filter-industry-manufacturing

Your production line goes down. Workers stand idle. The clock ticks. The stress builds. Every minute means more revenue lost, never to be found again.

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While advances in automation and robotics continue to expand their presence in the supply chain, people remain integral for the foreseeable future.

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In tandem with the challenge of adopting smart manufacturing technology, manufacturers are grappling with the digital disruption of supply chains.

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According to the Office of the U.S. Trade Representative, U.S. goods exports to Mexico in 2022, the latest year for which numbers are available, were $324.3 billion, up 17% from 2021 and 50% from 2012. U.S. goods imports from Mexico totaled $454.8 billion in 2022, up 18.9% from 2021 and 64% from 2012.

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When it comes to choosing a Dedicated Contract Carriage (DCC) provider, it’s important to identify your requirements and fully understand the benefits of a well-structured DCC arrangement before starting the selection process. That’s why we created this guide – to make available the critical information you need to make the best decision possible. Whether you currently operate a private truck fleet, utilize common carriers, or are evaluating the options available in ground transportation, this booklet will be a helpful resource in determining if DCC is right for you. It also provides a “how-to” in selecting a specific provider as your dedicated carrier.

There are many new entrants into the DCC market as the product continues to evolve. The more you know about DCC, the better decisions you can make for your transportation needs.

For this global industrial manufacturer of vehicles and engines, production depends on exceptional and reliable service throughout the supply chain. When the manufacturer was looking for a partner to manage its distribution centers, it sought a company familiar with the challenges of automobile supply chain management and decided on Penske Logistics. Penske has managed inventory in two of the manufacturer's facilities in Mexico since 2002.

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No two shippers — or supply chains — are the same. Some require more complicated freight management (FM) solutions owing to the nature of their businesses. Heavy haul shippers or those with specialized trailer loading requirements are examples; companies with rapidly changing organization structures or high growth trajectories can also fall into this category. When specialized product meets rapid change, the need for support becomes more critical.

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A leading building products manufacturer sought to improve and streamline its supply chain operations. With over 3,000 employees and more than two dozen manufacturing facilities from coast to coast, the manufacturer wanted to expand its trucking fleet while also improving overall visibility through the implementation of fleet management technology.

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Aluminum manufacturer Novelis faced an intriguing business challenge: how do you provide a continuous supply of aluminum to support production of a highly-anticipated pickup truck at plants located hundreds of miles away — all while ensuring safety and sustainability, optimizing capital investment, and providing efficiency, flexibility and visibility into shipments?

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A national wholesale distributor of heating and air conditioning supplies was struggling to manage its complex supply chain and maintain high levels of customer service, which is a top priority. With over 20 decentralized sites spread across five states, communicating delivery needs between sales staff, professional drivers and each distribution center was creating challenges.

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A leading producer of fine luxury products required a partner who could improve their warehouse and distribution operations and reduce the theft they were encountering with their high-value products. The organization does the bulk of their business throughout the Midwest and Eastern United States, which includes over 30 retail stores and 400 wholesale accounts.

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Time is money, so it pays to complete tasks as quickly as possible. In supply chain management, that involves maximizing velocity—the speed at which products move from the sourcing of raw materials and components to customer delivery and returns.

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When buying truck capacity, shippers need to have a clear understanding of carrier pricing trends in relevant lanes. But in the highly fragmented U.S. truck market, freight rates vary in response to many factors, and it can be difficult to get a fix on which rates are competitive and how stable they are in specific lanes.

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The manufacturing industry is changing at a rapid pace. You may be facing new economic factors or increasing competition. If you currently operate a private truck fleet, utilize common carriers, or are evaluating your available options for ground transportation, one way to handle your changing environment may be to consider if a Dedicated Contract Carriage (DCC) solution is right for you.

There are many factors to consider in making such an important decision. Before starting the selection process, it’s imperative to identify your requirements and fully understand the benefits of a well-structured DCC arrangement.

 

To help determine if DCC is right for you, Penske Logistics created this Guide to Dedicated Contract Carriage in the Manufacturing Industry. Download the guide to learn how to select a specific provider as your dedicated carrier.

 

Truck driver shortages, increased economic activity and the growth of e-commerce are among the market forces that are driving up logistics costs in manufacturing. Companies must respond by finding ways to reduce and control the cost of logistics operations.

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Driver shortages, tight capacity and increasing freight costs are among the forces that are reshaping truck transportation — and prompting many manufacturers to re-evaluate their trucking options.

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For a national manufacturer of custom-designed vinyl windows, transportation can be a challenge. Windows are sensitive. If they're dropped on a corner or fall to the ground, they are ruined.

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In the global manufacturing industry, inconsistencies related to seasonal volumes are common. Volumes can fluctuate based on the weather or the time of year. If not managed properly, that inconsistency can result in waste and clutter, which increases costs.

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Inaccuracies within the supply chain can create significant problems, particularly if those errors affect the production line or the end product. One key metric companies use to measure quality is parts-per-million (PPM) defects. Penske Logistics has helped drive a reduction in PPM defects for a global component manufacturer, resulting in improved quality and customer service.

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