E-Sourcing freight checklist: What is logistics looking for?

Despite the fact that the procurement and transportation sectors are slow adopters of technology, the rat race has already begun. Many companies are inquiring the platform provides full visibility all the different steps in the project and the timing associated.

Freight E-Sourcing – General functionality requirements 

  • Attach documentation to projects
  • RFI questionnaires can be customized according to the needs of the shipper
  • Unlimited Request For Information  (RFI) rounds
  • Unlimited Request For quotation (RFQ) rounds
  • Unlimited amount of lanes can be uploaded by user
  • Automation of Excel number crunching
  • The tool should not oblige suppliers to give a quotation for all the lanes/lines
  • Suppliers are able to submit several quotations on the same lane (i.e per the mode of transport or equipment type)
  • Fully integrated communication workflow with hauliers, suppliers, colleagues. This means that all the communication related to the tender is managed through the platform, with the possibility to extend to external email boxes.
  • Static feedback can be given to the suppliers via the platform for every round of tendering

Freight E-Sourcing – Analysis and reporting

  • The system compares the quotations using the same metrics as the historical/incumbent setup
  • Ability to provide suppliers with feedback on the lanes they quoted for (Incl. Target Pricing)
  • Per round, a full recap report must be available on the fly. With customized summarizing option. Bottom line, export all the data gathered in a clean format to use eventually for other systems in the organization (TMS, SAP, finance systems, etc.)
  • Full impact visibility of single tender project on multiple aspects of a global organization.  (budget owner, Product group, Country, Plant etc.) This is often not available but is crucial for internal reporting. E-sourcing tools should be able to break down the (cost) impact of different levels of the company.
  • Unrestricted (the very best option for each lane).
  • The platform should enable the user to build unrestricted power scenarios (the very best option for each lane).

E-sourcing for freight – What else is important?

Below here I have gathered some important questions to take into consideration when creating a scorecard for testing e-sourcing platforms for logistics professionals:

  • Pricing.
  • flexibility
  • User experience. Is a tool easy to use, easy to roll out organization-wide without too much training (also affects the total user cost)
  • Unlimited rounds per tender
  • Unlimted reporting and scenario building
  • 1 Platform providing access to all of your tender data, the quotations and responses of carriers

Freightender E-Sourcing for freight professionals

Some companies are scared that e-sourcing will lead to carriers declining to take part in freight tenders as communication to get very distant and unpersonal. This is actually not true. A good e-sourcing tool automates what can be automated and makes many processes more efficient leaving more room for communication and carrier management, items that remain key during tenders. Next to that carriers appreciate the standardization of processes and data as well.

Pieter Kinds

Pieter Kinds

CEO Freightender.com

Freightender is the standard in freight tendering. It makes the tender process lean, smarter and much faster. 
Fully cloud-based. Curious? Request a free live demo and join the Freight Tender Revolution!

Schedule Demo Freight Sourcing

Schedule Demo RFQ Management

Freightender CEO Pieter Kinds in panel TPM21 by JOC

Freightender CEO Pieter Kinds will join the TPM21 panel on the 25th of February. He will be speaking about using a data-based approach to Freight Procurement and Allocation. Rate benchmarking and freight procurement data As many people in the logistics industry are...

Talking tenders, mini-bids and digitalisation with Freightender CEO Pieter Kinds

It’s been a rollercoaster year for just about everyone in the logistics industry, and Freightender CEO Pieter Kinds is certainly no exception. Since the start of the year, the Dutchman has re-branded his company, navigated the troublesome waters of the pandemic, and...

How shippers and forwarders can streamline the freight tender process

In the forwarder world, there are a lot of people you typically don’t deal with as a shipper yet they are handling and responding to your tender: tender managers, pricing managers and pricing analysts. Their job is often performed under high pressure from the outside...

Freightender and Portrix Logistic Software partner to empower freight forwarder tender teams

Sep 28 2020 at 09:23 AM In 2020, the need for digitization in logistics has really accelerated and this is especially true for the freight forwarding community. One of the main areas of focus for forwarders is how freight tenders are being managed today– often a...

Freight Tenders: 5 crucial tips to ensure carrier engagement

Freight tenders are not only dependent on solid freight data (historical data). The willingness of carriers to participate in freight RFQ's is a big factor as well. In this article, we share 5 vital tips to increase carrier participation in your freight tenders. The...

Digitize logistics procurement: 5 Reasons to act NOW!

Many companies are now developing strategies to buy freight in a more digital and efficient way, creating a new structure for a lean and innovative way to logistics procurement. What are you doing? More and more forwarders discover areas for optimization and...

E-Sourcing freight checklist: What is logistics looking for?

Despite the fact that the procurement and transportation sectors are slow adopters of technology, the rat race has already begun. Many companies are inquiring the platform provides full visibility all the different steps in the project and the timing associated....

Spot bidding: what to expect in Q3-Q4 2020?

Decisions made in logistics and supply chain always have had a strong impact on a company's bottom line. It was, is and always will be a major factor to accomplish competitive advantage in any industry. One of the decisions enterprises confront is the question of...

State of logistics procurement in EMEA
(and where the market is headed)

We want to give you a short overview of what is happening in the world of logistics procurement from our perspective. LTL/FTL Freight The market has dropped enormously for most carriers. Estimates go from 50 to 80% of the business. Most shippers are holding off on new...

Why forwarders and carriers are pricing transportation into oblivion

Carriers are pricing transportation into oblivion Pricing, quoting, answering to transport tenders, whatever you call the process, is a highly underrated process within many forwarder and carrier organizations. It is a process that is subject to shared...