Routing orders by delivery date versus the ship date can make all the difference for shippers looking to streamline supply chains, enhance operational efficiency, and maximize cost savings. While timely shipping is crucial, businesses can leverage the power of delivery date visibility to gain better control over their supply chain operations and budgets. CTSI-Global’s Honeybee TMS empowers shippers with tools and capabilities to optimize transportation strategies and achieve significant savings.
Get to the bottom line of delivery date vs. ship date
Traditionally, businesses have focused on meeting ship date requirements to ensure timely deliveries. However, a strategic approach to delivery dates can manage customer expectations and alleviate unnecessary transportation costs.
Typically, shippers can ship from origin to destination within 400 miles and receive next-day service at a ground rate. If shippers drop orders to the warehouse that must deliver the next day without utilizing a TMS to determine the service level—next day versus ground—shippers are forced to send orders with next-day service. As a rule of thumb, next-day service costs four times the cost of ground service.
Shipping orders that must deliver in two days means the cost differential between second-day service and ground service is twice the cost. Additionally, orders within 800 miles from the origin via ground service can still hit the required delivery date for two-day service.
Optimize routes n real-time with a capable TMS
A robust TMS equips shippers with the tools necessary to monitor, analyze, and adjust transportation strategy on the fly. Honeybee TMS enables businesses to make informed decisions about shipping orders based on the delivery date rather than the ship date. By utilizing the system’s advanced algorithms and routing capabilities, shippers can choose the most cost-effective service level for each shipment, whether ground, next-day, or second-day service. This strategic approach allows shippers to reduce transportation costs while maintaining delivery timelines.
Maximize the power of visibility with track and trace
With Honeybee TMS, shippers can also gain real-time visibility into shipments throughout the transportation journey. The system’s track and trace functionality empowers shippers to monitor the progress of each shipment, ensuring transparency and accountability. Real-time updates enable shippers to proactively address potential delays, enhancing customer satisfaction and optimizing supply chains.
Robust analytics bolster cost management
The relationship between the delivery date and the ship date is essential to cost management. Honeybee TMS offers robust analytics capabilities that provide comprehensive insights into the transportation costs associated with both factors. Shippers can identify cost-saving opportunities with these analytics, track carrier performance, and make data-driven decisions to optimize transportation processes continuously.
In the world of transportation management, every strategic decision has a significant impact on the bottom line. An order routing decision about the delivery date can substantially reduce transportation spend.
Ready to unlock the potential for simplified transportation management? Contact us.
