We explore how to effectively manage demurrage and detention costs with Cargoo’s powerful logistics platform. You’ll read about:
By the end of this article, you’ll understand how Cargoo enables supply chain managers to stay ahead of demurrage and detention costs, protecting profitability and improving logistics efficiency.
One of the most effective ways to reduce demurrage and detention costs is by maximizing container utilization. Underutilized containers not only waste space but also increase the chances of unnecessary delays, as inefficient loading can create bottlenecks. Cargoo addresses this by offering capacity planning and loading management tools that help you allocate container space more effectively.
With Cargoo, you can predict container needs based on shipment volumes, reducing the likelihood of underused containers. Optimized loading plans ensure that containers are filled to their full potential, minimizing the need for additional containers and preventing delays that could lead to detention charges.
Cargoo’s platform also provides data-driven reports on container usage help you track performance and make improvements where needed. By maximizing container utilization, you can reduce the time containers spend waiting to be returned, cutting down on detention costs.
The real challenge with demurrage and detention fees is often staying informed. Late visibility over container status or shipment disruptions means you’re constantly reacting to problems, which drives up costs. Cargoo puts an end to this with full visibility over container and free day status status throughout the journey, combined with robust exception handling.
Cargoo’s platform gives you clear visibility on where each container is, whether at a terminal, in transit, or waiting for return. You’ll know if a container is approaching its free time limit, or if there’s an operational issue that needs attention.
In addition, Cargoo’s exception handling allows you to capture and log reasons for exceeding free time when delays happen. This record is key for root cause analysis of recurrent issues and charges and dispute resolution.
Overtime, a wealth of information about your operations and the history of your demurrage and detention costs gets collected and relayed into flexible reports that help you dig into the past to understand and improve future performance.
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