- Rail combined with Sea
- Use fast (more expensive) modus for those parts which need to be delivered quick to the customer, and slower (Cheaper) modus for those parts with less/no rush or priority
- LTL is an economical option for products with smaller weights. But the cash saver is consolidation of different products or shipments for several byers into one shipment.
- If you are shipping a lot of goods from point A to point B, especially over a long distance, you can store products closer to your customers and thus drastically reduce transport costs
- preventive maintenance is used to reduce logistics costs – Emergency or breakdown maintenance don’t work.
- work together with suppliers to reduce costs. Sometimes suppliers can cover some direct logistics costs. Try to create a consortium of buyers (a buyer and their suppliers) to purchase the necessary logistics supplies (i.e., Transportation fuel) at a lower cost due to buying in larger quantities.
- Start inviting suppliers with a structured agenda at your facility. One topic would be to analyze your goods and present logistics cost reduction ideas. The supplier is perhaps the expert in their field of expertise.
Suppliers can surely help by continuing to work with you in a win-win cost savings
Try to make better uses of available storage space to increase the density of storage. Make efforts to encourages organized operations that are linked directly to labor, efficiency, use of assets and accuracy of inventories.