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Ashley Klepach FourKites headshotAshley KlepachProduct Marketing Manager, FourKites

One thing that cannot be completely prevented in today’s supply chains is exceptions in the form of delays or disruptions. Despite delays and disruptions running rampant, end customers expect their products to be delivered on-time and in-full. One way shippers can prevent or reduce the impact of delayed or late containers is through exception management. If done correctly, managing exceptions has a number of benefits to your supply chain and overall bottom line — and using end-to-end visibility to manage exceptions is key.

What are the benefits of ocean exception management?

Lower Transportation Costs — shippers can see a reduction in the added costs from delays, dwell or utilizing alternative modes by prioritizing containers that are late.

Reduction in Demurrage & Detention Fees — the ability to reduce unnecessary demurrage and detention fees through managing delays and disruptions can result in millions of dollars in cost savings.

Improved Customer Satisfaction — Keeping customers informed on delays and providing accurate ETAs for operations and headcount planning can lead to improved customer satisfaction.

Improved Product Availability — Shippers can ensure that shipments make it to store shelves in time and in full for time-sensitive promotions, back-to-school or seasonal events even if the containers are hit with delays or disruptions.

Less Spoilage — By prioritizing containers that include perishable goods and ensuring that they arrive at their destination on time, eliminates risk of inventory loss and increases in product and transportation costs.

These benefits are universal, whether you are a retail shipper or manufacturer. We spoke to some customers who have recognized value from using end-to-end visibility for managing their exceptions – these are the four key ways to get started:

  1. Ensure a real-time and comprehensive view of ETAs. When your container is delayed, it is important that each of your key stakeholders are aware of the latest updates, ETAs and milestones and aren’t working in separate siloes. With end-to-end visibility, each stakeholder can see in one platform where the containers are located in real time, if it is delayed or missed a transshipment port and when it is expected to arrive with predictive ETAs.
  2. Have a centralized dashboard for managing exceptions. Dashboards, like FourKites’ Executive Dashboard, provide key information in one place to prioritize exceptions. Whether it’s information on containers approaching or incurring detention or demurrage, dwell warnings, or rerouting alerts, stakeholders are able to easily troubleshoot why containers are categorized in a certain way. These dashboards for managing exceptions can save hours of work and unnecessary transportation costs.
  3. Save time with workflow management. End-to-end visibility allows shippers to automate exception checks and provide alignment across stakeholders. By providing a more streamlined workflow, more time can be devoted to containers with the most financial impact or top priority.
  4. Gain deep operational insights with reporting and analytics.  Sophisticated visibility solutions allow shippers to measure how your efforts to manage exceptions are moving the needle on key metrics like on-time delivery and detention costs. You can also flag loads that have been impacted by exceptions. Having a record of these errors can help analyze carrier performance and lead to more productive conversations with your service providers.

For more, check out FourKites’ guide for global shippers to understand how global brands utilize ocean visibility to effectively manage their exceptions.

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