Consolidation in the Last Mile Summer 2023 - Final | Page 52

Your success , your profitability , and long-term sustainability are all dependent on you meeting your customer expectations . The only way you can do that is early planning and arranging for a high-quality team of outside providers you can depend on .”

Your success , your profitability , and long-term sustainability are all dependent on you meeting your customer expectations . The only way you can do that is early planning and arranging for a high-quality team of outside providers you can depend on .”

no matter what gets thrown at you , you ’ re going to be better off ,” he says . “ There ’ s never been a peak where we weren ’ t hit with curveballs . There might be an ice storm , a port issue , or even another labor strike threat . If you have your resources and partners aligned when those unexpected items suddenly hit , communication is critical . Having transparency and preplanning allows your company to adjust resources accordingly ( up or down ) to minimize the negative impact on your customers and the organization while maximizing profitability .”
Begin now to get contractual obligations in place for trucking partners and companies that can provide labor . “ If you ’ re working with a regional trucking company , give them the volume you anticipate and ask if they can handle it . Find out how many trucks they can dedicate to your company and whether they can scale up if that volume increases ,” Moyer advises . “ If you have that conversation with them now , they can also plan accordingly , and you can rest assured that those resources will be available if you need them . That way , you know their capacity and whether you need to engage other providers .”
He points out that the planning process should include labor . His company , Tasks4Pros , works with their clients to create a plan for their warehouse workers , recruits , trains and supports them , and can quickly add additional warehouse workers during high volume times like Peak . “ Labor is critical during these high-volume times ,” he says . “ During past holiday seasons , some companies , especially those involved with ecommerce , have had to double the size of their workforce ,” he says , pointing out that Task4Pros began handling requests for warehouse workers for Holiday Peak at the beginning of July .
“ The process of securing labor resources can be challenging , so starting early and identifying the right partner will have a significant impact on your operations ,” he says . “ It may include background checks , drug screening , and training to meet your customer commitments and maximize your ROI .”
He points out that large ecommerce companies begin planning for the next Holiday Peak as soon as the previous one ends . But that ’ s not the case for many smaller companies , and searching for workers is often difficult . “ For smaller companies to recruit this type of labor on a temporary basis is difficult when most supply chain companies are competing for the same personnel ,” he says . “ They don ’ t have the staff or methodology to recruit this type of worker . They may end up calling a temp agency that gives them a 70 to 80 % fill rate with lower-quality workers . This inevitably leads to lower performance and high turnover during the most critical times and inability to meet contractual obligations with their customers .”
He concludes his thoughts on planning now for Holiday Peak this way : “ Your success , your profitability , and long-term sustainability are all dependent on you meeting your customer expectations . The only way you can do that is early planning and arranging for a high-quality team of outside providers you can depend on . Your relationship with your suppliers is just as important as those with your customer if you ’ re going to have success in the long run . You want to build a supplier team that understands your needs and expectations . You want to communicate with them proactively and expect them to do the same with you . It ’ s all about planning , execution , and constant communication . If you do that , you can respond to anything Peak throws at you .” CLDA
52 customized logistics & delivery Magazine I summer 2023