The role of Reporting in Strategic Logistics sourcing

Infographic: 23 roads to strategic reporting in logistics sourcing

In today’s transportation world, logistics sourcing is more than just about price. But how do shippers put together a transportation and supplier sourcing strategy that will earn them the capacity that they need at a price that works for all parties involved?

The current supply chain environment is forcing global procurement teams to scout the best possible suppliers in order to squeeze as much value as possible out of their transportation network.

As Patrick Burnson, Executive Editor of Logistics Management pointed out earlier this month, a strategic logistics sourcing solution has never been more rewarding and necessary for global companies.

“Transportation sourcing, including carrier contract negotiations, is a complex, large-scale function, and often not well supported by a transportation management systems (TMS) or enterprise resource planning (ERP) suite.”

Strategic logistics sourcing

Logistics Sourcing complexity

But the complexity involved with logistics sourcing does not limit itself to just technology. Procurement strategies also depend on transportation mode and the specific requirements of shipments, such as:

  • Full Truck Load (FTL)
  • Less than Truckload (LTL)
  • Air
  • Ocean
  • Multimodal

Solid Logistics Sourcing Technology

Price is not the only concern when looking at transportation management, logistics buyers need to pinpoint non-price bid information from logistics service providers to ensure that the selection / awarding is actually strategic, low-risk and not just price-based.

According to Andrew Bartolini, chief research officer of Ardent Partners, the goal for best-in-class organizations is to achieve 95% spend classified with 95% accuracy. And the only way to achieve this is to implement technology.

“Technology is the underpinning that supports the process and people so that the organization can become best-in-class,” says Bartolini. “Without solid technology, sourcing organizations can only hope to reach the ‘reactive’ stage of development. If you’re doing offline sourcing today, then you have to strip out the word ‘strategic.’”

Logistics sourcing

Freightender Strategic Logistics Sourcing

At Freightender, we understand what logistics / procurement professionals need nowadays. The ability to easily export (raw) data and run comprehensive analysis are just a few of the cornerstone on which our logistics sourcing solution is built.

Freight transportation management is more than just about price. Simplicity, flexibility, visibility and intelligence are the 4 magic words. We at Freightender have put the complexity in the background, so procurement and sourcing professionals can focus on their core job.

With Freightender, there are three ways you can run your freight tendertool.ahabr.tech analysis.

  1. Quick views
  2. Standard Reporting
  3. Power scenarios

Freightender automatically runs freight sourcing analysis based on the rate cards created in the freight tendertool.ahabr.tech creation.

logistics sourcing
With Freightender, there is no need to create lanes, our freight sourcing tool will automatically support you with that while creating market conform rate cards. This means no re-negotiation after Freight Tenders because your rate cards are always 100% solid and never multi-interpretable. All the rounding rules, business rules, weight brackets are set. Measuring quality service is easily customizable using the questionnaire tool.

 

 

Pieter Kinds

Pieter Kinds

CEO Freightender.com

Freightender is the standard in freight tendering. It makes the tender process lean, smarter and much faster. 
Fully cloud-based. Curious? Request a free live demo and join the Freight Tender Revolution!

Schedule Demo Freight Sourcing

Schedule Demo RFQ Management

How shippers and forwarders can streamline the freight tender process

In the forwarder world, there are a lot of people you typically don’t deal with as a shipper yet they are handling and responding to your tender: tender managers, pricing managers and pricing analysts. Their job is often performed under high pressure from the outside...

Freightender and Portrix Logistic Software partner to empower freight forwarder tender teams

Sep 28 2020 at 09:23 AM In 2020, the need for digitization in logistics has really accelerated and this is especially true for the freight forwarding community. One of the main areas of focus for forwarders is how freight tenders are being managed today– often a...

Freight Tenders: 5 crucial tips to ensure carrier engagement

Freight tenders are not only dependent on solid freight data (historical data). The willingness of carriers to participate in freight RFQ's is a big factor as well. In this article, we share 5 vital tips to increase carrier participation in your freight tenders. The...

Digitize logistics procurement: 5 Reasons to act NOW!

Many companies are now developing strategies to buy freight in a more digital and efficient way, creating a new structure for a lean and innovative way to logistics procurement. What are you doing? More and more forwarders discover areas for optimization and...

E-Sourcing freight checklist: What is logistics looking for?

Despite the fact that the procurement and transportation sectors are slow adopters of technology, the rat race has already begun. Many companies are inquiring the platform provides full visibility all the different steps in the project and the timing associated....

Spot bidding: what to expect in Q3-Q4 2020?

Decisions made in logistics and supply chain always have had a strong impact on a company's bottom line. It was, is and always will be a major factor to accomplish competitive advantage in any industry. One of the decisions enterprises confront is the question of...

State of logistics procurement in EMEA
(and where the market is headed)

We want to give you a short overview of what is happening in the world of logistics procurement from our perspective. LTL/FTL Freight The market has dropped enormously for most carriers. Estimates go from 50 to 80% of the business. Most shippers are holding off on new...

Why forwarders and carriers are pricing transportation into oblivion

Carriers are pricing transportation into oblivion Pricing, quoting, answering to transport tenders, whatever you call the process, is a highly underrated process within many forwarder and carrier organizations. It is a process that is subject to shared...

5 simple freight tender tips for 2020

5 simple freight tender tips for 2020 The logistics market is ever evolving and has never been more dynamic than in 2020. Globalization, digitization and political events such as Brexit make that logistics professionals need to be on their toes to ensure ongoing...

How do you rally your carriers around your freight tender?

How do you rally your carriers around your freight tender? For many, shippers and carriers alike, freight tenders are a necessary evil, yet one has to put in full effort to get satisfying results. Often this does not happen and tenders are not complete, are stretched...