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How to reduce the cost of empty storage container at yard to its minimum value?

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Question added by Mohamed Zakzouk , Marketing , GAWHART AL NEEL VETERINARY LLC
Date Posted: 2016/03/26
Mahmoud Bedawi
by Mahmoud Bedawi , Global Shipping and Transportation Capability Leader , Procter and Gamble

The idea is conceptually simple: splitting the two processes "Storage and cost". You can imagine it as if we double our depot having a physical one and a virtual one. I.e. to use the physical depot to manage the 'real containers', and to use a 'virtual depot' to manage the invoicing.

In our tests results are impressive: in a comparison in terms of cost the FIFO logic halfs the costs vs. concept like the 'minimum stock' or the LIFO stock and all you need to have it working is the standard 'gate-in/gate-out' daily report .

Probably the most effective way to perform this change is throw a third party, that can propose itself as 'trusted' in the chain. This approach can also greatly reduce the 'time to market' otherwise required if the depot/terminal has to adapt his own software. A third party can also sell useful tools as a way to check the congruence between the equipments in the yard and the equipments in the system, or statistical information on the 'flow in/flow out' of containers, or tools to import/export data for invoicing too... and probably the best way to use the Cloud: a 'remote function' that makes calculations and reverts the results...

Good luck

 

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