Transportation Services Industry Overview
The transportation services industry in the United States is highly competitive. The performance of transportation services providers is sensitive to fluctuations in the price of transportation services and factors such as fuel costs, labor costs, and government regulations. To succeed in the long run, transportation services providers will need to better facilitate the flow of goods from production centers to end-users. Also, identifying potential market risks and implementing strong enterprise risk management strategies are becoming inevitable.
The US transportation industry is one among the most risk-prone of all industries. Our risk management solution can help you to identify major industry risks and undertake strategies to tackle them before they impact the company’s business operations. Request a FREE proposal today!
Business Challenge – Transportation Services
The client is a transportation service company based out of the United States.
Supply chain disruptions, incorrect demand-supply forecasts, and transportation delays increased challenges for the client. Moreover, factors such as advanced technology, driver shortages, and international trade disputes further resulted in greater supply chain risks for the company. Owing to such market risks, they were facing difficulties in keeping their supply chain run smoothly. The client, therefore, approached the experts at Infiniti Research to leverage their expertise in offering risk management solutions.
By leveraging Infiniti’s risk management solution, the transportation services provider wanted to tackle challenges such as:
Cyber-attacks: Cyber-attacks posed the single biggest threat for companies in the transportation services industry due to the technological advancements that link the internet of things (IoT) to supply chains and automation. By leveraging Infiniti’s risk management solution, the client wanted to analyze cyber threats and implement a comprehensive approach to prevent data breaches.
Driver shortages: Driver shortages lead to secondary risks like increased pressure to deliver on time. As a result, the client wanted to identify all the secondary risks in the US transportation services industry and take approaches to tackle them.
Supply chain complexities: With Infiniti’s risk management solution, the client wanted to identify supply chain risks and adopt strategies to keep their inventory controlled and shipments moving in a timely manner.
Business risks in your organization must be continually monitored and addressed before they affect the profits margins. Our risk management solution can help you identify risks in advance and take proactive approaches to tackle them. Contact us to leverage our risk management solution.
The experts at Infiniti Research adopted a four-phased approach that involved:
Market scanning and monitoring analysis to identify all the operational risks in the US transportation services industry and prioritize them based on their severity.
Market assessment study to keep tabs on market changes and forecast supply-demand shifts.
Competitive intelligence engagement to evaluate risk mitigation approached undertaken by the top transportation services providers in the US.
The insights obtained from Infiniti’s risk management solution helped the transportation services provider to identify all the risks associated with their supplier and inventory management process. By analyzing these risks, they were able to onboard new suppliers, manage compliance with regulations and control requirements through multiple supply-chain tiers.
Furthermore, the client was able to implement a comprehensive approach to prevent data breaches. Also, by addressing all the major risks, the client was able to improve inventory planning, better transportation management, and increase forecast accuracy. The risk management strategies further helped the client to reduce distribution costs and cut down the lead time. With this, the company was able to reduce delivery time from the production centers to customers by 44%.
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