Posted On November 14, 2018
What is the leading concern for shippers heading into 2019?
According to recent research published by DHL, 75% of companies know that spending time and resources to improve their ground transportation will directly benefit their bottom line, and 83% of companies are willing to spend more to improve their ground transportation capability.
The survey results reinforce what those of us working in the supply chain sector have known for a long time: Ground transportation in today’s market will make or break a company.
Three trends identified in the DHL survey are driving the increased importance of ground transportation and are only going to become more prominent in the year(s) ahead: More people are going to buy goods and products online. More young people and upwardly mobile consumers are going to live in cities. And, of course, data and analytics will continue to drive supply chain and ground transportation planning.
Yet, despite knowing the importance of efficient, effective, visible ground transportation, the DHL survey shows just how many companies are unprepared. Barely more than half (55%) of respondents believe they have the software needed to transform ground transportation into a strength of their shipping department. For North American respondents, that number was even lower. Only 43% of North American respondents believe they have the right software and technology needed to elevate their approach to ground transportation.
Respondents also indicated that the primary reason for choosing a third-party logistics (3PL) partner was the partner’s ability to manage the company’s transportation needs as growth occurs and consumer expectations increase.
- More than 75% of companies believe improving their ground transportation will strengthen their bottom line.
- Just 43% of companies in North America believe they have the right technology in place to improve their ground transportation.
- Nearly every company surveyed believes the right 3PL is the one that can handle multiple transportation needs and scale with the company as shipping and transportation needs grow.
In other words, there are a whole lot of shippers who understand how important ground transportation is, are aware that they do not have the right technology in place to take their company to the next level, and are actively looking for a 3PL who can make their supply chain a competitive advantage.
At the Flat World Holdings family of companies, we understand the importance of an approach to ground transportation built on excellence, as well as the importance of working with a partner who can grow and scale with your shipping department.
Flat World Supply Chain offers the industry’s best less-than-truckload (LTL) and truckload (TL) solutions. Additionally, our transportation management software is developed by our in-house team of logistics experts at Prologue Technology. Hive, Pangea, and Pipeline provide supply-chain software solutions that can help turn your ground transportation from a liability to a strength.
The DHL survey demonstrates that companies understand just how important ground transportation is. In an era where customers expect deliveries to arrive on time—with 100% visibility throughout the entire supply chain—shipping department leaders know that an ineffective ground game can leave them trailing the competition.
The Flat World Holdings family of companies can change that.
Partner with us and make 2019 the year ground transportation makes your company an industry leader.