Companies are digitizing procedures that previously required paper-based documents as a result of the increased focus on digitization and sustainability in the supply chain. This article can be used by supply chain technology leaders to evaluate technology for electronic proof of delivery in transportation.
In this article, we have provided an all-encompassing rundown of ePOD, including an explanation of why ePOD is important, what are the different ways in which ePOD benefits and brings value to your business.
What is electronic proof of delivery (ePOD) and why does it matter?
Any company delivering goods must create, update, and sign the Proof Of Delivery (POD). The POD is important not only for the shipper and receiver of the goods but also for the carrier that transports them and the delivery driver. The PODs are frequently utilized to protect a company from potential liabilities and hence are worth more than just pieces of paper.
Given the importance of these papers, as well as the necessity to address working capital, capacity, pandemic-related constraints, existing and future transportation disruptions, improved, faster interactions with shipping facility drivers have become increasingly crucial. Companies are looking for ways to digitize papers like POD.
An ePOD can be used to replace printed copies of documents that must be signed upon delivery, physically transported on the return trip, and then physically stored somewhere to be accessed later if needed. Using e-doc technology, the creation, signatures, document transmission, storage, and access are all done electronically and can be done through applications and technology solutions.
Analysis
Many shippers and carriers are focusing their efforts on technological developments to improve their operational efficiency. All digital interactions, from indents to visibility to payments, and everything in between, fall under this category. Shippers are beginning to consider how they may use some of these processes and techniques to help carriers view them as a preferred partner.
You can eliminate the need for human interaction while boosting process efficiency, cutting driver wait times, and lowering costs by replacing manual, paper-based operations with technology.
#Manual Process Versus Virtual Process with ePOD
| Traditional process with the physical copy of proof of delivery | Digital solution to submit ePOD and trigger payments process |
| Driver arrives at the receiver’s location with the goods. | Driver arrives at the receiver’s location with the goods. |
| The receiver employee checks the quality and quantity of the goods. Damaged goods if any are reported over email/WhatsApp and proof is retained for future reference. | The receiver employee checks the quality and quantity of the goods. The proof of damaged goods if any is taken instantly and uploaded while filling the ePOD form online. |
| The receiver employee creates and prints paper POD and gives it to the driver. | The receiver employee is able to raise grievances if any with the shipper, real-time. Post dispute resolution, the receiver employee submits the ePOD. |
| The driver comes back to the shipper’s location and submits the paper POD. | The process to approve payments for the carrier initiates. |
| Delivery verification initiates at the shipper’s office and disputes are resolved. | |
| The payments approval process is initiated post dispute resolution. |
Benefits of ePOD
| Benefits of using ePOD | Value to the business |
| Reduction in printing and paper costs | Fewer mistakes |
| Improved partner collaboration | Improved cross-department collaboration |
| More efficient workflows | Improved carbon footprint |
| Fewer touches in process | Improved visibility |
| Real-time dispute resolution | Improved customer experience |
| Reduction in driver detention costs | Reduced driver wait times |
| Simple access to documents | Improved audit and compliance strategies |
| Streamlined FP&A workstreams | Simplified filing and document search functionality |
| Physical document storage no longer required | Faster invoice time for carriers |
| Faster invoice time to customers | Improved Cash flows and payment cycles |
| Easy access to documents for drivers in transit | Improved document security with protected access |
| Increased driver capacity through optimized processes | Increased driver and facility staff health and safety |
Capabilities of a good ePOD solution:
- Real-time, material-wise delivery status updates of unloaded goods
- Detailed reports of damages at SKU level
- Capability to capture delivery proofs as photos & videos to support insurance claims in the future
- System integration capabilities to capture delivery timestamps and locations directly into your CRM
- Performance scorecards to measure transport company, route & material-specific delivery performance
- Integration of the Epod solution with the payments/invoice solution for faster freight invoicing
- User-friendly interface for easy ePOD uploads by drivers and consignees
- Multiple modes to upload ePODs, example – app, email, IVR and website login
- OTP based validation for ePOD acceptance
- System integration with your ERP to auto-create ePODs corresponding to your deliveries
Supply chain technology leaders should use this article to help define processes and plans that can be used to drive process improvement, increase return on investment, and, ultimately, improve access to limited capacity by leveraging digital transportation processes, in order to maximize the proposed benefits.
Recommendations
Supply chain technology leaders should implement EPOD:
- To reduce the use of inefficient, time-consuming manual paper processes.
- To reduce driver wait time at your facilities can help you better utilize available driver capacity in a capacity-constrained market and position your organization as a partner of choice for available carriers.
- Deploy an ePOD technology that encompasses all applicable benefits for your company.