6th Key to Choosing Your Automotive
Shipping Capability – Know your vendor’s capability to ship on-time using the various logistical means that suit your requirements.
New discussion: Let’s examine this seemingly “no brainer” in more details. Accept the fact that you and your customers have needs for your products and that, due to your great planning, scheduling, and sales forecasting, they’re in stock at your vendor’s facility. How can you get the product to your distribution center or your customer’s location quickly and at the most effective cost? EASY… Just match the needed products, quantities, and “needed by” date with your vendor’s ability to ship and everyone’s happy.
For smaller items and quantities, or “rush” emergencies, UPS probably makes the most sense. Shipping costs will be dependent on weight and the speed of delivery required. A little inventory requirement planning will go a long way in keeping your shipping costs down. Drop shipment directly to your customers can be considered for quick delivery.
If you need products in palletized box lots or drums, commercial trucking is probably the way to go. If you have your own fleet of trailer trucks, this method also makes the most sense. Remember that with trucks you can mix palletized products and drums. Schedule your shipments to your own convenience and needs.
Finally, high usage products can be shipped using bulk tanker trucks. However, with very few exceptions, you will be limit to one bulk product for truck and that the product in the truck will need to be off-loaded at your facility and stored in tanks. So, if you do not have bulk storage capability, this method of shipment won’t work for you.
So this key to choosing a vendor is very two-sided. Your vendor MUST be capable of shipping via the method that best suits your needs. Plus, you need to consider how your own storage and shipping capabilities can best suit the needs of your customers.
