It is advisable to check whether your network of transport service providers as such and the underlying transport solutions (single trips, round trips, milk runs, crossdocks, etc.) still fit before issuing a tender. After all, the world of logistics has become increasingly dynamic and fast-moving in recent years. This is a consequence of how globalisation is also changing the sourcing and sales of products faster than was previously the case. This also means that procurement and distribution processes have to be reviewed and adapted more and more frequently.
Is your network of transport service providers still up-to-date
Perhaps it makes sense to think a process from the source rather than from the sink, or vice versa? Does the current number of service providers used per plant or per receiving country still correspond to your structures, is there perhaps room for improvement by changing these parameters?
To check whether your network structure is still up-to-date, it is best to look at your historical shipment data. On this basis, you can then consider what alternatives might be available. In doing so, proceed in an unbiased and curious manner and ask yourself questions: Is the growing geographical distribution of warehouse locations still congruent with the delivery structures, would direct transport make sense in some cases?
If you create openness for new things in this way and do not stay with a network of transport service providers because "we have always done it this way", this may lead to far more efficient processes in the subsequent transport tendering process.
So much for my tip today on how to determine how up-to-date your network of transport service providers is before the tender. In the next blog, I will deal with the question of how you determine the circle of participating transport companies that you invite to your transport tender.
If you would like to delve deeper into the subject of transport tendering, take a look at our special website including various content and insights.