Decrease Dwell Time in a Company’s Supply Chain

The Junction LLC

Author

January 24, 2022

125 Views

dwell time

The amount of time that trucks spend at loading and off-loading facilities is referred to as dwell time, or dwell for short. Dwell time can affect multiple links in the supply chain and have a major impact on the planning and forecasting along the chain.

Decrease Dwell Time in a Company’s Supply Chain

Truck Dwell Time

Delays in the supply chain cause inefficiencies and also have an opportunity cost. As it pertains to dwell time, opportunity cost is what other profitable activity the truck could be doing instead of waiting. It is possible for carriers to charge detention fees, however, this can place stress on relationships and cause delays in payments.

Container Dwell Time

Not only do carriers lose out financially when their trucks are delayed, but there is also the additional threat of penalties from container owners when the trucks carrying their containers are dwelling. Therefore, container owners are somewhat at the mercy of port, customs, and rail authorities if they are inefficient or decide to inspect a container. The consequence of such delays is that the carriers are late to set off.

Calculating Dwell Time

To start, check for your own internal choke points. There are two main scenarios to look at. First, check on the regular loads which offer consistent data, day in and day out. Second, check ad hoc orders. Ad hoc orders may involve the same clients and routes but on an ad hoc basis. Irrespective, the process and time taken should be consistent.

The benefit of modern logistics software is that all in and out paperwork is date stamped. Also, the software allows companies to produce reports at the touch of a button for instant analysis. After you examine your own operation, the next port of call is the link where you pick up from and the client you deliver to. Your paperwork will be handy for when you place a call or make an appointment to visit either the supplier or the client you deliver to. It it possible that management is unaware they are causing supply chain delays and costing the business money.

Set Compliance Targets

The good news is supply chain companies can take proactive steps to reduce dwell time. The first step is to identify where the problems are. This is where warehouse management and inventory management software systems add value. In order to identify problems, the business must measure key points. Here are some of the measures to be looked at. When setting compliance targets, they can be looked at per load, truck, route, and driver.

  • Number of appointments/loads
  • Non-compliant load %
  • Carrier delayed arrivals %
  • The average delay time of delayed arrival loads

It will also be useful to consult with the links in the chain that come before and after you. In severe cases, carriers may opt to decline to pick up from certain distribution centers or drop off at certain retailers who are repeat offenders.

Incentives

Most companies are able to reduce dwell time by incentivizing truck drivers to play a more proactive role at pick up and drop off points. In this scenario, bonuses can be a form of on-target earnings for drivers. Supply chain companies might also try incentivizing pick-up points and drop-off points to give trucks preferential treatment. If you have been appointed by a distribution center, consider offering them a small discount based on in and out time compliance targets. Offer supply chain partners a small discount based on quicker turnaround times.

The Junction LLC | Truckload Shipping

As a leader in the transportation industry, we demand excellence from our entire team. Our team at The Junction LLC strives to deliver the best possible customer service and by a desire to solve our customer’s toughest transportation and supply chain needs.

Our team is dedicated to serving our customers and will take the necessary action to deliver our customers’ products safely, efficiently, and on time. In fact, this is our promise to you!

Nationwide Services include:

Trucking & Freight Shipping Services:

  • Overweight,
  • Over-dimension
  • Time-sensitive shipments
  • LTL (Less-Than-Truckload)
  • FTL (Full Truckload)
  • Flatbed
  • Flatbed LTLRGN (removable gooseneck lowboy)
  • RGN (removable gooseneck lowboy)
  • Maxi’s / A-Train / B-Train
  • Heavy Haul
  • Over Dimensional
  • Dry Van
  • Dry Van LTL
  • Refrigerated
  • Refrigerated LTL
  • Power Only

Additional Services:

  • Our sister companies can also provide warehousing in our food-grade facilities, cross-docking, and contract warehousing.

Get a Free Freight Quote

Nebraska Warehouse One-Stop-Shop | TechnologyEnabled 3PL Value-Added Services Warehouse | Freight Broker | Logistics

Nebraska Warehouse doesn’t just help to facilitate your shipments, but we are truly a one-stop-shop solutions provider. Our services include:

Latest News

The latest information about our Omaha storage warehouse services

Holiday Freight Demand: Strategies for Meeting Seasonal Peaks

Freight demand increases over the holidays. Companies and their logistical partners traditionally...


More Details

December 6, 2024

Top 5 Industries That Benefit from Professional Freight Services

Professional freight services have become essential to streamline logistics and maintain a...


More Details

November 8, 2024

What Does Container Drayage Mean in Truckload Shipping?

If you’re involved in the world of logistics or truckload shipping, you’ve probably heard the...


More Details

October 17, 2024

How LTL and Full Truckload Services Keep Your Business Moving

In the world of logistics, your transport solution keeps your business agile, efficient, and...


More Details

October 3, 2024

How To Choose the Right Truckload Broker For Your Business

The quest for the proper truckload broker is like finding a co-pilot on your journey. A lot rides...


More Details

September 12, 2024

What are Integrated Logistics & How Can It Help Your Business?

In today's dynamic business environment, the smooth, effective, and efficient movement of goods...


More Details

August 22, 2024

What is a Freight Pickup?

Freight pickup is the initiation point in the transportation and logistics cycle. The carrier picks...


More Details

August 5, 2024

The Impact of Seasonal Demand on Freight Shipping and How to Prepare

Freight transportation is an integral part of international trade, moving goods efficiently from...


More Details

July 15, 2024

Integrated Logistics Solutions: Combining LTL, FTL, and Freight Brokerage

In today’s fast-paced, competitive business environment, efficient logistics and supply chain...


More Details

June 21, 2024

How to Optimize Your Supply Chain with LTL Shipping

One of the best ways for businesses to streamline operations and reduce costs is to optimize their...


More Details

June 7, 2024