Improving Logistics Performance across Supply Chains using SAP LBN
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By: Krypt Team - June 2nd, 2021

Author: Vijendra Kargudri

Challenges across Supply Chains

For most manufacturers/shippers, transporting goods across the supply chains is not their core competency. Hence, they invariably subcontract the logistics process to an external carrier rather than maintain an in-house fleet.

Though the logistics is taken care of, there are important issues like documentation, reports, invoices, transportation visibility like tracking & tracing the movement of shipment, etc., that pose a huge challenge to all the stakeholders across different geographies along the supply chains. Without real-time access to these parameters, delays and errors are common.

The need of the hour

The above-mentioned challenges have never been as amplified as it has been over the last one year. Since the onset of the pandemic, the global supply chains have been turned on their heads. Regular lockdowns, isolations, absence of manpower, reduced manufacturing capacity, a sudden surge in demand for products, depleting warehouse inventories have all played havoc across supply chains. This in turn has placed an immense burden on the transportation industry that is plagued by inefficiencies and devoid of real-time tracking of planned v/s actual milestones.

The logistics industry is one of the backbones of international trade and is worth over 5.5 trillion euros (2018). This is where SAP Logistics Business Network (SAP LBN) can offer a solution that is of immense value for money. SAP LBN runs entirely on the SAP Cloud Platform, leveraging the leading cloud database, Amazon Web Services. All that is required is a one-time connection to the cloud-based LBN to gain access to an entire network of carriers.

Using SAP LBN open network, shippers & carriers can digitally connect to gain real-time visibility and boost supply chain resilience through the following key capabilities in conjunction with SAP Transportation Management (SAP TM):

  • Freight Collaboration
  • Global Track & Trace
  • Material Traceability
  • Intelligent Insight

We shall deep dive into each of these capabilities in our future blog posts.

SAP LBN is a flexible & scalable open network. It offers robust integrations with external platforms providing a standard interface. Thus, by implementing SAP LBN, global supply chains can evolve by taking a step towards embracing a more digitized and efficient logistics performance.

How can Krypt help you?

Krypt is a ‘one-stop shop’ for supply chain & global trade solutions with a global footprint. Our in-house solutions and pre-packed solutions for SAP TM, SAP IBP, SAP EWM, and SAP GTS, are an outcome of our long-term innovation, technology know-how, and sustained customer engagement across 35 countries.

Our team of SAP TM experts can help you with a rapid & cost-effective set-up of SAP LBN and if you wish to know more about SAP LBN, please request a demo or contact us.

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