Effective cross border logistics
International supply chains are complex
A seamless shopping experience and on time delivery are the most important metrics that drive customer
satisfaction rates. But it‘s especially the on-time part of the equation that tends to be difficult, especially in
international cross border logistics. A lot of companies are good at orchestrating the customer journey on the
front end, but on the international backend it’s another story.
Logistics is very complex at many multinationals. It quickly covers hundreds of thousands of different
orders, each with its own characteristics and discount structures that must be delivered just-in-time all over
the world. The supply chain stretches across multiple countries, each with its own paperwork, customs,
classification codes, suppliers, IT-systems, rules and regulations and so on. In addition, the occasional COVID
lockdowns, resource shortages, and more issues may disrupt your logistics. The best way to mitigate these risks
is to make your international supply chain as transparent and efficient as possible. There are a few strategies that will help you.
Rely on experts
You could do the logistics all by yourself. This may give you a grip on your supply chain, but mostly distracts from your core business. When you move goods internationally, it’s likely that you have partners like 3PL, a freight forwarder or any partner helping you to fulfil your products. They understand localised processes and have well-established networks in the different regions.
Flexibility through multimodality
Flexibility is key. Bulk shipments usually do not need to be delivered the next day, while your customers like to have their products delivered within 24 hours. Also, you never want to sell ‘no’ to your customers, even in times of severe supply chain disruptions. Therefore, some semi-finished products or even raw materials need to be delivered faster or via a different route. Ensure your supply security with a logistics partner that offers flexibility through multimodality to your customers, even in times of severe supply chain disruptions. Therefore, some semi-finished products or even raw materials need to be delivered faster or via a different route. Ensure your supply security with a logistics partner that offers flexibility through multimodality.
Integrate systems with your logistics partners
Many retailers are not integrated, with systems losing track of where inventory is, how quickly it can be retrieved and if it can be rerouted if required. When these different systems are integrated into your planning, you can consolidate all the info together and see when you will be able to deliver.
Consolidate your IT
It is vital for retail companies to know what effect changing customer demand or a delayed delivery
will have on the entire supply chain. However, this information is not easily retrievable if you don’t have
unified systems. Many retailers consist of various units that are technically not aligned well with one another.
You need a command tower to see directly where your products are and how it impacts the supply chain and
your customer satisfaction.