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VEHICLE PLACEMENT

The placing vehicle from Third party on time is a every day challenges for logistic dept.

The failure rate is high

Advance notice reqd

Fail to place a vehicle lead to loss of sale.

Lead time increase

Searching alternative also again time taking

How can it get reduced

Take a note on which route the failure rate is high ?

If all route :- Selection of the vendor is wrong

If on some particular route which means the selected vendor is wrong or after changing vendor also the situation remains same then

  1. Search for other mode like from road to rail
  2. Check the prevailing mkt rate if you are paying less service will get effected.
  3. Visit the route and found on road hurdle, like road jam is common or not
  4. Check food is available on the route or support driver with food packet
  5. The route might be accident prone, train the driver , don’t make him hurry decrease dispatch times and pay incentives.
  6. Check the route, the situation may be that there is no return load then need to increase freight.
  7. The customer place is very remote alternatively you can ask the customer to place the vehicle.
  8. Check load status, means if a big container unable to move to a place change to bulk breaking
  9. Check it’s a seasonal effect or not, as the route might face snow fall so the movement is less
  10. If viable need to place a warehouse to a nearest place as vehicle is available from that place
  11. If reqd make transshipment up to a certain place, check about the damages and covered under your insurance policy.
  12. If all the stated criteria failed, closed the business to that place, as it might cost more and profitability might effect.


Its not necessary to send your goods to all place look for local market first , try to grab opportunity to make up the loss .

Sumit Chatterjee
Senior Supply Chain Manager
Dream Bake Pvt Ltd ( Brand Winkies , Mainly into package Cakes division )

More than 10 + years’ experience in FMCG Supply Chain
MBA Marketing & Finance from Future Business School
Post Graduate Diploma in Logistic & Supply Chain from St Xavier’s
Post Graduate Diploma in Export & Import Management from ICFAI University

Key Words :- Goods vehicle, Logistics, Supply Chain, Transportation, Business loss, Sale loss 
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