Transport Tenders: What you need to know to stay ahead in the game
Outsourcing transportation is in the current supply chain landscape a very common practice, but how can shippers find the best logistics service providers. And how are you going to manage your Transport Tenders?
Transport Tender and outsourcing
In this blog, we are going to answer that very question. Since running your own transportation fleet is no longer a profitable practice for most shippers, transportation is outsourced to logistics service providers. But selecting the right carriers (logistics service providers), negotiating complex transportation contracts and finding the best prices can be very burdensome to many.
Because driving down logistics costs is not the only, ultimate goal in transportation nowadays, the outsourcing of transportation is a tricky path with plenty (hidden) pitfalls.
‘Potential pitfalls include sourcing the right partners, comparability challenges, and requirements in the area of compliance and auditing. How many carriers should you partner with? How do you pick the best service for each different region and transport mode? To answer these questions, most companies opt to call for a tendertool.ahabr.tech.’
Most companies run logistics tenders once a year, air freight contracts two times per year and ocean contracts four times currently because of the rate drops in the sea freight industry.
Transport Tenders: Are you still sitting by the phone?
The management of Transport Tenders and awarding of carriers is easier said than done. This process requires a lot of thorough preparation, data collection, and communication with external parties. Therefore, most companies rely on IT-solutions for freight tender management. The degree of automation and the need of external help varies strongly among these solutions. According to a blog from AEB, there are currently three options for shippers:
1. Simple tools for basic needs
2. Automation for more complexity
3. Online platforms as an additional option
Transport Tenders: Plan your Succes
Richard Groenendijk, General Manager of AEB Nederland, recently posted a very useful tendertool.ahabr.tech plan to prepare, manage and finalize your Transport Tenders.
Freightender: Transport Tenders in the cloud
To learn more about Freightender Freight Sourcing, please take a moment to view the video below here and learn about the Plug and Play functions our cloud-based Freight Tender Platform offers.