Category Archive: Uncategorized

What is Supply Chain Resilience?

Click to ExpandWhat is Supply Chain Resilience?

Though a few years have passed since the beginning of the pandemic, supply chain disruptions continue to plague markets worldwide. Supply chain managers must find ways to minimize the operational impact of shortages and delays by proactively looking ahead and building more agility into their business’ supply chain. 

Resilient supply chains are ones that exhibit an ample capacity for recovery in the face of instability. They can manage and adapt when a supply chain disruption occurs, despite its scale. Learn more about how to achieve supply chain resilience and the benefits of building resilience into your logistics processes.

How Supply Chain Resilience Works

Supply chains must be capable of rapid adjustments in response to a diverse range of production disruptions. Supply chain disruption examples include sudden surges or drops in demand, decreased productivity, raw material shortages, and more. Developing a contingency plan is a crucial aspect of navigating such events. This allows you to minimize or avoid the negative impacts of supply chain issues, giving you the operational flexibility you need to continue business.

To optimize resiliency in your supply chain, you should:

  • Proactively establish a contingency plan. Proper planning facilitates a thorough understanding of all supply and demand components in your supply chain and supports continuous production. A good plan can anticipate future disruptions that might arise to mitigate their effect on your operations. 
  • Gather and analyze real-time data. Utilizing a digital supply chain management system can help your team curate and interpret disparate data sets to provide real-time insight into workflows and identify trends and opportunities for improvement. Supply chain managers are able to forecast and respond quickly to this information and minimize unexpected supply chain disruptions.
  • Diversify your network of suppliers, manufacturers, and distributors. Contracting with multiple service providers helps you better navigate unexpected disruptions, giving your company the agility to turn to another supplier if your usual one experiences a product shortage or service interruptions. Advanced analytics, blockchain, and sensors are crucial technologies for supporting diversified supply chains. They allow you to easily supervise even complex supplier networks and partnerships, regardless of their location within the supply chain.
  • Incorporate buffers in inventory, just in case. In the past, companies tended to only have limited surplus inventory available to minimize costs. However, in recent years, advancements in digital logistics systems have helped users anticipate upcoming changes in demand or supply chain bottlenecks, allowing you to plan appropriately and create a cushion in your inventory and service capacity. 

Benefits of Supply Chain Resilience

Choosing to invest in resilience measures provides many significant benefits in an increasingly competitive market. By focusing on diversification, implementing new supply chain technologies, and more, companies can enjoy benefits such as:

  • Minimal supply chain surprises. Visibility in all levels of the supply chain is the key to significantly reducing risk. Companies that modify processes based on traceable data and real-time logistical information are less vulnerable to supply chain breakdowns. 
  • Productivity increases. Implementing resilient supply chain practices and technological advancements and applying collected data to your processes can lead to productivity boosts across your operation. 
  • Operational efficiency. Improved flexibility within your supply chain frequently leads to a greater ability to invest in growth and innovation, all while reducing risk. Companies that invest in supply chain resilience expand their output capacities and enjoy shorter product development timelines.

Working with reputable partners can help your business avoid the shortfalls of supply chain disruptions and provide reliable service for your customers.

How Mulder Brothers Can Help

Mulder Brothers Brokerage specializes in third-party logistics (3PL) and frozen less-than-truckload (LTL) transport services on local, regional, and national levels. We are a relatively small firm, but we work with a trusted nationwide carrier network, which allows us to be both flexible and fast in supporting resiliency in your supply chain. For your convenience, we also offer cross-docking and redelivery capabilities. 

Our services are backed by Art Mulder & Sons Trucking (AMST), providing us with a fleet of trucks for reliable service. Our on-site repair shop allows us to expedite any necessary repairs to eliminate transportation delays that would otherwise impact your business.

Improve Your Supply Chain Resilience With Mulder Brothers

These days, supply chains are facing a high potential for disruption, making flexible contingency planning more crucial than ever. Mulder Brothers offer a range of services designed to improve resiliency and reliability in your supply chain. With over 50 years of experience in the trucking industry and transportation logistics, we offer nationwide coverage coupled with superior support.

Contact us today to learn more about our Service First™ mentality and the supply chain solutions we offer.

Effects of Fuel Costs on the Transportation Industry

With the rising cost of fuel, the freight industry has hit some definite bumps in the road. The surge in prices has been impossible to miss, with many roadside billboards announcing that gas now costs $4, $5, or even $6 a gallon or more in some areas of the country. For the vehicles that carry out refrigerated and frozen transportation services, both the trucks and their temperature-controlled trailers run on pricey diesel fuel, and so any increase in fuel expenditures especially impacts companies that rely on this type of shipping. Learn more about the implications of rising fuel costs for the refrigerated and frozen sector and how less-than-truckload (LTL) shipments can help provide a solution to the strain this puts on businesses in the transportation industry.

Implications of Rising Fuel Costs

The high prices that freight transportation companies must pay for fuel have far-reaching effects on other aspects of their business.

These can include changes to:

  • Transportation costs. When fuel prices increase, carriers must raise their prices to offset the extra expense. However, the rising fuel costs impact logistics for more than just the trucking companies. If it costs more for the carrier to convey goods, they must charge the shipper more to transport the merchandise. Then, since the shipper is paying more, the consumer will ultimately be making up for the additional costs by paying higher prices for goods.
  • Service area. A company’s service area typically consists of the region in which it can provide cost-effective shipments. However, every carrier has its own tolerance for changes in budget and cost. This means that, as fuel prices increase, sometimes a company’s service area will have to decrease proportionately. This can be especially tricky for temperature-controlled transportation companies as the refrigeration unit is powered by diesel.
  • Service frequency. In addition to service regions, another area in which companies can cut back in times of financial strain is consolidating offered routes. By reducing the frequency with which they offer a certain service or even the number of services provided, organizations can save money on the fuel costs they would otherwise incur. This is one of the advantages of leveraging LTL shipments as these services become more fuel-efficient and lower cost as smaller shipments are compounded into one truckload.

Effects on Frozen Transportation Industry

In the refrigerated and frozen transportation industry, temperature-controlled trailers and trucks operate on diesel fuel. The current high cost of diesel, therefore, hits the frozen transportation sector particularly hard. When refrigerated shipping costs increase, it forces transportation companies to raise their trucking prices to make up the difference and still turn a profit.

The implications discussed above turn into a reality that causes a shortage of trucks in certain areas of the country. This also leads to rising inflation as the trucking companies must pass on the increased costs until it is the consumer who bears the financial burden. Carriers have to prioritize profitability to stay in business, even if it means limiting their truck runs or sacrificing operational efficiency to do so. A reputable logistics company, however, can help you combat rising fuel costs by consolidating LTL shipments to maintain efficiency while still servicing all available trucking lanes.

How Mulder Brothers Brokerage Can Help

Consolidated, temperature-controlled shipments by Mulder Brothers Brokerage, a trusted LTL provider, allow you to combine your partial load with other shippers’ goods into one truck. LTL shipping can be a cost-efficient option for you as suppliers are able to share the shipping costs of a single truck, therefore you won’t need to pay for unused space. LTL is also fuel-efficient as this shipping method reduces the number of vehicles needed to transport goods.

At Mulder Brothers Brokerage, we love building long-term relationships with our partners. Our team supports both our customers and our carriers with reliable assistance 24 hours a day, 7 days a week. We strive to respond to every call with a working solution within 15 minutes to best serve you.

Partner With Mulder Brothers Brokerage

Rising fuel prices will continue to impact the transportation industry. As trucks in the refrigerated and frozen logistics sectors and their temperature-controlled trailers rely on high volumes of fuel to keep things moving throughout the supply chain, refrigerated freight rates have also increased significantly. 

At Mulder Brothers Brokerage, we are here to help with our consolidated LTL refrigerated shipments as an economical way to transport frozen and refrigerated goods. We are your comprehensive resource for third-party logistics (3PL), temperature-controlled storage, transportation, and more. Contact us today to learn about our services and how working with Mulder Brothers Brokerage can lessen the impact of expensive fuel costs on your operation.