Establishing a control tower for your supply-chain needs can help companies avert “panic mode” over coronavirus pandemic.
Spot-buy freight platform Cargobase shares learnings and tips on how to set up a defense system to navigate the turbulent times ahead.
Call us dull, call us humdrum, whatever. As logisticians, we love predictability, scratch that, we thrive on predictability; it’s our definitive trait.
The recent COVID-19 outbreak has thrown everybody in a state of disarray, sending the world in a bunch of different, sometimes misled, directions and dead-ends, and supply chains globally have experienced unprecedented disruptions.
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While we practice social distancing – waiting out and doing our personal best to avoid this contagion, while scientists find a vaccine (which we totally agree with) – take heart that 2020 is not 1998. Firstly, we are way more “digitally mobile” so yes, while we are now discovering which “meetings” could have just been “emails”, it is clear that we can still be effective and play active roles in managing our company’s logistics needs.
Keep Calm And Carry On Shipping
Here at Cargobase, we have had a growth in demand of our platform – which helps shippers navigate the complex procurement process of spot-buy freight. Having seen how the most robust companies are able to remain resilient while others fall victim to “panic mode”, we have the following observations and would like to share them with you.
1. Find Solutions, And Find Them Fast
Often, we hear from inquisitive, industrious, and upstart young professionals who were seeking out contingency plans when they discover a platform like ours. We call these people a ‘solutions-fox’. They could be your crisis management team, your new intern, whoever they are, empower these foxes because they sniff out solutions that can be put into use on “rainy-days”. Yes, now would be what we call a “rainy-day”.
2. Put Your Eggs In A Few Baskets
Our shippers are encouraged to put more than one provider on file – these are the people who they have locked-in rates with, and would like to work with, and we ensure these providers get priority. That’s all fine and good, but we also give shippers the option to check out other suitors, like my wife always says, “You can be on a diet, but still look at the menu.” Companies that keep the menu open to receive a wider range of options, and spot-buy freight, by nature, should be “single and ready to mingle”.
3. Bye Bye Brokers
Thank you for the great service, brokers, but let’s be honest, brokers are a luxury in post-coronavirus supply chain world. As companies learn more about their supply chain landscape and providers and their routes and rates, it also sharpens their business decisions. This allows a lot of them to do away with brokers and work closer to the source, sometimes directly with on-ground specialists.
4. Happy Is The Company That Tracks Cost
The heading says it all. We have seen a huge increase in cost avoidance – which is calculated by tabulating the difference in prices being quoted, indicating there has been a price-surge in spot-buy freight quotes. Companies who do not have an overview of their ad hoc spending expose themselves to mark-ups.
In view of the pandemic, we have opened up ShipHappens:FastTrack our fast track service that allows users to access our platform fast on a trial basis. Here is your invitation to take your logistics and supply chain needs online with us.
Thank you for reading.
Here’s wishing you and your supply chain well.