Oracle Transportation Management supports a fully automated rating and routing flow that requires no manual intervention. Automatic routing (assignment of carrier) uses routing-guide rules and happens once the order is created. The corresponding freight rate can also be automatically applied at that time. Automated rating and routing can happen at several points in the delivery process: shipping confirmation, delivery creation, or delivery consolidation.. Organizations can realize significant cost savings by automating many of the manual procedures associated with freight bill payment and audit. They can perform detailed audits on carrier freight invoices, validate invoices, and reduce costs by identifying invoice discrepancies.
Oracle Transportation Management also supports in-house auditing and integration with third- party auditing firms, so freight invoices can be received electronically from the carrier, entered manually, or entered directly through the Web. Freight invoices are automatically matched against bill-of-lading details and audited based on user-defined percentages and amount tolerances. Approved freight invoices go to Oracle Payables or any accounts payable system for payment and cost allocation. Discrepancy reporting lets companies see freight invoices that failed audit and view the related discrepancy reason.
From the simplest internal bill to the most complex markup models, Oracle Transportation Management provides understandable, secure billing, and includes:
• Door-to-door and cost-plus billing models
• Secure “buy side” from “sell side” information for total margin spread privacy
• Contract rates separated from actual costs
• Match-and-pay and auto-pay processes
In addition, comprehensive, real-time reporting and advanced analytics support regulatory requirements and continuous improvement initiatives. Billing covers all aspects of transportation rate contracts, including discounts and accessory charges, and also covers all transportation modes (including air, road, ocean, and rail) and geographies (including language, unit of measure, and currency conversions).
Claim identification and management functions, meanwhile, are already incorporated into Oracle Transportation Management. So, in addition to having full logistics planning and execution, companies can:
• Enter claims for goods damaged in-transit
• Submit the claim to the appropriate service provider
• Track the progress of the claim until disposition
Companies can also use Web services to create a claim in Oracle Transportation Management from an external system and then continue to communicate changes in the claim condition to all involved parties—subject to the business rules that identify when each should be notified.
Oracle Transportation Management pre-populates all claims with the relevant details from existing orders and shipments, making sure that weights, volumes, counts, and financial values are accurate. In addition, Oracle Transportation Management can determine—based on a company’s business rules—whether a disputed shipment can continue to its destination or should be quarantined until the claim is reconciled.
Oracle Transportation Management incorporates full transportation financial capabilities from cost allocation to invoice matching and settlement. Any charges related to a claim are tracked and processed automatically.
Oracle Transportation Management also contains the world’s most sophisticated and robust rating engine, capable of understanding the pricing nuances and structures from Aberdeen, Texas, to Aberdeen, Scotland and around the world. The extremely flexible rating engine lets copanies incorporate multiple transportation modes (air, road, ocean, rail); multiple cost drivers (per kg, per piece count, per mile, per loading meter); and multiple logistics services (transportation and non-transportation). Throughout its many implementations around the world as a global logistics platform, Oracle Transportation Management has delivered optimized logistics planning without limits to business rules, rating logic, or tariff structures.