A featured contribution from Leadership Perspectives: a curated forum reserved for leaders nominated by our subscribers and vetted by our Logistics and Transportation Review Europe Advisory Board.

Anchor Mfg. Group

Logistics Strategy for Competitive Manufacturing Operations

Barb Murawski

Barb Murawski

Manufacturing Logistics Operator

Managing Cost, Compliance and Continuity

Logistics play a crucial role in maintaining procurement strategies, production scheduling, reducing costs and ensuring on time deliveries for Manufacturer’s today.  Due to changing increased tariff rates, fuel and labor increases, it is a constant struggle to be able to stay ahead of the pricing desired to ensure we remain competitive in today’s automotive markets.   

In 2022 fuel costs for logistics operations surged by over 50 percent. This affected transportation expenses for manufacturers with little or no reduction since. Pricing for steel and aluminum rose sharply impacting production and supply chain costs.  Importing these items, the manufacturers dealt with increased tariffs and other charges that were most likely passed on to the end user and then impacting car buyers. 

In my fifty years working in Automotive Manufacturing, it was imperative to ensure the product met the classifications or had the provisions put in place since the product did not meet the classification due to the weight of the component as evidence by plastic products. Additional training was required and knowledge enhanced to be able to purchase a fleet of trailers to ensure we could stay competitive. Ensuring that the Buyer is ahead of the curve when dealing with less than truckload and Truckload carriers is imminent to stay competitive in today's markets.  It is imperative to work with freight carriers and lock in pricing and understand the factors associated with the pricing. 

International Shipping and Fleet Strategy

International shipping is another area that requires much input and strategy at your gate reviews to ensure the containers are filled properly and secured to withstand the measures with salt water and extra handling. It requires input and strategy to ensure loading of the container is effective to maintain the lowest freight costs as well as preventing damage to the freight. 

"Ensuring that the Buyer is ahead of the curve when dealing with less than truckload and Truckload carriers is imminent to stay competitive."

One item I recommend to anyone shipping internationally is to ensure the product is correctly identified and your paperwork matches the invoice to prevent excessive inspections and ensure you are receiving the most competitive costs.  The quality of your documentation is the most important factor when shipping abroad.  

Implementing fleet within the corporation requires overseeing and coordinating an organization’s commercial vehicles to improve the efficiency, reduce costs and ensure conformance to regulatory compliances. There is much to consider when organizing a fleet of vehicles and determining what is needed and cost effectiveness.  

Fleet management allows the company which relies on transporation in business to remove or minimize the risk associated with the vehicle investment, improving efficiencies, productivity and reducing their overall transportation and staff costs while complying with government legislation and many more.

The articles from these contributors are based on their personal expertise and viewpoints, and do not necessarily reflect the opinions of their employers or affiliated organizations.