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Benefits That Shipment Consolidation Offers In Logistics

by Steven Brown

Logistics is an organizational movement of goods to several locations. Shipping consolidation takes this concept to the next level of efficiency and optimization. Shipment consolidation in logistics means combining several small shipments and then clubbing them into one large shipment. 

The idea of consolidation extends to the applications like shipping containers and van trailers. There are several benefits that shipment consolidation in logistics offers to carriers and shippers. Consolidating shipments reduces the need across the board from pickup to delivery. You can reach out to the Best Transloading Services in California to transport goods at low costs. 

What are the three different consolidation methods? 

The three consolidation methods cover the main areas of freight consolidation service options. Consider one of the three types of consolidation; it will offer you incredible benefits. These are:

1. Ground shipping consolidation

Ground shipping consolidation includes any size of Less Than Truckload (LTL) shipment combined with others to create an entire truckload shipment. It is done using route planning to reduce the number of trucks required to transport goods to a particular destination. 

2. Ocean shipping consolidation 

Similar to ground shipping methods, ocean shipments are combined and then transported as the Less Container Load (LCL), which can’t otherwise fill the Full Container Load (FCL). Also, the smaller shipments are combined to make up an LCL shipment by saving costs. 

3. Air shipping consolidation 

It is the most expensive and fastest method. Any shipment that is to be transited on time uses this method. One thing that needs to be considered in air shipping is that space availability is small compared to an ocean vessel or a rail car. 

Advantages of shipment consolidation in logistics 

In the world of business, time is money, and finding ways to reduce it to receive an order and deliver it anywhere in the world is the process; it is costly and time-consuming and also requires valuable resources on the way. Following are some points which show how beneficial shipment consolidation can be for a business: 

  • Reduces shipment costs 

Using one truckload with other shippers reduces the overall cost of the trailer or container. Splitting the space while shipping minimizes the cost of shipping automatically. 

  • Reduces transit time 

Shipping consolidation can reduce transit time as most freights travel along the same route, reducing the shipping time. 

  • Less capital required 

Being in touch with a third-party logistics company gives you access to a fleet of transport vehicles, sorting facilities, and storage and a logistical asset management team that saves your time and business money in acquiring all these services. Contact the Best Transloading Services in California to save money you are spending on capital. 

  • Multiple transport modes 

Using a third-party transload partner, different modes of transportation are available for easy shipping. Whether it is barge, rail, truckload, ocean vessel, or air, a shipment consolidation service you have covered. 

  • Reduces theft and damages 

The dedicated transportation services reduce the risk of theft and damages. By carefully planning and executing, loading and unloading, using fewer vehicles, and reducing the physical handling of goods, theft and damages are reduced. 

  • Latest technology

A transportation management system (TMS), automated technologies, warehouse management system (WMS), and computerized technologies make shipment consolidation more efficient and accurate.

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