blog.malvernsys.comMalvern Systems Blog

Industry News Home Malvern's Shipping Software Blog 3 Ways to Jusify a New Shipping System in this Economy Posted on Tue, Aug 18, 2009 @ 12:17 PM Tweet In the current economy filled with IT spending restraints and tight cash flow, it is difficult to make a significant IT investment in hopes of a tangible return on investment. This is where the idea of SaaS (software as a service) shines. Historically, shipping software- which often includes sophisticated integration into other business systems (as well as customized business rules)- bears a considerable, up-front cost. However, in light of the number of businesses cutting back on IT spending, integrated, multi-carrier shipping software has now become available at modest monthly fee. In addition to avoiding the upfront cost, in many cases there is no long-term commitment required with an SaaS shipping system either. As a result, there is considerably less risk and upfront cost associated with implementing an SaaS Shipping System. Now that initial cost has been eliminted as a hurdle, let's consider three of the many areas of improvement that a third-party SaaS shipping system can provide: More Seamless Integration The integration capabilities of free, carrier provided systems (such as UPS WorldShip and FedEx Ship Manager) have definitely improved over the years. However, they are still light years behind the capabilities of a multi-carrier shipping system with a rules-based integration engine. With a carrier system, integration typically requires creating a database table (or import file) which matches the carriers' requirements. With the appropriate multi-carrier system, there should be no need to make any changes to your database nor any limitations on what data can be imported and exported. For example, international shipping is often a tedious, time-consuming process in a carrier-provided system. However, with a third-party shipping system, line item data (such as product description and value) can be imported automatically. In addition, all shipping data including list and/or discounted shipping charges, tracking #s and more can be exported in real time (or batch) directly back into your database or host system. Increased Efficiency Since free, carrier-provided shipping systems are used by thousands of users with diverse requirements, these shipping systems are designed to do everything for everybody. This has resulted in having just about every option and input field spread out all over one busy looking screen. An ideal multi-carrier system should permit you to fine-tune the screen to eliminate unnecessary options and, most importantly, to streamline the shipping process by reducing key strokes. In addition to full access to all data, options and parameters, a multi-carrier shipping system with a rules-based integration engine can automatically perform logical functions which eliminate manual steps such as activating certain parameters including Signature services, Email Notification, Alternate Billing, Insurance, and more. Reduction in Freight Costs Why do UPS and FedEx give away free systems? These carriers more than recoup the cost of the system by maintaining a monopoly within many customers' businesses. While automatically rate shopping between UPS and FedEx will not always yield significant savings, there are many cases where rate shopping can yield considerable savings. With a system that can automatically compare multiple options to find the cheapest method, you can reduce your shipping charges increasing your profit margins and enabling you to be more competitive particularly when selling online. While virtually any carrier services can be compared including LTL (less than truckload), one of the most common comparisons is between UPS and Postal or FedEx and Postal. When shipping direct to consumers, the residential, delivery area or rural fees often applied by UPS and FedEx (which can be substantial) can be eliminated when using the postal service. So, by incorporating this type of comparison automatically, freight charges can be reduced effortlessly. 2 Comments Click here to read/write comments Tags: Compare Rates , US Postal , Integration , UPS , FedEx , Reduce Labor / Automation Using Business Rules to Automate Fulfillment Shipping Posted on Tue, May 19, 2009 @ 12:04 PM Tweet Fulfillment shippers face many diverse challenges as they manage outbound shipping for multiple, unrelated clients. So, having a flexible, rules-based shipping system (which can be quickly and easily configured to accommodate ever changing business rules) is mission critical. While a complete list of possible, client-specific requirements would be endless, here is a short list of specific examples to consider before discussing how to solve these types of challenges: For some clients use your own prepaid carrier accounts, but for other clients, use the clients' prepaid UPS and/or FedEx account #s. For one client, all shipments need to be Signature Required For one client, all shipments need to be insured for 80% of the order value over $300. For one client, choose the cheaper method between UPS Ground Residential and Priority Mail. For one client, bill all FedEx shipments third-party to client's FedEx account. Print the Client's Order # and PO # on the label for one client and print just the Client's Order # for all other clients. For one client, upload two special billing references fields to UPS and FedEx. For some clients, print the client's name and address as the (ship from) return address. For other clients, print your name and address. For a third group of clients, print just the client's name but your return address. Do these sound familiar? Well, as you know, the list goes on and on. In many cases, there are multiple business rules for each client and they may change over time. The rules and changes to them may be taken care of by manual procedures or they may be handled automatically by configuring business rules in a shipping system. It is difficult to expect shipping system operators to remember a variety of rules especially when they are subject to change. Mistakes are very likely to happen which can be costly, eat into your profit margins and potentially cost you your client's business. The cost of training, re-training and supervision can be considerable too. A better alternative is to implement a rules-based shipping system. With a rules-based, multi-carrier shipping system, implementing rules such as the examples above is not much more difficult than defining the rules in plain English. It is often done by simply creating a text file containing the rules that is then accessed by the Shipping System. Using Scripts to Handle Business Rules In an ideal shipping system, these rules are written in a user-friendly, non-proprietary language such as vbScript. If you have an IT staff or are willing to roll up your sleeves, you can create and maintain the rules on your own and on the fly. Otherwise, you may outsource the script-writing to the shipping system vendor or to a programmer. Here are two examples of how simple the syntax is for a couple common business rules: Rule #1 Plain English For client ABC, activate Signature Required for all of their UPS shipments. Corresponding Script If Client="ABC" And Carrier="UPS" Then ShipSetField ("PODService","DCS") NOTE: A shipping system installer will typically create these business rules, but the scripting is something that can be accomplished by an end-user or a third-party. In some cases shipping system specific syntax like ShipSetField ({Field Name}, {Field Value}) needs to be learned, but these are typically simple and well documented. Rule #2 Plain English For client A, use UPS Account # 111111 For client B, use UPS Account # 222222 For client C, use UPS Account # 333333 For All other clients, use Prepaid House Account Corresponding Script Select Case Client Case A ShipSetField ("BillShipNo","111111") Case B ShipSetField ("BillShipNo","222222")...