June 24, 2021

Digital Freight Collaboration for E-Commerce Logistics Units

Miles Varghese
Miles Varghese
Helping independent freight forwarders/brokers better stay in-sync, collaborate, and improve operations with their shippers/clients. Co-founder & CEO @ Cargologik.com
Digital Freight

Digital freight transportation and logistics have long been the backbone of the U.S. economy. Innovative use of modern technology and data-driven logistics allow for more collaboration within partnerships, which can help freight managers secure capacity and meet the ever-changing needs of the e-commerce market. The core of the network is freight transportation providers. Nearly 70% of freight transported in the U.S. annually, an estimated $671 billion, rely on truck transportation, according to TruckingInfo.net. This demand has only grown as e-commerce continues to increase in popularity, showing the need for innovative freight collaboration like never before.

Understanding the Connection Between E-Commerce and Digital Freight Logistics

Real-time visibility remains an integral part of the modern e-commerce supply chain. Especially now, transparency in operations and staying connected with drivers is necessary to secure future growth.  Digital freight logistics focuses on connecting drivers and shippers to ensure capacity is maintained and all units arrive on time. The actual value of digital logistics and improved visibility is that most U.S. trucking companies are not hefty million- or billion-dollar companies. 

According to Supply Chain 24/7, about 97% of carriers in the U.S. operate 20 or fewer trucks. And out of that number, a staggering 90% have six or fewer trucks on the road at any given time. Digital processes for freight tracking, collaboration, and reporting have always been necessary for the modern supply chain. Still, with the continued rise in e-commerce and the need for collaborative partnerships, digital systems and processes are now a requirement. 

Problems With Outdated or Inefficient Collaboration Processes

There are many emerging issues within the supply chain network, thanks to ineffective processes and poor collaboration. Poor communications, lack of visibility, inefficiency and poor adaptability, slow response times, and sub-par customer service are just some of the most prominent and devastating of these. Outdated and cumbersome methods impact the entire transportation process making the whole freight network more vulnerable. Cloud-based logistics organizations and the idea of digital freight management have been on the rise in recent years. However, current events are bringing into sharp contrast the transportation service provider who has not embraced modern technological advancements. 

Logistics providers that depend on antiquated solutions find themselves struggling to keep up with consumer demands and needs. They also often struggle to collaborate and coordinate with third-party suppliers efficiently due to the disconnect in digital processes and platforms. Relying on outdated processes and protocols makes it difficult to deliver units in a timely manner and keep shippers and customers alike satisfied.

Growing With and Adapting to Market Changes With Digital Freight Collaboration and Partnerships

There are several innovative ways collaborative partnerships help freight managers secure the capacity to meet the demands of e-commerce.  Adapting to changes in the market and shifting consumer needs and expectations is a critical part of successful business operations today. Embracing freight collaboration and tech-driven partnerships can help transportation service providers maintain the competitive edge. Everything from digital load platforms, digital freight matching software, built-in mobile communication apps, and automated data collection and analysis dashboards can help shippers stay up-to-date with supply chain technology and innovations. 

Rather than trying to do everything independently, shippers can partner with other shipping providers and network specialists to improve their compatibility and enhance their competitive advantage. Market changes and shifting trends are unavoidable, so adaptability, scalability, and versatility are all critical characteristics that allow shippers to grow and adapt to every high and low fluctuation. Market volatility is unavoidable but its effects can be mitigated with proper planning and collaboration.

Maximize Growth and Salability With E-Commerce Ready Freight Forwarding Systems

Transportation service providers need to plan for the next shift in the market ahead of the coming peak season. They should also continue to expect the momentum around digital freight collaboration to continue as more shippers and carriers integrate digital technology and software trends into their supply chains. Modern technology and innovations improve operations throughout the supply chain, from warehouses to distribution centers, and from docking yards to delivery destinations. 

The entire transportation network will become even more efficient and productive with digital collaborations and automated freight management. So, be sure to find the freight forwarding system and maximize growth potential with e-commerce focused freight management and collaboration systems. Sign up for Cargologik to get started today and upload your first 10 MBLs for automated tracking and sharing with your customer, for free.

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