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The Importance of Logistics Data

Logistics data is a very important source of information used for evaluating all major Key Performance Indicators (KPIs). It may also play significant role in assessing the commercial aspects of the logistics. A significant competitive advantage can be gained by maintaining a consistent data set as it will show, over time, targeted areas for cost reduction as well as identify savings opportunities.

Logistics data should be used for analyzing logistics costs, mode benchmarking, landed cost analyses and simple breakdown of mode, carrier, etc. by region.  The examination of this data first requires a look at historical data.  The ability to obtain the data from a client is critical in order to determine current supply chain situation as well as future needs and savings opportunities. 

Clients can be reluctant to provide historical data to transport management providers for several reasons including confidentiality or access / inconsistent data.  All data, including transportation information, should always be treated with the utmost sensitivity and confidentiality.  In addition, any information provided to another party should include a signed non-disclosure agreement so terms of the exchange are clear.

Another one, and often even more difficult to overcome, is inconsistent data or no data available due the lack of software or unused software. The logistics data could be kept in simple, manually filled-in, Excel tables. The data usually contains a high number of mistakes and moreover tends to be incomplete, which makes an overall analysis nearly impossible. In certain cases the data are non-analyzable, pushing toward alternative paths of requesting the logistics data individually from incumbent carriers or making an audit of the freight invoices. This way of working is certainly very demanding and time-consuming for all parties. 

One thing is clear – logistics data is important for any supply chain.  It is important historically, as well as obtaining and consistently maintaining current data to evaluate performance and savings.
For more information about analyzing your transport data, contact Allyn International at


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