The Real Cost of Dwell Time at the Warehouse and Its Impact on Transportation Spend

Posted by Port City Logistics on Nov 10, 2021 12:12:28 PM

Poor warehouse management can have a disastrous impact on transportation spend and brand reputation. Inefficiencies in the warehouse amount to inefficiencies in managing the dock, and excessive dock delays contribute to excess surcharges in freight spend. Dwell time is no one’s friend in logistics, and it’s going to cost much more than many people realize as demands on the industry increase. Unfortunately, dwell surcharges do not necessarily reflect the full scale and scope of cost increases that may arise from added delays. Let’s take a closer look at what this delay really is, how it affects downstream transportation, and why a top-quality provider of warehouse and drayage solutions can help.

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Topics: dwell time

Shrinking Warehouse Space for Imports Solved: Leveraging a Partner Built for Import Storage

Posted by Port City Logistics on Nov 4, 2021 11:16:28 AM

Increasing demand for warehousing space conveniently close to major ports and accessible by shippers and carriers has become a significant concern in the last half of the year. This crunch in warehouse space and rising demand is primarily driven by the growth of e-commerce shipping and the surge of ocean freight containers (primarily from China)  hitting U.S. ports across the country. Meanwhile, drayage service is in high demand, and the rest of OTR trucking faces stronger demand too. Such pressures lead to tighter capacity and higher costs, which increases rents and fees and creates a much more competitive environment for shippers and carriers. This demonstrates why import storage and warehouse space procurement remain key to the supply chain.

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Topics: Warehousing

Supply Chain KPIs for Importers to Track: Drayage Costs, Turn Times, Fees, OTIF, & More

Posted by Port City Logistics on Nov 2, 2021 12:50:12 PM

Many shippers mistakenly confuse “supply chain KPIs” and “metrics,” using them interchangeably when there are distinct differences between the terms. While all KPIs represent metrics, not all metrics end up as KPIs. A metric simply refers to a specific data point for shipment operations. A KPI, by contrast, refers to a metric derived from data and analysis that points to a company’s key business objectives. Managing a diverse freight carrier network is a vital aspect of transportation management. Having a diverse carrier network made up of multiple delivery modes remains key for supply chain stability, but it is critical to monitor the following KPIs to ensure your overall performance is in line with stated goals.

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Topics: Supply Chain Efficiency

On-Time Delivery KPIs: How to Improve This Key Metric

Posted by Port City Logistics on Oct 26, 2021 8:56:15 AM

Maintaining a commitment to safe and on-time delivery to customers with fast turnaround times lies at the heart of e-commerce transportation and shipping services. According to a study by Accenture, "The pandemic greatly accelerated online commerce growth. During the lockdown, the percentage of all brands' sales that were made online nearly doubled from 34% in 2019 to 65% in 2020. Of those online sales, a higher percentage came through marketplaces (38%) than brands' online stores (27%). But, that 27% is quadruple what brands sold through their sites in 2019." Almost every importer will have to deal with shipment delays at some point. Knowing how to mitigate delays and monitor shipping KPIs can help shippers improve on-time delivery. 

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Topics: Ocean Freight Shipping

5 Reasons to Outsource Warehouse Inventory Management and Replenishment

Posted by Port City Logistics on Oct 21, 2021 8:51:33 AM

Warehouse inventory management can enjoy a significant boost in productivity with access to outsourced services and tools. In most cases, inventory management companies with medium and large warehouses are conveniently located in areas that have easy access to interstate highways, ports, airfields, trucking hubs, and more. In addition, these facilities usually come prepared with trucking fleets and all the required equipment needed to transport various goods. Rather than struggling to make everything fit into one management system and building a single warehouse management system to manage inventory, outsourcing to third-party platforms allows for broader access and a greater variety of tools to be utilized. And according to Gartner, “More businesses are looking to outsource fourth-party logistics (4PL) than ever before, with 42% of respondents to Gartner’s Logistics Outsourcing Survey and Analysis looking for providers that can design, build, run and measure logistics functions.” Inventory assistance with bonded warehouse management for the modern warehouse system is best managed by outsourcing for the following reasons.

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Topics: Warehousing

How to Reduce Shipping Container Shortages with Faster Turnaround Times

Posted by Port City Logistics on Oct 19, 2021 8:56:11 AM

As the recovery from the global pandemic continues, there is plenty of talk about capacity shortages, driver shortages, inventory shortages and all manner of other deficiencies throughout the international freight chain. One thing not mentioned often enough is the growing issues of shipping container shortages in many regions. Shipping containers are the lifeblood of world trade as every item, product, or part that ships out gets loaded into a container. However, recent trends and habits among shippers and carriers have led to extreme shortages and delays. As reported by The Washington Post, “The worst choke point is in Southern California at the ports of Los Angeles and Long Beach, where 62 container ships carrying toys, electronics, furniture and other goods lie at anchor waiting for an unloading berth. The floating queue, virtually unknown before the coronavirus pandemic upended global supply chains, has doubled since mid-August.” 

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Topics: Ocean Freight Shipping

Why Expert Carriers for Dray Loads Helps Shippers Reduce Costs

Posted by Port City Logistics on Oct 14, 2021 9:43:00 AM

The part of ocean freight transportation known as dray loads, in its simplest form, refers to the movement of freight from an ocean port to an inland destination. These moves often fall within 50 miles or less of the port. The focus for drayage services involves taking containers to rail yards or onto trucks for transportation to local distribution hubs and warehouses. There, the containers are unloaded, sorted, segmented, and routed to the next leg of the trip to their final destination. When shippers work with expert carriers who bring familiarity and proficiency to the craft, the entire process from start to finish becomes much more streamlined and profitable. 

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Topics: dray loads

What Is a Hub and Spoke Distribution Network Model

Posted by Port City Logistics on Oct 12, 2021 9:50:09 AM

Adaptability and scalability have long been the name of the game for the supply chain industry but more so now than ever before. The hub and spoke distribution model offers many benefits that can streamline the entire shipping and transportation process for companies of all sizes. Understanding the inner workings of this model and how to maximize its full potential can provide a competitive advantage that opens doors to continued growth and success.

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Topics: hub and spoke distribution

Gain Control: In 2022, Warehousing Goods Shouldn't Stress You Out...Here's Why

Posted by Port City Logistics on Oct 5, 2021 8:39:49 AM

Warehousing logistics and port drayage management are critical for smooth shipping and transportation services. Transportation capacity challenges have caused many companies to struggle with securing enough truck, ship, and aircraft space to accommodate higher consumer demand. According to GlobeNewswire, transportation and warehouse capacity likely will stay in high demand as e-commerce trends continue to drive market capacity. This tight capacity is expected to keep warehousing utilization and prices high until a way to increase capacity and availability emerges. This causes backlogs and warehousing logistic nightmares as inventory loads sit waiting to be shipped.  Managing goods and organizing inventory should not cause stress, and 2022 doesn't have to go the same way as 2020 and 2021. Let’s consider why and how technology and the right partner for drayage, warehousing, and truckload brokerage can boost overall logistics optimization for 2022.

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Topics: warehousing goods

The 3 Pillars of a Great Transportation Brokerage Partner for E-Commerce Importers

Posted by Port City Logistics on Sep 30, 2021 10:59:16 AM

E-commerce is one of the fastest-growing shipping truckload segments of the U.S. economy and has seen continued growth and expansion for the past several years. Consumer habits continue to change and adapt while the power and versatility of the internet fuel e-commerce as people make more and more purchases online. According to the latest report from the U.S. Customs and Border Protection, transportation brokerage services are essential to accommodate these growing trends: “Advances in economic activity have led to increasing volumes of imports of small, just-in-time packages, creating inspection challenges. E-Commerce shipments pose the same health, safety, and economic security risks as containerized shipments, but the volume is higher and growing.” But even in that case, customs experience is only a portion of the factors setting winning brokerages in e-commerce apart from the laggards. Furthermore, one of the easiest ways to account for shifting market trends and consumer demands involves partnering with a skilled and experienced broker to help transportation companies manage and monitor the supply chain network more efficiently. And that begins with identifying the three essential pillars or qualities of service to look for when selecting a brokerage for your import needs.

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Topics: transportation brokerage