Did you know that, as per the McKinsey survey, only 45% of businesses have limited supply chain visibility? The lack of supply chain visibility leads to disruptions, operational inefficiencies, compliance risks, and many more.
As reported by Shipping and Freight Resource, “Customers today require authentic and visual data to see how their products are moving, identify bottlenecks in their supply chain, and correct for where avoidable costs like demurrage, detention, and storage are being incurred.”
Today, the freight market in the USA is growing rapidly, thanks to widespread technological development. The most beneficial feature of technology in freight management is supply chain visibility.
In fact, it is the game changer for modern freight forwarders when it comes to centralized data management, automated freight operations, real-time tracking, and so on.
In this article, we’ll explore what is supply chain visibility?, Reasons for poor supply chain visibility, So, what can freight forwarders do to increase the supply chain visibility?, The role of software solutions in enhancing supply chain visibility, Benefits of supply chain visibility and How NewageNXT will help you thrive with a competitive edge
But what is supply chain visibility..?
Let’s start with a very basic question – what is supply chain visibility? It means understanding and tracking goods across the entire chain, from raw materials, manufacturing, transportation, and delivery to the end user.
The whole concept may sound very simple, but understanding it may help you meet customer expectations, enhance operational efficiency, comply with regulations, and forecast disruptions.
As reported by Shipping and Freight Resource, “Customers today require authentic and visual data to see how their products are moving, identify bottlenecks in their supply chain, and correct for where avoidable costs like demurrage, detention, and storage are being incurred.”
And the most asked question in the freight and logistics industry is how do you increase the visibility of the supply chain? The answer is quite simple. The supply chain visibility is better when all the systems and personnel are integrated into the supply chain and the information is shared between the stakeholders involved, including the customers.
Reasons for poor supply chain visibility
There are many reasons for poor supply chain visibility in the freight market, but most of them are due to a lack of communication and information sharing. Systems that lack real-time data and effective management will have a poor flow of information, which in turn leads to disruption.
The COVID outbreak was a huge supply chain disruptor. There was visible chaos in the transit and delivery of goods. Additionally, there are many disruptors on the list, including natural disasters, cyberattacks, price fluctuations, delays, and so on. The worst part is that supply chain disruption can occur at any time without warning. Hence, it is always better to ensure that information is shared quickly and hassle-free amongst the stakeholders. Though disruptions are never 100% avoidable, freight forwarders can mitigate risks and control the impact when they commit to enhanced supply chain visibility.
So, what can freight forwarders do to increase the supply chain visibility?
The most effective solution is for modern freight forwarders to invest in good freight forwarding software. Since there are huge technological advancements in the current landscape of the freight and logistics industry, it has almost become a mandate for a forwarder to invest in cutting-edge solutions. Good freight forwarding software helps to manage data, track shipments, make data-driven decisions, and, most importantly, optimize freight operations.
The role of software solutions in enhancing supply chain visibility
Advanced cutting-edge technology solutions play a major role in enhancing freight forwarders’ supply chain visibility. Having total control in one system can help businesses gain a comprehensive view of their supply chain operations. Some of the solutions are as follows:
Real-time tracking
This solution helps companies quickly identify and address delays and predict potential disruptions before they occur for overall proactive management.
Centralized data management
Maintaining data from different points of the supply chain in one place provides a single source of truth that improves decision-making. This way, the stakeholders will have access to consistent and accurate information.
Automation of complex processes
When automation has become part and parcel of every technology out there, it would be a crime if it wasn’t a part of the freight management software. Automation helps streamline complex freight processes, reduce the risk of human errors, and free up resources.
Benefits of supply chain visibility
Let’s look at the benefits of using freight forwarding software to help increase supply chain visibility.
Enhanced communication and collaboration
When every internal or external stakeholder needs to access the same data, communication becomes a key factor. Suppliers, carriers, customers, and other parties stay well-informed and build an environment of mutual trust.
Greater sustainability
Supply chains cause more damage to the environment that no one really talks about. A good freight forwarding software allows companies to track and identify what’s causing harm to the surrounding and make changes to it. Sustainable measures can create a positive impact to the environment and as well as the company’s repuation.
Customer satisfaction
In the end, everything comes down to customers! Real-time shipment updates and accurate ETAs increase transparency, ensuring customer satisfaction.
Data-driven decisions: Access to real-time data and various reports helps with strategic planning, helping businesses optimize strategies and grow.
Regulatory compliance: Generally, freight forwarders must navigate complex regulatory requirements related to customs clearance, documentation work, environmental standards, and so on to ensure compliance and smooth movement of goods. Having a better visibility in supply chain is a gateway to 100% compliance.
How NewageNXT will help you thrive with a competitive edge
Did you know that, according to Statista, the total U.S. freight ton-miles are expected to reach 8.14 trillion by 2050, indicating a significant increase in goods movement and the essential role of freight forwarders in managing this growth?
With this larger vision, it’s high time that all the forwarders upgrade to a more advanced freight management software. Improving supply chain visibility is essential for every freight forwarder out there, especially for the ones who wish to thrive in this competitive landscape. Our cutting-edge technology solution, NewageNXT, plays a crucial role by offering features like real-time tracking, centralized data management, automated freight processes, and many more. By investing in the right technology, any modern forwarder can not only increase operational efficiency but also boost customer satisfaction. Learn more about how NewageNXT can help you enhance the supply chain visibility by requesting a demo here.