ROI on adopting Digital Freight Transportation Management System

15/09/2021

Looking at the current scenario of logistics across industries, we have identified common experiences by manufacturing companies. The discussed ROIs are based on our insights from the business requirements we handled over the past 2 years from local suppliers to national distributors. We have simplified the thought of all the aspects under the transportation operations process.

3 Times Reduction in Calls

In any organization, the logistics department or transport manager to deliver efficiency is essential. One of the considerable aspects is to make contact with logistics operators and the management of the operations across several vendors. For manufactures and production companies, it is natural to choose vendors who can have better service and cost to offer. However, this process makes communication and information more time-consuming and increases the chances of miscommunication internally or externally.

Figure 1: Hypertech Logistics Measured KPI

So rather than spending time on multiple websites or contacting the long list of transport operators, Companies can start using our Freight Handling System. Comparing the cost of freight movement, finalizing the best cost, and choosing the best service becomes easy and visible across the department. Results are increased productivity and reduction in average spent time in communication with Transport Operators.

100 Hrs of administrative work freed

Transportation Documentation is certainly an important part of freight operations. A logistics manager or transport department, they have to be in constant touch with transport vendors to collect information and primarily documents. A small Gap in sharing information will add delay in the dispatch of goods and, any mistake in documents can jeopardize the goods delivery. Handling the dispute during the transition also adds an unexpected extra cost to your logistics operations.

Figure 2: Hypertech Logistics Measured KPI

Digiting Transportation Documentation with Hypercollider will only reduce the errors in shared information, it can be the start of automating the Manufacturer & Transport operator’s workflows. Such as the data-related vehicle/container, details of driver and support agent, material invoice details automatically fill up shipment challan and sharing the digital copies to all involved parties. This can lead to saving on the time spent during operations and collecting details from several associated vendors. Investing in digital tools can minimize the number of mistakes caused during manual communication and over time leave behind paper-based documents exchange.

Projected Annual Saving of more than 100000 INR

In logistics operations, shippers either deal with their transporters’ network or find new vendors through freight market searching. Subsequently, the goods will be shipped to the relevant business partner with the chosen logistics operator. It is not uncommon that, many of the times the transport agents are passing the requirement in the market to gain service from other operators, which causes the additional business margin in the end quote given to the shipper/manufacturer. The obvious cost occurring from delays in the goods delivery, time spent on dealing with vendors, and their negotiations are also considerable.

Figure 3: Hypertech Logistics Measured KPI

Looking at the routine of this process, we have added functionality that eventually reduces the commission. Each quote from the transporter can be reviewed either as a registered transporter or transporter from the freight network. This process involves the cross-checking of transport operators from our connected ecosystem. However during the shipment, if any additional cost occurs, our system has a functionality where it requests an explanation of that extra cost from the transporter. Extended visibility that monitors every step in the verification of costs reduces the need for extra resources from the organization.

And Above all, our systems are designed for the commission-free process. Our Zero Commission between Manufactures and Transport Operator Model eventually saves Lakhs of Rupees compare to other digital aggregators available in the market.

5 Days Saved Each month in Transport invoice and Payment Settlement

Less visibility directly impacts a regular task that needs to be performed on a daily or weekly basis. Looking at the current routine of booking and handling transport services, it directly affects the other aspects of business such as in finance management due to long settlement in payments, different payment terms with different operators. Each invoice and payment needs to be handled individually while working with several transporters.

Figure 4: Hypertech Logistics Measured KPI

In Hypercollider having all information of vendors, including the payment distribution amongst them and a summary of payments of each shipment eliminates all these extra steps and helps to maintain a simple payment handling system.

An investment made into Hypercollider – Transport Management System simplifies the steps involved in the shipping process. The hours of repetitive work, non-value-adding manual tasks, unnecessary charges are directly or indirectly adding thousands of rupees cost in the supply chain. The problems can be solved only by improving visibility.

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Tags

cloud based shipping management system, Commodity, Domestic Trade, domestic transportation management, freight inquiry, freight management solutions, freight quotes, Freight Trasnsportation, Goods Delivery, Import&Export, logistics planning and strategy, Logistics Solution, Manufacturers, Production Comapnies, Service Collaboration, Shippers, Small Business, Supply chain, Technology, Trade Route, Transportation Management,

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