Finding Labor Inefficiencies in Transportation and Supply Chain Operations


Reading Time: 2 minutes

The flow and complexity of transportation and supply chain operations implicate many improvement points managers can address. This creates endless opportunities to improve customer service, employee satisfaction, and profits. This article will emphasize actions to help find labor inefficiencies in transportation and supply chain companies.


By João Ricardo Gubolin, Chief Business Development Officer · January 27, 2023.

Tasks’ Duplicity

A significant labor inefficiency in transportation and supply chain is task duplicity. This is common in workflows that are still not digitized. An example is a driver schedule that is done on paper, printed and posted on a board, and copied on paper again by employees. A simple solution to eliminate this duplicity is a scheduling cloud solution. This enables managers to edit and post real-time schedules to drivers, who can then access the schedule on their mobile devices.

Tasks’ Duration

Similar to tasks’ duplicity, lack of technology can make tasks take longer than they would if they were digitized. An example of this inefficiency in transportation and supply chain is calculating shipment labor costs. When companies rely on spreadsheets to calculate services’ fees and margins, calculating labor costs, mileage rates, and fuel surcharges is laborious. When companies have all those costs and rates organized and updated on software, doing shipping estimates without losing track of margins becomes less risky. Moreover, operations now require less overhead to manage the business, allowing companies to do more with less, ultimately increasing profits.

Conclusion

Transportation and supply chain complex workflows result in endless opportunities for efficiency improvements in operations. In companies with low software adoption in their processes, its use can often significantly reduce labor costs when digitized tasks are more agile than manual ones. An inventory of employees performing tasks in duplicity unveils hidden labor costs that, when eliminated by technology, can improve customer service, employee satisfaction, and profits.

Please let me know what your thoughts are in the comments section below. If you enjoyed this reading, leave a like, and share this article with someone who may find it helpful.


João Ricardo Gubolin is the Chief Business Development Office of Ghubee.

Ghubee is a platform specializing in trucking logistics APIs, integrations, and intelligent systems. Our focus is to automate the communication-integrated systems of vehicles through next-gen networks, AI and machine learning, IoT, big data, cybersecurity, and 5G in the best possible way and at the lowest possible cost. Expanding a company’s culture to new technologies is necessary to remain in the current market. In addition to reducing costs and increasing productivity, integrating digital services into the organization’s systems is essential in the new economy. To schedule a free consultation, click here or visit https://ghubee.com.

#transportation #supplychain #trucking #logistics #logisticssoftware #logisticstechnology #technology #efficiency #software #projects



Leave a Reply

%d