Chances are, there are already business processes at your company today that cause your staff to spend too much time and effort to complete on a daily basis (things like issuing invoices, validating driver qualifications, evaluating carriers).
One of the great things about document management systems is that they help transportation companies of all shapes and sizes streamline and automate different paper-intensive and labor-intensive business processes that are costing their business time, effort and money.
Let’s take a look at three common processes that your company can automate today.
1. Streamlining Accounts Receivable Processes for Faster Cash Collections
Managing PODs, BOLs and the mountain of other shipping documents continues to be a highly intensive paper and people-based process. Each shipment may take anywhere from 2-7 days to consolidate, process, verify, validate, generate and mail out for payment, and not to mention, is typically touched by multiple people within your company. Once the initial invoice has been sent to your customer, Collections staff then spend hours chasing payments, retrieving documents from other departments, and re-sending the appropriate correspondence to the customer.
Let's look at a real-world example.
The time from load delivery to invoicing the customer had grown to ten days at Royal Trucking Company. Creation of some invoices were delayed by as much as 90 days because of missing proof of delivery documents from drivers. It was not uncommon for unbilled revenue to float between $500K and $750K at any given time.
The company looked to a document management system (DMS) with workflow automation to help improve and speed up their billing processes. Today, once a load is delivered, the driver scans the documents directly using their smartphone, the documents are sent to and stored within the DMS, and electronic invoices are generated in a matter of minutes.
Since switching to this automated process, invoicing time has been reduced ten-fold, to less than one day, and unbilled revenue has decreased over ten-fold, to about $25k to $50k, at any given time. Missing delivery documentation is now very rare as Royal can track documents to a driver and then contact them to resolve the issue quickly.
At Royal Trucking, invoicing time has been reduced to less than one day, and unbilled revenue has decreased to about $25k to $50k, at any given time.
2. Recruiting & Hiring Drivers
Recruiting, hiring and retaining enough skilled commercial truck drivers is one of the biggest headaches that transportation companies face today. Finding the right type of candidate is difficult and expensive, as is the need to find a continuously high number of candidates to fill hiring pipelines given the incredibly high turnover rate that most transportation companies face.
Driver recruiting software helps trucking companies significantly automate and streamline the driver recruitment process.
How does this work?
- Step 1: Driver applies online on a mobile-optimized form
- Step 2: Recruiters review applications in a portal to help ensure adherence to specific hiring policies and standards, plus tightly control the applications in progress by following a structured workflow
- Step 3: Manager approves hiring decisions: built-in business process automation tools change statuses, create activities and notifications along with automatically emailing attachments internally and externally.
3. Processing Safety & Incident Claims
Processing claims manually is complex and difficult to manage due to highly inefficient and costly paper-driven processes. The result can be inaccurate data, poor productivity, lack of responsiveness to affected parties, and mishandled claims.
An automated process leverages document scanning and imaging software to improve claims management and workflow capabilities. It allows your organization to define processes and rules to handle the different types of documents related to incidents such as accident, investigation, violation, insurance, and Worker Compensation. Documents are directed to the relevant department within the organization so that each participant is aware and has visibility into the details as the incident unfolds.
For example, a Worker Compensation claim document will be directed to the Human Resources, Safety, and Driver Manager departments so that each is advised in a timely manner. In turn they can contribute information relevant to their department.
Bottom line: Automation saves trucking companies time and money.
With the right document management and workflow automation solutions in place, trucking companies can collect cash, recruit drivers and process claims faster. Less data entry. Fewer manual tasks. Completely paperless processes. That's how companies today are using automation to increase efficiency and boost their bottom line.
To learn more download Making the Case for Business Process Automation in Transportation whitepaper.
Founded in 1995 and headquartered in Markham, Ontario, Microdea is a fast growing document management and automation software company serving hundreds of customers in the transportation and logistics industry, including truckload and LTL carriers, private fleets, brokers and 3PLs.