Simplifying and empowering logistics by going digital in freight procurement

Dubai Airport Freezone (DAFZ)-based LogisEye is advocating the cause of digital procurement. ‘A smart business start with a smarter supply chain’ is the LogisEye credo.

CM Mathew, Founder & CEO, LogisEye, enunciates and backs his case calling for increased digitalization in the world of procurement of logistics services and products to ensure better competencies and eliminate associated frustrations, in this special analysis and contribution to Global Supply Chain.

Around the world, most of the companies continue to follow manual processes for their freight procurement and face enormous challenges.

The trillion-dollar freight industry demands smart and evolving technologies with an increased focus on procurement and overall supply chain transformation to meet the needs of the changing customer requirements, stresses Mathew, the nononsense, blunt spokesman of online procurement sourcing for the logistics and supply chain industry.

Technology inspired procurement processes

LogisEye makes its case with its sophisticated, state-of-the-art cloud-based digital freight procurement ecosystem, integrating with all stakeholders in the value chain.

With its multiple innovative solutions, scheduled to be launched over three phases, the aim is to solve the key challenges in the procurement and payment of freight services.

LogisEye not only accelerates digital transformation in the logistics industry but also adds value to each stakeholder across the value chain, according to a posting in its official website.

The platform aims to simplify and standardize the freight procurement processes and efficiently manage air freight, sea freight, road transportation, and cargo insurance, resulting in cost & time savings, real-time shipment tracking, and transparency.

Bleak current outlook

The short-term outlook by analysts and economists for companies is that the global economy is weakening rapidly, and businesses should prepare for continued volatility during 2023.

While the global economy continues to be battered by multiple shocks, the key is to minimize shipping costs and offer competitive selling price for your products to attract more and more customers, affirms Mathew, who examines the state of current affairs in the logistics sector in this contribution and calls for more, allpervading infusion of technology in the procurement of freight services.

Shipping costs are a major element and component in deciding your selling price. Shippers and consignees planning to survive 2023 and beyond need to embrace digital technologies to make their freight procurement and management faster, easier, cost effective and more efficient.

Is your overconfidence on your expertise costing you a lot?

Many of the logisticians worldwide are overconfident on their expertise in freight procurement and management. The processes that they follow did not change for several decades and it is adding to inefficiencies, increasing shipping & administrative costs and limited transparency and visibility.

Are you facing some or many of the following issues during your freight procurement and management currently?

• Dependency on a few regular freight forwarders for many years

• Email requests or WhatsApp to procure freight rates and long response time to get rates

• Rate comparison on excel sheet, noncomparable rates, hidden charges, additional charges

• Billing errors, billing delays, double billing, and duplicate payments,

• Lack of transparency in procurement of rates and award of shipments

• Limited visibility while tracking your shipments using Excel reports, accessing to multiple operating systems of different suppliers, or sending emails or telephone calls

• Manual tabulation of data from different sources to get your logistics reports

• Manual documentation

• Limited supplier performance management shipping rates from different service providers on different carriers and service levels. Users can search, compare, select, pay, route, and track their shipments under different Inco terms.

Get instant rates from Marketplace

Start now and be an earlier adopter of technology to stay ahead of the competition and industry evolutions. While digital freight solutions help you to reduce your shipping and administrative costs in addition to other benefits, it gives a new lease of life to logisticians worldwide.

LogisEye Freight Solutions

LogisEye provides and aggregator marketplace that connects different parties in the value chain making freight procurement and management simpler, faster, and cost effective.

LogisEye currently provides two digital freight solutions.

LogieBid: The marketplace for reverse auction/e-bidding solution. Registered customers can invite their existing service providers and additionally invite suppliers registered in LogisEye marketplace (optional) to get very competitive and all comparable shipping rates for shipments by air, ocean (FCL / LCL) and road (FTL / LTL) shipments across the world.

Customers got option to route and track their shipments under one platform with inbuilt electronic document management. Users can settle their agreed shipping costs either directly to the selected freight forwarders based on agreed credit terms or through LogisEye.

LogiQuote: Similar to Skyscanner for travel tickets, the LogisEye marketplace provides instant rates for freight and marine insurance.

LogisEye solutions provide rates in less than 10 seconds for airfreight and courier shipments where users can get instant

Instant freight rates, for both import and export, can be retrieved from the airfreight marketplace connecting UAE with top 50 countries, 1,500+ trade lanes. Rates can also be instantaneously for express deliveries in the courier marketplace comprising the UAE with 230 countries, for imports and exports, documents and parcels and spot dispatches.

Based on analysis, shipments below an average of 180kgs is cheaper to be moved by courier considering all different cost elements in moving shipment as airfreight. Using the company’s courier marketplace, users can get competitive courier rates from all three major global courier companies and other regional companies instantly.

Customers benefits

The following is a catalogue of advantages for adopting technology into the procurement realm:

• Large pool of freight forwarders in addition to your existing suppliers to get very competitive freight rates.

• Freight and marine insurance rates under one platform.

• Automated online freight requests and management, templates for regular trade lanes, sort, and filter options to accelerate your supplier selection.

• Accelerated response time, all comparable rates, online approval for any accessorial charges, billing accuracy, timely billing.

• Enhanced transparency and visibility, online tracking of all your shipments under one platform.

• Interactive dashboards, business intelligence reports and online supplier performance management.

• Electronic document management.

• Trade finance subject to approval from credit insurance.

Digital freight solutions can help customers in several ways

Cost Savings: Customers can find the most cost-effective shipping options by comparing rates from multiple service providers. This can help customers reduce their shipping and administrative costs and increase their profitability.

Data Driven Decision Making and Data

Analytics: Digital freight solutions help customers to make data-driven decisions as it can provide detailed data and analytics on their shipping operations. It will help customers identify trends, opportunities for improvement and inefficiencies in the process.

Automation to Improve Efficiency: By automating many of the processes involved in shipping and freight procurement including supplier/carrier selection, rate comparison, tracking and electronic document management, customers can improve their efficiency in whole freight procurement and payment process, save substantial time and reduce the risk of errors.

Improved Customer Satisfaction: Digital freight solutions help to automate the process of sending shipping confirmations, delivery notifications, and tracking information to customers. In-built chat facility and virtual assistant provide a unique and compelling customer experience that help build customer loyalty.

Visibility: Real-time tracking and visibility into the status of their shipments allows customers to plan their operations more effectively and respond more quickly to any issues that may arise.

Increased Security, Transparency and Compliance: Digital freight solutions can help customers to set right processes to comply with industry regulations, ensure enhanced transparency in their supplier and rates selection, security and integrity of their shipments.

Overall, digital freight solutions can help customers streamline and optimize their shipping operations, reduce costs, improve customer service, enhance transparency, and make data-driven decisions.

Vision

LogisEye’s Vision, as enunciated by Mathew, is to be the global leader in digital transformation accelerating and simplifying end-to-end logistics procurement. He goes on to elaborate that the company provides a digital platform that connects stakeholders delivering a more efficient, cost-effective and transparent logistics procurement process.

What is Digital Procurement?

Digital procurement, also known as e-procurement or electronic procurement, is the process of procuring goods and services electronically. This can include anything from online catalogs and marketplaces to request for quotation (RFQ) platforms, online auctions, and e-procurement platforms.

The main goal of digital procurement is to streamline the purchasing process and make it more efficient and effective. This is done by automating manual tasks, reducing errors and duplication, and increasing transparency throughout the process.

By digitizing the procurement process, organizations can enjoy a number of benefits, including reduced costs, improved efficiency, and increased transparency.

What is Digital Procurement Transformation?

Digital procurement transformation is the process of transforming your organization’s procurement function from a traditional, paper-based system to a digital one.

This transformation can be implemented in a number of ways, depending on the needs of your organization.

Digital transformation is inevitable in today’s business world. The competitive landscape is changing, and in order to survive, companies must adapt by leveraging new technologies.

One area that is ripe for digital transformation is procurement, as the process of procuring goods and services is still largely reliant on antiquated systems like paper or emails/spreadsheets.

Digital procurement transformation can help your organization save time and money, as well as improve efficiency and transparency.

The Evolution of Digital Procurement

Digital procurement has come a long way in recent years, thanks to advances in technology.

In the past, procurement was a manual process that was often time-consuming and error-prone. Relying on a pen and paper approach made it difficult to track spending, manage contracts, and keep tabs on supplier performance.

This led to errors and duplication and increased the chances for fraud and corruption. With the advent of digital technologies, however, procurement has undergone a rapid evolution.

Today, there are a number of software solutions that can automate and streamline the procurement process. These solutions make it easy to source suppliers, create and manage digital purchasing requests, issue purchase orders, and track invoices.

Implementing these solutions can help your organization save time and money, as well as improve efficiency and transparency.