Logistics companies operate on thin margins in a highly competitive, fast paced business environment. This increases the importance of analyzing ongoing operations, making tactical decisions and refining governance structure to help improve operational efficiency and remain competitive.
As part of this blogpost, we will be sharing analyses ideas for US domestic 3PL companies, who deal in air shipments and ground linehaul with the help of Tableau software (advanced mapping functionality and insightful visual display of data) to better understand their operational constraints and subsequently identify areas for operational efficiency.
Let us look at hypothetical data for a 3PL company and analyze shipments being moved across major hubs. As part of this exercise, let’s analyze the price per pound, cost per pound, volume, and average weight per load for all the major transportation lanes with LAX as either origin or destination.
FYI, all the charts we've displayed in this blog post are dynamic. Please feel free to click around and interact with the charts.
Shipping Rate is highest in LAX-JFK and LAX-ORD lanes
Cost is highest in LAX-JFK lane
Higher for LAX – ATL lane; Lowest for LAX – SFO lane
This graph gives an idea about the split between shipments received by air and ground modes by each hub. Looking at the following graph, we can observe that the balance is tilted in favor of air shipments as compared to ground shipments for the LAX hub.
The following graphs show shipments that move from LAX to a different hub based on their service level. The first graph shows shipments that move via a 1 day service level, the second graph shows shipments that move by a 3 day service level and the third graph displays shipments that have 5 day delivery. Majority of shipments are either being delivered using a 1-day express delivery mode or through a standard 5-day delivery service.
It is clear from the dashboard that LAX is the biggest dispatcher of shipments domestically since most of the US imports arrive in US at the LAX port facilities which are then distributed domestically. Also, the number of incoming shipments into JFK is larger than the outgoing shipments which holds to reason. Such volume analysis helps companies in planning and allotting receiving and dispatching staff to airports accordingly.
Such analysis can help operational planning departments of 3PL companies in improving their efficiencies. Please visit our dashboard and reporting page for more information.
Why choose Python for your startup?
If you are confused about which programming language should be used for your startup, then give this blog a read as it will tell you about Python and its benefits.
The role of Data lakes
What is a data lake? How is it beneficial to startups? Read this blog to know all about data lakes.
FinTech impact on Financial Services
UPI, Paytm, Online Banking, just think about how often you use these services. Life has been made easier since we were introduced to online banking. Read this blog to know about how FinTech has had an impact on Financial Services.