Handling Peak Season in the New Normal

-


2020 has been quite the ride for the logistics industry and supply chain planners with mass manufacturing facility shutdowns, warehousing disruptions, ocean and air shipping modifications, adding to an already heavily unstable freight marketplace. At the same time, fees skyrocketed as huge volumes of emergency equipment are being transported globally.

With backlogs clearing up and businesses resuming in the final quarter of the year, we must now solicit the question on everyone’s mind, what happens this peak season?

Let the experts at MGH help you and provide a few tips and tricks on how to handle this stormy peak season amidst a global pandemic.

FORECAST, PLAN, COMMUNICATE, REPEAT

As the rush starts from Black Friday all the way through Christmas Eve – it is important to create a model based on volume at unit and order level during this critical period weekly forecasts for each channel the business is operating in.

Understanding the projections for Q4 is critical for businesses before arriving at peak season. Data from the past few quarters extrapolated, along with data trends from previous holiday seasons, will help to provide more precise order forecasts.

Frequent forecasting also helps the business and 3pl service providers like MGH create a solid line of communication with all parties leading to effective strategies implementation and highest profits for all the parties.

TRANSIT TIME – A ROUTE TO COMPETITIVE ADVANTAGE

Transit time is critical for holiday shipments. Getting in touch early with logistics providers is essential to prevent delays and respond to unanticipated such as navigating customs clearance and documentation.

Partnering with companies like MGH who are known for their speedy deliveries, and strong global networks across multiple origins from the moment the product has been picked up from the factory, to it being delivered to the customer is crucial to businesses.

MANAGE HIGH VOLATILE RATES IN THE MARKET 

The 2020 freight market has seen rates increase on certain lanes by 50%, and even more across multiple origins which are extraordinarily hard to deal with for everyone. This year’s uncertainty makes it difficult for the shippers to forecast effectively which results in payment of higher prices. This is when experts like MGH Logistics can play a major role by diversifying the shipping methods between air, ocean, land, rail and other modes according to pricing and demand.

TECHNOLOGY TAKES THE WHEEL

The rapidly changing logistics market and the environment have stressed the need for advance tech solutions as a way to better plan and manage the supply chain process. 3PL providers like MGH Logistics give clients the benefits of upgraded technology by providing access to visible tracking, help in reducing freight spend and get freight moving. Advanced technologies to take care of inventory and warehouse management systems provide firms with an edge when it comes to planning inventory demand and accurately forecasting as per requirement.

It is a secured bet to conclude that the rates can stay at current levels or may even move higher in the forthcoming quarter of 2021 while the volumes may remain at a deficit for successive 6-8 months, suggesting the supply chain managers stay updated with all possible resources to survive, which we will curate to make everyone’s lives easier.

Stay ahead of the curve and learn from the specialists by following us as we’ll continue to provide logistics and supply chain updates and tips to make sure your businesses succeed!



Get in touch at contact@mghgroup.com today
 

 

Comments

Post a Comment

Popular posts from this blog

MGH Group Participates with Three Stalls at the 27th US Trade Show

-
Image
MGH Group participated in the 27th Us Trade Show, 2020 which lasted for three days starting from the 27th of February, 2020 till the 29th. The conglomerate showcased three stalls of US multinational corporations – FedEx, Travelport and P&G. MGH Group represents FedEx, a multinational delivery service company, through BANEX and Travelport, a global distribution system multinational, through Galileo.  The Group also looks after the distribution of P&G in Bangladesh, a multinational consumer goods conglomerate. Notable brands under P&G at the stall were – Pantene, OLAY, Oral B, Gillette, Pampers, Whisper, and Guard Razor. “BANEX tries to explore new opportunities and US Trade Show has always been a great support. We are looking forward to participating in the coming years as well”, said Zakir Hossain, Head of BANEX. With trade and investment ties between the USA and Bangladesh ever-rising the timing of the event could not have come at a better time, s
Read more

Logistics made Simple - Shipping Process

-
Image
Prior to proceeding further, lets step back and have an overall look at the entire Shipping Process for Sea Shipments and understand the different parties involved, their roles and the stages in the process in which they are involved. The Players The four key players amongst various others involved in any sea shipment are – Shipper, Consignee, Freight Forwarder and Shipping Line . The shipper is the party of shipment at the origin; it can be a factory of a seller who exports. The consignee is the receiver of the cargo at the destination. Freight Forwarder is the logistics provider the consignee/shipper would be dealing with for the shipment. Shipping Line is the company that would be carrying your cargo from the origin to the destination. Most of the communication with this line would be via the freight forwarder. Shipping Process The movement of goods from shipper to the consignee is a uniform process which is followed for every shipment. The steps can be br
Read more

Things to Consider for a Successful Shipment

-
Image
Shipping cargo from one place to another can be a very big task and usually involves millions of dollars. Therefore, in order to have a smooth operation, it is very important to have a proper plan in place to avoid any unnecessary hassles. Perhaps the most important part of the plan is to choose the right logistics partner as they will not only transport the cargo from one place to another but make sure it is done within time and with utmost care. When choosing a logistics partner, it is important to seek out a company that has sufficient experience in handling large amounts of cargo. Since handling such assignments require a lot of calculation and different transportation partners specialized for different types of cargo, and only large companies with financial stability and experience can smoothly run such operations on a daily basis. Another factor to consider is incoterms, which contain the commercial agreement that specifies who is in charge of the care and custody of
Read more