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The Voerman Group consolidation project
Published on 15 August 2023At Voerman Group, we recognized a significant issue in the moving industry where containers were being underutilized, leading to increased emissions and financial inefficiencies. Therefore, we introduced the ‘Corporate Container Consolidation Project’ as a solution in reducing these issues. The main goal is to optimize the use of sea container space. This minimizes the usage of the so called Less than Container Load (LCL) shipments, which are less efficient and more expensive.
The benefits of shipment consolidation
Consolidating containers in the shipping and logistics industry offers several important benefits that contribute to operational efficiency, cost savings, and environmental sustainability. Here are the key reasons why container consolidation is so important.
1. Optimized space utilization
Containers used for shipping goods are large and can hold a significant volume of cargo. Consolidating multiple smaller shipments into a single container maximizes the use of available space, reducing the risk of shipping partially empty containers. This ensures that container capacity is fully utilized, leading to better efficiency in transportation.
2. Cost savings
Container consolidation leads to significant cost savings. By minimizing the number of containers required, companies can reduce shipping, handling and logistic costs. This is particularly beneficial for LCL shipments, as these are more complex and expensive in regards to management and logistics.
3. Positive environmental impact
Using fewer containers also means fewer trips for transportation vehicles, such as trucks and ships. This directly results in reduced fuel consumption and emissions, which contribute to environmental pollution and climate change. Consolidation aligns with sustainability goals by minimizing the carbon footprint associated with transportation.
4. Improved transit times
Consolidated containers can lead to faster transit times since there is no need to wait for individual containers to be filled. This is especially advantageous for time-sensitive shipments where quicker delivery is crucial.
5. Streamlined logistics
Managing fewer containers simplifies logistical operations, including tracking, documentation, and customs clearance. This can lead to smoother processes and fewer administrative complications.
6. Reduced congestion at ports
Container congestion at ports is a common challenge, especially when there is a high volume of partially filled containers waiting to be loaded or unloaded. Consolidation reduces the number of containers needing port facilities, which can help reduce congestion and improve overall port efficiency.
7. Industry collaboration
Collaborative container consolidation efforts encourage shippers and carriers to work together more closely, fostering partnerships that lead to mutually beneficial outcomes.
Consolidating containers is essential for optimizing shipping operations, reducing costs, improving environmental sustainability, and enhancing overall efficiency within the logistics industry. It’s a practice that aligns with modern supply chain strategies and contributes to a more sustainable and effective transportation system!
Our approach to maximizing container usage
To achieve this goal and to offer this service to a broader range of clients, we use the expertise of our consolidation brand Transpack. The collaboration with Transpack enables us to leverage expertise and resources in order to enhance the effectiveness of the consolidation project. It has effectively shown to improve service levels and transit times. Today, this approach has proven its effectiveness and eliminated Voerman’s LCL shipments, uncovering these major benefits.
1. Reducing emissions
The consolidation project has led to a reduction in emissions by at least 35%. This reduction in environmental impact aligns with sustainability goals and contributes to a greener approach to transportation.
2. Cost Savings
By maximizing container space, we achieved cost savings for our clients. This is a significant advantage as it helps clients reduce their shipping expenses.
3. Efficiency
The consolidation project has improved the overall efficiency in shipments, as well as transit times. This also leads to improved service levels and customer satisfaction.
A successful consolidation project!
The implementation of the Corporate Container Consolidation Project has transformed the way that we at Voerman Group handle shipments. By reducing the reliance on LCL shipments, we have not only achieved operational efficiency, but we also demonstrated our commitment to sustainable practices. The collaboration with Transpack helped to facilitate the project’s expansion and contributed to our success. Overall, our Corporate Container Consolidation Project addresses both environmental and financial concerns within the moving industry. Utilization has led to positive outcomes in terms of emission reduction, cost savings, and improved service levels.
The Corporate Consolidation Project is just one example of our many ways in which we address sustainability within our business operations. Curious what other projects we execute? Visit our sustainability page!