The New Silk Road: Have You Evaluated Your Freight Options?

TMC

suppliers of frozen chicken to Kazakhstan began shipping product via the Black Sea and onward through Georgia, Azerbaijan, and across the Caspian Sea, to bypass trade restrictions imposed by Russia. Even though the cost of shipping a container by rail can be more than double the cost of using sea routes, for certain products the higher cost can be offset by reductions in inventory costs. Source: World Economic Forum, [link].

Complex costs of transportation

Supply Chain Movement

To anticipate and respond to high customer demand, a modern Transportation Management System (TMS) needs to optimize inventory allocation. By consolidating at the source, several shipments can be combined into one, thereby reducing the number of shipments even before the shipments arrive at the Logistics Service Provider (LSP). A TMS with inventory allocation enables shippers to monitor shipments down to the package level. Azerbaijan.

10 questions about the benefits of S&OP for your organisation

Supply Chain Movement

For one company the added value will lie in avoiding running below capacity and in reducing inventory while for another it will be the controlled scaling up of new products and services, but it always revolves around being able to anticipate and adapt the chain to developments in a timely and integral manner in order to achieve the strategic objectives. However, there must be consensus within the organisation about definitions and the right source of information for important reports.