The management of freight shipments tends to be an afterthought for many companies that import and export goods. But inefficiencies in this sector can be time consuming for small businesses.
A recent survey by logistics firm Freightos revealed that small businesses spend about 500 hours a year managing cargo shipments. Specifically, 42% of business owners reported spending more than two hours on each shipment. This is an estimated $ 100 labor force for a single shipment.
For small businesses, it’s an important resource production. So if companies do not focus on optimizing the freight management process, this could result in heavy losses.
Eytan Buchman, vice president of marketing at Freightos, said in an email to Small Business Trends: “Businesses tend not to think of global logistics on a daily basis, considering it as a commodity like water or water. # 39; electricity. the bill and forget about it. But since almost everything, whether it’s components or finished products, is imported, the quality, cost, and operating costs of international freight are a very open variable to change. . Over the past decade, supply chain management has become even more important, resulting in the appointment of CEOs who have extensive supply chain backgrounds (Apple, Old Navy, Lego). “
You Can Reduce Freight Shipping Costs
But all hope is not lost. Technology like Freightos Marketplace, which is an online platform for freight quotes, aims to make freight handling and cost management more accessible for businesses of all sizes. In fact, Freightos believes that this type of transparency and accessibility has allowed more small and medium-sized businesses to take advantage of opportunities in the sector.
Buchman says, “Technology and transparency can combine to lower international freight costs while making them significantly more efficient. More importantly, this is related to a global trend towards increased imports from small firms. While the latest US data show that in 2015, nearly 97% of importers were small and medium-sized businesses, accounting for one-third of US imports, this number has likely grown, with global supply becoming easier with platforms like Alibaba and Sourcify and the import. becomes easier with technology like the Freightos market. The Internet has been a driving force in eliminating middlemen and associated costs; properly exploited, this trend can be a dose of adrenaline for small businesses. “
Basically, Buchman believes that there are enough tools to help small businesses efficiently manage freight shipments. If you are willing to do the research and create the processes that work best for your team, you can turn what seems to be a weakness for many companies into a force for yours.
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