Why are costs for transport and logistics increasing?
Today’s costs for transport and logistics are increasing all the time and there are several reasons for this.
The production of our goods is centralized and often moved further from the Nordic countries, which means that the costs for transport and logistics increase.
Internet commerce has become part of our everyday life and the demand for faster deliveries to scattered areas means that economies of scale such as joint shipping or linehaul are trumped by the desire for fast delivery. If it is then also to be delivered to the door, costs in connection with “last mile” have also been added.
As everyone knows, increases in items such as fuel and wages also affect the costs of transport and logistics.
Get control over the costs of transport and logistics – our solution:
We at softlogs.net work every day for our customers to have better control over their costs for transport and logistics. What we start with is checking that the transport invoice matches the shipping agreement. We also check whether it has been invoiced according to the booking or order. Freight invoice control is the simple part of our financial control of the costs of transport and logistics.
We also work to reduce the number of shipping invoices that are sent to our customers and this is done by setting up rules for accounting and cost allocation for each shipment. This means that our customers have an easier process to book shipments as we can eliminate the number of carrier customer numbers to a minimum. There will then be fewer invoices, which is cost-saving for both the carrier and the customer.
When we have costed all shipments down to order, customer and product, we can get exact shipping costs that are linked to customer, product, region and market. Based on this, management can easily measure the profitability of products and areas. Such a “cost to serve” analysis allows you to easily see if you are working with the right margin contribution on your articles and markets.
By measuring the shipping cost as a percentage of the turnover of an order, our customers have this as a useful KPI. We can operate both with a gross shipping share and a net shipping share, which then takes into account what was invoiced for shipping on the order.
Read more about our solutions here: https://softlogs.net/en/our-solutions/