All You Need to Know About the Cargo Tracking

As of 2017, it was approximated that there were around 5,000 container ships. Organizations and companies rely on shipping companies so that they would easily transport their merchandise to different destinations across the world. Due to the global positioning system (GPS), tracking of the shipping containers became more prevalent so that each of the parties can easily track the flow of their commodities.

In this guide, you will get to know why you need to use the cargo tracking devices and how they work.

Why is Cargo Tracking Important?

The reason why people use cargo tracking services is due to increasing uncertainty in the shipping process. The first party companies will usually fill and then lock the shipping containers. They will pay the shippers who are in charge of transporting, hoping that it will be taken to the port and reaches its right destination. However, when the process is complex, there are so many problems that will arise.

For instance, if the shipping company informs the shipper to drop the containers in a country and your container gets dropped in another country nearby accidentally, it will be quite difficult for one to notice the mistake until after the ship has left the port. This will lead to a delay of several months before the shipper gets the container into another ship for the intended destination.

If the party gets notified of the mistake through the tracking system, they will be able to plan the shipping process, thus lowering the delay time. Most shipping companies usually transport many containers at the same time and using the tracking services is important since it will help the company to easily manage all the containers.

Parties Involved in the Shipping Process

The shipping process would be more complicated if there was only one party involved in the entire shipping process. Due to the complexity of the shipping process, there are a number of parties who are involved in the entire process. Here are the parties.

First Party

It is the company that creates the goods that are supposed to be transported from one destination to the other. The first parties are usually concerned about their containers and tracking will help them to avoid any disruption in the supply chain process.

Second Party

The second party is usually the shipper of the goods. It is usually concerned about the process since they have been paid to carry out the shipping process. They will be liable if they do not carry out the process successfully.

Third Party

They are also referred to as the logistics provider and their task is to coordinate the entire shipping process on behalf of the first party.

Fourth Party

It is usually an independent party who helps the first party to organize the entire supply chain process.

The use of cargo tracking devices has simplified the entire shipping process. With the right cargo provider and tracking device, you can safely and swiftly get your cargo to the next location.