Source: RPM Vehicle Systems, 2020-06-23
Several weeks after resuming global operations, many OEMs are still feeling the financial pressures from months of being shut down. Many are finding that their supply chains are still being presented with many economic challenges, mainly to get new vehicles out of the factories and onto dealer lots.
In a recent article published by Counterpoint, the author gives an insightful description of the current situation facing many OEMs around the world, “Shutting down operations was far easier than reopening factories as companies need to manage complex synchronization issues. The resumption of operations requires OEMs to coordinate with hundreds of local and global suppliers, logistics partners and thousands of employees.”
However, another challenging part of the coordination effort is the negotiation of fair rates between the OEMs and auto carriers. As dealerships and showrooms begin to open and demand returns, auto carrier rates will increase. But so too will the cost for empty miles. Empty miles are a multi-billion-euro challenge that customers simply must deal with… or do they?
What if OEMs could eliminate empty miles altogether? RPM Europe is working toward that goal. As an auto transportation company with an extensive controlled and monitored supplier network, we can positively combine the flows of multiple customers by creating loops or backloads. This is how we reduce empty miles and create competitive and efficient flows that can help to reduce FVL expense and maximize truck utilization.
This collaboration is not only cost effective, but it is also reducing wasteful CO2 emissions. Our sustainable and cost-effective model also ensures faster delivery. Our customers don’t have to worry about the next leg, because we are here to cover the incomplete loops and to maximize efficiency while offering a strong, reliable, and quality regulated network.
If you need to efficiently move your vehicles at a low cost, or if you’d like to learn more about how we can help you address your concerns with empty miles, please visit RPMmoves.eu.