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Showing posts from May, 2021

Importance of Supply Chain? Difference Supply chain vs Logistics

Supply chain management (SCM) is one of the main ways to optimize the budget of enterprises producing goods and/or services. At the same time, a great role in the supply chains is played by logistics - the management of physical, informational, and human flows in order to optimize them and avoid unnecessary waste of resources. WHAT IS THE DIFFERENCE BETWEEN LOGISTICS AND SUPPLY CHAINS? Logistics and supply chain should not be confused. Logistics is a rather narrowly focused concept (narrower than the SCM), which simply means globalization of resource management — from every local unit to the entire network of production points. In turn, supply chain management is a more complex category. Supply chain management involves logistics and thus performs end-to-end optimization - that is, not only within the enterprise but also when working with counterparties. The purpose of efficient logistics management is to achieve maximum competitiveness and profitability of the company, as well as the

Customs Clearance Process: 4 Easy Steps to Follow

What is Customs Clearance? Customs clearance is the act of taking goods through the customs authority to facilitate the movement of cargo into a country (import) and outside the country (export). Also, the customs clearance means a document issued by the customs authority to a shipper indicating that all duties have been paid and the shipper’s goods are cleared for export. Before your international shipment can be delivered to the customer, it must clear customs. Customs clearance is simply the act of moving goods through customs so they can enter the country. Every country imposes import duties and taxes on goods crossing their borders. This helps to generate income, protect the economy, environment, and the citizenry. But what actually happens within a customs office? For many merchants, this unanswered question is a stumbling block on the way to lucrative cross-border shipping. For 99% of merchants, though, clearing customs is a simple 4 step process. All you need is a few documents

Is Logistics the Same as Supply Chain Management?

The terms logistics and supply chain management are sometimes used interchangeably. Some say there is no difference between the two terms, that supply chain management is the “new” logistics. To compound this, what is considered supply chain management in the United States is more commonly known as logistics management in Europe, according to the blog for PLS Logistics Services, a logistics management firm in Pennsylvania. When the question was posed in an Inbound Logistics article, the answers varied based on the functions of a supply chain (or logistics) professional handled. Some thoughts from their readers: “There isn’t a difference today,” said Wayne Johnson of American Gypsum. “Supply chain management incorporates the field of logistics and logistics is a number of sub-processes within SCM,” said Michael Kirby of National Distribution Centers. “A ‘supply chain management’ company is generally a third-party operator managing the total overall movement of product whether inbound or

What is freight forwarding and how to master it

Direct import is one of the quickest and most affordable ways to acquire products from China, India, and other manufacturing countries. Getting items directly from manufacturers also makes it possible for eCommerce sellers of any size to cut costs on generic items or sell private label goods, which is increasingly needed to gain an edge on crowded marketplaces. However, it takes the right resources and infrastructure to import on your own, considering significant hassle in the form of logistics processes, paperwork, and regulations. You probably know a lot about logistics, shipping carriers, and fast shipping programs. But how much do you know about freight forwarding? Freight forwarders step in to take this process out of your hands by acting as an intermediary between suppliers or manufacturers, shippers and transport, and customs, to help you move goods as quickly and as efficiently as possible. This blog post covers what you need to know to help you find the best freight forwarder

What is Ocean Freight: A complete guide of working

What is Sea Freight? Sea freight transport, or maritime transport, is the most common mode of transport in international trading. Since container shipping was introduced in 1956, it totally revolutionized the logistics industry and became a big contributor to globalization. Today, a whopping 90% of the goods traded are shipped by ocean via container shipping. Ocean freight, also called sea freight, is the movement of goods internationally by sea. Ocean freight is far and away from the most popular option for shipping goods internationally. Roughly 90% of goods1 are transported around the world by sea. But while it’s popular, that doesn’t mean it is the only option or the best one for that matter. Whether you are just starting or are a veteran in international shipping, most business owners find that they need to review their shipping options from time to time. If you’re currently at that point where you need to ask “Does ocean freight make sense for me?”, we’re here to help. We will co

What is Sea Freight and Why Use It?

What is Sea Freight?  Sea Freight is a method of transporting large amounts of goods using carrier ships. Goods are packed into containers and then loaded onto a vessel. A typical cargo ship can carry around 18,000 containers, which means that sea freight is a cost-efficient way to transport high quantities over large distances. Who Uses Sea Freight? Sea freight is often used by people importing from China or anywhere else in the world. For people buying their stock overseas (and therefore bulk goods), sea freight shipping is usually the cheapest shipping method. If you’re importing a bulk amount of goods, sea freight could be the most cost-efficient option for you. How Long Does Sea Freight Take? There are multiple factors to consider when explaining the time sea freight takes. Firstly, the time spent on water and the time shipments take from door-to-door are different; due to the process of sea freight (which we will explain later in this post), there are a lot of steps the goods hav

What is Air Freight Logistics?

Airfreight logistics is the shipment of goods via a chartered or scheduled air carrier. Air freight is a popular choice for many companies as it ensures passage for their goods to anywhere in the world that an aircraft can fly to and land. Goods transported by air have the advantage of being taken to their final destination at high speed which could prove advantageous if the shipment is time sensitive. For smaller and medium sized companies, it allows them to participate in international trade in as an effective manner as larger companies. Furthermore, shipments that are transported via air carrier go through a higher level of security than other methods which makes it one of the most secure ways to transport goods. There are a few choices when it comes to organizing an air freight delivery: Consolidated Freight – Where one flight contains many shipments. Back to back or Direct Services – Where a flight contains one single shipment. Charter Services – Where an entire freight plane is c

How does Air freight work & top 8 Benefits?

When speed is your priority, air shipping is the solution In this “need it yesterday” world, air shipping is the ideal solution to move freight across the country — or the globe — quickly and safely. It allows shippers to respond to customers and market demands fast and easy. It’s the service manufacturers turn to when an assembly line breaks down, and they need an immediate replacement part. It’s what pharmaceutical companies use to ship temperature-sensitive immunizations worldwide. And it’s what retailers use to get high-value and high-demand electronics on their shelves with speed.     Air transportation is a critical part of operating an efficient supply chain. Keep reading to learn how air freight works, the difference between shipping domestically and internationally, the types of planes used to carry the cargo, and more. How does air shipping work? From pickup to delivery, the process is straightforward. Your logistics provider will coordinate with a local carrier to pick it up

Top 10 Supply Chain Risk Management Strategies

The supply chain is the gas that makes the motor run for manufacturing and retail. Without it, you have no product to sell, no inventory to stock, and no revenue to earn. Unfortunately, there will always be disruptions to the supply chain that throw everything out of whack and force both retailers and manufacturers to scramble to pick up the pieces. In a Gartner survey, only 21% of respondents stated they had a highly resilient network, though more than half expected to be “highly resilient” within a few years. That’s a positive sign, but what exactly can be done to get ahead of those supply chain risk factors?  Proper supply chain risk management enables businesses of all shapes and sizes to take advantage of tried-and-true strategies that mitigate risk and set them up for success. In order to develop your own risk management strategy, it helps to first understand what supply chain risks you might face. What Are Some Supply Chain Risks? Supply chain risk management refers to the proce