Integrating shipping and trade management processes on a single
platform is the first step to building an efficient global trade
execution system. In this QAD Precision Report, we discuss the
benefits of this strategy.
The Importance of an End-to-End Solution for Shipping and Global Trade
As cross-border commerce grows, facilitating global trade execution
workflow is becoming a more urgent business problem for organizations
that ship internationally. Forrester predicted that cross border
shopping will make up 20% of total e-commerce trade by 2022.
To handle this explosive growth, organizations must streamline
processes and minimize manual labor, while ensuring compliance with
global trade rules. Integrating shipping and trade management-related
business processes, on a single multi carrier shipping and global
trade management platform, is the first step to building a more
efficient global trade execution system.
How prepared is your organization? If you’re not sure, here are some
questions worth pondering:
When your organization ships internationally, how many different
applications and systems does it take to send each order?
How much time do your people spend toggling between applications
to complete both shipping documentation and export compliance paperwork?
How much of the work does your staff do by hand due to gaps in
If your organization is using multiple systems combined with
manual processes to handle shipping and export management for
international shipments, your solution is making it harder—not
easier—to get your packages where they need to go. That’s why we
believe using a single end-to-end solution for shipping and global
trade management is a superior strategy over multiple “best of
End-to-End or Best of Breed: The Battle Continues
Software companies have been arguing for years over which strategy is
better: end-to-end or best of breed? Both strategies have some
benefits. Best of breed solutions may provide more robust
functionality to meet specific needs. However, an end-to-end solution
provides broader functionality with fewer overlapping features,
addressing a more complete range of business requirements with fewer
gaps that require manual intervention.
In the world of global trade execution, there’s additional complexity
in that there are multiple approaches to managing shipping and trade
management. These include:
Single carrier shipping software, without global trade management.
Single carrier shipping software, with best of breed global trade management.
Best of breed multi carrier shipping, with best of breed GTM.
End-to-end multi carrier solution and integrated GTM, or Global
Many organizations that ship internationally use some form of global
trade management software. They do this to streamline the
documentation and compliance requirements associated with shipping
packages overseas. Often these solutions are not integrated with multi
carrier shipping. This leaves organizations unable to gather insight
into how shipping and trade management each impact their global
It’s also common for organizations to use a carrier-provided shipping
solution. When they do so, they send all shipments via a single
preferred carrier. This limits organizations to the pricing and
service delivery options available from that carrier. They are unable
to compare rates, routes, and performance to reduce costs and improve
The Worst Of Both Worlds?
When you handle shipping and global trade management separately you
gain few of the benefits of each solution. These include streamlining
documentation and comparing rates and routes. You must manage many
processes by hand, toggling between systems. This costs time and
creates risk of errors and omissions.
As cross-border shipping volume grows, streamlining these processes
with an end-to-end solution becomes crucial. After all, the recipient
information is—or should be—the same information that is passed
through denied party screening. Why re-key this data to several
disparate systems when capturing the data once is more efficient and accurate?
With an integrated solution, organizations can get the best of both
worlds. This is an end-to-end solution that delivers maximum control
over shipping costs and performance, along with streamlined global
trade documentation and reduced risk of border delays, compliance
violations, and more.
Why a Single Solution Is Better Than Multiple Applications
Shipping globally is already challenging enough, without having to
navigate the complexity of using multiple systems to do it. Here are
four reasons why a single, end-to-end solution for shipping and export
management is superior to using multiple applications.
TIME IS MONEY
The old saw that time is money is nowhere more true than when it
comes to your shipping operations. When you use multiple solutions
you’re slowing down the process. Shipping needs to be fast and
efficient in order to be profitable and maintain high customer satisfaction.
COMPLEXITY ADDS COST AND RISK
The more complex your systems the more likely it is to miss a step.
This could lead to inaccurate or incomplete shipping or compliance
documentation. The result? Lost packages, delays, border stoppages or
MULTIPLE SOLUTIONS DELIVER POOR QUALITY DATA
Integrating multiple systems is expensive, which is why many
organizations either don’t integrate systems (leading to all that
toggling around we’ve mentioned), or when they do integrate, they do
so at as few “touchpoints” as possible to streamline the systems,
while minimizing integration costs. With this approach, more granular
data that could provide deeper insight into how trade compliance and
shipping operations affect one another simply isn’t available.
Integration between multiple systems is also challenging due to the
fact that each best of breed solution might use a different field name
for the same data. Worse yet, each system may measure the same data
differently. When this is the case, integrating the two solutions is
challenging, if not impossible, leading to problems with data consistency.
THE ROLE OF LOGISTICS IS CHANGING
Once upon a time, logistics was seen as more of a support function
that fulfilled a critical support role (getting products where they
needed to go). Logistics and shipping were not seen as having
strategic importance, but that is changing with globalization. Today,
as global trade becomes a larger percentage of total revenue,
logistics managers provide strategic insight into everything from
total landed cost, export compliance, documentation requirements,
shipping costs, routing, delivery performance, and more.
Integrate Global Trade Management and Transportation Execution with
If you ship products to one or multiple international locations,
integrating global trade management, documentation production and
shipping execution simplifies the export process. With QAD Precision,
all major functions (shipping, trade documentation, and compliance)
are done through the same solution, and built using the same software.
QAD Precision promotes on-time delivery while mitigating compliance
risk. At the export processes, the solution vets the transaction, and
alerts you to critical export shipping and/or regulatory controls,
including export screening and license determination.
QAD Precision automates documentation production and customs
reporting. Shippers therefore have all the documentation required
needed to complete a shipment, prepared correctly and presented in the
correct format and language. This includes carrier compliant labelling
as well as export and transportation documentation.
Due to QAD Precision’s integrated system architecture, the vast
majority — 95 percent — of the data needed for each shipment
transaction is automatically provided. This dramatically increases
productivity, reduces human error and streamlines the shipping process.
About QAD Precision – Trusted Global Trade and Transportation Execution
QAD Precision (Precision Software), a division of QAD Inc., provides
trade management, transportation
execution and multi
carrier shipping software solutions from a single, integrated
platform. Preeminent industry leaders in every region of the world
rely on QAD Precision’s global support centers to leverage thousands
of carriers and manage millions of shipping transactions every day.
Our open architecture easily integrates with Enterprise Resource
Planning, Warehouse Management Systems and legacy solutions. An
ISO-certified company, QAD Precision assists companies to minimize
shipping costs, optimize first mile and last mile deliveries, automate
free trade agreement compliance, avoid customs delays and mitigate
the risks associated with dynamic trading environments to
maximize their competitive advantage. QAD Precision’s customers span
multiple industries including banking and finance, life sciences, high
technology, retail, industrial, automotive, higher education and
public sector as well as logistics providers. For more information
about QAD Precision, visit www.qadprecision.com.
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