Finding the right logistics partner is a crucial business decision. Your logistics partner is the one who will be responsible for carrying out the deliveries of your products to your customers, which is why it’s important that you take the time to find the right one.
Keep in mind the following seven factors when selecting your next logistics partner:
1. Customer Service
According to industry research firm Eye for Transport’s 2018 Global Logistics Report, service logistics customers demand significant improvement in Customer Experience (22.22%), an area second only to Visibility (27.16%).
As SaaS (Software as a Service) platforms continue to be introduced to the market, shippers are learning the hard way that a piece of software simply cannot deliver the level of service and attention human beings offer. Carriers are also beginning to offer forwarding services, but lack of expertise leaves service levels lacking, too.
If the timing of your shipments is sensitive, or if you just never want to be in a scenario where you can’t receive assistance in the (frankly, inevitable) event something goes wrong with your shipment, a high level of customer service should be a minimum prerequisite when considering potential Logistics partners.
When sifting through potential logistics partners, you should care a lot about a “bad reputation,” too. After all, your own reputation stands to be affected by the competence, or lack thereof, of your supply chain, and nothing dashes hopes for success like negative word-of-mouth among your customers. On the flip side, a good reputation is a better marketer than any salaried marketing professional—and it’s free. Look for positive reviews, testimonials, and longevity to confirm your choice logistics provider has earned a solid reputation.
The next thing you need to consider while choosing the logistics partner is the price and quality of the service they are offering at that price. Always remember that the lowest price might not be equal to the best value, which means compromising service quality.
Figure out all the services you need and then verify if the logistics partner provides everything you are looking for or not; then decide on the price. Overall, the service should be worth your investment. Also, confirm that the pricing is transparent and there are no hidden charges.
4. Network and partnerships
Arguably the most important tenet to consider when looking for a new logistics partner is their existing relationships, with steamship lines, port officials (longshoremen), and other forwarders.
That’s because, for a logistics firm, a strong network of preferred partners is the backbone of consistent, stellar customer service. Without trusted go-to partnerships, it could become difficult to keep pace with cargo volumes, and you could get stuck with unfavorable carrier rates
5. Compliance and regulations
The logistics sector is the backbone of international trade. Because of this, it’s crucial that the greatest level of safety, security, and efficiency is maintained. A thriving economy is built on these three guiding values.
Without safety and security taking firm roots within the logistics and supply chain industries there can never be a healthy economy. Without a healthy economy, there can never be a stable government. As a result, there must be effective regulations within the sector to ensure prosperity for all.
Each East African country has its own regulations when it comes to logistics. Yet, all rules are in sync to ensure successful trade among the nations. Ensure that you have a checklist of all the requirements needed for a logistics firm to function before your big decision.
6. Technology and innovation
In this day and age, customers prefer faster deliveries. Check how fast the logistics provider can process and ship the orders to the destination. Your logistics partner should able to do faster and on-time delivery of products.
The next thing you need to look at is the technological capabilities of the logistic firm in coordinating and monitoring various operations such as transport management and warehouse management system.
Working with a professional and dedicated logistics company is very essential to execute your business plan. Finding the right logistics partner can be a very challenging task, but the factors mentioned above will help you choose the right logistics partner and strategically expand your business.
Keep these major factors in mind as making the right choice will help you keep your customers happy and satisfied for many years to come.
How Can Sidoman Logistics Help?
With over a decade of expertise in Logistics and a long list of happy customers, Sidoman is always committed to providing seamless logistics services that cater to your business requirements.
We are here to offer you hassle-free and customized logistics solutions, so you can do more with your business while we handle all the challenging tasks!
Contact our experts today and we will be happy to help with your logistics.