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Rethinking parcel-intensive inbound supply chains to improve visibility


November 10, 2011

As companies look to streamline operations, improve efficiency and wring costs out of their supply chains, one of the most exciting opportunities for improvement is the inbound shipment of small parcels.

Whether it’s aftermarket automotive parts or manufacturing components, few companies control how shipments are sent to them by suppliers.
Too often, small parcels are shipped via air or premium service when they could just be shipped ground or consolidated with other parcels for further savings.

Depending on the number of packages being expedited and the number of shipments, inbound parcel shipping represents an opportunity to cut costs by as much as 20 percent.

One of the world’s leading aerospace companies transformed its parcel shipment processes with a solution that teams a robust parcel shipment optimization/consolidation system with innovative expedite management and parcel/carrier integration tools. In doing so, the aeronautics giant reduced its air shipments by 38% in the first three months and expects to reduce transportation costs by an additional 20% over the next three years.

Learn how consolidating parcel shipments, reclaiming control of expedited shipments and integrating shippers, suppliers and carriers can help you improve visibility, increase control and reduce costs.


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Rethinking parcel-intensive inbound supply chains to improve visibility
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* Which of the following best describes your role in Small Parcel shipping for your company?
I execute and/or oversee the execution of small parcel shipping programs.
I procure services from third-party providers that provide small parcel shipping services.
I both procure services for, and oversee the execution of small parcel shipping programs, including managing vendors (if outsourced).

 
* Does your company currently outsource the oversight of it's small parcel shipping?
No, we do not outsource our small parcel shipping to a third-party manager. We work directly with expedite carriers like FedEx, UPS, etc.
Yes, we currently outsource our small parcel shipping to a third-party manager who subcontracts with expedite carriers like FedEx, UPS, etc.

 
* In your opinion, what level of control do you have over the service (ie. expedite vs. ground) and carrier selection (ie. FedEx, UPS, other) that your suppliers use?
Very little or no control
Moderate/Adequate control
High control

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