Supply chain processes throw off a lot of data. If you’re a successful supplier who fulfills a significant number of orders then you understand that the detail of the transactions generated by orders, shipments, receipts, and all the miscellaneous transactions associated with every order is just too much to be able to read through, much less make sense of. But every part of your operation from your suppliers to your customers demand some kind of accountability, and it’s your responsibility to know of any problems or even potential problems long before everyone else. But with all the data flowing through your systems, is it even possible to separate the standard data from the trouble signals?
We have been talking a lot about Supply Chain Management Control Towers. Yes, transportation (usually under logistics) is included in the control tower. In many companies, transportation is outsourced to a 3PL, 4PL or 5PL provider. This provider is an expert at hooking your company up to any required transportation resources. Your provider already has some excellent tools available. A popular concept since the 1990’s has been the “Load Control Center” (LCC). We are looking at outsourcing, but yes, excellent software is available if you do it yourself.
Transportation has always been an opportunity to centralize and get some benefits. 3M started the concept of Load Control Centers(LCC) and lots of others followed suit. The LCC is simply centralization of transportation planning and execution. Benefits include:
- better pricing from centralized transportation sourcing
- development of standardized operating procedures
- fewer planners than in several…
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