Importance of Logistics in Construction Projects

11/18/2020

Importance of Logistics in Construction Projects

By definition, logistics is the management of the transportation of materials or equipment from where they are to where they need to be. For everyone, materials or equipment need to arrive on time and with no damage, and this lies especially true for those coordinating construction projects. Construction sites require heavy-duty and valuable equipment and materials that must be delivered on schedule. The absence of a logistics plan and tracking for your freight to your construction sites can lead to several problems. Here are some reasons on why you don’t want your logistics in construction projects to be an afterthought. 

BEHIND SCHEDULE

It only takes one delayed shipment for a construction project to cause the schedule to fall behind days, weeks, or even months. According to the Electrical Contractor, in 2017, 61 percent of construction projects were shown to be behind schedule. Obviously, this is a big problem in the industry. Even worse, being behind schedule raises costs. Over half of those 61 percent of construction projects that were behind schedule were also over budget. 

EXTRA COSTS

When materials or needed equipment aren’t delivered on time and on-site when the crew members are scheduled, then they are sitting ducks with nothing to do. Since scheduled, they will still need to be paidfor those days that they are on site, whether they are working or not. Additionally, you’ll have to pay them for any extra days that they will need to complete their work, which may come with extra costs due to pushing back their work schedule. When the material or equipment needed is not on the job, you’re simply not making money. 

You’ll also need to consider theft. According to the National Crime Information Center, nearly 1,000 pieces of commercial construction equipment are reported stolen each month. Thieves often target valuable construction equipment like bulldozers, forklifts, or generators, and even materials with a high resale value. Theft can be costly as you not only have to replace the stolen equipment but face the possibility of increased insurance costs due to the claim. 

Choosing a provider to support your logistics in construction projects can give you the potential to avoid, or at least be better prepared should something happen. 

REDUCED TRUST

The worst issue caused by improper logistics planning is reduced trust in your customers and partners. Falling behind on schedule and incurring extra costs that have to go somewhere makes you seem less reliable. You could lose customers and gain a poor reputation. Nobody wants that for their business. 

BE BETTER THAN THE REST

Having effective transportation and logistics in construction projects ensures that your materials and equipment will be delivered on time, keep you on budget, and keep your reputation among customers. Yet, becoming effective with your logistics can be tough, but it doesn’t have to be. Consider partnering with a third-party logistics company (3PL) to help you can gain a competitive advantage by better managing your logistics. 

CONSIDER A 3PL

Focus on what you do best and let a 3PL do the rest. Working with a 3PL can eliminate the headache of handling your logistics in construction projects by offering you access to :

A VAST CARRIER NETWORK

You need experienced, qualified carriers and 3PLs, such as Trinity, have those much-needed relationships with them. A 3PLs service is to both shippers and carriers, allows us to build solid relationships with carriers all over. Each motor carrier is vetted through our Compliance Team, so you’ll never have to stress over your freight arriving on time and safely.

MANY MODES

Since we work with so many carriers, we have access to many modes of transportation. Whether you need air, ocean, rail, truckload, or anything else, you’ll no longer have to work with several companies for your logistics needs. 

AUTOMATED PROCESSES

Whether you choose to outsource your freight transportation or all your logistics, you’ll see efficiency in the automation we offer. From carrier vetting, freight tracking, invoicing and more, you can reduce your time on many manual logistics processes.

TECHNOLOGY

No need to pay for (costly) technology when you can gain access to state of the art technology when working with a 3PL. At Trinity, we offer tracking through FourKitesMacroPointTrucker Tools. View all your shipments and their statuses, invoices, or request a quote on a new shipment in our Customer Portal. Or work with our Managed Services team and see if a TMS solution is what you need.

CONTROL OVER YOU LOGISTICS COSTS

Through all the benefits mentioned above, you gain control over your logistics costs. When working with Trinity, you’ll have an expert on your side to help you make informed decisions so you can choose what works best for you and your budget.

KEEP YOUR PROJECT ON TRACK

The main benefit you gain from using a 3PL for your logistics in construction projects is that it helps you simplify your challenges and finding your own customized solutions. 3PLs, like Trinity, work with complex situations and variations frequently, and better yet, we thrive in them. In construction, we know your supply chain is always changing. When you choose to streamline your logistics, you can lower your costs and know your construction project will be completed on time. 

Trinity has supported construction and manufacturing companies of all sizes. We’ve aided in logistics projects like office buildings, roadways, housing developments and more. We know that in your industry you need your materials and equipment exactly when and where you need them. Let Trinity help keep your construction project on track. 

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