Interconnectivity, a ‘link’ for the international logistics chain

Eduardo Narváez - CEO & Co-founder
October 20, 2021

But before we dive into analyzing the importance of interconnectivity in the logistics chain, let's understand the relevance of international trade and transportation for Mexico.

Road transport between the United States (US) and Mexico is among the five longest trade routes in the world, with 6.5 million truck shipments per year between the two countries.

It should be noted that Port Laredo, Texas, was the main US trade gateway with our country, with a total of US $ 105.45 billion until July of last year.

Land transport is widely used for its flexibility to adapt to different classes of goods, regardless of the quantity, type or size of the cargo.

Given this, the main challenge of the logistics and international trade sector in our country is to enhance the interconnectivity between the different modes of transport.

In other words, it is necessary to develop an efficient logistics network in its interconnectivity to optimize processes and meet the objectives set previously.

Did you know….

80% of all merchandise transported between Mexico and the US is moving by truck.

Present and future of interconnectivity in the logistics chain

Beyond the existing infrastructure, the different modes of transport must be seen as a whole, almost as a holistic chain that combines all the objectives.

This will not happen overnight. However, the use of technology and innovation will make a difference, as supply chains will move from fragmented entities to highly automated and connected elements.

The future of interconnectivity will force companies (as it already does today) to adopt development-oriented methodologies and the assessment of fully communicated logistics in the supply chain.

The development of linked logistics platforms will allow benefits such as cost reduction and time optimization for all actors involved in the logistics chain.

Gone will be those mechanisms that did not allow the exchange of information in real-time or that did not include automation in customer operations as their business scaled.

Problems along the way, but with solutions at hand

Freight shipments are often transported via different modes of transport between origin and destination; This creates a problem of coordination between the counterparts.

In this sense, the international movement of goods by sea, road, rail, or air can create conflicts and disputes. Carriers may not be paid for their services or may experience additional delays and charges. 

The lack of reliable and unified records such as chain of custody, events during transit or tracing, makes it difficult to reach a consensus between the parties, leading to costly mediation.

In such a scenario, interconnectivity must be applied immediately, but always in a smart, sustainable, and, most importantly, fully effective way.

A digital freight marketplace is a platform that eliminates the need for human intermediaries between shippers and carriers to match freight, thereby transacting directly with each other using the magic of software.

TrackChain is an intelligent digital freight marketplace that enables shippers and carriers to conduct peer-to-peer (person-to-person) transactions while reducing the need for non-value-added intermediaries.

An intuitive, fully integrated, and easy-to-use system for quotation of freight, instant booking, dispatch, capacity management, matching loading, asset tracking, and payment settlement in one place. 

At TrackChain we align incentives among stakeholders, allowing a unified view of transactions, frictionless payments, and faster reconciliation of invoices and disputes.At the same time, carriers and freight forwarders use telematics and electronic recording device (ELD) service providers for geographic visibility of shipments.

TrackChain gets location and shipping status from open TMS, as well as telematics device reports through API integrations with industry vendors.

In this way, companies will be able to access our open API to automate payments, connect business tools and create dynamic ways to manage finances, as well as generate connections with other platforms.

As we expand beyond Mexico we are going to internationalize the platform, adding multiple languages ​​and fiat currencies. 

Each version of the market will be sensitive to orient the laws of the country and the burden of specific regulations for health, food, electronic products, etc. Do not hesitate and be part of a new logistics experience. For your peace of mind, you can request a free demo.

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