One of the major pain points that any logistics and transportation industry face is the delay faced in cross-border clearance. They would ideally want to reduce transit delays where possible to improve customer service.
Each cross-border transit is subjected to local and international regulations. Whenever cargo arrives in a particular country, be it for transit or off-loading, there should be a set of regulatory compliances that should be checked and enforced.
Multiple formalities and procedures should be undertaken by importers,, traders, freight forwarders, drivers and clearance agents. These formalities, when done in a correct way help them to smoothly transit their goods at the border check posts.
Time: A crucial factor in the logistics & transportation business
If you ask any driver on what is the major difficulty they face in the border crossing, it would be the delays caused due to missing transit related documents.
This may be due to a mistake from the client’s side or the clearing agent’s side. For each country, their procedure is different and can be lengthy or speedy depending on so many factors.
Close to 80% of the inter-African trade takes place via road logistics and transportation and that means a long line of waiting for clearance at the border checkpoints.
As for every business, time is more a crucial factor for the transportation sector. The long delays and waiting times compounds a considerable effect in the cross-border trade. Un-predictable delivery times make it difficult for all stakeholders.
Logistics ERP solution helps reduce transit delays
So how does a logistics ERP solution can help logistics and transportation companies, plan, manage and reduce transit delays at the border? Every single route can be configured and pre-defined rates can be set based on the number of border check posts, cross-border clearance agents, commodity, tonnage, etc. Before dispatch, all documents to the clearance agents would be sent via email and the follow-up process is ensured.
A copy of the required documents are then handed over to the driver. All employee details, including the driver, is stored in the system, details such as visa expiry, license expiry, etc. are pre-notified and cleared. This is to ensure that by the time the truck reaches the border, the clearance agents can do their job thus allowing a smooth transit for the trucks.
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