Whether you operate a warehouse facility, refer containers, multi-zone delivery trucks, or OTR reefer fleets, a deep analysis of your current cold chain practices can increase profitability while decreasing costs. Consider the following strategies to improve your bottom line.
How to Decrease Supply Chain Costs
1. Inventory Management
Managing your inventory can be a daunting task. However, it’s essential if you want to spot inefficiencies, find potential cost savings, and decrease costs. From trading errors to under/over stocking, a low-quality inventory management strategy, or lack thereof, can result in steep costs and dwindling profits. Fortunately, there are several software that will give you complete control of your cold chain inventory.
2. Streamline Processes
As part of the digital age, the Internet of Things has become an increasingly growing topic of conversation. In fact, nearly 5 billion devices are connected to the internet, so businesses should prepare for this global shift – and the supply chain is no exception. IoT technologies streamlines processes for the cold chain by reducing paperwork, vehicle maintenance, and fuel consumption. This will help you save money on your day-to-day business expenses.
3. Proper Packaging
Improper packaging can wreak havoc on your supply chain. Implementing proper packaging solutions will lower costs, improve customer service, and reduce food spoilage.
The world is quickly realizing the advantages of sustainability, and the cold chain industry is following suit. If you want to decease costs, increase efficiency, and save energy, we recommend incorporating additional insulation on your trucks. Plus, consider investing in sustainable packaging and cold chain automation. Research has shown that these two factors can improve a company’s carbon footprint and bottom line.
5. Real-Time Temperature Monitoring
Ensuring that food is kept at the right temperature throughout the entire cold chain process will help reduce costly spoilage claims and redelivery costs. To confirm temperature stability and remain FSMA-compliant, a real-time temperature monitoring instrument should be implemented.
Contact Cargo Data for More Information
Assessing your cold chain will help you determine what changes need to be implemented in order to reduce costs and improve operational efficiency. If you’d like to know more about our Lightning Real Time temperature monitoring system and how it can help you achieve your goals, give us a call. We offer free consultations and can be reached at (800) 338-8134.