Make your forwarder more efficient: get rid of the paperwork
Created on January 26, 2023
In this article you will get:
The basic concept of efficiency is most often described as the relation between the expected time and the time spent performing a task. Achieving efficiency in certain processes depends mainly on the commitment, dedication, and engagement of the employees with the activity in question. But when it comes to logistics processes, how you can make your forwarder more efficient?
Freight forwarder efficiency: what is it?
Successful freight forwarding depends on a large number of processes. Consequently, the more complicated an industry like freight forwarding is, the more difficult it can be to figure out where to streamline processes while respecting quality, budget, and deadlines.
However, there is good news because automated freight processes are here to make it much easier for managers and companies to reduce time-consuming and inefficient processes and get back to the top of their games.
The logistics industry has already gone through many automation processes. Most freight forwarders now automate most of their activities, allowing operational management to focus on value-adding activities such as customer service, exception handling, and working toward timely and accurate invoicing. All of this will contribute to lower operating costs, which increases profitability.
Where to start…
To understand how you can make your forwarder more efficient, you first need to understand that since the entire freight document workflow often consists of steps involving complex operations and various types of data, the logistical processes can easily become more and more complicated.
Much of the logistics processes have already started to be improved with technology, but due to the complexity of the industry, some processes still need to be improved. When we talk about reducing clutter, be it logistics paperwork or the electronic equivalent, it has always been difficult to think of new solutions.
This is because most accounting processes are paper-based. Freight forwarders rely heavily on paper documents for most of their accounting process requirements.
Considering that freight forwarding operations involve large volumes of documents and data, the rapid growth seen in digital automation using artificial intelligence (AI) technologies, can give you a starting point.
The use of Artificial Intelligence (AI) in logistics is one of the major for the market in 2023. Through algorithms based on data from previous processes, the use of this technology in logistics can automate procedures and thus make supply chains more efficient.
Using this technology has made it possible to properly automate and digitize processes. Digitized data can lead to a whole new world of improvements, for example:
- Accruals can be reconciled with remittance invoices;
- Account statements can be reconciled with what was posted by freight forwarders;
- Knowing quickly when an account needs to be paid;
- Creation, modification of delivery and consolidation files;
- Clean up the processing of commercial invoices and packing lists;
By automating the freight documentation process, forwarders can eliminate that pile of unnecessary logistical paperwork and free up many hours to help businesses thrive in other ways.
Want to learn more?
Getting rid of manual logistics paperwork and replacing it with automated technology can open up a whole new world for freight forwarding accounting operations.
If you want to learn more about how you can make your forwarder more efficient through the use of artificial technology, watch the video below.