Based on the attached reading, answer the following:
How is process improvement important to achieving transportation excellence? How might process improvement be extended to other areas of logistics planning?
To understand why process improvement is important to achieving transportation excellence, we have to look at what process improvement really is. Process improvement ultimately relates to analyzing or improving a system (in this case, transportation). Any enterprise process could be improved. For example, in transportation, a company can focus on improving its software system for managing employees, payroll, inventory, and even drivers - integrated with an internal global positioning system. Transportation may even focus on improved routes, reduced fuel mileage via optimal vehicle maintenance; or driver training to reduce hazards and increase safety on the road, and so on. The key is improvement over the process, whatever the 'process' may be.
The article references that, "By automating key transportation and logistics processes through advanced TMS, most companies are able to substantially reduce or ...
This solutions explains how process improvement is integral to achieving transportation excellence and other logistical processes.
Gilmore, D., (2002). Achieving transportation excellence. World Trade, Troy
Companies across every industry segment are striving to become supply chain management (SCM) leaders. SCM leaders achieve this status by reducing cycle times and operating costs, increasing supply chain velocity, and enhancing top line revenue growth through improved customer satisfaction. There is a growing recognition of the role that transportation and logistics excellence plays in achieving a world-class supply chain. Transportation costs represent a substantial component of overall supply chain and corporate spend for many companies. Transportation management solutions (TMS) can enable companies to take back control of their transportation processes and drive out transportation related costs. TMS can deliver these savings through: 1. process improvement, 2. shipment optimization, 3. continuous moves, and 4. carrier.
How is process improvement important to achieving transportation excellence? How might process improvement be extended to other areas of logistics planning? (in 3 pages and references)View Full Posting Details