The year 2021 has turned out to be kind of deceptive for freight forwarders, providing its share of surprises especially for those who were ill-prepared. The year brought challenges in the area of matching container demand. The second wave of the pandemic caused a spike in medical supply demand. The Suez Canal incident further complicated operations.
Agile forwarders that were badly hit took steps early to recover and prepare for the next disruption by adopting technology. Those averse to investing in growth simply snoozed the chance to bring about a difference.
Procrastinators may not have incurred losses but lost several development opportunities. In an environment of fierce competition, forwarders prepared to take on a challenge and turn it into an opportunity have the edge.
Disruptions can knock down even the best of planners. And this is more so for those without a plan or a system, as they are guaranteed to be swept away by the tide. For forwarders, there is no breather from the challenges even as they must make sure their priority task is to secure their company’s growth amidst the hurdles.
Between handling disruptions, managing growth, and keeping customers satisfied, automation and technology are a godsend. Heightened awareness of your company’s operational and financial health along with the capacity to monitor industry trends is the key to turning unplanned events into growth opportunities. To be better prepared for a successful 2022, let’s explore what we can do.
Serving Quality to Tech-Savvy Customers
About a decade ago, shippers or consignees would only get to know about the shipment once it was delivered. Today, it is vital for shippers, consignees, and you as the business owner to get the latest detail on all activities.
Today, customers are tech-savvy and expect answers in a jiffy. The simple equation is that if you don’t have the data, you can’t pass it on to your customers. Freight software unfolds the complexities and makes it simple to view and share milestone updates.
Optimizing Routes and Shipment Planning
A freight forwarding process consists of many activities. But in condensed form, it means facilitating the movement of cargo from one point to another.
To bring efficiency to cargo movement and cost optimization, complete visibility is a must. Bringing down the cost per shipment could mean working out a dozen permutations. And without technology, when you’re faced with disruption, managing daily operations, let alone optimizing them, becomes challenging.
Forwarders with the best freight software are equipped to deliver exceptional service even amid disruptions. Data collected from various touchpoints is converted into meaningful reports that provide you:
- All shipments under progress
- Profitability for each route
- Daily status report
Facilitating Faster Payment Reconciliation
Forwarding is known to be extremely lagging in receiving payments. The reasons go beyond industry trends and have much to do with reconciling accounts receivables and payables.
With freight management software, all transactions are recorded and can be viewed as on-demand reports.
The advent of digitalization has accelerated the number of contactless payments. It has also introduced visibility and transparency in financial transactions. Apart from enabling P&L (profit and loss) and other accounting reports, technology has encouraged quicker payments realization.
Decreasing manual effort by introducing automation and streamlining operations will enable you to handle unforeseen situations. Incorporating technology into your processes enhances your capability as a freight forwarder. Picking the right software for freight can provide steadfast support at all times.