The true cost of using an inefficient transport tender platform

More and more companies nowadays review their current transport platform. While contracts expire and new technology sees the light in logistics procurement, people are looking for fresh, intuitive systems that meet modern demands. 

Transport tender platform

Traditionally, transport tendertool.ahabr.teching was a manual/Excel based process requiring a lot of time and effort from a companies sourcing department. A part of this is still true. Tenders in the logistics industry are lengthy and often complicated.

This is why, about 5 /10 years ago, solutions where developed. Sourcing solutions making use of software. At first sight, not a bad development. But logistics has evolved, while the older systems still rely on outdated technology and processes. Companies still making use of these ‘legacy systems’ pay the price. In this blog, we have gathered 5 critical points, showing you the true cost of inefficient transportation sourcing tools. If you can relate to this, have experience with legacy tools, please leave your comment below. The reason for this article is to make logistics/sourcing professionals aware of the new possibilities available in the market.


Why run a transportation

The purpose of a transport, often referred to as a freight RFQ (Request for quotation) / RFP (Request for proposal), freight or logistics, is to explore the market and get the best available service at best possible price. But selecting the right carriers and finding the best prices/service is not easy. Logistics tendertool.ahabr.teching is a lengthy process requiring a lot of attention and resources. Next to that, it is often a rather expensive exercise. As a result, we at Freightender believe there is plenty of room for improvement.

But what is exactly inefficient transport tendertool.ahabr.teching?

  1. Manually running freight tendertool.ahabr.techs (fully Excel-based model)
  2. Using a legacy system (outdated, expensive software)
  3. Using a general procurement tool (not dedicated to logistics)

Let’s take a quick look at the direct results of using inefficient freight solutions:

1. Painfully low carrier participation. Carriers and forwards receive so many freight invitations on a yearly basis, that they are unable to participate in all of them. They will make a selection, cherry pick. It goes without saying that the ease of participation in this matter is of major influence. Avoid frustrated carrier staff that have to deal with a tool that is far from the logistics reality. To learn more regarding carrier participation, please read the following blog by our CEO Pieter Kinds: The top 10 reasons why so few carriers took part in your transport

2.Limited freedom. Your deadline has expired and you have received the freight quotes on the different lanes. Now you want to start analyzing. In case you’re using a full Excel approach, this is where the real pain starts. Make sure you clean your agenda because for the rest of the day you’ll be building formulas and all kinds of difficult spreadsheets. Not to mention the time you’ll need when it is time for internal reporting…. Yes, that’s right, another 4 hours building pie charts, diagrams and what not. Good luck with that….

Now, let’s say you’re making use of ‘older’ technology in the market available. Again, you can skip lunch with your colleagues. Because it is no secret that running scenarios and analysis in older, legacy systems is a pain. and that is if you are able to do it in the first place. For many systems, extended and multiple training days are required to be able to work with the system. Our advice: Avoid getting external help with freight tendertool.ahabr.techs, this is often too expensive and results are questionable. Get in the driver seat and look for modern transport technology!

To learn more about the limitation of general procurement systems for logistics, I would refer to the following blog: 4 reasons why general procurement tools do not work for logistics tendertool.ahabr.techs and freight sourcing

3. Lengthy internal processes. Many old systems available the market are simply too difficult to navigate. Legacy systems are simply not user-friendly. Result? You’re department is spending way too much time on ‘basic requirements’. Mule work basically.

Limited access. Working with Excel and legacy systems mean, in general, that you can’t always have access to your data and information. Newer systems on the other hand, are 24/7 available because they are cloud-based and mobile-friendly. Now you might wonder why you need this? Well, imagine you are in a meeting with a potential (participating) supplier, having access to all reporting, scenario’s and details could be very beneficial. and not just limited to raw data. Visuals, PDF, and Excel reporting in the fly. quite useful, also if the boss drops in unannounced!

4. Security. Old technology often means old security. In this case information security around YOUR DATA! Hackers are fraudsters are constantly lurking to breach software systems. Beware of older, outdated systems. They are easier to corrupt. Information security is valuable because:

  • protects information against various threats
  • ensures business continuity
  • minimizes financial losses and other impacts
  • improves return on investments
  • creates opportunities to do business safely
  • maintains privacy and compliance

5. Pricing. Yes, you guessed it right. Old business models are inextricably linked to legacy systems. And in that sense, there is only one loser…the customer. Why get dragged into long-lasting contracts with skyrocket (read: outdated) pricing? Why pay more than the monthly license fee? In our experience, it is unlogical to charge customers extra for services that are a part of the process. Therefore, we advise logistics professionals to search for E-sourcing tools offering full capabilities and comprehensive pricing.

To learn more about e-sourcing software and pricing, we recommend the following article: Tender Terror: how shippers to pay more for freight!

What should you be looking for in a transport platform?

International transport nowadays require sophisticated setups that offer a solution to the complete transport process. It should include the following functions:

1.       All Transport Mode RFQ software with Business specific setup

2.       Full RFQ in regard to quotations/freight rates

3.       Analysis functionalities

4.       Scenario builder / management

5.       Nomination and awarding functionalities

7.       Rate Card / Shipment profile management

8.       Quick bid functionalities

9        Communication workflow functionality during process

10.    Clear data structure export for integration (freight audit, TMS, etc.)

This is where Freightender is really different from other tools. Both generic and even dedicated transportation sourcing tools. Because we are a direct spin-off from controlPay (largest freight audit provider in Europe), we have focussed extremely on the rate card management and other logistics aspects. The reason for this is that logistics tendertool.ahabr.teching is so different from material or indirect spend sourcing. The devil is really in the detail. In logistics, procurement professionals have to deal with many different cost types, rate set-ups, many accessorials, surcharges, incoterms, equipment types, multiple transportation modes, and lanes. To learn more, please take a look at the following infographic by clicking on the image below. 

transport platform

What does this mean for the user? Freightender is the fastest growing transport platform. 

  • High level of automation (auto lanes creation and rate card and shipment profile)
  • Market conform / standard rate cards
  • Covers all the elements you need to agree upon with your suppliers
  • Unique feature: logistics business rules
  • Compare apples to apples during analysis
  • Advanced sourcing scenario building
  • Securing the quality of the

About Freightender – Transport and Logistics tendertool.ahabr.techs

Freightender is the newest and most advanced solution available in the logistics industry today. Our platform is based on 15 years experience in freight auditing and rate maintenance. We believe that freight tendertool.ahabr.teching can be done much more efficient. Therefore, we have developed Freightender. An intuitive and comprehensive software in the cloud to optimize logistics cost.

transport platform

Pieter Kinds

Pieter Kinds


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

New record prices for shipping containers Shanghai – Rotterdam

Prices for containers are going through the roof (and they were already so high)International container traffic is still disrupted. Containers are extremely expensive. The fact that a major Chinese port has reopened does little to change that.The cost of shipping a...

Demand for logistics procurement software is increasing dramatically in 2021

The logistics business has been in crisis for well over a year, with no signs of relief in sight as freight prices continue to increase and capacity constraints worsen. Logistics is a somewhat arcane and opaque profession to most people, but it has recently gained...

Freightender and Drewry partner to bring all-in-one ocean freight procurement

Global shipping consultancy, Drewry and Freightender are pleased to announce they have entered a value-add partnership, combining Drewry’s industry-leading ocean freight cost benchmarking and procurement support services with Freightender’s cloud-based,...

Freightender Podcast: Digitization in Logistics and Procurement

Pieter Kinds, founder and CEO of Freightender, in conversation with Martijn Graat, founder of LogisticsMatter, a leading online supply chain and logistics news platform from the Netherlands. Podcast: Digitization in Logistics and the Procurement of Freight The...

Ocean capacity crunch fuels the importance of modern logistics software

Ongoing extreme events that impact global trade and logistics keep on happening and require logistics teams to be more flexible and agile to handle chaos and the unforeseen. While strategic thinking is very much required, tactical action is key. The right partnerships...

What is managed freight procurement? What are the benefits?

What is freight or logistics procurement and is there a difference between the terms procurement, purchasing and buying? We explain why procurement is of added value to your organisation. And we take a closer look at the increasingly 'in demand' managed freight...

Freightender and Pagero partner to offer seamless end-to-end process for freight buyers

February 25th, 2021 The joint offering integrates both company apps to provide an “unprecedented array” of logistics functionalities for buyers in the transportation industry. Freightender and Pagero have entered a partnership to provide a seamless supply chain...

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...