Not all solutions apply to all business models and trades. At times a specific type of cargo might need special attention or protection, but how is it possible for businesses to be aware of what they need if the necessity isn’t too apparent? How can weak spots or opportunities be identified? Value added services are often the answer.
What is a value-added logistics service example ?
Value added services, also known as VAS, include any service specifically created to enhance the basic service of a provider, according to the specific needs of a business. Within integrated cargo logistics services, examples of these are:
- Fumigation services
- Insurance coverage
- Additional hangers and solutions for garments
- Premium quality containers (for food grade, etc).
- Enhanced visibility solutions
- Reduced Green House Gas (GHG) emissions transport
- Sped up transit time
- Extended cargo holding time
- Weighting services
- Cargo-holding in different markets
Do businesses truly understand what they can get out of the logistic providers?
Additional support and services can be targeted to a specific need or even cover a possible existing challenge to ensure reliability. Integrated providers can help with understanding what specific solutions can be added to their basic offerings to enhance business and solve their needs.
How can value added services make a cargo journey easier?
What are smaller value additions that can make a big impact in a business that wants to ship their cargo worldwide? An example can be adding additional free time days on one’s transportation chain.
At times, a business that is buying logistic solutions already has a contract, but such contract perhaps doesn’t necessarily include and cover a specific need for a particular shipment. For example, the need to use a special better-quality container (e.g. Food grade), or to add insurance at specific point in time, use and install flexibags technology for liquids, etc. value added services can be applied to an entire contract and a business can opt in for certain solution or certain services for that particular shipment.
Looking at value added services from providers: what can we expect in the future?
“In the future we expect to see logistics providers being more transparent on what is part of their basic offering and what can be chosen on top, giving more awareness and power to the businesses shipping via ocean, land and air ” says Maja Nyvold, Head of VAS at Maersk. Easier notification to predict needs will also be part of the digital offering, for instance, if a company moves luxury goods, logistics providers will know that they need a special insurance on their cargo and a premium quality container making their cargo transit easier and worry-free. Perhaps a business needs to speed up / slow down their supply chain, that’s when providers will be able to notify them and suggest an ad hoc recommendation.
Having one provider that offers all services through a single point of contact not only simplifies the relationship from a logistical standpoint but also ensures that all necessary documentation is managed seamlessly by that one provider, providing absolute ease and flexibility for any needed changes. This consolidated approach minimizes administrative burdens, reduces the likelihood of errors, and offers a more streamlined and efficient process. For businesses, this means less time spent coordinating with multiple vendors and more time focusing on their core operations. Additionally, having a comprehensive package of services from one provider can result in cost savings and more consistent service quality, which can significantly enhance overall operational efficiency. Moreover, with a single provider aware of all aspects of the shipment, potential issues can be identified and addressed more swiftly, ensuring a smoother and more reliable cargo journey.
Learn more about value added services available today on ocean transportation
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