Stats on trucks have only been around for a few years, every day we have a new way of tracking the accidents that happen. Most logistics companies need these stats so that they can attribute what safety measures to put in place. Most of the stats that give you a leg up will have an effect that most don’t realize. Copying the trucking companies that do it the best will set the new standards for how things are to be done. This is why tracking is important and why we will talk extensively about this.
Overseas shipping containers are a type of intermodal transport also known as ISO containers. The containers come with standardized dimensions and can be transferred from one vessel of transportation to another. They are heavy and can only be lifted using cranes or forklifts. They require trained personnel to handle them and arrange goods in them in a systematic manner. Some have special compartments to suit the storage of specific goods.
In the 1950s a former owner of the trucking company commonly known as Malcolm McLean came up with an idea of transporting goods using containers. His efforts were strongly backed up by the International Standards Organization in 1968 where a standard box was introduced to be used to transport goods.
Containerization was largely adopted by many transportation companies and international maritime hall of fame named Malcolm McLean as a man of the century due to his discovery that made a difference in the logistics and freight industry.
Why containers were largely adopted by the logistics and freight industry
The International Standards Organization realized that the process of sorting out goods, loading and offloading was cumbersome and took many weeks and wanted to find a solution. Many goods were lost in the process and some damaged during transportation as it was impossible to handle delicate goods carefully.
Many traders were put off from transporting goods through any vessel. Especially those dealing with perishable goods, it was impossible to transport those goods as the transportation process for long distances would take months, and the goods would be stale by then.
A solution was necessary for the predicament in the freight and logistics industry. They wanted a transportation system where it was possible to transport all types of goods conveniently and cut down transportation costs significantly.
A box was first introduced in the industry, and it was able to eliminate some of the problems experienced in break-bulk shipping. Further evolution happened, and containers were introduced with the ability to handle many commodities. Some containers had freezers and compartments for storing perishable goods.
The emergence of containers made a change in the industry. Though they were a few challenges, it was able to eliminate major challenges in the freight and logistics industry and make the process easier and more efficient.
What are the advantages of overseas shipping containers to the logistics and freight industry?
The logistics and freight industry is responsible for ensuring that goods are transported efficiently and their transportation costs are reasonable. The industry ensures your goods are safe and stored according to the right standards and are delivered on time. The adoption of overseas containers used for storage has many benefits to the industry.
1) Low transportation costs
The break-bulk shipping which was used in the earlier days involves packing goods in loose stacks then loaded and offloaded to the transportation vessel. For instance, if you choose to transport your goods using a ship good will be loaded on a specific port then offloaded in the next port and loaded to the next vessel, and the process is continued until the destination of the goods is reached.
The process involves hiring many manual laborers in each port, and the reparation costs are very high. With the emergence of overseas containers, the goods are only packed once and loaded to the ship using specialized materials thus eliminating the loss of many manual laborers.
Thus, it is evident that the transportation costs reduced significantly as the freight and logistics industry was able to eliminate 75% of wage costs incurred by manual laborers.
2) Faster transportation of goods
Previously it would take months for products to reach a specific destination. Goods need to be loaded and offloaded at each terminal slowing down the movement of the transportation vessel. With the use of containers to store products a vast bulk of goods is loaded and unloaded using lifts and forks making the process easier. Goods reach their destination faster as the shipping period between different terminals has been shortened.
Additionally, with break-bulk shipping goods needed to be sorted one by one but with containers the products are systematically arranged to make the process of transportation easier.
3) Security of goods
Containers are safe and not vulnerable to theft compared to break-bulk shipping. The contents of the goods in a container are hidden, and passengers on the ship or plane cannot determine what the product is and will not steal.
The theft of goods in the transportation vessel has significantly dropped by 50%. However, a container can be lost in the process of transporting goods.
Additionally, goods are not easily damaged in the containers. It is now possible to transfer to transport fragile goods without worrying if they will break.
The containers are made from durable materials and goods stored in them cannot be affected by external factors such as water or excess sunshine. Additionally, the products are sealed at the source and will only be open upon reaching destination ensuring the safety of the goods. The industry is facing fewer instances of loss of products and damage.
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