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Why Accurate ETAs Are Critical for Ocean Freight

Moddule’s AI-powered ETAs offer a smarter way to manage ocean freight, giving you the tools to predict, adjust, and optimize every step of your supply chain.

AUTHOR

Fábio Pereira, Head of Product at Moddule

PUBLISHED

October 23, 2024

When was the last time the ETA you received from a carrier was accurate?

For Logistics Service Providers (LSPs) and logistics professionals in general, the answer to that question is likely not as often as you’d like. Late deliveries in ocean freight aren’t just frustrating—they can create a domino effect of operational challenges. From delayed schedules to angry customers, the ripple effects can be extensive. And when you factor in the potential costs of demurrage and detention, the financial impact is even more serious.

But what if you could take the guesswork out of arrival times? At Moddule, we understand how critical accurate ETAs are in the world of ocean freight. Late shipments don’t just disrupt your operations—they cost time, money, and trust. That’s why we’ve developed a solution that goes beyond traditional tracking and estimation methods. Our platform delivers AI-powered predictive ETAs across all carriers, combining data from multiple sources for precision like never before.

Traditional ETAs Fall Short

Traditional ETAs often rely on basic data like distance, speed, and historical averages, which leaves them vulnerable to unpredictable variables. These static models struggle to account for real-world disruptions, making them less reliable in complex logistical environments.

  • Port Congestion and Infrastructure Limitations: In 2021, the Ports of Los Angeles and Long Beach saw unprecedented delays as ships queued for days due to labor shortages and increased demand during the pandemic. In these cases, traditional ETAs fell short because they didn’t account for the severe port congestion or limited dock availability. The situation caused major disruptions, leaving logistics teams scrambling to adapt to the unexpected waiting times. Similarly, in the UK, Brexit-related customs changes and new regulations caused significant delays at ports like Dover. Traditional ETAs could not adapt to these sudden shifts in policy and regulation, leading to missed schedules and extended delays as shipments were held up at the border for unexpected inspections and customs clearance.
  • Weather-Related Delays: Weather unpredictability is another factor that renders traditional ETA systems insufficient. The UK is often hit by storms that impact major shipping routes, leading to delays that traditional ETAs fail to predict accurately. For instance, storms frequently disrupt shipping lanes near Felixstowe, and the resulting delays ripple through the entire supply chain . In the US, hurricanes and severe weather along the East Coast can similarly cause port closures or slow down shipping times, which static ETA models can’t account for.
  • Complexity of Supply Chain Operations: Traditional ETA systems also fail to capture the intricacies of modern supply chains. For instance, road transportation is subject to mandatory driver rest times, traffic delays, and unplanned road closures—factors that basic ETA models do not always incorporate. This lack of real-time adjustment often leads to late deliveries, increased administrative costs, and inefficiencies in managing customer expectations.

The Power of Predictive AI in Logistics

Our ETAs are the result of data from a multitude of sources, including AIS (Automatic Identification System) transmissions that track ship movements, updates from carrier websites, weather forecasts, and other third-party systems. The result is that approximately 87% of our ETA predictions – provided 10 days before the actual time of arrival (ATA) – are accurate. Predictions are within a range of +/- 48 hours of the ATA.

Our goal is simple: to help logistics professionals like you make better decisions based on the most reliable data in the industry. With AI-powered ETAs, you can anticipate disruptions before they occur and adjust your plans accordingly, minimizing costly delays and operational headaches.

The costs associated with late shipments go far beyond the frustration of missed deadlines. Demurrage and detention fees can add up quickly, eroding your margins and stretching your resources. Having more accurate ETAs allows you to manage your supply chain with confidence, avoiding unnecessary fees and reducing downtime at ports. With Moddule, you can better predict when a shipment will arrive and plan your operations accordingly, ensuring smoother processes and a more seamless flow of goods.

Smarter ETA Management with Moddule

In the fast-paced world of logistics, precision is everything. Late deliveries can send operations into chaos and cost businesses significantly. Moddule’s AI-powered ETAs offer a smarter way to manage ocean freight, giving you the tools to predict, adjust, and optimize every step of your supply chain.

To learn more about how Moddule can help you stay ahead of the curve with the industry’s most accurate ETA predictions, get in touch with us today.

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