Freight Invoice Processing
Freight Invoice Processing that saves your company time and money.
Data2Logistics’ robust pre-audit and payment solution includes:
- Receiving freight invoices electronically
- Scan all paper invoices and associated documents
- Capture data using OCR technology
- Pre-audit process for rates, liability and service performance
- Allocate freight charges to appropriate cost center and GL accounts
- Provide payment processing
- Furnish analytical tools that allow you to make more informed decisions.
Studies show it cost the average company $3 to $11 to process an invoice. Our pre-audit and payment solutions are performed for a fraction of the cost of even the most efficient organizations. We also perform a high quality audit that provides information you can use to ship smarter and save on transportation costs.
Receipt of Freight Invoices and Data
Acting on your behalf, Data2Logistics receives electronic and/or paper invoices directly from your carriers.
Scan Paper Documents
All paper invoices and associated documents are scanned and available to you through our website. Scanned images can be accessed from standard and ad-hoc reporting.
Data2Logistics will audit 100% of all invoices processed. Our process begins with the receipt of your carrier’s rates and contracts which are loaded into our proprietary rate engine. We load rates for all modes of transportation and various rate structures, including class, zones, point to point, private tariffs, Czar, mileage (Rand McNally, PC*Miler), carrier zip-based rates, and many more.
Our rate engine identifies the effective and termination dates of your carrier contracts and allows us to maintain multiple versions for use during transition periods. This also allows us to proactively notify you of upcoming rate expiration dates. Your assigned auditor is responsible for reviewing all new contracts and testing rate sets to ensure necessary updates are made.
Our audit process ensures that the shipment is your liability to pay. The automated audit is detailed and will assess all rates, discounts, and each line-item accessorial submitted by your carrier to ensure it is in compliance with your contract and rates. We look at class, weights, equipment, fuel calculation, and many other factors. If an invoice is found to be out of compliance with your contract the invoice is routed to your assigned auditor for further review and action. Your auditor will work with carriers who have reoccurring errors or incorrect charges to find the root cause and rectify these invoicing errors. Our audit process is specifically designed to ensure that carriers bill you correctly, not to simply find audit savings. Our auditors work to improve what we call the ‘first pass yield.’
Our clients typically see a cost avoidance of around 2% - 5% initially as we work with carriers to bill correctly. For parcel, Service Guarantee Failures, if not waived, can account for additional savings as well as identifying manifested not shipped activity. Typically this results in a savings of approximately 2%, but can vary based on shipping locations and services used.
Before each invoice is paid, Data2Logistics verifies that carrier charges are accurate. We edit and validate freight invoices prior to payment for compliance with your exact requirements. Pre-audits eliminate carrier overcharges through the use of our extensive rate database. We either pay the invoices for you or provide an audited and approved payment file to you. This seamless process uses advanced techniques and proprietary software to identify, document, and recover carrier overcharges by reviewing every shipping invoice down to line-item detail. Recovery opportunities are found in:
- Determining if the shipment is your liability to pay
- Identifying rate and discount errors
- Recovering shipment costs for service failures
- Eliminating duplicate payments
- Identifying inappropriate assessorial charges
Coding and Chargeback
As one of the most widely-used firms in the industry, processing hundreds of millions of freight invoices annually, we understand transaction types and cost allocation scenarios better than most. We eliminate the time you need to spend processing and coding invoices. In addition we deliver this information to your ERP or general ledger system in a format that can be easily imported.
As a part of the implementation process, Data2Logistics will obtain your business rules and coding structures. Once understood, we’ll develop the approval and allocation rules and tables you require. Our goal is to automate all allocations where possible. The procedure to auto-code an invoice is the same for both electronic and paper invoices. We have the ability to capture, code or derive general ledger information to meet our clients’ needs and ensure the process is consistent and accurate.
We routinely work with clients for whom we manage thousands of general ledger account numbers. Our rules-based, table-driven process allows our Account Coordinators to implement changes quickly without the involvement of our programming staff.
For more details, check out our podcast, or contact Harold Friedman by email or by phone at 609.577.3756.