Meet customers’ demands through Freight Collaboration
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By: Krypt Team - July 9th, 2021

Author: Vijendra Kargudri


In our previously dated blog entitled –  – Improving Logistics Performance across Supply Chains using SAP LBN, you got to learn about a scalable solution like SAP Logistic Business Network and its various options that help in improving the supply chain resilience.

Customer satisfaction driven businesses

The digitalization of businesses has empowered them and their customers alike. In this era of business, customer satisfaction is of prime importance. Their demand however big or small, is met through just-in-time delivery by a far-flung across-the-border company. At a click of a button, such a customer’s action dictates the company’s success & long-term sustenance or vice versa.

Only a few companies can spare to invest their assets to manage the entire logistical process of moving their products from their facility to each end-user. The volatility in the cost of maintenance, equipment, labor, warehouse, transport, and delivery to many locations at variable frequencies while keeping production schedules on pace is prohibitive.

Challenges faced by companies & need for Freight Collaboration

In this era of just-in-time inventory management and deliveries, logistics management has evolved into an industry in itself. Every year several logistics companies emerge to meet the growing demands. Some specialize in one phase of the supply chain while others do more.

This has led to multiple partnerships between Shippers and one or more Logistics companies in play. As they have disparate technologies, capabilities, and functions to perform, it results in disjointed efforts, causing delays, extra handling, and confusion. As such many Logistics companies & Shippers find it challenging to transport the shipment across geographies to millions of customers. Around 75% of businesses are affected by various disruptions.

Hence irrespective of their size, Shippers and Logistics companies have to operate on a single platform of Freight Collaboration. Doing so, they can benefit from a host of logistics benefits to mitigate cost, volatility, and rising demands. And those that are still not a part of a trustworthy Freight Collaboration stand to lose a substantial amount of business every year.

SAP Logistics Business Network – Freight Collaboration Option

It is one of the four options comprising SAP LBN. It replaces the traditional Collaboration Portal offering of SAP in the SAP TM business suite. Using Freight Collaboration Shippers can collaborate with Logistics companies for carrier selection, tendering, event reporting, and invoice/dispute management.

Apart from this, Freight Collaboration can help businesses to connect to Uber/Insta Freight networks using a standard interface! Basically, you can tender your load to a network of networks like Uber Freight or Insta Freight and get Instant quotes and be competitive in your transportation spend!

Freight Collaboration option of SAP Logistics Business Networking helps optimize logistics collaboration and improve services by increasing visibility and control with transportation management software from SAP.

Benefits of Freight Collaboration

  • Aids shippers to collaborate with Logistics companies (Freight companies, Freight forwarders, Carriers, and 3rd Party Logistics (3PL) Providers) on a single platform
  • Carriers can either use the portal option or connect their systems using EDI/API etc.
  • Jointly manage transactions and share insights across the value chain
  • Supervise the entire freight order lifecycle and manage appointments
  • Leverage real-time connectivity and visibility

And to know more about SAP LBN read our white paper titled – SAP Logistics Business Network – Introduction
Download Whitepaper

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 free demo or contact us.

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