Shifting geopolitical relationships creates challenges for
enterprises that source and ship around the world. In this QAD
Precision Report, we look at how integrating compliance and multi
carrier shipping helps multinationals to navigate these challenges.
For multinational enterprises and shippers, managing logistics across
different sites, countries and carriers is no easy task. Logistics
staff must ensure the efficient movement of goods, so that your
customers — and your customer’s customers — are not left waiting.
Delays are sometimes inevitable. Third-party issues are beyond the
control of management. However, certain delays are certainly
avoidable. For example, incomplete or inaccurate documentation,
resulting in customs hold ups.
In addition, global trade is getting more complex and challenging.
That was true even before Covid-19 swept from Wuhan to the rest of the
world, disrupting supply chains across many industries.
Many of the significant issues that impacted trade in 2020 have not
gone away. Ocean shipping rates have skyrocketed; critical goods, most
notably computer chips, are in short supply; and while the US and
China trade war may be currently in a lull, but the underlying
tensions between the two superpowers remain.
Add to that upheaval in Europe due to Brexit. Retailers in the UK
about shortages for the holiday period. This is partly due to
the lack of delivery drivers from the European Union.
No matter how complicated the trading environment, global shippers
must adhere to a slew of national and international regulations. They
must also screen and verify the identities of their trading partners.
It is important to note that compliance is not restricted only to
companies that export goods. Enterprises that manufacture or
distribute high tech, industrial or dual use goods, must also screen
domestic shipments. Furthermore, companies based in the US must also
deemed export laws.
It is an onerous and time consuming task to manually screen every
shipment. Staff would need to check against a mountain of governmental
and global regulations and denied party lists.
compliance screening simplifies and speeds up these challenges.
Integrating compliance checks with multi carrier shipping simplifies
this process further.
It is, of course, possible to use different systems for both.
However, when you use separate systems, you end up with siloed data.
In addition, when information must be re-entered between two or more
systems, human errors or missteps are always a possibility. An
integrated compliance and shipping system will vet every shipment to
ensure that it can proceed.
Organizations that engage in global shipping generally have highly
intertwined, complex operational needs. Consequently, many
organizations rely heavily on a handful of carriers they know they can
trust. However, many countries — especially in Europe and Asia — have
dozens of carriers. Each of these have their own set of regulations
While trust and reliability are necessary, it can sometimes lead to
monopoly-like pricing. This makes companies vulnerable to higher
prices. On the other hand, leveraging multiple carriers reduces costs.
However, it can be a challenge to monitor all shipments and maintain
all of these relationships.
Furthermore, when you use different carrier systems, you create
shipping data silos. To check three shipments from the same facility,
a logistics manager may need to check three different carrier
interfaces. Such an operational set up is not “multi carrier”
shipping, but rather “many carrier” shipping.
carrier shipping solutions make it easy to compare carriers,
service levels and costs. As a result, logistics staff can easily find
the carriers that can meet the delivery date at the best price. Multi
carrier solutions also enable you to rate shop and seamlessly switch
It is possible to simplify this process further with corporate
business rules along with automated routing. As a result, each
shipment is automatically assigned to a carrier and service level
based on predetermined criteria.
As a result, a multi carrier shipping software makes it possible for
multinationals to standardize shipping rules and procedures across all
their locations. The organization has centralized shipping data, and
can track all shipments from the same portal, in the same way.
The easiest way to streamline shipping across global sites and ensure
adherence to trade regulations is by integrating compliance and
shipping. This allows logistics managers to mitigate risk and track
all shipments, no matter the geographic location or carrier. This
offers a number of benefits:
Always use the best carriers: Logistics managers will be able to
easily assess which carriers have the best rates and routes for
Proactively resolve delays: Visibility is important — logistics
managers need to know where their shipments are. But visibility is
not enough in itself. Should issues arise, exception alerts allow
logistics staff to proactively deal with delays. There is no need
to spend time tracking shipments that are due to arrive on time.
Create standardized shipping processes: Standardized global
shipping processes make it easier to manage carriers, compare
prices and organize critical paperwork.
Automated documentation: Best-in-class solutions ensure that
shipping labels and all of the documents required to complete a
shipment are present. Documentation is created in the right format
and the right language. The correct documentation is necessary to
ensure your shipments are not held in customs, resulting in
financial penalties, delayed deliveries and unhappy customers.
Reinforce customer service and partner relationships: Efficiently
managing shipments increases customer satisfaction, and bolsters
trust for an organization.
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