Fostering Field of Vision: How to Increase Supply Chain Visibility

The Importance of Supply Chain Visibility for Freight Forwarders

Supply chain visibility has become a cornerstone of success for freight forwarders in our interconnected global market. With increasing customer expectations for real-time updates and growing complexity in logistics operations, the ability to see and manage the entire supply chain end-to-end is essential. 

In short, visibility equals value. 

Freight forwarders who invest in visibility can make better decisions faster, respond more effectively to disruptions, and optimize their operations for greater efficiency. By tracking shipments in real-time and having access to critical data at every stage of the supply chain, forwarders can improve service quality and build stronger relationships with clients. In an industry where timely and accurate information is often the key differentiator, supply chain visibility is more than a competitive advantage, it’s a business imperative.

And, while the adoption of digital tracking technologies has made it possible for manufacturers, shippers, and freight forwarders to see the start and end of supply journeys worldwide, these sightlines often get fuzzy in the middle.

Key Takeaways

• Unexpected interruptions in the movement of goods worldwide are now par for the course, but partners and customers aren’t interested in how and why these problems are impacting operations. They just want to know what’s happening, why their products are delayed, and when they’ll actually arrive.
• Visibility blind spots can lead to excessive calls and emails from frustrated customers, cost overruns, and reputation damage.
• Magaya has solutions to increase visibility across internal teams, external agents and carriers, and customers. 

Here’s Why You Should Fear the Dark

If supply chains go dark during the journey from producer to logistics provider to freight forwarder and eventual receiver, there can be negative impacts at many levels.

First are consumer frustrations. If customers place orders with expected ship and receive dates, they want fast answers around why these dates haven’t been met, even if the freight forwarder ultimately has minimal control over supply chain forces.

Many freight forwarders are finding themselves inundated with calls and emails around supply chain delays, all asking for answers. This creates a dual problem: Staff simply can’t respond to every message as it arrives, and in many cases, the only information they can provide in response is “we don’t know.” Lacking visibility can drive down perceived business value.

Limited visibility can also lead to long-term reputation damage. Here’s why: If shipments are occasionally lost or misplaced in post-pandemic supply chains, customers are likely to offer some leeway. If these issues become regular occurrences, however, even long-term clients will start looking for other providers better equipped to provide ongoing information about where their shipments are, what’s holding them up, and how long it will take.

Key Benefits of Supply Chain Visibility

Ultimately, improving supply chain performance starts with visibility. Supply chain visibility offers numerous advantages for freight forwarders, helping improve operations, manage risk, and enhance customer relationships. Here are some of the most notable benefits:

• Improved Decision-Making: Timely access to data on shipments, inventory, and demand empowers freight forwarders to make quicker, more informed decisions. This allows you to reroute shipments, adjust resources, and handle exceptions with greater precision, leading to more efficient operations overall.
• Enhanced Risk Management: Visibility helps freight forwarders proactively manage risks, such as potential delays, supply chain bottlenecks, or compliance issues. By anticipating these problems ahead of time, forwarders can adjust their plans before small issues escalate into major disruptions.
• Resilience and Adaptability to Disruptions: In today’s unpredictable environment, supply chain disruptions—from natural disasters to geopolitical events—are more common than ever. Greater visibility allows freight forwarders to identify potential risks early and take action, such as rerouting shipments or securing alternative suppliers, boosting resilience and maintaining continuity even in challenging times.
• Cost Reduction and Efficiency: With better insight into every stage of the supply chain, forwarders can optimize routes, reduce idle times, and avoid overstocking or understocking. This results in more efficient resource allocation, cutting costs associated with fuel, storage, and labor.
• Stronger Customer Relationships: Modern shipppers demand transparency and timely updates. With real-time visibility, freight forwarders can provide accurate, proactive updates on shipment status, increasing trust and satisfaction. This level of service can differentiate forwarders from competitors and foster long-term loyalty.
• Operational Scalability: As freight forwarders grow and handle more complex logistics operations, visibility tools help scale operations by providing centralized control over multiple shipments and locations. This enables forwarders to maintain high levels of performance and service without being bogged down by increasing complexity.
• Better Collaboration Across Stakeholders: Visibility fosters better collaboration between shippers, carriers, agents, and customers by providing all parties with access to real-time data. This improved communication helps avoid misunderstandings, reduces delays, and ensures smoother overall operations.

By enhancing decision-making, reducing costs, and increasing resilience to disruptions, supply chain visibility becomes a crucial tool for freight forwarders aiming to stay competitive in a rapidly evolving market.

Best Practices for Improving Supply Chain Visibility

To fully realize the benefits of supply chain visibility, freight forwarders need to adopt a series of best practices that ensure they are leveraging the right tools and strategies. First, investing in integrated systems that unify data from various stakeholders is crucial. By consolidating data streams into one platform, forwarders can gain a more cohesive view of their operations, eliminating data silos. 

Standardizing data across partners is another critical step. It ensures that all parties speak the same language, which facilitates smoother data exchange and reduces errors. 

Freight forwarders should also leverage automation where possible, especially in areas like data entry and reporting, to minimize human error and speed up the flow of information. 

Another best practice is to continuously train staff on the latest technology tools and systems for managing supply chain visibility. Ensuring that teams are up to date on the newest software and processes will make the transition smoother and maximize the impact of these tools. 

Finally, forwarders should prioritize continuous improvement by regularly reviewing and optimizing their visibility solutions, keeping up with emerging trends, and adopting the latest technologies to stay competitive in an ever-evolving market.

Challenges in Achieving End-to-End Supply Chain Visibility

Despite its clear benefits, achieving complete visibility across the supply chain is not without its challenges. For many freight forwarders, the most significant hurdle is dealing with fragmented data systems. Different stakeholders, carriers, shippers, customs brokers, often use disparate platforms that don’t communicate effectively, creating data silos and inconsistencies. Without a unified system, forwarders struggle to piece together a cohesive picture of the supply chain. 

Additionally, integrating new visibility technologies with legacy systems can be a heavy load, leading to delays in implementation or partial solutions that don’t fully deliver on the promise of real-time tracking. 

Another challenge is data latency, where updates from tracking systems or shipment partners are not transmitted in real-time, reducing the value of the visibility tools. 

Global compliance adds further complexity, with varying regulations across borders that can make consistent tracking difficult. These challenges underscore the need for freight forwarders to adopt modern, integrated technologies that break down these barriers and provide a seamless, accurate view of their operations.

Boosting Visibility and Value With Magaya

It’s time for a new approach to supply chain visibility. While most customers have come to accept that supply chain delays are inevitable these days and are willing to make some accommodations for these challenges, they can’t afford to be left in the dark: if shipments won’t make it on time, they still need to see what’s happening (or isn’t) so they can make alternative arrangements and keep operations on track.

• Customer experience: Visibility in isolation isn’t enough. Customers want a freight forwarding experience that meets their needs end-to-end. The Magaya Digital Freight Portal offers online quotations, on-demand schedules, instant booking notifications, and 360-degree visibility into shipping from the moment goods leave suppliers to their last-mile delivery. By providing a robust and responsive digital experience, your team is better equipped to handle concerns when they do arise and customers are better equipped to find the data they need by themselves, whenever they need it.
• Container tracking: Manually tracking and updating carrier information is both time- and resource-intensive. Keeping up with container progress worldwide introduces the potential for both duplicate data entry and data entry errors, in turn making it harder to provide accurate and on-time information to customers. The Container Tracking extension for Magaya Supply Chain offers a better way. The solution supports more than 100 ocean carriers, with more added every week, and tracking data from any source can be easily shared with customers.
• Air shipment tracking: Shipping cargo by air? The Air eBooking and Tracking integration for Magaya Supply Chain keeps you updated with air shipment statuses and events directly from within the events tab of your Magaya Supply Chain booking.
• Connected logistics: The Magaya Digital Freight Platform takes tracking and visibility a step further by connecting your shipping and warehouse operations from end-to-end. By creating a single source of truth for all your product, container, shipping, and delivery data, Magaya helps you eliminate siloed data and ensure that all data is accurate, up to date, and applicable. The result? Increased visibility across your entire organization, from front-line staff to managers, stakeholders, and customers.

The Future of Supply Chain Visibility

As technology continues to evolve, the future of supply chain visibility promises to be even more transformative. Predictive analytics, powered by AI, will take center stage, moving beyond merely tracking shipments to forecasting potential disruptions before they happen. Freight forwarders will soon be able to predict weather impacts, geopolitical risks, and even shifts in customer demand, allowing them to preemptively adjust their operations. Another exciting development is the rise of digital twins, virtual simulations of physical supply chains that provide forwarders with a real-time, interactive model of their operations. By testing different scenarios within a digital twin, forwarders can optimize routes, inventory levels, and staffing decisions without impacting real-world operations. 5G networks will further enhance visibility by enabling faster, more reliable data transfer between devices, sensors, and systems, ensuring that freight forwarders have the most up-to-date information at their fingertips. Finally, as sustainability becomes a growing priority, visibility tools will play a critical role in tracking carbon emissions, optimizing energy use, and helping organizations meet their environmental goals. These emerging technologies will ensure that freight forwarders stay ahead of the curve, offering unprecedented levels of operational insight and control.

These days, supply chain visibility is no longer just a competitive advantage—it’s an imperative for staying ahead. For freight forwarders, gaining visibility across the entire supply chain ensures they can make better decisions, manage risks proactively, and meet the high expectations of customers for transparency and real-time updates. While challenges such as fragmented data systems and regulatory hurdles remain, the rapid advancement of technology provides ample opportunities to overcome these obstacles. By investing in integrated platforms, leveraging AI and automation, and adopting best practices for data standardization, freight forwarders can achieve the visibility they need to optimize their operations and drive growth. As technologies like predictive analytics, digital twins, and blockchain continue to mature, the future of supply chain visibility looks brighter than ever, offering freight forwarders the tools they need to thrive in an increasingly complex global marketplace.