Issue link: https://viewer.e-digitaledition.com/i/1518675
W eeks before e Dali container ship plowed into e Francis Scott Key Bridge in Baltimore, the ninth largest port city in the U.S. that moved an estimated 50 million tons of international bilateral trade last year, a group of senior executives specializing in logistics and freight offered up their assessments of the freight business in a webinar hosted by Reuters. e group of freight experts were from Amer Sports, Emerge, Collaborative Strategies, and Del Monte Foods. Below are some key takeaways from the session. n THE STATE OF FREIGHT INVENTORY MATTERS KEY TAKEAWAYS 12 1. It's currently a shippers' market whereas 2-3 years ago it was difficult to find capacity. It isn't likely to 'flip back' to a carriers' market again unless there is a major global event again such as the Covid-19 pandemic. 2. Disruptions are here to stay. It's important to always have a couple of back-up plans in place. Flexibility and contingency plans are a must. You can move to secondary transportation, but it can't always handle your capacity. 3. Ability to respond faster, quicker is now a requirement of all freight companies. 4. Keep your level of integrity where it needs to be, so you are more attractive to potential carriers. 5. Firms need to be realistic and ready for change, including developing small carriers to move to the next level. 6. Use of technology is important, but companies must be realistic because the technologies used by carriers in the U.S. is different than those of carriers in Brazil, for example. 7. Companies must stay prepared and prepared for the worst. 8. You always need to know when products will arrive. You don't want customers informing you that deliveries are late. Global probability for products to arrive at their destination on time is about 60 percent. 9. Companies should utilize scorecards for all carriers, benchmarking, and technology in the procurement process to figure out who should get their freight business. A three-month contract versus a 12-month contract always gets a better rate. 10. Shippers need a faster way to do Requests for Proposals (RFPs) with some firms focused on soliciting a lot of bids for their freight business. 11. Companies should consider taking advantage of private, dedicated shippers to save 10-15 percent of the cost. 12. Freight procurement has always been overlooked by the technology companies. ere are currently only four or five firms who specialize in it. footwearinsight.com Q1 April 8 2024 ~ Footwear Insight Business Report Quarterly 23