For third-party logistics providers (3PL) and freight forwarders, technology has the potential to deliver value beyond their wildest expectations through data-driven insights and intelligence. But many businesses have little or no process in place to use technology to deliver the maximum value.
Without a process in place, businesses are likely missing opportunities to leverage data-driven intelligence and insights from technology to optimize their working. Understanding the value that technology can provide will help 3PL providers and freight forwarders establish a solid groundwork for realizing their potential and help them ride the future wave. It can encourage and drive them to leverage analytics and insights to highlight that value, and ensure that such relationships are optimized to support business needs.
There is a deluge of data in the market today as companies of all sizes across the supply chain are taking steps to capture as much data as possible. It has rapidly become an out-and-out digital race. However, the focus is more on capturing data than on garnering the ability to systematically categorize and analyze that data to generate meaningful insights. The companies that are moving from mere data capturing to effective ways of analyzing and leveraging are able to raise their competitive edge and provide a distinctive service offering to their clients.
3PL providers and freight forwarders by the very nature of their services have need for access to valuable historical information relating to their business. If they can supplement this data with additional insights and intelligence it would give them the power the need to rip thorough the competition. The high value inputs that predictive analytics provide allow them to drive freight optimization and provide a distinctive service to their clients based on real-time information.
The insights derived from leveraging data can drive efficiencies, increase speed, lower cost, and reduce delays resulting from errors. Such insights can help 3PL providers and freight forwarders make more informed decisions, leading to more efficient freight movement
Using technology to deliver value to clients is within the reach of companies. The availability of single software to manage all logistics needs has opened up the gates to companies meaning to take advantage of the benefits data-driven insights offers.
As the business environment grows more competitive, companies should look to data-driven insights that can go a long way toward helping them continuously elevate their competitive position in the market.