Maersk Line has launched a manifesto for the future that envisages a time when reliability becomes more important than low rates and it is as easy to book space on a ship online as it is to book a seat on an aircraft.
In its The New Normal manifesto, which has been released on www.changingthewaywethinkaboutshipping.com, the Danish shipping line revealed how it sees the industry developing.
Firstly, it claimed improving reliability would reduce supply chain costs and could therefore become more important that offering lower rates than rivals.
“Customers of course care about cost, but what they really care about is the total cost and not the price on a single box,” Maersk Line writes in the manifesto. “They can accept rate rises; what they cannot accept is a delivery promise that isn’t trustworthy.
“Often customers value their ability to trust delivery promises more than they need a rock-bottom price – because the cost implications of late deliveries are far greater.
“If they cannot rely on a container being at destination on time, their whole business operations are compromised.
“Supply chains must be reworked, stores may not have products to sell to eager customers, and potentially one late cargo arrival might have implications not just for the customer’s own business, but those of a range of interconnected suppliers.”
Maersk Line said today only one in every two pieces of cargo are delivered on time.
“If customers increase their trust in the shipping industry as a supplier then we would get more repeat business – the most reliable operators in any logistics sector will always attract customers.
“If customers save significant inventory costs by minimizing risk in their supply chain then we will build better relationships because customers will be more satisfied with our service deliveries.”
Maersk Line said making it easier to book online was also a key development for the industry.
The manifesto said: “If customers are offered a more automated booking process saving them money through supply chain and inventory optimization then we will get better control of bookings and less no-shows.
“Because instant booking confirmation is a two-way process and a two-way guarantee, it means the customer is also confirming.
“If customers are presented with an immediate price, with a full breakdown of charges – so they can deselect options they don’t need – and a possibility to follow their order then we create security for them and they enjoy an improved overall customer experience.
“If we automate customer interactions and thereby free up time spent on filling out forms, re-work and chasing loose ends then customers could enjoy an improved personal service as we could spend the time we free up to serve them when and where they need it.”
It also added the industry needed to beat environmental expectations not struggle to meet them.
Taking proactive action would allow the industry to help set environmental standards, rather than react to them after they have been set.’
Damian Brett | Tue, 7 Jun 2011, IFW News