Try These 3 Cost-Cutting Shipment Planning Strategies That Don’t Affect TAT


Try these 3 Cost-Cutting Shipment Planning Strategies That Don't Affect TAT

Don’t label all shipments as urgent. Some shipments must be delivered only once, and not even within the TAT. So don’t blindly forward all of your inbound shipments without thinking about how to save money. Examine the types of stocks you’re getting and use the three cost-cutting tactics listed below. Many of these answers are self-evident, but many 3PLs fail to recognize them…

You might have more options than you think when it comes to freight expenses! Freight charges account for a substantial portion of your business’s expenditure. This is why improving operating efficiency and lowering delivery costs are crucial.

There are various aspects to consider, including package weight, size, and value, as well as destination and shipment type. Choosing the optimum form of forwarding begins with careful planning of each individual shipment based on these considerations.

Here are a few variables that you can use to get fast results with less efforts.

  • The package’s weight
  • The packaging dimensions
  • Player who is specific to a particular region

Continue reading to find solutions to your difficulties..

The package's weight

Docket charges, ROV minimum charges, Minimum Weight, and Minimum Freight are the key topics of discussion. But it is your 3PL’s responsibility to separate services based on the minimum weight charges. Even for underweighted goods, some of your frequent courier partners may charge you the minimal weight. Anyway, this may make you ask if you can save freight by avoiding these errors without violating any existing TAT commitments.

As a result, have one courier who is capable of handling a single box extremely well. When using such couriers for single boxes weighing between 1kg and 10kg, you can definitely avoid using your usual LTL players. For example, a single box weights about 1.25 kg, and the freight cost is about between Rs.300 and Rs.400 INR, depending on your existing courier partners’ minimum charges. Other couriers, on the other hand, will charge you merely 150 INR for a single box.

Now, based on the percentage of single boxes in your shipment load pattern, try to adopt this method to save up to 5% to 10% of the standard freight cost.

Dimensions of the package

Try using Air Mode when the volumetric weight of a single package is just under 1kg. Surface mode takes a minimum of three days, whereas Air mode allows you to dispatch any shipments the next day, most likely before lunch. Almost the same price per kg: 150* INR (approximately). For all sub 1kg shipments, this method can be utilized to advance your shipment anywhere in India. It’s also possible to transport up to 10kg.

This manner, service is better than increasing SLA for the same cost. In addition, when compared to Surface mode, Air mode usually has a lower Lost case for small products.

Region/Pincode specific player

Knowing where you’re shipping your items to is one of the most important factors in lowering shipping expenses. If you frequently ship to a specific location, knowing the location will aid you in negotiating favorable rates with a regional carrier. When delivering freight inside their service zones, it’s critical to think about local and regional shipping choices.

These regional carriers provide the same services as large carriers at a fraction of the cost. You could, for example, collaborate with Pragathi for Bangalore, ABT for Bhiwandi, and IGR for Tamilnadu’s East.

The main distinction is that they only operate inside a narrow geographic area, therefore their delivery network is limited. If your delivery are inside their zone, this could be a viable solution. A positive working connection and open lines of communication with your courier partners can help you increase the efficiency of your operations and save freight forwarding costs. When compared to ordinary price, being a regular customer with a consistent single lane can save you up to 50%.


Using recent data, check all of your partners’ performance on a regular basis. Counting the number of times your shipments have been halted, the performance of your partners’ hubs, the performance of your vehicles, and other factors can help you choose a better forwarder for each of your priority shipments. Whereas the consignee’s location is within your courier partner’s hub delivery circle, allowing for faster delivery and other benefits.

Working out on Excel sheets all of the time is inefficient. Also, ensure your current system is capable of performing all of these tasks. Certain processes and procedures can be automated to reduce or eliminate errors, paperwork, and delays. You will save money, time, and resources by doing so. Imagine a system that takes care of everything for you.

Despite the fact that many of these solutions are self-evident, many 3PLs ignore them and wind up paying more for freight than they should. Check to see if any of the suggestions above make sense for your strategic 3PL company.

How ShypVisor Can Help You?

We at ShypVisor, built a Cloud based Shipment Management Software (SaaS) exclusively for Third Party Logistics (3PL) service providers, Supply Chain Service providers, C&F, Distribution companies. Salient features include Client & Vendor Rate contract management, Bulk order import through XL or API, Multi Courier Tracking, Bulk POD download, Claim management, Raising Client Invoice, Vendor bill validation, WhatsApp notification, Customizable MIS templates and many more. The software automates processes that otherwise require huge time, efforts, and manpower resulting in huge cost savings. There is no huge upfront investment required for the software as you can pay only for what you use on a monthly subscription basis. Get in touch with our experts for a quick tour of our solutions.

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Try These 3 Cost-Cutting Shipment Planning Strategies That Don’t Affect TAT

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