Manufacturers Can Cut Transportation Cost By Better Sourcing

According to a recent Supply Chain Consortium benchmarking and best practices survey, manufacturers can reduce the high cost of transportation by improving their carrier sourcing process.

The following are practices that manufacturers can adapt based on the on the finding of the "Carrier Sourcing Strategies and Tools" report.

  • Understand that shippers achieve higher levels of service and better supply chain integration by focusing on core carrier programs.
  • Collect the data needed by carriers to aggressively bid on your freight. Leverage the characteristics of your freight that are attractive to carriers.
  • Bid methodologies should be flexible and offer carriers the opportunity to propose solutions that best fit their capabilities and network.
  • Build trusting relationships with carriers. For incumbent carriers, measure performance in an open and equitable fashion.

Supply Chain Consortium

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