Top Challenges for 3PL & SCM Companies in Sending Proper MIS On Time
Every economy and every commercial unit has always relied heavily on logistics. There are a minimum of millions of consignments moving every day around the world. According to market research, many organizations are outsourcing their logistics responsibilities to third-party logistics (3PL) organizations as a result of the globalization trend.
Clients (Customers) frequently express dissatisfaction with 3PL services such as packaging, on-time delivery, and customer service. This is also caused by a lack of information about consignments. The management information system(MIS) serves as the foundation for effective client communication for consignments. Several of these 3PL organizations use powerful computer technology and software to collect and provide consignment information. Small enterprises, on the other hand, are more likely to employ spreadsheets and less sophisticated software. This is a huge difficulty for 3PL providers, as they may not be able to match the precise logistical needs of shippers in some circumstances.
Here are some of the challenges that every third-party logistics provider should have addressed.
- Collecting shipment data from various partners
- Collected shipment data is unclear
- Shipment status terms are not up to standard
- Customization difficulties with excel templates
- Insufficient auto mailing
Continue reading to learn more about the obstacles of sending MIS…
Collecting shipment data from various partners
You may need to collect and consolidate data from multiple partners, both internal and external, in order to process and arrange consignment information in a single sheet for your customers. However, getting the MIS from your partners in a timely manner is difficult, and it is entirely dependent on their system.
When they are not consistent in providing you with the correct data, you must be able to retrieve it using your system if you have no other option. Remember that sometimes data in their system does not move up or down: API (Application Programming Interface) booking may not have been done perfectly, or manual booking and incorrect manual booking of consignments causes a delay in system entry.
Collected shipment data is unclear
Keep in mind that the information you receive from your partners is not always correct. This is almost the norm these days, with many of your courier partners failing to send updates when orders are received, ready for delivery, or delivered. It is always possible to have incomplete and out-of-date consignments in the MIS. As a result, ensure that you have a specific time frame from your customers for sending updated MIS to their desk the following day.
For example, if one of your partners feeds manual booked data the day before the pickup date, you won’t be able to access it until the resource completes it. You won’t be able to process your customers’ MIS on time until that time comes, and you’ll have to wait. You will face such a major issue unless you have an up-to-date software system for producing reliable data.
Shipment status terms are not up to standard
Assume you obtained all data and began to aggregate all data from all of your partners. Generally, you will notice that everyone does not adhere to universal status terms. They used various terms for each of your consignments. As a result, you must always convert them before sending MIS to your customers. In fact, you can’t always chastise small or regional courier partners for these things.
- Attempt Fail-Door Closed in Courier A
- Delivery Exception-Business Closed in Courier B.
You have now given your customers’ consignments to both of these players as a 3PL. When you receive these statuses, you must convert internally to meet the needs of your customers. Using your own human resources is not always easy. As a result, ensure that your current system is capable of performing these conversions in under a minute.
Customization difficulties with excel templates
You never share data uniformly with all of your customers by using a single template. Of course, every customer is unique, as is every MIS. Similarly, your courier partners can alter a specific regular MIS template. As a result, you must be prepared to accept any changes or provide a new template in a timely manner, while also ensuring that the new changes do not disrupt your MIS generation process.
One of your courier partners, for example, is sending their own template. They abruptly change something in the template, such as the column name, sorting, or anything else. If you are not aware of this change, you will encounter an incorrect data issue in your regular template. A simple copy-and-paste error can result in incorrect data being entered into MIS. As a result, your current system should be capable of detecting and accepting changes from your partners as well as changes from your customers.
Insufficient auto mailing
Although you share data accurately, it is critical that you do so on time. If you are still sending emails manually every day using human resources, you are not smart enough to compete with your competitors. Of course, each of your customers requires it sharply in the morning of each day in order to continue their work using MIS.
In fact, automating the sending of MIS to the registered customer’s email at least twice daily in your system could help your customers get data at the right time and stay up to date. Furthermore, a good MIS will demonstrate how an operation aligns with an organization’s goal. As a result, not having a MIS download facility in your customer portal may effectively weaken your service level.
Reports generated by these systems are used by people at all levels of a business, from assistant managers to executives, to review daily activities, make decisions, and measure progress. Warehouse managers, in particular, spend more than two hours per day analyzing and summarizing consignments and would benefit from MIS reports on product inventory and shipping information.
As a result, 3PL providers can see the advantages of investing in smarter IT and software systems, which can provide a higher return on investment. Regardless of the challenges of 3PL distribution, your system must be more efficient to ensure the satisfaction of every single customer. If your system is incapable of providing real-time logistics management capabilities, you will quickly lose customers. So, always be aware of your customers’ feedback in order to improve the accuracy of your service.
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.