Multimodal Freight
Best Multimodal Freight Forwarding Cargo Logistics
The transportation industry is truly vast. Given the variations in terms of
geographies, transportation modes, service types, and the kind of shipping
service providers involved, it is imperative to get your choice of
transportation right as a business entity.
In this blog, we will look at multimodal transportation, its advantages,
challenges and solutions so that you can make a prudent decision regarding
shipments. Let's get the ball rolling.
Multimodal Transportation - Definition:
If a shipment operation involves more than one mode of transportation, it is
known as multimodal transportation.
If you ship your package from Coimbatore to Chennai via train, Chennai to the
US via Ship, then manage the last mile delivery to the US through the truck, it
is a classic case of multimodal transportation.
In the case of multimodal transportation, the entire shipment process, despite
involving multiple modes of transportation, is governed by a single contract
with a single entity, the multi modal transport operator or multi modal service
provider.
It is different from intermodal transportation in one key way. Inter-modal
transportation involves multiple carriers and multiple contracts.
Benefits of Multimodal Transportation:
Besides making the entire process a breeze in terms of the contract,
multimodal transportation has several key advantages.
Coordination:
The most important aspect of any logistics system is coordination.
Coordinating with one logistics service provider is enough to complicate your
process – think of coordinating with 3. When you coordinate with multiple
carriers, there is a lot of finger-point going on in terms of documentation,
delays in loading, etc. Making sure that a single contract governs your
shipment means that you have control over your shipment, and there aren't
any coordination delays in delivering your shipment.
Ownership:
When multiple carriers are involved in getting across your shipment, there is
a lot of finger-pointing. A was wrong in the documentation, and B did not load
the shipment in time. It can be the most irritating stuff to deal with shipments.
In today's world, where a single point of contact is the norm, it is better to
work with a multimodal operator who will answer all your queries just over a
phone call. When it comes to business, ownership of the process is important
to ensure smooth operations. Logistics is not different. One Service Provider,
One Contract – Peace of Mind.
Timely Delivery:
The shipping experience is best – when the delivery is on time. The greater
your service provider's control, the greater the chance of on-time delivery. It
is one of the greatest advantages of multimodal transport as there is an ease of
information and goods flow despite having a combination of transport modes.
The last thing you can do in business is keeping your customer, who is
interested in your product, waiting for the same due to coordination issues
between different service providers. In today's world, delayed delivery is
business suicide.
Multimodal Transportation Challenges & solutions:
Like any other form of transportation, multimodal transportation has its
challenges. Let's have a look at them.
Excessive Paperwork:
Even though you have opted for a multimodal transportation operator, you
might get different invoices for different legs of transportation, making your
paperwork unnecessarily complicated. So instead of processing multiple
invoices, it's better to discuss and get a single invoice from your service
provider upfront or ask him for digital processing, so your processing cost is
controlled.
Poor Tracking & Coordination:
During long-haul freights, it might be difficult to track shipments even for a
multimodal transporter – So make sure that your multimodal service
provider gives you an online option or notification-based alerts to make sure
your shipment is traceable during the entire process – Choose a digitally
advanced service provider. Stop asking for the info- Instead, get it on your
mail/phone by choosing the right service provider.
Disruptions in the Supply Chain:
2021 clearly showed the world that no service provider is immune to supply
chain disruptions. A huge ship locked across a canal or a pandemic can
disrupt the supply chain of the entire world at a massive scale. The year is
2021, and no shipper is immune to supply chain disruptions. So while
choosing your multimodal transport provider, ensure they have a wide
network across different modes of transport to provide alternate shipment
solutions even during supply chain disruption.
In a nutshell, if you are an entrepreneur who values control over cost,
multimodal transport is the best option to ship your product across multiple
modes of transport.
Sarvam logistics is a muti-modal transport operator with 10+ years of
experience in the field. Contact us for any multimodal shipment
requirements. We will make the process a breeze for you.