Glossary

Transit Time

Definition

Transit time in logistics refers to the total time that elapses from when a shipment is picked up from its origin until it is delivered to its final destination. This includes the time taken for transportation and any delays that might occur during the journey, such as those caused by customs inspections, transshipments, or unforeseen disruptions. In supply chain management, minimizing transit time is crucial as it directly affects inventory levels, customer satisfaction, and overall supply chain efficiency.

— sennder Team

FAQ

Numerous factors can influence transit time, including the distance between the origin and destination, the mode of transport used, customs procedures, weather conditions, and potential disruptions such as traffic congestion or mechanical breakdowns.
Businesses can reduce transit time by optimizing their logistics processes, selecting efficient transport modes, leveraging technology for route planning, and maintaining good relationships with customs authorities. Also, using a reliable logistics provider can help minimize unexpected delays.
Minimizing transit time is important because it can reduce inventory holding costs, improve customer satisfaction, and increase the efficiency of the supply chain. Faster transit times also mean quicker turnaround of assets like shipping containers or transport vehicles.
In international shipping, transit time is calculated from the moment a shipment is picked up from the origin until it is delivered at the destination. It includes the time for transportation, customs clearance, and any transshipments or delays that occur during the journey.
Example or usage in road freight logistics

A logistics company offers road freight services from New York to Miami. The transit time for this route is typically three days, which includes the time taken for loading the goods, the actual journey, unloading at the destination, and potential delays such as traffic jams or rest breaks for the drivers.

Share this post
Keep reading