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Gaining the Competitive Advantage in Logistics

Businesses are always searching for a competitive advantage that will set them apart from others offering a similar product or service.  The competitive advantage is gained by offering a customer services of greater value, lower pricing or greater benefits.  Without a distinguishing advantage, what is the lure for a potential customer to select one provider over the other? Businesses without a competitive advantage will have a harder time maintaining their relevance in the market.

In today’s global economy, being adaptive and flexible is the key to staying relevant. Changes to the logistics industry have been driven by reasons such as the price of oil, labor costs, security, trade regulations, labor stoppages, vessel capacity and technology.  Having the personnel, practices and tools to proactively adapt to these changes will give a company the competitive advantage.

Here are a number of solutions that if used will help a company gain the competitive advantage:

  • Shipper Associations / Consortiums: By being a part of a shippers association, a business can benefit from lower transportation rates due to the competitive negotiations and economies of scale.
  • Transportation Management Systems (TMS): Such platforms allow a business to manage their data flow more efficiently and allows for visibility of performance and cost.  Keeping an eye on costs, transit times, delivery performance, freight claims, and compliance will allow for strategic thinking and put a company a step in front of its competitors.
  • Auto-Tender Functionality: This feature allows freight to be tendered directly to carriers, greatly reducing the time spent scheduling a shipment.  When set up using a least cost carrier, the savings combined with the efficiency gain provide a great advantage.
  • Advanced Tracking: Visibility and transparency are becoming more and more important in business. Advanced tracking features have been adopted to give customers real-time information on where their goods are.

These best in class features help companies gain the competitive advantage with lower costs and increased productivity. The resulting higher quality of service, will help gain new clients and retain existing ones.  If you would like more information as to how to gain the competitive advantage with your logistics processes, please contact Allyn International at sales@allynintl.com or 239-489-9900.


Allyn International Services, Inc. (Allyn) is a privately-owned supply chain management, tax and customs consulting firm established in 1992. Services comprise of supply chain & logistics management, global trade compliance and US tax compliance. Allyn offers customized solutions to meet your global needs with offices in Fort Myers, Fla., Shanghai, PR China, and Prague, Czech Republic

 

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