cargo smart exception management
TRANSCRIPT
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Disruption in the supply chain can be costly to
remedy. It is therefore critical for a company’s
supply chain operations group to gain visibility
to shipment cycle milestones and be able to
spot exceptions in order to avoid costly delays.
CargoSmart’s Exception Management solution
delivers high-powered tools to solve these
issues for shippers, consignees, and logistics
service providers.
Proactive problem recognition speeds resolution
Exception Management helps manage the mass of
customers’ multiple-carrier shipments while improv-
ing customers’ ability to spot exceptions earlier in the
shipment cycle, giving responsible parties time to
resolve the issue or implement contingency plans tokeep the cargo moving. CargoSmart’s solution
includes:
• Rules to set expectations for when critical shipping
events should occur
• The re-planning of downstream shipment events
once a delay is detected
• E-mail notifications to shipment stakeholders
Customers establish rules and criteria in CargoSmart
for how shipment events are planned and what
constitutes an exception. CargoSmart generates
shipment plans that plot the expected milestones for
a shipment based on these parameters, helping
customers identify shipment problems and quickly
adjust their logistics arrangements to avoid or
minimize costly delays.
If a delay occurs in the shipment cycle, Exception
Management alerts designated recipients about the
exception and automatically updates the expected
times of the downstream milestones in the shipment
plan.
Powerful rules drive exception management
In CargoSmart, a shipping party establishes a
comprehensive set of rules to create a plan for each
shipment. The template:
• Assigns the milestones or shipping events
to be monitored
• Defines the criteria identifying the shipments
to which each milestone will apply
• Establishes the rules for when milestone
completion is expected
•
Determines what kind of exception to reportif a milestone does not complete as expected,
such as overdue or completed late
• Specifies when and how often to send e-mail alerts
• Supports collaboration by identifying both internal
users and external supply chain associates as
alert recipients
• Enables assignments of task-based milestones to
third party associates
CargoSmart builds a plan for each shipment thatmatches the criteria set by the template. By following
the rules established in the shipment plan template,
CargoSmart provides around-the-clock vigilance to
spot and report any exceptions in the shipment
cycle.
While shipment plans generally conform to template
rules, they may also be customized to meet the
needs of “hot shipments” requiring special attention.
CargoSmart Exception Management Helps You
Spot Exceptions to Keep Cargo Moving
Manage the plan,
manage the exceptions,
deliver on time:
• Longer lead times for
problem resolution made
possible with early warnings
• More precise problem
identification through the
monitoring of 40+ standard
milestones
• When delays occur
consistently, make changes
to avoid future disruption
• “Hot shipment” handling
accommodated by flexible
shipment plans
• Efficiencies gained by
monitoring shipment events
alongside business
processes set up as
user-defined milestones
• Faster shipment look-ups
by using meaningful
business reference numbers
as search criteria
Benefits
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Finding a shipment plan is easy with CargoSmart’s
robust search functions. Queries can be performed
using shipping identifiers such as B/L and bookingnumbers. For more customized searches, queries
can be run using reference numbers meaningful to
the shipping party’s own business processes, such
as by purchase order numbers.
Proactive alerts signal emerging problems
When CargoSmart detects that a milestone status
has not been reported, it generates exception alerts
online and by e-mail. Action can be taken immedi-
ately to determine what is causing the condition and
either resolve it or take pre-emptive action to keepthe cargo moving.
Early action helps avoid costly alternatives such
as air freight, or having to pay penalty fees for late
shipments.
Further, if shipments are consistently delayed at
a certain milestone, the shipping party has the
opportunity to modify its business practices to avoid
the delay in the future. For example, if the Customs
Export Declaration is consistently filed late,
documentation handling practices may need to be
modified to support on-time filing.
Downstream milestones re-planned after a delay
When a shipment plan is developed, CargoSmart
analyzes the rules to understand the expectations for
milestone completion. If a delay occurs, CargoSmart
uses this intelligence to re-plan the new schedule for
downstream milestones and dynamically adjusts the
shipment plan accordingly. There is no need to make
manual adjustments.
Milestones - the key to monitoring exceptions
Standard milestones: Shipping events for which
carriers report status. CargoSmart supports over 40
standard milestones including rail. These milestones
form the basis of CargoSmart’s robust monitoring
capabilities.
User-defined milestones: Users can create a
customized task-related milestone that is triggered
by a standard milestone event and is inserted intothe shipment plan. This type of milestone represents
specific activity that:
• Supports the shipment
• Aligns with the internal business processes
of the shipping party
• Third party shipping associates are responsible for
updating
For example, the preparation, handling and filing of
special documents related to a shipment are internaltasks performed by the user. By representing this
activity with a user-defined milestone, the milestone
is inserted in the shipment plan and monitored by
CargoSmart.
About CargoSmart: CargoSmart Limited is a global
logistics Software as a Service (SaaS) solution
provider, with advanced visibility and exception
management, enabling shippers, consignees, and
logistics service providers to keep cargo moving anddelivered on time. Through online tools and integra-
tion services, CargoSmart enables customers to
plan, process, and monitor the critical path of
multiple-carrier shipments and communicate
in-depth, timely information to key supply chain
associates.
CargoSmart launched its services in October 2000,
and has helped over 17,000 customers lower
transportation management costs, streamline
operations, and reduce the risk of late shipments.
Company Headquarters
5/F, Lakeside 2
No. 10 Science Park West Avenue
Hong Kong Science Park
Shatin, New Territories
Hong Kong
Direct: +852-2233-8000
USA Office
2700 Zanker Road, Suite 100
San Jose, CA 95134 USA
Toll Free: +1-877-541-6625
Direct: +1-408-325-7600
China Office
Unit 4, 5/F, Block B-6
Southern Software Park
No. 1 Software Road
Tangjia, Zhuhai
Guangdong 519080
China
Direct: +86-756-363-3000
For other regions, contact:[email protected]
For more information, visit:
www.cargosmart.com
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