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How Industry 4.0 Has Helped Advance Freight Procurement

Buzz words come and go, quickly. But it seems “Industry 4.0” might stick around for a while as manufacturers continue to search for innovative ways to improve efficiency, reduce costs, and increase their profits. Industry 4.0 has revolutionized the way companies manufacture and distribute goods. And those who were slow to join the digital transformation movement have finally realized they need to catch up by replacing manual, outdated processes which hinder agility and the ability to remain resilient during unforeseen challenges.    Given how unstable and chaotic the supply chain has been over the last 24 months, experts agree that manufacturers who embrace Industry 4.0 will have a much greater chance of survival. So what exactly do manufacturers need to embrace to make their operations smarter? Industry 4.0 refers to the convergence and application of innovative digital industrial technologies, such as advanced robotics, additive manufacturing, augmented reality, simulation, cloud, integration, and cybersecurity. Two major themes stand out: AI-powered automation and real-time analytics! AI-powered Automation Automation helps minimize human involvement in critical processes, reducing wasted time and money. AI’s inherent ability to learn and continuously improve on-the-fly will make any manual process more efficient and productive. For example, freight procurement (a critical supply chain process) has relied on transportation RFPs to help source contracted carriers to ship goods. As with any request for proposal, many hours and human capital are used to complete the process. AI-powered automation technology has advanced freight procurement by using unique shipper attributes and proprietary algorithms to dynamically match the perfect pool of carriers to shipper loads. When the right carrier– at the right location and price–...
Balance

Can A Shipper Really Balance Transportation Cost With Service (OTD)? Yes They Can.

Costs surrounding freight always fluctuate up and down. The trick for shippers is to deliver the goods their customers expect on time, without acquiring and then passing down increased transportation costs. There’s more focus on transportation budgets and service than ever before, and utilizing software-- that outputs real-time data-- will take the mystery out of how shippers can successfully balance transportation costs with service levels. Because as transportation insiders know all too well, shippers are either over-paying and receiving great service, or under-paying and receiving horrible service. The new way forward for savvy shippers is to utilize a combination of automation and data intelligence to always deliver goods on time while paying a fair truckload price.  Automating Freight Procurement Procedures It seems overnight, the digital transformation and new emerging technologies have instantly changed supply chain procedures to become more agile to help overcome new challenges. For example, instead of relying on freight brokers and RFPs to source compliant carriers, innovative shippers have turned to automation technology, which uses a self-regulated freight marketplace to dynamically source compliant, asset-based capacity at the right time, place, and price! On average, these shippers are saving  over 17% on truckload cost, while generating 97%+ OTD.  Closing the Freight Procurement Data-Gap  Forward-thinking shippers have also prioritized the need to close the massive data gap associated with freight procurement by choosing to only do business with partners that provide 100% data transparency. Once the data gap is filled, shippers are then empowered to make stronger, data-driven decisions surrounding how best to optimize their carrier network so they can always deliver goods on time, at fair market price. ...