Logistics managers hate it when a shipment goes wrong and the intended recipient gets hot under the collar for that. But the truth is, several things can go wrong throughout the shipping processes. The least of the problems that can crop up here is a delayed shipment: the delivery is made after the promised time is up. And this can annoy the recipient enough. The larger problems are failed deliveries, lost shipments, damaged shipments etc. These deliveries that fail to meet the expectations of a successful delivery are distressed shipments. So, how do logistics employees manage to stay ahead of shipment issues and ensure smooth, hassle-free shipments? Distressed shipments factor in majority of insurance claims, returns of merchandise, and poor customer feedback among shipping entities. Listed below are several industry best practices logistics companies follow, to avoid and manage distressed shipments:
1. Managing Driver Personnel
It is only natural that problems abound where human intervention cannot be done without. Drivers are the most responsible factor in delivering a product in time. Drivers are generally put through several state-mandated inspections for this reason. A good automatic logging system and accountability tracking software can reduce the opportunities for driver related problems. Loads are sealed before departure from a distribution center or warehouse. Drivers do not sign off on a shippers load and count (SLC) form unless the load is actually sealed. This prevents shipping errors, such as picking up an incomplete load.
2. Route Management
Rough weather and inaccurate route management contribute to distressed shipments. A logistics manager must make sure that his drivers have up-to-date lists of route directions. What’s most important is choosing routes has got more to do with safety than with speed. You cannot opt for a route that is deemed unsafe for your freight.
3. Real-Time KPIs
Shippers are in control of shipments only if they know where exactly their shipment is located, their current status of delivery, and the estimated time of delivery. Key Performance Indicators here include a lot of technological help: radio-frequency identification (RFID) chips, GPS-enabled tracking systems, and real-time alerts to possible problems.
4. Web-Based Transportation Management System
There are shippers who use terminal-based transportation management systems (TMS). A TMS monitors all current shipping activity- docking and loading times, departure status, distance to destination, and driver information. But the problem with this TMS is that it cannot handle multiple errors and events immediately. The more efficient web-based TMS allows shippers to access information on shipments from anywhere. And this helps prevent and manage distressed shipments.
5. Time related technicalities
Delivery schedules aren’t clockwork. A lot of time might be lost trying to deliver a shipment to a recipient who’s not at the destination to receive the shipment. This is potentially a distressed shipment for no fault of the shipper. But this overcome by sending the estimated time of delivery from the driver’s number to the recipient’s phone number. If there is an issue, they can resolve it well in advance and agree upon a convenient time.
