If you are running a shipping transportation business, chances are that you are always fretting over the rising costs. This may be the cost of labor, or fuel, or packaging, or just simply machine servicing and maintenance costs.
While shipping as an industry has always been in demand, the challenges it faces are rising in current times. While the above-stated issues maybe some of the major problems, there are several other aspects, which have made the shipping industry unfavourable.
In this article, we will look at five top ways, which you can adapt to lower your shipping costs. However, before we get to the list, let us first look at some of the challenges affecting the shipping industry.
Challenges faced by the Shipping Industry in 2020
One of the major threats, which is making the maritime industry vulnerable, is the unstable international relations among nations. In the past few years, hostilities among nations have made the maritime industry insecure. Using international waterways has become quite a challenge given how some nations are claiming spaces.
In addition, the threats from cyberattacks are also something, many of the shipping companies and operators are reporting. As privacy and security technology have not been too high on the list of companies, they are falling prey to hacks and malware from cyber-criminals on an increasing basis.
Even though international security on the waterways has steadily improved, the threats from pirates remain real. While the African coastline has seen a bulk of the pirate incidents, many other coastlines are seeing an increase in pirate-related incidents as well.
5 Ways to reduce Shipping Costs: The List
- Service shipping parts and machines regularly-
Frequent and regular maintenance of shipping components can help save on costs in a major way. This will allow you to increase the life of the machines, and enable them to function at optimum levels. This, in turn, will improve efficiency and bring down overall costs. The aim should be to use components and machines for as long as possible.
- Do not change your workforce too often-
According to most of the shipping companies, many employees keep changing their work profiles on a regular basis. What this leads to is the growth of inefficiency and the lowering of productivity. While lower salaries might appear attractive, it often ends up costing shipping companies more. It is important to ensure that your workforce stays with you for a long time.
- Try to adapt to Green Technology-
While the technology to power ships and engines has still not evolved, there are other power and energy requirements you can look at. Many of the successful shipping companies are now putting solar panels in different areas of the ship to power sailor rooms, decks, and other areas of the ship. This is going to help you save on power and fuel in a major way.
- Use Technology and Data-
In the last few years, there have been major scientific advancements being made in the field of data and technology. By using data and technology, shipping companies can find faster routes and reduce power and energy consumption. It can also help keep the ships safe in case of any threats. Improving communications onboard the ships can eliminate threats.
- Use efficient Packaging-
When it comes to load-bearing and storing capacity, the weight of the packaging is important. As ships carry tons of weight, reducing packaging sizes, shapes and weight can help in improving efficiency. There are many low cost, yet strong packaging options, which are available in the industry right now. Weight saved means you can haul more.
While the shipping industry is expected to grow in the coming times, it is important that the industry adapts to the changing times. This means adapting to new technology, making the move towards sustainability and experimenting with new packaging techniques.
If you are looking for the best shipping solutions, or are looking for annual maintenance of your shipping components, you can reach out to igiantech.com