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Tips Before Starting an Import/Export Business

excelsior on November 15, 2019

Tips Before Starting an Import/Export Business

Setting up a business is not a simple task, let alone offering products that can reach more people on an international scale. If you’re an aspiring entrepreneur looking to plunge into the tough competition of foreign commerce, you must be equipped with adequate skills and knowledge in order to survive.

Running an import-export business is now much more convenient than before with the advent of modern technology. The use of the internet to communicate with customers has become commonplace and the learning curve in managing different operations mostly requires competent organizational skills.

While you don’t have to be an expert in this kind of industry, it is still a necessity to be aware of certain things that can optimize your chance of growth as well as minimize the effects of potential risks. The possibility of failure is always present in any form of business, so you should always pay attention to every detail.

Here are some of the best tips that can help you when starting out an import or export business:

Consider Your Products

Since you will be taking on an import-export trade, the products that you’re going to sell can become the X factor for fate of your company for the following years. Think carefully when deciding which product should you sell and be sure to stick with it. Once you figured out the best products for you, use your judging skills to know whether these products are worth your investment or not.

Always keep these two important questions in mind:

  • Do people want those products?
  • Do you know how to sell it properly?

If you are confident that your products can become something that is sought-after by many people across cultures and you know at least the fundamentals of selling it properly, then you now have a set of products to sell.

Find Your Target Market

So you already have some products to sell, and the next problem you need to solve is how you can find the people that are more than willing to buy them. Those people are your customers, your target market. Identifying them from a specific country can be a herculean task, so you’ll be needing extra time and probably a hand to do this the right way.

Prepare in-depth research regarding the latest market trends of the particular location where you desire to offer your products. There are several agencies that can do this for you in case you have a pretty hectic schedule.

Set up a Website and Develop an Online Presence

Creating a website provides your company and your products the needed exposure for online users around the world. Take advantage of multiple online platforms to market your products especially your target market. Be responsive to customer feedback and complaints and establish an online community that can enhance their loyalty and ultimately accumulate sales for your company.

Amp up Your Logistics Connection

One of the most challenging things that your import-transport business will have to overcome is making a solid system or plan on transporting your products. With a bunch of legal processes that concern your line of profession, you must be ready to outsource services in logistics. Take for example freight forwarders. Hiring a freight forwarding agency can significantly lessen your load of tasks in complying with customs requirements and other legal processes. They can even help you find the best carrier so that you can cut down your expenses in shipping.

Excelsior Worldwide Freight Logistics conducts free orientation for those who are willing to learn. It is our advocacy to share our knowledge & experience worth more than a decade in the business. Visit our website today at www.excelsior.ph to learn more about our service.

 

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5 Questions a Logistics Expert Might Ask You – Infographic

excelsior on October 31, 2019

Given the scenario that you’re a business owner looking to ship your goods from coast to coast, you will definitely need someone that can guide you through the process. Requirements that are needed to transfer your shipment could further encumber your already busy schedule. What’s even worse is that unchecked cargo could lead to delayed arrivals and other similar problems which could bring detrimental effects to your supply chain.

Fortunately, you have one option: hire a freight forwarder. In case you don’t know what freight forwarders are, they can be an agent or a company that offers services such as organizing shipments in place of their clients. They always make sure that the client will get the proper assistance they need with all of the customs requirements, other legal processes, etc. They also ensure the safe and timely arrival of goods to its intended destination.

Since they’re dealing with a network of carriers and customs authorities, you should’ve realized by now that freight forwarders are experts in the field of logistics. If you wanted to contact one of them, you must be ready to ask these five questions first so that they can provide you the highest and appropriate kind of service you deserved.

5 Questions a Logistics Expert Might Ask You - Infographic

Question no. 1: What type of commodity you’re planning to ship?

Your chosen freight forwarder will most likely ask what type of commodity you’re planning to ship. Is it something perishable, like fresh meat, fruits, seafood? Or non-perishables such as canned goods, machinery, tools, etc.? Moreover, they will also become curious as to whether your goods are hazardous or requires careful handling and temperature controls.

Question no. 2: What type of carrier would you prefer?

Shipping your goods in air is very different from shipping it in the ocean. The condition of your products (especially the perishable ones) are required depending on the environment of your selected carrier.

Question no. 3: How many cartons do you plan to ship?

Knowing the exact quantity of your shipment is another responsibility of freight forwarders so that they can be certain that all of it will leave point A and will successfully reach point B. You need to be particular in number especially if you have a lot of cartons with different sizes.

Question no. 4: Where are you going to your goods?

Normally, the location would be the manufacturer’s factory. In case you’re going to ship your goods abroad, knowing the location of your shipment’s destination will help a lot in complying with specific documents that may vary from country to country.

Question no. 5: Would you like to stack your cartons on a pallet?

Knowing whether you will stack your cartons on a pallet will enable your freight forwarder to estimate the weight and cubic space that it will occupy. This can help a lot when calculating the total weight and volume of the shipment appropriately.

Excelsior Worldwide Freight Logistics conduct free orientation for those who are willing to learn. It is our advocacy to share our knowledge & experience worth more than a decade in the business. Visit our website today at www.excelsior.ph to learn more about our service.

Pros and Cons of Less Container Load (LCL)

excelsior on October 15, 2019

pros and cons of less container load

Less Container Load, or more commonly known as LCL refers to a type of shipment wherein the shipper negotiates with a consolidator to book his cargo even if it doesn’t contain enough goods to accommodate a fully loaded container. The consolidator will then arrange a full container load (FCL) that comes from different shippers. Freight forwarders usually offer this kind of service by helping their clients book a full container and ensure that these goods will successfully arrive at the destination.

If you’re a business owner trying to ship your goods to reach a higher number of customers, you might want to try LCL. But first, you must be aware of several pros and cons of this specific method of transportation:

Pros of Less Container Load:

  1. Affordability – Perhaps the thing that makes LCL a viable choice amongst shippers nowadays is because of its affordability. You don’t have to pay for transporting a full container load as you are only charged according to the volume or the specific area occupied by your cargo inside a carrier.
  2. More Freedom – Availing an LCL manner of transport gives you access to an array of flexible choices especially on the way of how you wanted to receive your shipment. You are pretty much free to decide whether you wanted to go and pick the cargo yourself from the warehouse or not. There’s no need to wait for any middleman to accomplish such job.
  3. You can Still Enjoy the Benefits of FCL – Since the consolidator you hired arranged your cargo into an FCL, you will certainly enjoy the same benefits. In other words, you will only pay for a specific space while your cargo is being transported to the very same facilities.
  4. LCL can Reduce your Expenses in Inventory Management – Since it’s quite convenient to ship smaller orders through LCL, this transporting option also minimizes inventory management costs so you can focus your precious resources on more important matters.

Cons of Less Container Load:

  1. Consignment inspection can be troublesome at times – Since your shipment will be transported with other goods from multiple consignees, it could sometimes mean trouble. In case one of the consignee’s shipment turns out to be something illegal, expect delays or even cancellation of the shipping process.
  2. Shipping Delays can occur – While the transit time for LCL is similar to that of an FCL, having shipping delays with LCL is still possible. The reason for this hassle is because it usually takes around 1 to two days for the container to be thoroughly processed and loaded.

Despite the few disadvantages of transporting goods via LCL, it can never overshadow the benefits that make it a more popular option for many shippers of different business industries.

Excelsior Worldwide Freight Logistics conduct free orientation for those who are willing to learn. It is our advocacy to share our knowledge & experience worth more than a decade in the business. Visit our website today at www.excelsior.ph to learn more about our service.

 

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5 Ways to Improve Your Logistics Management – Infographic

excelsior on September 30, 2019

Logistics refer to the detailed coordination of a complex operation that involves people, facilities and supplies. In the world of business, logistics is the practice of managing a certain flow of things between the point of origin and point of consumption in order to satisfy the needs of customers and operations.

Many enterprises today tend to pay a lot of attention to the way of how they manage logistics because it basically helps them to increase the value of their business. Logistics have the capability to enhance the merchandise and make the products much more accessible. Additionally, the economy of a country depends heavily on the efficiency of logistics to support the stable movement and flow of many economic operations.

Logistics management is one of the most vital components of business operations as its result often brings a significant impact on the internal processes as well as relation with customers.

Strategic planning and knowledge combined are two of the basic qualities every business leader must have in order to perform excellent logistics management.

To help you achieve such a state where logistics is your business’ primary tool against competitors, here are five ways to improve your logistics management.

5 Ways to Improve Your Logistics Management - Infographic

  1. Keep your inventory intact

Some businesses often made the mistake of putting a large quantity of their stocks in a small warehouse. If your stocks are too many for your warehouse to host, then it might be better to consider partnering with third-party warehousing. Failure to use a suitable facility makes you unable to do efficient inventory management, which may eventually lead to supply shortage and delayed orders.

But if third party warehousing is not a choice for you, it is always better to maintain a sizable inventory at your warehouse as much as possible.

  1. Facilitate dialogue between employees

Character also plays a major role in the success of a business in the aspect of logistics. Establishing deeper relationships among employees promotes a type of mindset that in unity, there is a victory. If you start to facilitate dialogue or healthy conversations with your employees, they will soon be encouraged to do it with each other as well. This can allow them to strengthen their ability to work as a single unit and accomplish their task efficiently and competitively.

  1. Always update your customers

Outstanding logistics management is a way to excel in providing customer service. Once your employees were able to meet the needs and expectations of your customers, it is more likely that your customers will buy more of your products.

If you wanted to amp up your logistics management in relation to customer service, being more transparent on your logistical purchasing processes keeps them more contented and loyal in the long run. This can be done by sending informative emails, tracking numbers, and other information that keeps them well informed.

  1. Provide your employees with adequate training

Members of your staff who regularly manage orders and handle information in a conventional way must be given sufficient training on the more sophisticated and modern methods or techniques. You can discuss this idea with your HR department or ask the software vendor to organize training sessions for your team.

  1. Observe your leading competitors

Though there’s going to be a lot of competition going their way, seeing them as hindrances won’t help you achieve your goal. Instead, you can take a closer look at some of your leading competitors and see what specific abilities and tools they have in order to keep their level of logistical competitiveness high. As a rule of thumb, you can take a note at your competitors:

  • Modern Software Systems
  • Newest techniques and strategies in logistics management
  • Training programs for their staff members

If you wanted to take your logistics management to the next level, take heed of these five tips to ensure that you will maintain competitiveness by organizing your most daunting business processes!

Excelsior Worldwide Freight Logistics conduct free orientation for those who are willing to learn. It is our advocacy to share our knowledge & experience worth more than a decade in the business. Visit our website today at www.excelsior.ph to learn more about our service.

Top 5 Products Exported by The Philippines

excelsior on September 15, 2019

Top 5 Products Exported by The Philippines

The Philippines is a country in Southeast Asia that is rich in natural resources. Several of these resources are quite rare in some areas of the world, which gives the Filipinos an opportunity to earn a living by converting it into products that we export today.

If you’re one of those business folks who are either looking for an ideal line of products to sell in an international scale or in the verge of expanding your business internationally, this article is for you. In addition to looking for a suitable freight forwarding company to keep your supply chain up and going, you must also familiarize yourself in five of the top-selling products exported by the Philippines:

  1. Gems, and other precious metals

As recent as last year, the Philippines was able to accumulate an amount of $1.5 billion in exporting precious metals and gems on international markets. According to records, the leading and most expensive precious metal in the country is gold. The amount of gold exported from the Philippines is ten times greater than the amount spent by importers who bring gold into the archipelago.

Additionally, there is also a growing demand in pearls found in various seas of the Philippines. Those that were produced by the largest immobile bivalve mollusk in the world, Tridacna Gigas can weigh over 34kg and can be a couple of feet long. Filipino pearl exporters earned an amount of $15.3 million by selling pearls globally. As for gems, organic gemstones are also on the rise, with exporters making a million dollars per year.

  1. Fruits, nuts

Examples of fruits and nuts that are widely exported in the Philippines are coconut, banana, pineapple, soursop (guyabano), papaya, guava, calamansi, tamarind, peanuts, among others. Filipino cultivators of these fruits earn a total amount of $2.1 billion, which comprises 3.3% of overall exports from the country. The Philippines is the second-largest coconut user on the world, next only to Indonesia.

  1. Optical, technical, and medical apparatus

Aside from natural resources like fruits nuts, gems, and other precious metals, the Philippines is also a competitive exporter of tools and equipment used in the medical field. Filipino manufacturers of these products gained a whopping $2.2 billion from international buyers around the globe.  Examples of this equipment are:

  • Optical Fibres, Optical Fibre Bundles, and Cables
  • Photographic Cameras; Photographic Flashlight Apparatus
  • Oscilloscopes, Spectrum Analysers
  • Liquid Crystal Devices, Lasers
  • Other measuring or checking instruments and machines

  1. Machinery, i.e., computers

Machinery and computers that are widely used in some parts of the world actually came from the Philippines. These can range from office machine parts, integrated circuits, semiconductor devices, insulated wires, and even whole computers itself. Companies selling machinery and computers in the Philippines earned $9.6 billion in the year 2018 alone.

  1. Electrical machinery, and other similar equipment

Based on the 2018 records, electrical products are still in leading products exported by the Philippines. Even the government acknowledged this fact as the Department of Trade and Industry (DTI) stated that such products are the key exports of the country. The Philippines exported $32.9 billion worth of electrical machinery and other similar equipment which account for almost half (48.7%) of the country’s total exports for last year.

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4 Facts Everybody Should Know About Freight Forwarding – Infographic

excelsior on August 30, 2019

Unless you’re someone involved or directly working in the shipping industry, there’s a fairly small chance that you already heard about freight forwarding. Unfortunately, few people nowadays tend to have a rough idea on freight forwarding, or what freight forwarders do.

Freight forwarding is the practice of organizing the transport of goods for both business and personal use, usually on an international scale. Many enterprises find themselves in trouble when trying to ship their products from one place to another due to a long and arduous process of preparing customs documentation. Fortunately, by hiring the service of a freight forwarding agency, things are now more convenient as they all have the necessary expertise and knowledge in keeping all of those legal requirements in check. Freight forwarders can also help their clients find the most affordable shipping companies as they are well-connected with a wide variety of carriers be it on land, air, or sea.

While this profession seems to be quite too technical to some, freight forwarding isn’t as complicated as it sounds. To give you some healthy dose of knowledge about freight forwarding, here are five things everybody should know about this industry:

4 Facts Everybody Should Know About Freight Forwarding

Fact #1: Freight Forwarders can offer a wide range of services

Aside from the aforementioned freight forwarding services, they can also provide other similar services in order to satisfy every client’s shipping needs:

  • Non-Vessel Operating Common Carrier – Freight forwarding agencies can act as a carrier through the issuance of their own BoL (Bill of Lading), as well as takes full responsibility for the client’s shipments.
  • Breakbulk Agency – A client that transports an LCL (Less Container Load) cargo can sometimes become less of a priority as many carrier companies give more priority to shipments of larger companies. But with the service of a freight forwarder, they can consolidate their LCL by putting together different consignees and turn it into a full container load.
  • Trucking – Some freight forwarding agencies also offer trucking services by delivering the client’s newly arrived cargo to its intended warehouse.
  • Import and Export Requirements Assistance – Freight forwarders can help clients fulfill all the necessary government requirements.

Fact #2: Freight Forwarding can bring a positive impact to a business

There are a lot of ways of how availing the service of a freight forwarder is integral for the continuous growth of a business. Freight forwarding services can optimize the usage of time as they can ensure the timely arrival of the goods including a real-time update of its location and condition. Additionally, using their connections to several carriers, they can make their clients save more money in the long run.

Fact #3: Freight Forwarders comply to specific laws when it comes in shipping certain products

Though freight forwarders are always enthusiastic it catering to the shipping needs of many clients, they are still bound by laws which may restrict their ability from administering the transportation of the following products:

  • Drugs
  • Alcohol
  • Batteries
  • Sharp objects
  • Hazardous chemicals

Fact #4: Maintaining a harmonious relationship with a freight forwarder is an advantage

Remember that in your absence, the only one that can look over your products while onboard is your reliable freight forwarder. Maintaining healthy relationships with them can make you more likely to receive a competitive level of customer service.

Having a reputable freight forwarding agency is highly beneficial for many companies as they could keep the supply chain stable for extended periods of time. If you’re a business owner struggling to comply with all of the legalities of shipping, hiring a freight forwarding agency is the best choice for you!

Excelsior Worldwide Freight Logistics conduct free orientation for those who are willing to learn. It is our advocacy to share our knowledge & experience worth more than a decade in the business. Visit our website today at www.excelsior.ph to learn more about our service.

The Six Most Critical Issues In The Philippine Trucking Industry

excelsior on August 15, 2019

5 Problems that the Philippine Trucking Industry is Facing Today

For the past decades, the Philippines has been undergoing some constant changes specifically in the trucking industry. Many trucking companies responded by allowing themselves to adjust in order to maintain their foothold in the growing competition.

Despite the recent improvements in the Philippine economy nowadays, the trucking industry seems to be on a race of its own, exerting a sense of pressure and urgency for everyone involved especially the drivers. This event leads to the emergence of new problems and issues that continue to bring detrimental effects on the nation’s trucking industry.

Below are six most critical issues that the Philippine trucking industry is dealing with today:

  1. Excise tax on Fuel

Together with the implementation of TRAIN Law in 2018, the Philippine government also added excise tax on fuel. Diesel users such as trucks will receive a 3-tranche increase which will occur in the following order: Php 2.50 per liter in 2018, Php 4.50 per liter in 2019, and Php 6.00 per liter in 2020. Taxes on fuel has the same effects as the oil price hike as it adds further encumbrance on the part of the truckers.

  1. Age Restriction on Trucks

In the latter days of November 2018, the Department of Transportation (DOTr) suspended the implementation that restricts the age limits of trucks to 15 years. Any trucks that are more than that age threshold will be phased out. Though this move by the government is highly beneficial for the industry, future truck phase-outs in other areas of the country are still in danger of this regulation.

  1. Traffic Congestion

While some people might say that heavy traffic means that the economy is currently adjusting as it grows, we can also see it as a double-edged sword. Traffic congestion has a large number of negative effects on the environment, health, and economy of a country in a variety of ways. It could hinder the productivity of truckers as they are forced to waste a significant amount of time. What’s even worse is that it could persuade the government to impose traffic policies such as a city-wide truck ban.

  1. Oil Price Hike

Oil price hike takes place when the cost of oil starts to increase by a certain percentage. There are a lot of factors that influence the oil prices in the Philippines, such as the currency exchange rate, the supply and demand, and the price of oil in the world market. Unfortunately, most trucking companies prefer not passing the cost to their clients, sustaining a great deal of financial loss in the process.

  1. Truck Ban

Several places in the Philippines particularly Metro Manila has already experienced truck bans because of severe traffic congestion. Because of the size of the trucks, the traffic management agencies often put their blame to such vehicles as the real culprit of congestion. Even some motorists have claimed that trucks are the actual initiators of the problem as they are normally perceived as slow-moving the usual cause of car accidents. The repercussions of this policy could endanger the whole trucking industry, as the banning of trucks can affect not only the providers of these services but also the overall Philippine economy itself.

  1. Implementation of Maximum Gross Vehicle Weight (MAGVW)

According to the Confederation of Truckers Association of the Philippines, the biggest challenge that they need to overcome this year is the implementation of maximum gross vehicle weight for the trucks. Though this regulation’s main purpose is to avoid overloading by limiting the weight of the trucks, the maximum weight allowed for truck codes 12-2 and 12-3 (41,500 and 42,000 kg respectively) could be a major problem indeed. This is because the average weight of containers that the trucks usually carry is around 30-36,000 kg, and if the average weight of the tractor head and trailer would be added (15,000 kg), the vehicle will reach a total weight of about 45,000 kg which is already a violation to the law.

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Reasons Why You Should Hire a Freight Forwarding Company Right Now

excelsior on July 31, 2019

Thanks to modern technology, physical boundaries are not the main issues anymore when it comes to building a successful business. Every company must be aware of the fact that shipping their goods on a wider scale requires the skills and expertise of a reliable freight forwarder. These professionals possess all the necessary knowledge in dealing with all outgoing and incoming shipments in ways that can further enhance efficiency and overall productivity.

Many businesses today tend to experience some difficulties in creating a thorough plan for product shipping. Time is a very valuable resource and that’s why freight forwarders can be helpful in this kind of situation. If you’re a business owner and still quite undecided on hiring a freight forwarding company, here are some of the most entailing reasons why you should do so.

Reasons Why You Should Hire a Freight Forwarding Company Right Now

Reason #1: It optimizes your supply chain

Shipping your goods from a specific country often involves the utilization of different carries as well as some knowledge on the shipping laws of two nations. One of the main responsibilities of a freight forwarder is to take good care of everything related to the supply chain of your company.

Reason #2: It ensures that your goods are going to be delivered on time

Ensuring the timely arrival of your goods to its intended receiver is a vital factor to promote your company’s reputation. Fortunately, many freight forwarding firms do utilize the power of technology in order to notify you about the current status of your shipment in real time.

Reason #3: It makes shipping faster and easier

Shipping your goods internationally can make you accountable in undergoing a long and arduous process in the hands of customs authorities. But with the service of freight forwarders, business requirements can become much more bearable as they have a well-established network of agents, carriers, and even some customs officers that allow them to transport freight quicker than you can expect.

Reason #4: It helps you to effectively manage your logistics and prepare essential documents

Regardless of whether you’re still in the verge of selecting your carrier or preparing your documents, a freight forwarder can always help to guide you through. Simply let them know about your shipment’s destination and they can take over all the legalities and formalities that you are supposed to deal with.

Reason #5: Provides your supply chain with a broader network of logistics connection

Hiring the service of a freight forwarding company gives your business access to an expansive network of agents, carriers and customs officials. It means that with more options to choose from, you can determine ideal shipping price, saving you more money in the long run.

With all of the benefits mentioned above, hiring a freight forwarder is a good investment indeed, especially if you’re still starting to gain a competitive foothold in your line of industry.

Excelsior Worldwide Freight Logistics conduct free orientation for those who are willing to learn. It is our advocacy to share our knowledge & experience worth more than a decade in the business. Visit our website today at www.excelsior.ph to learn more about our service.

Shipping Terms Every International Importer and Exporter Should Know

excelsior on July 15, 2019

Shipping Terms Every International Importer and Exporter Should Know

If you’ve been managing a business for quite some time now, you might’ve experienced some difficulties when it comes shipping your goods from one place to another. Aside from ensuring the safety and timely arrival of your cargo, you also need to familiarize yourself to several jargons associated with the shipping industry. Most business owners nowadays ended up getting confused about some of the technical terms used in shipping. While you don’t really have to be a pure expert when it comes in dealing with these terms, your knowledge about them could prove to be pretty handy in the future indeed.

So, to help you avoid unnecessary misunderstandings and minimize errors while you communicate with your shipping company, here are some of the most common terminology used in international shipping:

Bill of Lading (BoL)

Bill of Lading, also known as BoL is a document given by a carrier to a shipper. This document is issued on a receipt form with the sign of the vessel’s representative and acts as a written proof of contract that a transportation has been made. 

This document is very important as many ports do not allow anyone to claim their goods without presenting their BoL. Unfortunately, some notorious freight forwarding scammers use BoL as a way to steal money from the others. Know more about the other freight forwarding scams through this infographic here.

Carrier

Carriers can be an individual or legal entity that offers transporting services for passengers and goods. Examples of carriers are airlines, shipping lines, railroad and trucking companies.

Backhaul

If a driver takes a cargo during the return trip of a commercial vehicle, it’s technically referred to as a backhaul. Cargo vehicles do this practice as a way to maximize the productivity of their trips.

Customs Broker

Customs Brokers are private individual or firms that works as a guide for both importers and exporters in meeting the necessary requirements given by the customs authorities. Many people usually mistook customs brokers to freight forwarders, but both professions have several distinctions with each other.

Freight Forwarder

These are persons or company that specializes in logistics and organizing shipping processes in place of an individual or company to transport their goods.

Hazmat

A shortened term for “hazardous materials,” hazmat is a material that could pose safety risks to anyone that it comes in contact with. Unlike other forms of cargo, shipping hazmat requires special endorsements from all involved parties.

Intermodal

Cargo can be considered as an intermodal once it was shipped using multiple forms of transportation, like a cargo truck and rail transport.

Less Than Truckload (LTL)

When the weight of a shipment ended up being less than the required weight of the truckload rate, that is described as Less Than Truckload or LTL.

Tender

Tender is a fixed cost to move a cargo.

Transportation Management System (TMS)

Transportation Management Systems or TMS is a software designed to help businesses and even some freight forwarding companies to optimize their planning and execution in the physical movement of the goods. There are several benefits that can be obtained by investing in this kind of system.

 

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4 Tips to Keep your Supply Chain in Good Condition – Infographic

excelsior on June 30, 2019

The supply chain is defined as a congregation of all the resources of an organization, including its members, activities, and technology that operates solely for the purpose of creating and selling a particular product. Managing your supply chain is an integral step towards building a reputable business brand. A highly efficient supply chain strategy can optimize your profits by reducing the operating costs as well as increment customer satisfaction.

One crucial factor in maintaining a healthy supply chain is through the integration of effective logistics especially when your company is just starting out. Amp up your competition to the global market with these four tips in keeping your supply chain in tip-top condition!

4 Tips to Keep your Supply Chain in Good Condition - Infographic

Tip #1: Optimize your transport system

Optimizing your transport system can minimize most of your financial expenditures as well as boost your productivity. By investing in TMS (Transportation Management system), you can easily record all of your progress in transporting goods real-time so that you can have a detailed record of what’s currently going on. TMS can also provide information on the latest costs of shipping so that you can identify which carrier offers the most affordable price.

Tip #2: Take advantage of modern software used for warehouse management

While managing your warehouse is highly important, doing it manually could take a significant amount of your time. Time is a precious resource in business, so you might want to find a way to use it as wisely as possible. Why not take advantage of the era that we live in? There’s several computer software out there that can automatically help you in organizing your warehouse and make it even more productive. 

There are available management systems today designed to fill out your orders right away and take a detailed record of your resource allocation.

Tip #3: Formulate your initial inventory requirements

In case you’re working with an established brand, you can analyze at past inventory performance and see if it can be compared to the latest industry trends. The information that you can retrieve will serve as your reference for knowing which product can give you the most profit. It’s highly recommended to focus on selling a carefully curated assortment of products rather than a diverse product range. You have to choose a product that people truly want.

Tip #4: Track your POs and inventory to prevent stock-outs

You may already have some reliable suppliers for your business, but it’s always better to be safe than sorry. Keep an eye on the current condition of your inventory at all times and stay updated if there are any delays. You will also need to have a backup plan if the products that arrived from your warehouse have damage. 

On the other hand, monitoring your Pos (Purchase Orders) enables you to immediately detect and deal with any customer inquiry and complaints.

Final thoughts

When it comes in keeping your business up and running your supply chain definitely plays a big part. You might spend some of your resources, but keeping a tab on these four tips will ensure that you will have no problems in perfecting your supply chain so that you can eventually reach the top of your industry!

Excelsior Worldwide Freight Logistics conduct free orientation for those who are willing to learn. It is our advocacy to share our knowledge & experience worth more than a decade in the business. Visit our website today at www.excelsior.ph to learn more about our service.

Excelsior Worldwide Logistics Corp.