Consolidate your deliveries
If you use carriers to make deliveries, consolidating shipments by combining several orders into one load can save you money. The less-than-truckload (LTL) shipment is an economical option for smaller weights, and consolidating a large shipment of all buyers into one full-load shipment would be even more cost-effective.
Use different modes of transport
What is the cheapest and simplest option for your deliveries? If your carriers mostly use trucks and automobiles, you’ll need to think about what kind of vehicle will be able to deliver the most packages for a low price. Lorries are ideal for transporting heavy things, whereas little cars like vans and automobiles are fantastic for individual daily consignments.
Considering your mode of transport based on location and time can help reduce how much you spend.
Invest in Logistics Software
New and innovative solutions may help you save money on your transportation expenses. According to a recent study, 60 percent of logistics executives from six countries believe that their software tool is inadequate and in need of improvement and reorganization. New systems can automate tedious procedures while also calculating salaries, bonuses, and job choices for employees. Some have a rating function built in, which allows coworkers to rate one another. This implies that you can keep track of workers’ performance and relationships within the team.
The software’s major advantage is to give you insight into your data. This allows you to see where your company may make improvements and if transportation costs can be reduced.
Review your Fleet Insurance
The majority of your transportation budget is likely to be insured, which it doesn’t have to be. You may cut expenses by conducting an annual review of your fleet insurance policy. Use this period to ensure you’re not paying too much and that you have the appropriate level of coverage. Otherwise, things could get out of hand rapidly.
You could need to have your existing policy upgraded with Public Liability Insurance. This protects you against claims from the public and employees of other firms when dealing with them. It also includes any property damage caused by you while delivering goods to another company’s premises.
