|By Barlow, Rick Dana|
What are the bends and curves you may be missing along the way?
Âsk a Supply Chain executive savvy on current events how he or she might improve freight management performance - including inbound and outbound shipping - and they might start singing, "Send in the drones," to the tune of a popular
Aside from indulging in childhood remotecontrol vehicle fantasies the specter of managing freight effectively and efficiently is nothing to smirk about, dismiss outright or postpone passive-aggressively. Procrastination and denial do not allewate the pressure or silence the alarms when the monthly expense reports land on your desk for comparison to the budget figures.
Bottom line: There's a lot that product manufacturers, distributors and shipping companies get away with. Generally and typically, iTs all legal . But if you don't red-flag it or raise questions about something it morphs into a sacred cow that becomes standard operating policy - a revenue drain for the provider but a profit generator for the supplier or shipper.
What to do?
HPN: What are some of the key freight management trends for healthcare organizations?
Security: Products are becoming increasingly more expensive, more complex and of higher value to an organization. In order to provide the level of product security needed on these critical items, organizations are looking at tightening up the control to ensure the products that they are shipping and/or receiving are protected against several factors including, fraudulent or counterfeit products, chain of custody and unregulated industries causing unnecessary increase in product cost.
Cost: Changes in regulations in conjunction with the economy have seen costs for shipping to skyrocket over the last few years. As organizations grow, complexity is added to the supply chain and therefore making it more of a challenge to manage the cost of shipping and receiving. As the organization grows you must also recognize other costs associated such as labor, supplies, etc. Each of these has an impact on the bottom line and can increase your costs as a shipper or the costs passed to the receiver.
Loss and/or shrinkage: Many organizations must be very cognizant of product loss and product shrinkage through theft. Loss can encompass several factors due to damage, misplacement, expiration and spoilage. Each of the above can be mitigated through use of technology and providing access to items to those with actual need and restricting those that do not. Technology will allow for effective tracking of items, checking equipment out to personnel and/or departments through bar coding or the use of
Supplier/Vendor management: Organizations are becoming more and more aware of their options and control they have over the process. Many organizations recognize their lack of knowledge and expertise in freight management. They need assistance to help with the convoluted path to reduced cost and increased savings. To that regard, they partner with vendors such as