What Your Shipping Data Can Tell You

By Rose Tam

Rose Tam

You can learn a lot from analyzing your company’s shipping data.  And you’d be amazed how much money you can save.  Transportation is a big percentage of a company’s total spend and hidden in the shipping data are a host of ways to cut costs.  By properly analyzing their data, a company can identify trends or inconsistencies such as:

  • Is the correct transportation mode being utilized for the weight/volume of shipments?

  • Do you ship more to one region than another?

  • Are you shipping out of too many locations?

  • Are you shipping out more volumes on certain days of the week than others?

  • Can your shipments be consolidated or pooled?

The trick is to lay the groundwork for analysis so you know what to look for, and how.  Then you can ask questions like the ones above, and test “what-if” scenarios to proactively identify the cost savings from making a change.  Of course, the data needs to be clean and it needs to be good; Garbage in, means garbage out.  So it is equally important to have good data – whether you have your own data source or you are pulling from other sources. In short, the first step to analyzing your shipping data is keeping it clean and then you can start asking questions that can lead to optimization.

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