How does dedicated line logistics work?
Dedicated line logistics, also known as dedicated freight line, refers to a service method in which logistics companies use their own trucks, special cars or aviation resources to transport goods to dedicated line destinations. Usually, it has its own branch or cooperative network at the destination to ensure that the trucks going back and forth can be filled with goods. So what is the specific operation mode of dedicated line logistics?
1. Form a fleet
The key to dedicated line logistics is to have its own fleet, which can facilitate scheduling and management, and can better control departure times and cabins to highlight the advantages of dedicated lines.
2. Establish outlets
Dedicated line logistics is a point-to-point logistics method, so it is necessary to set up a pick-up point at the destination to make it easier to send and receive goods between the two places.
3. Customer sources
The most important thing for the establishment of special line logistics is to have a stable source of customers in order to create revenue. Therefore, early publicity and promotion is very important. You can use the resources of your peers to share and integrate resources, which will yield faster results than working alone.
The purpose of dedicated line logistics is to save costs, but this must be based on the premise of sufficient cargo volume, otherwise it is likely to lose money. Therefore, dedicated line companies generally adopt uncertain departure times, that is, when the goods are fully loaded, the trucks are shipped to reduce transportation costs for customers.
The main advantage of dedicated line logistics is lower transportation costs, but the disadvantage is that the shift time of land trucks is uncertain. Therefore, more urgent cargo needs can be met through air transportation or subcontracting services.
Dedicated line logistics is actually direct transportation, that is, direct transportation from one city to another. The opposite is transit transportation. All transportation companies need dedicated line transportation. Its business process is roughly as follows:
1. Receive orders (register customer and cargo information, dispatch trucks or book space for air transport);
2. Pick up and ship goods (coordinate vehicles or determine aircraft space);
3. In-transit tracking (driver information feedback, air waybill inquiry, arrival feedback);
4. Sign for arrival (delivery and handover of goods, feedback to customers);
5. Reconciliation and settlement (according to the agreement or contract between the two parties, the logistics company will pay the freight to the carrier, and the process ends after the settlement is completed).
Remarks: The above content is only an internal opinion and is for reference only.