5 Benefits of a Global Freight Audit and Payment Strategy
They say the best ability is availability. Chances are you have heard the statement in the sports world, but it also rings true when discussing a global freight audit and payment (FAP) solution.
As data pours in from every corner of the globe, having reliable access and utility is imperative to maintaining a competitive edge.
This is especially true when calculating how much it costs to run a supply chain business. Instant access to transportation costs opens the door to deeper insights, better management, and a streamlined decision-making process.
Moving to a global FAP solution can seem daunting if you’ve been invested in a traditional, regional-based model. But the ROI of adopting a global approach is compelling. Collecting information into a single platform solves many of the common challenges associated with a fragmented system, such as billing inaccuracies, insufficient data, and delayed auditing.
Add up all of the pieces, and the results are clear – a global FAP solution simplifies the complex freight audit and payment process, saving organizations with a worldwide footprint time and money.
Trax helps enterprises streamline the freight audit and payment process, helping businesses like yours gain full control over transportation costs. By simplifying complex challenges, large-scale companies can eliminate inefficiencies and ensure that money isn’t left on the table.
Let’s evaluate the benefits of global freight audit and payment solutions across some of the largest sectors in international commerce.
Global FAP and Data: Example From Life Sciences
End-to-end visibility is important for any supply chain, but it is mission-critical for those in the life sciences industry. Each data point and decision made becomes increasingly important when your shipments save lives. Strict regulations, higher associated operating costs, and higher than average damage claims are all standard fair, and complexities are around every corner.
Organizations that choose a global FAP solution are voting for visibility. As visibility increases, the likelihood of clerical errors, inaccurate claim information, and compliance issues are drastically reduced, making the management of your supply chain more efficient. Efficiency within the process keeps shipments moving, billing accurate and up to date, and growth within reach.
Contract Management: Example From CPG
Choosing the right carriers to ship freight and manage a carrier network is vital. The key component for global enterprises to reduce costs and mitigate risk is – DATA.
When data is fragmented, only a small portion of the picture of how a carrier is performing is available. Aggregated data through a global freight audit and payment solution bring the entire picture into view. Critical pieces of your shipping infrastructure become visible, making it easier to manage a carrier network, ensure the timely delivery of payments, and reduce operating costs such as accessorials.
With tools like Trax's Rate Manager, global forecasting is at your fingertips, providing insights that would otherwise take people power and people hours to assemble using only a regional FAP system.
Brand Loyalty: Example From Retail
Taking care of your customers is Business 101. When a monkey wrench is thrown into the supply chain, many organizations are often left scrambling to find the bottleneck and resolve the issue to keep deliveries on time.
A timely and unified view of shipment activity isn’t achievable with a fragmented FAP system in place. Consumers have become accustomed to shorter delivery times, and sorting through the data in an antiquated system bogs down the process.
With a global FAP solution, tracking is available within 24 hours, giving leaders the peace of mind to know exactly where every parcel is located. Tracking can be shared with customers, increasing confidence and brand loyalty.
Operational Efficiency: Example From Tech
As young but well-funded tech organizations move into the global scene, scalability becomes a focal point. Pieces that once worked may be too small or rigid to play in bigger leagues.
Many people think tech companies live in the cloud, but the component parts of most tech products, or even the systems and computers required to fuel those products, depend on manufactured products. This means every tech company relies on supply chain operations and systems.
The vast infrastructure required to become publicly traded or global is often underestimated, and not having global, sophisticated solutions is a mistake for any growth-minded tech company. Manual processes can quickly compound, resulting in time delays and increased operational costs.
Global FAP solutions offer a cloud-based platform with automated workflows between suppliers, support teams, and managers. Phone calls and email outreach are replaced by internal communications tools that follow every interaction, helping your team build a story around each piece of the FAP puzzle.
Invest in a Global Freight Audit and Payment Solution
Simplifying the complexities of your freight audit and payment process is mission-critical for global success in any industry.
The better the information on hand, the easier it is to make impactful decisions for your enterprise. Outdated processes and incomplete information restrict your ability to manage your transportation spend and scale your business.
We can’t wave a magic wand and instantly streamline your global FAP process, but we can get pretty close. With Trax’s enterprise-level tools at your fingertips, you will be able to delve into rich data, gain deeper insights, and make confident decisions that will drive your business forward.
To learn more about our solutions connect with our team and schedule your consultation today.
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Trax is the global leader in Transportation Spend Management solutions. We partner with the most global and complex brands to drive meaningful optimizations and savings through industry-leading technology solutions and world-class advisory services. With the largest global footprint spanning North America, Latin America, Asia, and Europe, we enable our clients to have greater control over their transportation performance and spend. Our focus is on your success.