Antonio Rodríguez

Having trusted business allies: Competitive advantage for NVOCC? 👉 https://www.linkedin.com/pulse/having-trusted-business-allies-competitive-advantage-nvoccrodr%25C3%25ADguez-ilf9e Cuttly https://cutt.ly/fw0iADp6 Is there any advantage to having trusted business allies? In most cases, this is true and when it comes to the shipping business, it is a matter of losing or winning. Between shipper (shipper or sender) and consignee (receiver of cargo) there are many stages of the trip where neither of them has full control. In such stages, control is exercised by professional entities that act on behalf of the shipper, the consignee or the shipping company. All these entities make up what is known as the operational chain or cargo logistics chain. One of the links in the above mentioned operational chain is the so-called NVOCC (Non-Vessel Operating Common Carrier). These are commercial entities that negotiate freight rates with shipping companies and then offer them to shippers. In other words, NVOCCs are, in these cases, the shipping company for shippers and consignees. These NVOCCs are also known as freight consolidators or freight forwarders. The NVOCCs then become part of the logistics chain required for a shipment. In such a position, certainly they continue to depend on the rest of the links. Question, Do they then need trusted commercial partners? Answer, For sure they need them. Keep reading and you will learn the reasons. NVOCCs and its potential business partners As already said in previous lines, an NVOCC depends on the operational chain that is generated around each shipment they handle. This dependency will be greater depending on how many logistical activities such shipment requires. Let's see, just to mention a few, for a shipment you may need: ●​ ●​ ●​ ●​ ●​ ●​ ●​ ●​ Cargo consolidation and deconsolidation services Storage and logistics services Road transportation Customs services Cargo and container insurance Tracking and monitoring of both, cargo and containers Administrative documentation, billing and collection services Other special services depending on the type of cargo Wrapping up ideas Now, the ideal situation for this NVOCC is that it can offer the greatest number of these services. In this way the operational chain that is built up will be as short and manageable as possible. Each link added to the chain can be a new logistical and/or documentary complication. It should not be lost sight of that for the shipping company, those responsible for the cargo and equipment are the shipper and the NVOCC in its role as consignee in the Master BL. Having said all this, it then highlights the need that, upstream, the load consolidator needs clear rules and procedures to help them handle unforeseen events. In other words, you need trusted commercial allies to be able to provide good service and be competitive in the maritime cargo business. ✒️ A. Rodríguez EIRPLUS C.A. March 2024 #commercialalliances #trustedpartners #businesstrust #marinetransport #competitiveadvantage