The article discusses the often-overlooked importance of inbound freight management in supply chain operations, emphasizing that it plays a crucial role in connecting companies with their suppliers. Mismanagement stems from factors like failure to isolate inbound freight costs and a lack of alignment between purchasing and logistics functions. Effective management can lead to significant cost savings, yet many companies focus more on outbound logistics due to its direct impact on revenue. To optimize inbound freight, the article highlights key areas such as freight terms, rate negotiations, and routing compliance, advocating for a comprehensive approach that integrates procurement, logistics, and supplier collaboration.
Source: https://www.scmr.com/article/inbound-freight-often-a-missed-opportunity