight-forwarders, having made these strategic technology investments, can become industry leaders by now deploying these assets to solve the biggest problems their customers face.

The tools are plentiful. The ability to see and make use of the data has never been greater. The freight-forwarders who combine those tools with the best of their own strategic thinking will lead the way.

CAGR technologies
Archives, Commentary, Global Logistics, Global Trade Daily

Freight Forwarding Market Experiences it’s Fastest Expansion Rate In Decade

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Ti’s latest report, Global Freight Forwarding 2022, shows that in 2021 the global forwarding market rebounded and exceeded its pre-pandemic levels. However, limited capacity and record-high freight rates present a challenging market for shippers, as well as opportunities for extraordinary ‘uplift’ in the profitability of freight forwarders.

  • The global freight forwarding market grew by 11.2% in real terms during 2021, the fastest expansion in a decade. The market is forecast to grow 5.7% in 2022 and at a 3.7% CAGR over the five years to 2026.
  • 2022 freight forwarding growth will be driven by air freight, which is forecast to grow by 6.1% in real terms.
  • 2026 forecasts are more pessimistic due to inflation, the war in Ukraine, and consumer spending slowing down.
  • The air forwarding market is forecasted to exhibit slightly faster growth, expanding at a 4.0% CAGR from 2021-2026, while the sea forwarding market is expected to grow slightly less quickly at 3.6% CAGR over the period.
  • Kuehne + Nagel and DSV lead the global freight forwarding market. The two market leaders have successfully integrated acquisitions in recent years which has helped both to top the list.
  • The entrance of shipping lines into the acquisition market has created a new driver of industry consolidation, not least due to the carriers’ almost unlimited funds and access to ‘cheap’ money.
  • Digital forwarders must combine smart technology with operational experience to be game changers in the industry. Achieving both objectives while remaining profitable will be a challenge, especially if access to capital becomes more limited in the future.

After experiencing one of its most challenging years to date amid the Covid-19 pandemic, the global freight forwarding market bounced back strongly and grew by 11.2% in real terms in 2021. This is the fastest growth rate since 2011, bringing the market value to €269,656m.

The market’s expansion was driven by global trade which reached new record highs during the year as recovery from the Covid-19 pandemic boosted demand. As well as the phasing out of pandemic-related restrictions on economic activity, government support schemes and economic stimulus packages introduced in many countries remained, keeping demand for goods at elevated levels. Factors such as the expansion of the e-commerce industry and the rise of free trade agreements have also been contributors to the growth of the global digital freight forwarding market in 2021.

As the drivers of the growth momentum are likely to gradually abate, global trade growth is expected to moderate in 2022. As a result of this continued but weakened global economic recovery, the global forwarding market is expected to grow at a slower pace of 5.7%. Continuing the trend from 2021, growth will be driven by the air freight forwarding market, which is forecasted to grow by 6.1% in real terms. The sea freight forwarding market will have to endure more months of challenging conditions caused by the capacity crunch as new capacity is not set to kick in till 2023. It is set to grow at 5.2% in 2022.

2026 forecasts are more pessimistic than previously as inflation challenges intensify, the war in Ukraine threatens global energy supplies and consumer spending slows further. As a result, the global freight forwarding market is expected to grow at a 3.7% CAGR over the five years to 2026. The air forwarding market is forecast to exhibit slightly faster growth, expanding at a 4.0% CAGR, while the sea forwarding market is expected to grow slightly less quickly at 3.6% CAGR over the period. Increases in cross-border e-commerce do however provide a bit more optimism, along with the return of capacity via passenger flights after the ending of Covid restrictions.

The report also provides a snapshot of the funding scene in the digital forwarding sector and discusses the impact that the recent surge in investments will have on established start-ups and new market entrants. The report analyses the competitive landscape in the digital freight forwarding market and compares digital forwarders against one another based on their revenues, global reach, transport mode and freight transported. The findings of Ti’s latest Digital Freight Forwarding Survey 2022 serve to assess the market penetration and outlook of digital forwarders and identify the capability gaps digital forwarders need to close.

Furthermore, the findings from Ti’s Global Freight Procurement 2022 survey provide insight into the latest logistics purchasing behaviour trends and the procurement strategies shippers are employing to better navigate the unpredictable market volatility.

“The global freight forwarding sector has been plagued by a number of supply and demand-side shocks in the past year, driving instability in the market,” said Viki Keckarovska, Ti’s Senior Research Analyst. “Despite all economic indicators pointing towards continued strong demand for cargo, capacity constraints result in lost growth opportunities. Demand for capacity continues to outstrip supply, contributing to increased freight rates and consequently increased yields and revenues among forwarders. Driven by these challenging market conditions, shippers are re-assessing their freight procurement strategies and contractual relationships with LSPs to adjust to the ever-changing environment. Finally, the digitalization trend in the forwarding industry, which was already gathering pace before the pandemic, has been accelerated further by the crisis, with the adoption of digital forwarders, online freight booking platforms and marketplaces increasing threefold since 2019.”

vendors
Air Cargo, Archives, Global Logistics, Global Trade Daily, Trucking

In this Fraught Time for Supply Chain and Freight, not all Vendors are Partners

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Throughout the pandemic, Zoom became a lubricant for organizations to keep moving and stay connected. Sales calls, internal team meetings, external events like webinars and conferences — many of us turned to this tool for necessary face-to-face communication, and it’s been vital.

But as critical as Zoom has been, they’re still just a vendor for all of us. They offer a service, and we pay them for that service. It’s transactional, plain and simple.

That’s a parallel we can all draw to other vendors too. Though it’s become a common turn of phrase to refer to vendors as partners (and especially for your vendors to refer to themselves as your partner), you shouldn’t confuse the two terms. They’re not synonymous.

Vendors are bought. Partnerships are earned.

Elevating every vendor to partner status cheapens the word and dilutes what an actual partner contributes to your company and your goals. It can also cause you to misallocate resources and energy to the wrong relationships and potentially cause you to steer your organization in the wrong direction.

Over the last few years, we’ve all faced our own trials and difficult times. It’s been easy to see the value of partnerships and relationships. But it’s when things are calm that these bonds are really forged. If you don’t build the right partnerships when times are good — with your carriers, with your freight forwarders, with the right vendors — you’re not going to be their priority when times turn tougher.

What’s the difference between a partner and a vendor?

To me, a vendor simply wants to sell you more of their service, even if it’s not the right move for your business.

A partner, on the other hand, is a listener.  A sounding board. A confidant. A partner lives in the trenches with you, understands your business, and understands how you go to market in business. A partner brings expertise and suggestions that empower decision-making. A partner doesn’t always make a sale just because they can; a partner understands when their current technology doesn’t fully solve the problem. A solution that complements and enables the business process may or may not include my technology as part of that solution stack. As a partner rather than just a vendor, I owe it to you to tell you that. A partner prioritizes the long-term relationship and the health of your business over their own short-term profits.

Partners may sometimes say no, and they know when to say no. They have a responsibility not to go down a bad path or let you go down a bad path, even if it would mean a bigger check for them.

That’s when the partner becomes a trusted advisor and a member of the business team. After all, business partnerships have to start with the same foundation as personal relationships — trust, openness, honesty, empathy, and communication.

I have a relevant story to share. When I came to Chain.io two years ago, a part of my final interview process for a sales position with the executive team was to provide at least two references. Easy, right?  Of course. However, there was a catch: those references have to be customers that I had done business with. The Chain.io executives interviewing me wanted to make sure my customers would vouch that I had been a partner and not just a vendor. I clearly had the goods because I got the job, but I loved that they asked for customer references and saw my relationships with customers as a prerequisite for the job.

Key Takeaway

Vendors are a key part of any business. We all rely on them, and we all need them. That network looks different at every company. Perhaps if you’re lean, you can get by with only a few dozen vendors. If you’re a larger company, you may have hundreds of different vendors.

Your circle of partners will be much smaller than that, but much deeper. They’ll be the ones you can turn to in times like we’ve found ourselves over the past 18 months — the ones who will prioritize your business, your goals, and your long-term success, even if it means they’re not closing a sale.

Plus, there’s usually another great bonus when working with the right partners: They’re much more willing to buy the nice dinner and the craft IPA.

Cheers!

____________________________________________________________

As head of Shipper Sales for Chain.io, Dan focuses on helping anyone shipping goods around the world get more connected to supply chain vendors, customers, software platforms, and more. Dan is passionate about using technology to provide visibility, clarity, and ease to complex supply chain challenges that require integrating multiple generations of technologies.

Past roles include VP of eCommerce for conDati, VP of Digital Performance Management at Blue Triangle, VP of Digital Strategy at SOASTA. He’s also worked with IBM Rational, Lockheed Martin, and Mercury/HP Software.

He lives in Saint Augustine, Florida.

Dan has presented his work at many conferences including the South Florida Agile/DevOps days, StarEAST, MobileWeek, Big Data TechCon Boston, Jenkins User Conference (East), several Meetups, and at itSMF events around North America, as well as the itSMF National Conference, multiple Gartner Conferences, and many local and regional events on a variety of topics in performance engineering and the SDLC.

You can find DAn at @DanBoutinUST or at a conference or meet-up near you.

freight
3pls, Archives, Global Logistics, Global Trade Daily

Proven Ways to Grow your Freight Brokerage Business

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A quick look at the current shipping industry will show you that there is no shortage of freight brokerage businesses. Numerous companies offer their services all around the world, with various degrees of quality and cost. So, among all that competition, is there a way for you to grow your freight brokerage business? The short answer is yes, there is. But, like with most things in freight shipping, it is not going to be easy.

Understanding the ongoing changes in the freight industry

Growing your freight brokerage business is a multilayer process that we will elaborate on in the following passage. But before we do, it is important to give you a perspective of what the current shipping industry is like. Even before COVID-19 hit, the shipping industry as a whole was experiencing some significant changes. So, while we will go over the most notable aspects, keep in mind that these are just some broad strokes. Technological advancements, both in logistics and in shipping capabilities, came as quite a surprise.

Developments in AI allow for a much greater sense of efficiency and safety, which is why future freight companies won’t be able to stay competitive without it. Eco-friendliness is also a significant concern as fossil fuels tend to be the least-favorite choice among the current companies. We are still far from relying solely on renewable energy sources, but energy development is going in an eco-friendly direction. The final point to keep in mind is that modern customers’ demands are higher than ever. Due to offers like overnight shipping, customers have grown to expect a high degree of service. So, if you are going to stay competitive, you need to ensure top efficiency.

Grow your freight brokerage business – step by step

Seeing how big the freight shipping industry is and how many emerging technologies there are, you shouldn’t try to tackle all of it. The safest way to grow your freight brokerage business is to outline a particular aspect of freight shipping and excel at it.

Step 1: Identify your target audience

Who your target audience depends on numerous factors. Your location, which services you have available, which industries are predominant in your area, etc. If you wish to grow your freight brokerage company, your primary job is to first outline your target audience. The clearer you can pinpoint to whom you can cater your freight brokerage service, the better. Seeing that finding new customers will likely be an ongoing task, we suggest that you outline the “Ideal customer”. That way, your employees can more easily identify potential customers.

Step 2: Outline their needs and requirements

The second step you need to take is to clearly outline the needs of your target audience. You will likely have an idea of what they need. But you won’t have the complete picture until you start doing research and asking questions. Most agents will be more than happy to outline their needs and whether the current provides are satisfactory. Some might even give you ideas on which services are most lacking and where you can easily get ahead of your competition.

Step 3: Improve your technology so that it can facilitate the needs of your customers

Once you understand the needs of your audience, you need to alter your company so that it can best fulfill them. By this, we mean implementing new technologies that allow for more efficiency. Apart from logistics technologies, you can look into CRM solutions and communication technologies to help your customers more expediently.

Step 4: Tackle marketing with due care

One of the common mistakes people make in the freight industry is not tackling marketing with enough vigor. Believing that having a simple website or running a social media profile is enough for a serious company is something you ought to avoid. To draw in and keep your audience, you need to run an active website. This not only means tackling your SEO and posting the necessary blogs. But also managing your social media and ensuring that you have the proper brand recognition. Good freight brokers know that projecting an idea of efficiency and stability is essential to drawing in new customers. And the only way to make that possible is to adapt your online presence to your needs and ensure that your marketing is on point.

Step 5: Set up performance metrics and keep track of your endeavors

Finally, to ensure that your effort produces results, you need to set up performance metrics. Besides measuring how many new customers you get each month, you also need to track how effective your marketing is. Even in B2B marketing, you need to invest substantial funds to develop an online presence. So, do yourself a favor and ensure that your investments are paying off. By setting up clear performance metrics, you can see how your business decisions impact your revenue and whether you need to make any alterations.

Final thoughts

The main point to keep in mind to grow your freight brokerage business is to stay within your niche. The better you can outline what your target audience needs, the easier it will be to make cost-effective business decisions. If you manage to become the top local freight brokerage business within an area, we are sure that you will have no problem spreading your business out to other areas. But, it is essential to develop a healthy base and a firm understanding of what your customers need. Modern industry requirements don’t allow you to spread yourself too thin. Doing so is not only ineffective but is likely to cause you substantial loss in revenue. And seeing how fierce the competition is, it has become more important than ever to excel within a relatively small niche.

___________________________________________________________________

Ryan Smith has worked as a shipping manager and a logistics consultant for over 20 years. He now focuses on writing helpful articles for tbmoving.com and other relocation and shipping companies, as well as providing consultation for large-scale logistics planning.

WEN-PARKER LOGISTICS
Archives, Global Trade Daily, News

NIXCOVID ANNOUNCES PARTNERSHIP WITH WEN-PARKER LOGISTICS

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Medical equipment and technology company NIXCOVID is proud to announce their partnership with leading global freight forwarder WEN-PARKER LOGISTICS, as their official partner for global shipping.  

“Wen-Parker Logistics is very excited to enter into this partnership with NIXCOVID to continue on our company’s missions of bringing critically-needed supplies to those affected by this global pandemic,” said Brady Borycki, Executive Vice-President, Global  Business Development at Wen-Parker Logistics. 

The Elmont, New York-based Wen-Parker Logistics, a leader in wearing apparel transport since 1997, in 2020 delivered over 1 Billion pieces of PPE on chartered flights from Vietnam to the United States through several US gateways. 

Ms. Kathryn Bonesteel, co-founder of NIXCOVID and Nixie Technologies Inc., states that, “Wen-Parker has been a strategic ally since the height of the COVID-19 pandemic. When many of the world’s largest freight forwarders could not meet the incredible surge  in demand, Wen-Parker Logistics was able to deliver cost-efficient and optimal solutions for our ever-changing supply chain needs.” 

This newly-minted partnership just completed two shipments involving over 2.5 million examination grade nitrile gloves that will go to Illinois and 100 million gloves that will arrive weekly over the next 6 months.  

“Our collective team has delivered hundreds of millions of pieces of essential products working together directly for governments, hospitals, publicly-traded corporations and other essential frontline workforces. We are proud to formalize our longtime partnership and continued efforts to supply the world with products to keep people safe,” continued  Bonesteel. 

Mr. Blake Sherwood, Strategic Partner and Director of Supply Chain Logistics at  NIXCOVID and Nixie Technologies Inc. shares this sentiment, “Through this strategic partnership, we have a strong and secure distribution of all products, including PPE, in the U.S. and around the world. After having gained significant insight and expertise transacting PPE, I’ve been extremely impressed with Wen-Parker and their global capabilities.”  

_______________________________________________________________________

About NIXCOVID: 

NIXCOVID is a global supply and technology company, founded by Kathryn Bonesteel  and Jeff Wood to help nix the COVID-19 pandemic. The company, and its parent  company, Nixie Technologies Inc, are internationally known for their significant impact  to supply and donate Personal Protective Equipment (PPE) to frontline workers.  NIXCOVID operates globally with factory and strategic partnerships in over 20  countries. To learn more about NIXCOVID, visit https://www.NIXCOVID.com/ 

About Wen-Parker Logistics 

Wen-Parker Logistics currently services more than 80 countries across six continents  and has been recognized as a Great Supply Chain Partner for five consecutive years by Supply Chain Brain Magazine and was named a Top 100 3PL by Inbound Logistics  magazine in 2020. To learn more about WPL call 888.978.7817 or visit www.wen parker.com. 

Media Contact – WPL 

Lewis C. Leoce 

Marketing Manager 

c 914.815.5784  

LLeoce@wen-parker.com

supply chain
Archives, Global Logistics, Global Trade Daily, Warehousing

Exclusive White Paper: Managing Inbound Supply Chains – Cost, Capacity & Delay Are The Supply Chain Manager’s “Nightmare”

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The Covid-19 Pandemic which impacted global supply chains hard in February of 2020, has grown as on “steroids” as we approach the 2nd Quarter of 2021.

There is no professional logistics service provider, freight forwarder, NVOCC, Carriers, 3PL, customhouse broker, consultant, or any expert in the industry who would have anticipated what has happened in the past 12 months and likely to have a legacy well into the balance of this year.

Demand had impacted capacity and capacity has impacted cost. Ocean freight rates have doubled and in some trade lanes have tripled and air freight pricing has multiples of 4-8 times more than we witnessed towards the end of 2019.

Making this all worse is how long this crisis has developed with no specific end in sight.

Tied into capacity and cost are the logistics delays, doubling and tripling expected ETA’s.

This past year has been a “nightmare” for all supply chain managers who are looking for relief … when very little is in-sight.

The biggest influence can be observed on the Asian to North American market where the impact has been most disruptive.

In our Supply Chain Management Consulting Practice, we have been approached by hundreds of companies desperately seeking assistance in finding options and providing some relief. We will share some of our recommendations at the end of this article.

Over the 40+ years of our practice in the global supply chain, we have witnessed other times where craziness and disruptive behavior impacting freight markets. There have been at least 6 times from 1981 to 2020 where the supply chain has been disrupted in a major way.

Most professionals point to the poor management of the carriers, who have difficulty managing capacity, assets, and client’s supply chain needs when disruption is looming. While that is true to some level, there are numerous other influential areas that add to the crisis. The impact of Covid-19, greater global demand for PPE, expeditious replenishment of global inventory levels, and uncertainty in consumer and commercial spending, are but a few of the other contributing factors.

Also keep in mind, that in North America the entire domestic transportation market is also experiencing increased costs, capacity issues, and delays in providing timely, comprehensive, and cost-effective transportation services.

While we have all this “gloom and doom” in front of us, there is some light at the end of the tunnel. Here are some recommendations that we offer:

1. Recognize that in all the other times (of which we estimate that there were 6 events) of disruption in the global supply chain … in time … balance and normality eventually prevailed.

The issue in this Covid-19 Freight Dilemma … is when will we see normality? Many experts advise by April and May 2021.

Our best estimate is that while we may see some sunlight by May, supply chain executives should plan that the disruption will last till September.

Demand planning, freight purchasing, and contract negotiations would best be accomplished by anticipating freight and supply chain issues not being seriously resolved till the Fall of 2021.

2. As a supply chain executive, create a greater reach into alternative options for the acquisition of logistics services. Come out of your comfort zones, your traditional “go-to” providers, and open the doors to a larger web of players in the freight market.

3. Alternative options should include:

-Direct to Carriers

-Integrated Carriers

-3PL’s

-Freight Brokers

-Logistics Consulting Companies

-Customhouse Brokers

-NVOCC’s

-Freight Forwarders

-Freight Purchasing Groups and Associations

-Consolidators

4. Friendly competitors also can present an option where you can combine your purchasing power and leverage your freight spend.

5. Evaluating your freight spend. Consider consolidating your freight with one company by putting “all your eggs in one basket” where you may achieve getting the best value for your dollar. However, when placing all your eggs in one basket, recognize the risk associated with that option and manage that basket diligently.

6. Hire very capable staff that can bring resources, contacts, and industry relationships that might prove beneficial.

7. Work with your suppliers who also may be able to provide lower-cost or more expedient freight solutions. It is their interest as well to make sure their customers are well-served and happy.

8. Work tightly with your demand planning teams to provide timely and comprehensive information flows, so they can better plan when placing manufacturing orders. Lead times may need to be doubled and tripled. This also means working more closely and proactively with your suppliers and vendors to enhance their performance in increasing capacity and on-time capability.

9. Consider where you distribute from. Consider the demographics of where your customers are. This may conclude you adding on or expanding the warehousing locations so you can meet clients’ needs less costly and timelier. The example is if your customer base is throughout the USA and you singularly distribute from one warehouse in Baltimore Maryland, what is the cost and time element to service a customer in Chicago and one in Los Angeles?

Additionally, if the freight is sourced from China, compare the time and cost to ship from Shenzhen to Baltimore to Shenzhen to Long Beach. The warehousing and distribution costs become part of your overall competitiveness. Any steps that can be taken to help offset and mitigate the impact of higher inbound freight costs can provide various levels of some relief.

10. Be open, honest, and transparent with all the partners in the supply chain, including your customers. Extoll these virtues and they will come back to you in spades.

Working with more integrity creates camaraderie, team efforts, affords a better understanding of common concerns, and allows better partnerships to form, which ultimately produces better outcomes for all parties to an international business trade or transaction.

The Covid-19 Pandemic has turned the world of international freight upside down. It has caused a lot of frustration, headaches, loss of markets and clients, and multiple areas of serious concern for everyone involved in managing all aspects of global supply chains.

There is no question that the challenges of 2020 and the legacy now in 2021 have become ground zero for supply chain managers, but there is light at the end of the tunnel. The above outlined ten recommendations have been time-tested, battle-worn, and seasoned successful concepts in managing the risks, lowering the costs, and allowing for better-managed logistics in global supply chains.

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Thomas A. Cook is a 30 year seasoned veteran of global trade and Managing Director of Blue Tiger International, based in New York, LA and West Palm Beach, Florida. The author of 19 books on international business, two best business sellers. Graduate of NYS Maritime Academy with an undergraduate and graduate degree in marine transportation and business management. Tom has a worldwide presence through over 300 agents in every major city along with an array of transportation providers and solutions. Tom works with a number of Associations providing “value add” to their membership services and enhancing their overall reach into global sourcing and in export sales management. He can be reach at tomcook@bluetigerintl.com or 516-359-6232.

global trade
Archives, Global Logistics, Global Trade Daily, Stories

Global Trade and Logistics: Adapting to Constantly Evolving Needs

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Global trade managers have to deal with the complexities of multiple languages, time zones, currencies, taxes, and modes of transport. There are several laws governing global trade, and these are highly complex and ever-changing. So how do organizations manage these complexities and how can you get a competitive edge?

Current scenario

The complexity in global trade management exposes you to a lot of risks. While companies want to make the most profitable trades, it is important to balance counterparty and credit risk. Organizations must review and act on large volumes of regulatory information, which is often published on paper in varying formats and maintained in spreadsheets throughout the organization. Visibility into the entire trading value chain provides the key to making smarter, more profitable decisions. Raw materials and commodity businesses need accuracy int three key areas:

1. Flow of Information

Companies need a complete view of budgeted and actual trade-related P&L across contracts, shipments, invoices, and payments. They need to ensure documents are accurate and comply with business agreements and have a clear appraisal of all order edits, shipment changes, and related documentation.

2. Flow of goods

Companies need to track shipment and order related activities, manage all information related to the movement of the physical goods, and implement credit checks of all counterparties during contract negotiations, shipment, and invoicing.

3. Flow of cash

Good cash flow management is essential to profitable trading. Companies must diligently record the flow of letters of credit from creation to final presentment and record and track loans. They must manage resolution flows among multiple trading partners.

A Comprehensive and Modern Solution

Traditionally, global trading organizations spend most of their time and resources manually screening shipments and updating them. The solution should ensure that the process is automated, enabling organizations to screen their shipments more often, more efficiently, and more accurately, ensuring the actual shipment status is reported to the required parties.

In addition, companies should be able to track and trace shipments from origin to destination and boost operational efficiencies. They are aware of delays and deviations and can overcome shipment delays. By comparing costs and charges, companies can determine the best voyage strategies.

These challenges are difficult to master without a comprehensive solution that is simple but has the capability to manage numerous complex global trade activities and is designed to save time and effort, enabling companies to focus on core work. A modern solution that would streamline the entire lifecycle of the supply chain – automating manual processes would help reduce the cost, time, and risks in quantifiable and auditable ways.

Eka Software Solutions is a global leader in providing digital commodity management solutions driven by Cloud, Blockchain, Machine Learning and Analytics.

Transport Management
3pls, Archives, Global Logistics, Global Trade Daily

Quality Tips for Better Transport Management

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With the world becoming more interconnected than ever, the pressure and expectations from the transport industry have increased exponentially. Everyone wants a smooth, safe, and secure journey whether they are moving for their jobs or to meet someone. Moreover, the expectations from the logistics companies have been increased too. 

Transportation management is no more about just moving freight at a lower cost. The technology has advanced and the structure of the supply chain is no more linear. Along with complex structures, many other factors are compelling shippers to improve their services in order to gain a competitive edge in the market. 

Increased demands:

Customers are looking for quick, efficient, and secure deliveries where they are constantly updated about the location of their products too. 

We cannot deny that in the context of supply chain operations,  logistics and transport management are interrelated. Transportation plays a major role right from manufacturing to the final delivery of the product. Better transport management can lead to successful order completion. There can be a different outcome if there is a flaw in the logistics or transport policies. Let us find out the things you can do in order to have a more efficient transport system network. Below, some tips to improve transportation networks are discussed.

Using Technology for Various Transport Operations

Technological advances in the communication and transport industry can help bring sustainability and adaptability in transportation networks. One of the most significant jobs belongs to the transport managers since they can encourage and advertise buying and adapting technologies that support cleaner and greener vehicles and eco-friendly technologies. Potential advantages include:

-Reduced emissions

-Lesser vehicle expenses 

-Less fuel utilization

Go for Automated Solutions

There is no simpler method to smooth out your transport management than to automate the whole process. An automated transportation network can simplify and streamline all operations. With automation, transport managers can constantly keep themselves updated and know:

-If the trucks are operating

-Real-time location of the fleet

-Their destination

ERP Framework:

One of the best approaches to examine and save money on working expenses is to embrace mechanized arrangements like an ERP framework. This product robotizes the whole cycle, guaranteeing each cycle runs rapidly and decisively so any blunders that lead to misfortunes can be limited. Moreover, the framework likewise empowers you to assess salary and costs for a specific period so you will have the option to plan your spending all the more carefully.

Big Data

Constant improvement in viable transportation the executives are currently regularly acknowledged by key transporters on account of the expanded utilization of technology and using air freight framework giving the capacity to obtain informative reports for meaningful business knowledge. This enormous development towards more utilization of the information to gather bits of knowledge made by measures inside innovation is known as “Big Data.” 

How Can Transport Software Help?

The latest transport management software can provide other facilities including:

-Keep a track of journeys 

-Organize delivery trips

-Monitor the usage of fuel per vehicle

-Allocate and track drivers 

-Analyze the collected data

Transit Applications

Develop transit applications to provide real-time information regarding the route and location of the vehicle. This can also help the drivers to adopt the best and the most efficient route and improve the overall services.

Analyze the Overall Performance

Time to time analysis of the performance is necessary. The initial phase in making economical arrangements is to completely investigate and understand everything related to the whole transportation including:

-Costs

-Policies

-Procedures

-Operations and activities

This gives the information to create noteworthy sustainable systems. Fleet managers can begin by exploring existing measurements and observing devices to evaluate the use of vehicles, patterns, and mileage. This will help spot all the pros and cons and new improvement open doors in various business zones.

Using Metrics

It is necessary to monitor the transportation footprint and network. One can do it by using metrics. With huge amounts of data, identification of key operating indicators can help you look for the right information. The management must have the ability to convert the data into useful information.

Identify the Needs and Priorities

The transport business is focussed on the need to satisfy the customer’s needs. A sustainable approach in transport management can lead to more profit and better performance.

To achieve this, the business policies and priorities must be understood thoroughly.  Business needs could incorporate operational data, for example:

-Where vehicles are based and how they are planned,

-Their journey

-Stacking 

-Strategy necessities

Sustainability

The pressure on companies to go for sustainable solutions is increasing. Ecological targets could incorporate carbon decrease, practicing air quality control, and improvement of the eco-management tracking. Sustainable measures can include:

-Driverless fleet

-Cleaner vehicles

-Inclusion of eco-friendly technologies

-E-cargo bikes

Self-Driving Trucks:

The innovation for self-driving trucks is still under the process of development and it needs to defeat certain hindrances, for example, improving driverless programming to make it ready to proficiently work on urban streets with heavy traffic. No one can deny that it’s one of the transportation future trends. Transportation organizations need to plan for upcoming innovation changes inside the business and begin including self-navigating management systems in their trucks that can learn from genuine drivers.

E-Scooters

According to reports, the popularity of scooters has increased and the number of bike users has increased exponentially. This indicates that citizens are also contributing to a greener environment.

Cargo e-bikes can reduce congestion and deliver faster. They are environmentally friendly as they are charged with battery and can be ridden on sidewalks. Amazon and UPS have already started delivering through them.

Don’t Miss Out on the Chances to Improve

A significant improvement can be brought by keeping a track of fuel expenses and its total consumption along with fulfilling all the arrangements and travel demands. Effective management of transportation is impossible without the worker’s awareness and his/her adherence to the company’s strategies. To promote a spirit of cooperation, teamwork, and commitment among the employees, the managers need to have:

-Continuous monitoring

-Improvements in the operation

-Acknowledgment of employee’s good performance

These improvements combined not only prove to be profitable for the companies but can also help them to have a stronger logistics network that can reduce:

-Accidents

-Traffic congestion

-Pollution

Scalable Business Operations

By going for scalable solutions, companies with larger networks can deal with demand and complexity issues. Joining all the separate supply chains can help view everything from a single lens. A centralized system can assist in analyzing the role of each department including customer service, marketing, and sales efficiently.

At the point when all the steps included are run manually and independently, it can become hard for the supervisor to recognize issues, screen progress, and take actions. That is why it is crucial to embrace a centralized structure that joins all the steps.

Appropriate Planning and Preparation

The first step towards effective transport management is to have proper planning. The reason to invest in planning is to achieve maximum output in a shorter amount of time. There are numerous components associated with this, from the acquisition of products and their storage to their final delivery. 

Other important things:

Other things that need to be taken care of are time, transportation, and expenses. Supply chain administrators must have the option to build up an extensive work process to guarantee the efficient running of operations. 

Unexpected Situations:

Though the planning is done to get the best possible results and efficient performance, yet the possibility of uncertain threats must not be overlooked. The best example of an uncertain situation can be taken from the recent pandemic which led to numerous supply chain problems all across the globe.  It is better to be prepared for surprising conditions, including:

-Bad weather

-Shortages 

-Delays 

-Damages to goods, etc.

Training and Guiding Employees

Your employees play an integral role in the growth of your business. No job should be considered trivial or unimportant. All the departments and all the workers including the drivers, delivery guys, warehouse workers must be given proper guidance and training for productive performance. 

Agility

It is the company’s job to improve their abilities and bring agility in the operations. They all must be well aware of the:

-Company’s rules

-Their jobs

-Technologies they are working with

A centralized HRM system can monitor the performance of the workers and help conduct training.

Streamline Your Warehouse Management

Transportation jobs can’t run easily without proper inventory management. The capacity of products and course of action of distribution centers influence the transportation cycle. In this manner, make sure that all things are organized.

Accessibility of Products:

Efficient transportation management takes into consideration the accessibility of materials and customer’s requirements, guaranteeing that those goods are ideally used and distributed. Moreover, the degree of consistency helps the transporter carrying out his job in a better way.  

-Accelerate the picking cycle

-Simplify forklift working

-Use barcode scanners to add more speed and accuracy

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Danielle Gregory is a full-time Writer, Traveler, and Marketing Expert who is Currently Working for QAFILA. Danielle’s writing relates to a range of subjects such as logistics and IoT. Besides writing, she enjoys traveling, Cooking, and Riding