The world continues to be interconnected through global trade and commerce, powered by international shipping, which has grown in volume and complexities. Moving these goods efficiently has become integral to the success of global supply chains. Streamlining it would demand a unique combination of factory inspections and optimized freight forwarding solutions catering to these supply chains' uniqueness.
By integrating inspections and freight forwarding, businesses can significantly enhance their shipping operations and improve the production throughput. This approach speeds up the supply chain and reduces the risk of disruptions.
The collaboration of inspections and the freight forwarding expertise of a company like Silq can greatly improve the coordination of shipments, eliminate redundancies, minimize delays, and optimize overall efficiency.
This article explores why shippers and businesses leverage the two to achieve a streamlined global supply chain.
Why More Businesses Are Leveraging Combined Inspections and Freight Forwarding
Although combining both requires a blend of expertise and experience, more businesses are leveraging it to enhance their overall supply chain management, especially those involved in international trade.
Here are some of the reasons behind that:
1. Reduced Transit Times or Lead Times
Inspections and freight forwarding prowess can reduce the lead time of the entire operation. On one hand, factory inspections help the business identify bottlenecks that can speed up the manufacturing process, thereby shortening the time it takes to get the product to the customer’s doorstep. When the production process is efficient, it can significantly speed up the supply chain process.
Conversely, leveraging freight forwarders can coordinate the shipping process effectively, eliminating risks, bottlenecks, and other challenges that could impede its success. Freight forwarders help shippers get the best shipping modes or services depending on the volume and nature of the shipments. Ultimately, combining both helps shippers enhance the speed and efficiency of the entire supply chain operations, which means shorter lead times and fewer downtimes across the board.
2. Cost Savings
Inspection of factories and a robust freight forwarding operation can help businesses identify cost-saving opportunities that can significantly improve the supply chain's profitability. Promoting efficiency maximizes the use of resources, including labor, materials, and finance. Combing factory inspections and a robust freight forwarding operation can achieve that because:
Better Use of Raw Materials
This means the production process becomes cheaper, producing more products while using the same resources.
Identify Cost Saving Opportunities
Freight forwarding can help businesses identify cost-saving opportunities in their shipping operations. It could be through reduced import duties, freight charges, or the use of better shipping services. Take, for example, a business using FCL shipping when it can leverage SCL shipping and save a ton of money.
Eliminate Wasteful Processes
Combining both allows businesses to identify wasteful processes and take the necessary steps to mitigate them. This could be through lean shipping or identifying ways to reuse or leverage materials so the business only has to spend less. It can also enhance optimal shipping.
3. Enhance Trust and Quality
Leveraging factory inspections and freight forwarding strategies can improve the quality of the products and processes in the supply chain. Both aspects of the supply chain are vital to the consumer. Factory inspections force businesses to identify ways to improve the production process, which ultimately impacts the product's quality. If the quality goes up, the trust of customers in the business also goes up.
However, that is only one side of the coin for customers. In today’s business climate, they do not only care about the quality of goods coming their way. They also care about the time it takes them to get these goods. For instance, no matter how great a new phone is, other products can replace it if it takes too long. Combining factory inspection and freight forwarding expertise is crucial for enhancing trust and quality.
Customers are not only interested in quality but also want speed. Combining both increases customer satisfaction and loyalty.
4. Enhanced Supply Chain Visibility
In a global economy where transparency and visibility are most valued, supply chain visibility is not an option but a necessity for most businesses. Combining factory inspections and freight forwarding expertise can achieve that through the following:
Real-Time Information
Real-time information or insights are critical because they give the business more control over the entire supply chain process. This means they can spot risks on time and take the necessary steps to mitigate them. If there is a schedule change, other stakeholders can also take cues and adjust as needed.
Supply Chain Planning
More businesses can have access to accurate data, which enhances their ability to plan effectively, including scheduling shipments and making room for the right number of products. This is important because if the company makes room for SCL shipping while the products produced need FCL service, it can set it back financially and operationally.
Product Flow and Inventory Management
Combining factory inspections and freight forwarding streamlines and optimizes the overall supply chain, which means faster and better communication. This leads to better product flow and seamless inventory management for businesses, which is priceless, especially when trying to get the products to the consumers as fast as possible.
5. Minimized Risk of Non-Compliance
Manufacturing and shipping can be complicated, especially when pressed for time, leading to mistakes that could be quite challenging for the business involved. Again, factory inspections play an important role here because they ensure the business can meet its regulatory requirements and customer specifications before products are shipped. This strengthens security, reduces the likelihood of penalties, and enhances early detection of issues.
By integrating inspections with freight forwarding, businesses can avoid potential customs clearance delays and fines from the federal government associated with non-compliant goods. This helps maintain smoother operations and safeguards the company’s reputation by ensuring that products consistently meet quality and legal standards.
6. Sustainability and Efficiency Gains
Combining factory inspections and freight forwarding can improve sustainability with a more streamlined supply chain. They achieve this by identifying defects and quality issues at the source, ensuring the business can reduce the need for additional shipments, and lowering its carbon footprint. Additionally, the efficiency gained from this integration leads to fewer empty miles, optimized routing, and more efficient use of resources, supporting sustainability goals.
How Silq Improved a Manufacturer's Supply Chain Efficiency By Leveraging Inspections & Freight Forwarding
A consumer electronics manufacturer faced rising costs, delays, and quality problems in its global supply chain. Silq stepped in, combining factory inspections and freight forwarding to fix these issues. Inspections caught production problems early, improving product quality and reducing defects before shipping.
Silq's freight forwarding expertise then cut lead times by optimizing routes and using shared container loads, saving the company 15% on shipping costs. Real-time tracking gave the manufacturer full control over inventory, helping prevent delays. This combination of services resulted in faster deliveries, fewer returns, and a reduced environmental impact, giving the manufacturer a smoother supply chain.
Factory Inspections & Freight Forwarding in One Platform
Silq is a digital freight forwarder, allowing insightful and reliable factory inspections. This ultimately ensures that your business can enhance the quality of its products while shipping on time. We combine the two to protect your brand, supply chain, and bottom line.
With our services, you are sure of the following:
1. Ship Frequently
You do not need to wait to feel a container; instead, you can leverage Silq's infrastructure to ship each SKU as soon as it's ready and keep your inventory moving.
2. Diversify Shipping Operations
Why put all your eggs in one basket and expose yourself to unnecessary risks? With Silq, you can accelerate and de-risk your supply chain by splitting your POs into multiple shipments. This is especially important when multiple international borders or different countries are involved.
3. Save Money on Unused Space
Only pay for the space you use by sharing containers with accredited customers in the Silq network. It is the new cost-effective shipping.
