Schedule reliability in container shipping

Ocean tendering is not considered to be easy and fast, which is one of the reasons long-term agreements are preferred by shippers. When it comes to these agreements, typically they are based on the the current schedule and the service offer with little or no thought on future changes. This is unfortunate for  shippers who need reliability in their supply chain. As seen below, numerous changes in port-pairs, lead times and frequencies have been recorded during the last years.  

Blue bars - illustrate different services offered on one trade-lane from each carrier with X-axle scale and Y-lane is the names of each individual service offered to the market. White bars - are the times where no sailings were performed (either because service was discontinued or blank sailing).

It is OK to have the ambition of long-term partnerships with your carriers as long as you ensure the flexibility of changing or re-negotiating carrier if the schedule and/or service that you had contracted changes. If you do create this adjustability, you have to have the resources and systems to support an agile and efficient process of evaluating the changing conditions. This way ocean tendering will become much easier.

About the author

Fredrik Nergell
Fredrik is head of freight management at TenderEasy, with strong negotiation skills and experience from both seller and buyer side of transport procurement. Connect with Fredrik on Linkedin or twitter.

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