Michael Rentz of Gnosis Freight talks about where organizations are quietly losing money & moving beyond visibility to turn logistics data into cost savings.

[02.50] Why logistics technology is still treated as a cost center, rather than something that can directly improve margin, and how to make that shift.

"If you have the right teams, mindsets and technology partner, you can get to a point where it's not a cost center, it's a growth center."

[07.49] What changes when a supply chain leader starts looking at logistics data through a P&L lens rather than an operational one.

"During the pandemic, for the first time probably ever, we had CFO's asking: "What the hell is demurrage and detention?!"

[11.27] Where companies are typically losing money in their logistics operations.

"A lot of enterprises have had to make up a for a lack of reliability, and that translates into carrying more inventory… How much it costs to move goods is also at a premium."

[15.07] How you connect operational events – like a delayed container, missed free time or an inefficient dray move – to their actual impact on landed cost, the value of data, and the problem with the 'flaw of averages.'

[17.58] How, from documentation to communication, small operational issues can easily multiply to become significant margin problems.

"A best in class standard for an international logistics team is 'Did we hit budget?' I'm not familiar with people asking 'Did we beat budget?'

"Your most valuable assets – your people – are being asked to do the exact same task in a slightly different way 50 times a day. How much better could the system be running if you freed up that headspace for them to think critically on behalf of the business?"

[19.51] Why we need to think differently about KPIs and budgets if we're going to see supply chain as a value driver not a cost center, and where team priorities fit in.

"You have to get teams off the back foot, from a defensive to offensive posture; get them back into doing the work that's actually in their job description."

[27.46] How better data can help resolve invoice errors and help companies identify and recover money they're currently leaving on the table.

"Invoice discrepancies shouldn't be a driver for profitability or growth, you should always get what your bargained for… AI has unlocked a huge amount of capability when it comes to reconciling matching invoices. The key unlock for us is having the underlying data."

[30.41] The key metrics you should put in front of a CFO to prove that better logistics data is delivering a real financial return, and how Gnosis helps customers, through data science, tooling and service, with an outcome-first approach.

[40.26] Finding the balance between AI and tribal knowledge, why it's important to think about how dynamic your data really is, and why context is critical.

Head over to Gnosis Freight's website now to find out more and discover how they could help you too. You can also connect with Gnosis and keep up to date with the latest over on LinkedIn, Instagram, Facebook and X (Twitter), or you can connect with Michael on LinkedIn.

If you enjoyed this episode and want to hear more from Gnosis Freight, check out 559: From AI Hype to Business Value: The Future of Supply Chain Intelligence, with Gnosis Freight.

Check out our other podcasts HERE.

Geoff Tamman of Shipium & Dean Freson of ODW Logistics talk about reframing peak season as a margin question; simulation; network redesign; & demand surcharges.

[03.08] Why peak planning conversations are almost always about capacity, labor, carrier commitments – but much less often about margins.

"It's an overlooked topic, until it's too late… A small rounding error in August is multiplied exponentially in December – that one penny becomes millions."

[05.25] People, systems, or carriers – the first thing that breaks on your worst peak day.

"Peak is a four letter word, but the real four letter word is cost. Those peaking surcharges, volume tiers… How are you managing those components, to ensure you're putting the right capacity in the right carrier in the right method, to manage cost structures and margins?"

[07.52] What you can still influence in October, and what's already locked in.

"If you haven't already, take a second look and audit your contracts."

[11.20] When you hit peak, the network runs hot and volume triples; the cost per parcel changes first, and what often surprises people.

[12.52] Managing demand surcharges, and what cost can look like at different times of year.

[16.44] How you can determine whether you're making money during peak, instead of waiting to find out in February.

[18.25] The signals to look at in the first week of peak that tell you whether the network is still economically healthy, rather than just keeping up with volume.

"Start to pay attention to the lanes, the origins and destinations."

[22.36] How much a 'good' routing or rating decision matters when you're processing millions of parcels, and what happens when that decision gets slower or less accurate.

"'Good' isn't good enough. You need precision, alerts and alarms and all those things. But, more so, you need a system and services that are looking at all at these micro decisions and asking: If you're doing a million units a day and one is off, why is that one unit off?"

[25.54] The peak decisions Dean would simulate now before committing to them, rather than discovering the answer later down the line.

"Having the ability to simulate helps us make a business decision rather than a gut reaction, and understand the impact financially."

[30.44] The operational improvement that has had the biggest measurable impact on cost per parcel at ODW, and how they identified it.

[31.34] What last peak taught Dean that changed ODW's network design.

[33.35] Which parts of last year's peak network Geoff and Dean would redesign today with everything they know now.

"Understanding exactly how the carrier volumes and mix plays into the peak surcharge, and how it's calculated. Last year we didn't have all the same tools we have available today, so we're in a better place now with Shipium as a partner."

Head over to Shipium's website now to find out more and discover how they could help you too. You can also connect with Shipium and keep up to date with the latest over on LinkedIn, or you can connect with Geoff or Dean on LinkedIn.

If you enjoyed this episode and want to hear more from Shipium, check out:

• 502: Current Success vs Future Potential: Finding the AI Balance, with Shipium
• 491: 2028 – Shipium Counts Down to the AI Revolution
• 299: Modernize Your Ecommerce Supply Chain, with Shipium

Check out our other podcasts HERE.