Export Trade Digitalization

Problem Statement

Export of products to global markets is a challenging process with multiple parties involved and sharing the trusted information flow across these parties is always manual with prone to mistakes at the scale of transactions that happen at the enterprise level, thereby causing delays in shipments to the customers/consumers impacting the service rate loss and revenue loss in order fulfilment.

With market disruptions, organizations are struggling to keep outdated, customized, and siloed systems and processes integrated, causing critical inefficiencies for the business and organization. To gain value and reduce the inefficiencies, organisations are addressing to resolve some of the below pain points using advanced digital technologies such as blockchain, AI, Machine Learning. They are expected to have a profound impact on how businesses transact and participate in global transactions.

Order fulfilment involving exportation processes strives to gain further value and reduce inefficiencies that are commonly daunting organizations by addressing some of the pain points:

Poor collaboration between internal business functions (Sales, Manufacturing, Finance, Warehousing, Logistics) of an organisation
Manual and lack of standardized exportation process involving data/document exchanges (Purchase Order, Delivery Order, Customs Invoice, Export Licence, Bill of Lading Sales Invoice, Good Receipt Note, Shipping Instructions INCO Terms etc.)
Poor collaboration and co-ordination with sales and distribution channel partners and their business functions and related ecosystem (Custom House Agent (CHA), Transporter, Inspection agency etc.)
Manual paper-based invoice processing and long invoice processing cycle times
Manual reconciliation and matching for document submissions and receipt of payment from channel partners/customers.
Little to no exposure on third-party risk management or extended supply chains and non-compliances to multi-geographic jurisdictional requirements
Limited ability to perform analysis by Sales Channels and categories

As organisations prepares for the digital transformation journey, evaluating the full supply chain process landscape involving internal and external interactions is a must. Dynamic Order fulfilment with connect customers smoothened and synchronised in a complicated digital network is the transition envisaged from traditional supply chain. The digital network is foundational, and it involves onboarding the different stakeholder groups such as CHA (Custom House Agents), plant/manufacturing plant, warehouse, Shipper, Freight Forwarder, Banks etc. All of these participants have an integral role to deliver goods on time in a fully reinvented optimised framework with transparency, security and trust. Fast-paced changes in technology have upended traditional practices and put data at the centre of business operations. Sales and Distribution process are optimised digitally to bring higher value across the business enterprise. Organizations are working to achieve enhanced business benefits and assess the potential savings from improved control and compliance, and process efficiencies with digital platforms/solutions.

The Business Need

Evolving landscape in connected supply chain order fulfilment process involving exportation of goods to overseas market.

Challenges

Business Scenario

Organizations are facing disruptions in their sales and distribution process involving overseas customers/channel partners.

Business agility in Sales and Distribution process involving multi-party especially with overseas markets is becoming a critical business requirement.

Organisations are moving digital with higher automation, greater visibility, increased profitability and revenue in their sales and distribution involving overseas markets.

The lack of visibility in the order fulfilment process leads to inefficient supply chain, with collaboration issues and inability to enforce effective risk-free contracts.

The order fulfilment process is a complex process covering multiple organization with heavy documentations and multiple contracts.

Key customers in overseas markets and their requirements in order fulfilment is a time-consuming manual tasks and delays can significantly impact the business revenue and profitability.

dltledgers Can Help You

Our state-of-the-art blockchain-based platform provides a smoothened and streamlined order to cash flow process involving exportation to overseas channels.

The accelerator built to establish the multi-party network, digitize the transactions across these multiple parties with the trusted, secured and transparent information flow in the form of documents verified and agreed. The real time collaboration across multiple parties to handle the exceptions while fulfilment of orders with the end-to-end visibility proactively avoids the service rate and revenue loss.

Solution

Solution Brief

Smoothen and streamline order fulfilment process involving overseas exports with shorter cycle time improving customer relations.
Enhance collaboration with multiple parties in multiple geographies with improved user-efficiency and end-user experience
Enforcement of effective risk-free contracts across distributors/customers in multiple geographies
Greater visibility and transparency across the digital network of customers helps to drive reduction in unfulfillment rates, leading to less holding of inventory and release working capital
A secure real-time information on the status of order fulfilment with status flags ensuring that the digital network members can quickly and effectively triage a vast range of operational issues and enable optimised shipping of finished goods in line with order promise date.
Streamlined exportation process involving multiple distributors and customers in multiple geographies in a digital network with focussed operational insights.
Accurate data and digital document repository with auditability across functional departments and ecosystem participants.
Real-time reports and secure tracking of order fulfilment with verified documentations and certifications as tamper-proof digital records for future use and compliance.

Benefits

Business Value to each of the parties involved within the export trade process with visibility and transparency to avoid disruptions
OTIF (On Time In Full) improvements by 10-15%
Increase in Revenue by 20-30% connecting the multiple parties with the real time information flow
Reduced order fulfilment processing time for export process by 60-70%
Accurate data and digital document repository with auditability across functional departments and ecosystem participants.
Real-time reports and secure tracking of the origin of goods and the chain of custody with verified documentations and certifications as tamper-proof digital records for future use and compliance.
A single source of truth with immutable tracking maintained in real-time.

“The real value lies in having more export transactions and experience a real reduction in our financing costs by at least 20-25%. We have seen a reduction in cycle time from 10 days to 2 days in the end-to-end execution process and improved visibility”

– Anupam Basak, Head Regional Finance, IFFCO Group