Northeast Ohio 3PL
The modern supply chain is capable of impressive feats, delivering goods and materials from across the globe to businesses, suppliers, and customers in days or sometimes even hours. Of course, there are always vulnerabilities. If the last 1.5 years has taught us anything, it’s that even the most tightly-managed supply chains aren’t invincible. Industry analysts now opine that global supply chains are poised for ongoing, high volatility on several fronts. Those partnering with a Cleveland 3PL will find they’re far better prepared to successfully steer through these challenges.
You may recall that during the pandemic, supply chain snags meant certain goods and products were unavailable for days, weeks, and even months. High-demand items were suddenly in short supply, creating logistical calamities that have, in some cases, persisted to this day.
These problems haven’t been limited to a single industry or product, which is why we’ve seen overall hikes in logistics costs. Compounding matters are the record numbers of ships delayed at ports, a highly constrained warehousing space market, and soaring fuel costs. According to the U.S. Department of Energy, the cost of fuel was up more than 35 percent this summer year-over-year. In some areas, load-to-truck costs are up more than 70 percent.
As longtime Cleveland 3PL providers in warehousing and shipping, we’re familiar with the many ups and downs (and sideways spins) a supply chain can take. Given that there is a good chance we won’t see a pre-pandemic normal of supply chains anytime soon, businesses need to brace themselves for disruptions and higher costs. Those that are working with a dedicated third-party logistics firm will have a leg-up on the competition.
Simply put, a supply chain is a network between a business and its suppliers to produce, process, store and distribute goods. A supply chain involves people, technology, information, activities, resources and organizations. It incorporates every step necessary to get that product to its final destination. To meet consumer expectations, your supply chain needs to be efficient and error-free. Currently, one of the biggest challenges is the increasing complexity of supply chains. Working with a 3PL (third-party logistics provider) like On Time Delivery & Warehouse can help you overcome supply chain complexities to ensure your items are moved quickly, safely and seamlessly.
Complexities in modern supply chains are largely attributed to a continually growing number of products, customers, channels and geographies. Research by Gartner found that supply chain complexity is a top concern of CEOs, with more than 60 percent of supply chain leaders reporting it poses one of the highest risks to business continuity.
Our third-party logistics supply chain partners in Cleveland are adept at helping clients navigate all challenges impacting the timely flow of goods to their final destination. Sometimes, the issue is a faraway natural disaster or social unrest. Other times, it’s homegrown regulation or infrastructure challenges.
Right now, there’s swelling concern over recent promises by President Donald Trump to shutdown the U.S.-Mexican border if neither Congress nor the Mexican government takes what he deems decisive action to stem the tide of illicit drugs and illegal immigration into the U.S. Ohio 3PL partners at On Time Delivery & Warehousing are watching the situation closely, and have begun mapping supply chain contingency plans.
The likelihood of an actual border shutdown isn’t clear. While some of the president’s allies in Washington D.C. have stated a total border closure would be “catastrophic” to U.S. supply chains, the president isn’t exactly known for always toeing the party line. He’s said that secure borders take priority over trade. He has floated a potential compromise: A border closure solely permitting the back-and-forth flow of commercial trucks. Whether that would be enough to blunt the biggest supply chain impacts isn’t certain.
Meanwhile, trucks at the Mexican border have reported long delays this month, after U.S. Customs and Border Protection officers were abruptly reassigned from import regulation to immigration processing, according to Bloomberg.
For us, this is not about choosing political sides. Our role as an Ohio 3PL partner is to be prepared for all scenarios with the goal of minimizing the product and financial losses for our clients – and that’s what we intend to do.
As a longtime Northeast Ohio 3PL provider in Cleveland, On Time Delivery & Warehouse has a battle-tested supply chain network of carriers and routes spanning the U.S. market and beyond – on ground rails, overseas and in the skies. For most domestic deliveries though, we rely on commercial trucks.
We’re certainly not the only Northeast Ohio 3PL to do so, though our longstanding, loyal customer backing affirms our stake as one of the most trusted supply chain management companies in the Midwest. The U.S. Bureau of Transportation Statistics reports 70 percent of the 50 million tons of U.S. economy freight moved daily is hauled by commercial trucks. Our trucking services clients have the advantage not just of our expansive carrier network, but our own fleet of trailers, box trucks and flatbeds.
Trucking is often the most cost-effective ways to move freight domestically, though as you probably know, it’s not exactly cheap either. Working with a 3PL trucking service can help, getting you better deals on less-than-truckload services and more. In fact, one of the greatest benefits of working with a Northeast Ohio 3PL instead of managing trucking services in-house is: Third-party logistics providers can help reduce your trucking liability risks.
This is an especially key consideration for many firms, given the risk of commercial truck crashes is on the rise.