The Power of Data-Driven Decision-Making in Manufacturing Logistics
Posted on September 13, 2023
Written by Tech
Broussard Logistics has helped companies manage and lower freight expenses since 1978.
With over four decades of experience providing transportation management solutions, we’ve learned a lot about the power of data analysis, predictive analytics in logistics as it relates to manufacturing, and knowledge of transportation market trends, particularly when it comes to reducing our clients’ transportation spend.
In the early years of our company, our primary contribution was providing savings through careful audits of freight invoices for large shippers across the country.
However, over time, we have also realized the value of the data we’ve captured in processing over $1B annually in freight invoices and discovered new ways to use that data to the benefit of our clients.
Today, we use this data (as well as proprietary tools designed to read it) to proactively assist shippers to understand how their carrier pricing benchmarks against the marketplace and help them better control & manage their freight costs.
In this post, we highlight the power of data-driven decision-making in manufacturing logistics and explain how we can use the most up-to-date data (and the contemporary knowledge produced) to help you lower your transportation costs.
Understanding Data-Driven Decision-Making
Harvard Business School explains data-driven decision-making as a process that uses data throughout the decision-making process to validate courses of action before committing to them.
Data-driven decision-making is valuable in various sectors, from marketing to modern manufacturing and logistics.
The following are some of the most significant benefits of data-driven decisions:
- Increased logistics efficiency: With access to the latest data, you can make decisions quicker and with less back and forth.
- Increased accuracy: Using data allows you to make more accurate decisions instead of just guessing and hoping for the best.
- Increased savings: Faster and more accurate decisions allow for additional savings and better finances across the board.
At Broussard Logistics, we understand the importance of having and using data to run your company effectively.
That’s why we offer our clients extensive data processing capabilities and reporting resources.
For example, our Transportation Management Software (TMS) includes robust data analytics features to ensure you’re always working with the most up-to-date information.
It also offers various reporting options and a convenient dashboard for easy data access.
Leveraging Data for Optimized LTL and Parcel Contracts
Data-driven decision-making is helpful, especially pricing benchmarks, in all areas of the transportation industry, including Less than Truckload (LTL) and parcel contract negotiations.
LTL optimization involves designing the most efficient routes (and contract structure) for transporting goods to their final destination.
On the other hand, parcel contract optimization involves landing the best rates with discounts and protective language tailored to your business.
Data analytics is crucial to both of these processes.
For example, you can use data to evaluate shipping routes and determine the best options for your LTL profile/characteristics that would take into account not only price but also tranit times, carrier damage frequency and on-time performance
You can also use data to determine which discounts your business qualifies for and ensure you get the best pricing contracts possible.
Speaking of contracts, the Broussard Logistics team members are also experts in analyzing carrier contract terms to reduce costs and improve service quality.
We have extensive contemporary pricing knowledge and utilize the latest comparison tools to help you get the best rates.
With access to the latest and most accurate data, we can produce reliable pricing benchmarks and consistently deliver more value to our customers.
Transforming Transportation Management with Data
Transportation management software brings the power of rich data to numerous aspects of the manufacturing logistics processes.
Manufacturers of all kinds and sizes can benefit from a well-designed transportation management system that delivers data-driven insights and helps them make more informed decisions.
The following are some of the most significant advantages these solutions offer regarding manufacturing process optimization:
- Streamlined route planning: No more guesses or assumptions about the most efficient route. A TMS solution will help you make informed decisions that saves time and money.
- Load optimization: Load optimization tools help you calculate accurate loading space, factoring in weights and vehicle maximums and consolidation opportunities.
- Real-time tracking: TMS solutions also provide real-time tracking data, so you and your customer always know where your shipments are and how close they are to their final destination.
Broussard Logistics provides cutting-edge transportation management software to all our clients.
With its extensive data analytics features, including our convenient rate shopper tool, we make it easier than ever for clients to access real-time data and make more intelligent decisions for their businesses.
Managed Transportation Services
Along with using transportation management software, businesses can further their efforts to make more data-driven decisions by utilizing managed transportation services.
Managed transportation involves outsourcing freight and logistics processes to an experienced third party.
Outsourcing can help businesses like yours save time and money.
It also offers other benefits, including the following:
- More bandwidth to focus on core responsibilities
- Increased supply chain visibility
- Unified communication for all stakeholders
- Improved return on investment
- Improved service KPIs
- Leverage the knowledge and expertise of seasoned professionals
- Assistance with freight auditing and payments
In addition to providing all these benefits, Broussard Logistics also uses data to oversee end-to-end transportation operations for our clients.
We collect data on all parts of the transportation process, from order origination to arrival at the final destination.
We then use that data to make smarter decisions that help you maximize spending and achieve your goals.
When you partner with us, you also get a dedicated account manager who will connect with you at any time to address questions or concerns.
We also offer API connections to carriers for increased visibility and access to additional data that helps us better serve our clients.
Data-Driven Logistics Solutions in Action
We can tell you the benefits of data analytics and data-driven decision-making until we’re blue in the face.
However, we understand that’s not always enough to get you to invest in transportation management software or managed transportation solutions.
That’s why we’re sharing real-life case studies from our clients to show what makes us different.
Here are two examples of how our transportation management software solutions, managed transportation, and other services benefit our clients’ businesses:
Restaurant Supply Retail Store
A restaurant supply retail store came to us for help reducing costs and improving customer service. By outsourcing freight operations to the Broussard Logistics team, they increased freight volume by 18% and reduced costs by 4%!
We assisted this company with TMS, LTL optimization and freight bill audit and payment.
Automotive Fabricator
When we first met with this local automotive fabricator, we estimated that we could help them achieve at least 31% savings. However, we exceeded expectations and produced freight savings of 45-50%!
We performed detailed cost analyses and implemented our transportation management software and utilized our rate shopper technology.
These tools provide comprehensive visibility of data from multiple carriers and ensure we always make the most informed and accurate decisions — the ones that benefit our clients the most.
Enhancing Financial Management Through Data Analysis
Data analysis and data-driven decision-making assist with all elements of the transportation industry, including core processes like freight bill auditing, payment, and reporting.
Because the Broussard Logistics team relies on the latest data when making all decisions, we can ensure accurate invoicing and minimize errors — including errors that could lead to you spending more money.
We also evaluate all reports and dashboards thoroughly to ensure we’re working with the latest, most accurate data and using it correctly.
We assist with critical tasks like accrual accounting and reporting manifests, as well as GL allocation.
Why partner with us for assistance with these and other essential processes?
Not only do you save money and time, but you also foster stronger relationships with partners and customers.
Everyone wins when you increase accuracy and ensure your business runs smoothly.
If your customers are satisfied with their results, including on-time deliveries and accurate reports, they’ll be more likely to stick with you long-term, meaning more consistent revenues for your business.
Experience the Benefits of Data-Driven Decision-Making in Manufacturing Logistics Today
Using data analytics in logistics can make all the difference for you and your clients.
It assists with LTL and parcel contracts optimization, freight bill auditing, reporting, and more, helping you save money, increase efficiency, improve customer relations, and trust that you’re always working with accurate numbers.
If you want to experience the greatest benefits of data-driven decision-making, you must work with the latest transportation management software or a trusted managed transportation provider.
Broussard Logistics can check both of these boxes.
The Broussard Logistics team has decades of experience with supply chain optimization and utilizing business intelligence in logistics.
We’re confident that we can use our unique approach to leveraging data, marketing trends, and resources to help you meet specific KPIs, increase your return on investment, and delight your customers.
Are you interested in learning more about big data in manufacturing?
If so, contact us today to discuss our manufacturing logistics solutions or set up a free demo.