12/14/2021 17:03
Freight
Forwarding is the coordination and shipment of goods from one place to another,
and yes, that is the clinical version.
One of
the key pieces of this coordination is a Freight Forwarder. Think of a Freight
Forwarder as a travel agent for freight. Most Freight Forwarders have offices
and/or agents strategically located around the world to collect and receive
freight and make the arrangements for travel.
If you
plan on exporting or importing your product, you will need the help of a
professional to navigate the laws and regulations of the respective countries,
this is one of the areas an international freight forwarder plays a key role.
This includes knowing and understanding local laws and regulations concerning
import/Export freight Freight Forwarders can act as an intermediary between you
and the various transportation services that are required to move the product
from origin to destination. They may include:
Ocean
Cargo Lines Railroad and Intermodal 3PL and Warehousing Services Local trucking
and cartage
Not only
do Freight Forwarders have the knowledge and the carrier base to move your
freight, they also have the necessary licenses to do so.
When moving
freight by air you must use a forwarder with an Indirect Air Carrier (IAC)
designation. This license and training are required before you can put any
freight on an airline. Working with the right Freight Forwarder is a key step
to providing your company access to the “World Economy”.
A 3PL
provides logistical support for its clients through various delivery options.
3PL's
work closely with Freight Forwarders as the initial stop for an inbound product,
whether that product is Domestic or International. By utilizing a 3PL,
manufacturers, and product owners are able to position their products in
strategic locations around the world to reach their customers in a much more
cost-efficient and timelier manner.
One of
the biggest changes in the last twenty years is the relationship between the
Freight Forwarder and the 3PL provider.
Twenty
years ago freight would typically travel to a company-owned brick and mortar
location. Not anymore, now 3PL's give manufacturers and product owners presence
anywhere in the world without having to pay for and maintain costly operations
of their own.
-
Receiving Warehousing and Storage
-
Shipping Fulfillment Distribution Cross Docking
- Value
Add Services (VAS)
As the
World Economy grows beyond the borders of state and country, it is critical for
these two links in the supply chain to work together.
When
looking at the supply chain, the first and last link in the chain is the local
transportation, and for the customer, the most visible.
The
company you use for these local moves may be the difference between retaining a
great customer or losing them to competition that has a local agent that
provides better service and is more dependable.
- Air
Freight/Cartage
- Ocean
Freight/Intermodal (Drayage)
-
Intermodal Rail Containers
- Full
Truck Load (FTL)
- Less
than Truck Load (LTL)
- Local
P&D
Too often
we see a tremendous effort along the supply chain from origin to destination,
to see the last link in the chain, the local carrier fail to deliver the goods
on time or in good condition. All of the hard work and effort that went into
handling this customer's goods has now been lost and unfortunately will be the
only thing remembered by the customer at the end of the day.
It is
hard to place a numeric value on what it means to work with a dedicated and
dependable local transportation company, however the simplest way to think
about it is a happy customer is a repeat customer, and that speaks right to the
bottom line.
When the
Origin, Shipper or Consignee has limited facility space or is working on a
large order, they often need a secure warehouse solution to help them hold and
consolidate shipments prior to or after travel.
Often
this work is handled by the 3PL or Local Transportation provider, and if you
are lucky, that company is one in the same.
The old
model of manufacturers and product owners maintaining not only manufacturing
space, but vast amounts of warehouse space to handle the ebbs and flows of
their business is changing to a model of maximizing existing space for
production and outsourcing the storage of products and materials to a local 3PL
or warehouse provider. By making the space they have work for the better by
adding more production, as opposed to the handling and storage of raw and
finished goods, it is often a much more cost-effective option, one that they
would utilize with the right local partner.
-
Adequate space to handle peaks and lows in business
-
Qualified personnel to handle all types of products
- 24hr
monitored security systems
- Full
video monitoring on the interior and exterior with minimum 30 days retention
-
Software systems (WMS and TMS) to manage and provide visibility of the product
from anywhere in the world
- For Air
Freight, TSA approved personnel and facilities Customs bonded
-
Transportation between Customers facility, Airlines, Ocean Terminals, FTL/LTL
providers, and warehouse
- Necessary freight handling equipment and storage racks
By having
a good local transportation provider that can offer supporting warehouse
operations, you can put yourself in a position to say yes to more opportunities
and increase your sales pipeline, and ultimately your bottom line. Just take
note though to partner with the fully compliant trucking company.
If you want to connect with a pool of DOT-compliant trucking companies, we at Labworks USA have a network of professional, experienced, and fully DOT and FMCSA compliant transportation and logistics companies.
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