Is your shipping fragmented amongst different systems? Do you realize it could be costing you hundreds of thousands of dollars?
A Logistics News article, “The 10 Indicators You May Need a Multi-carrier Shipping System“, speaks to a major problem that many companies face. Reason #6 is “Fragmented parcel processes and automation through multiple departmental solutions.”
Here is the problem: companies have a sophisticated intelligent parcel shipping system in the warehouse and they don’t use it throughout their company. The front office processes overnight envelopes using the carrier’s website. The mailroom has a carrier’s free shipping system. The corporate office uses a different carrier system. The process for shipping is fragmented throughout the organization.
The result is that nobody has a handle on all the shipping costs and huge sums of money of money are wasted. I have seen many examples where the warehouse manager or VP of logistics has negotiated a great discount from a carrier for the warehouse and other offices of the same company are paying 50% more to ship with a different carrier. One hand doesn’t know what the other is doing.
According to the article, “The total savings opportunities from gaining visibility to these volumes across the enterprise and optimizing decisions about the best shipping method can be huge, and often much more than anyone in the company fully understands. Savings in the hundreds of thousands or even millions of dollars per year are not uncommon for large companies.”
The solution is to utilize shipping technology that can work with your entire company, regardless of location.