A Study on the Role of Freight Forwarders in Logistics and Supply Chain Management
Mr. Balasubramaniyam.P, B.Tech
MBA (Marketing and operations) Student, Reg.No:43410301,
School of Management Studies,
Sathyabama Institute of Science and Technology, Chennai, TamilNadu.
Dr. Sasirekha.K, B.Sc., B.Ed., MBA., PhD
Assistant professor
School of Management Studies,
Sathyabama Institute of Science and Technology, Chennai, TamilNadu.
ABSTRACT
Freight forwarders are essential in logistics and supply chain management, acting as intermediaries between shippers and carriers to ensure the smooth transportation of goods across both international and domestic borders. Their role involves coordinating various aspects of shipping, such as documentation, customs clearance, warehousing, and transportation, to ensure that goods reach their destinations efficiently, cost-effectively, and in compliance with regulations. As global trade continues to expand, the importance of freight forwarders has grown significantly, making them a vital part of the modern supply chain. They help businesses navigate the complexities of international trade by offering expertise in shipping routes, freight rates, and regulatory requirements, thereby reducing delays and minimizing costs. Additionally, freight forwarders enhance the overall efficiency of trade operations by providing useful services like cargo insurance, risk assessment, and supply chain optimization. However, despite their many advantages, freight forwarders also face challenges, including fluctuating fuel prices, geopolitical uncertainties, regulatory changes, and disruptions in transportation networks. Understanding their functions, benefits, and challenges is crucial for businesses aiming to optimize their logistics operations and maintain a competitive edge in the global market. This study explores the vital role of freight forwarders in modern logistics, highlighting their impact on supply chain efficiency, cost management, and international trade facilitation.
Keywords: Freight Forwarders, Logistics, Supply Chain Management, Global Trade, Transportation, Customs Clearance, Efficiency, Cost-Effectiveness.
