How to get rid of 5 spot rate management issues

Pieter Kinds

Pieter Kinds

April 16, 2016 - 11:15

Spot rate management solutions

Spending hours on the phone or managing a large stream of emails to carriers and logistics companies is not the only problem many companies encounter when handling their spot quote shipments...

According to a recent blog from JOC, record low container freight rates on Asia-Europe and Asia-Mediterranean trades are encouraging shippers to place greater percentages of their cargo on the spot market. This ongoing trend is making the 'lives' of freight forwarders and shippers rather difficult, and the spot market doesn't limit itself to just the container freight market.

ControlPay has recognized the needs of many multinationals to be flexible in handling spot shipments without spending too much time on it. In general, shippers face the following issues with regards to spot shipments and or spot rate management:

1. No clear overview of who is responsible/authorized for requesting/approving spot rates

2. No insight regarding why spot rates are needed

3. Few records of spot rate agreements archived

4. Lack of approval limit control

5. Limited overview of who is requesting/approving which spot rates

However, the issues of dealing with spot rates don't just end there. The complexity of the process in general gets even more complicated because of the diversity and quantity of the people involved, namely:

- Administrator: per site

- Site operator

- Site Manager

- Carrier operator

So how can shippers deal with this in a structured, secure and transparent way and create a solid system to approach spot rate management? At ControlPay, we have over 14 years experience in solving these issues for some of the world's largest multinationals covering a wide scale of industries. According to our experience, the following features should be available to shippers in order to deal with transport spot rates, supporting all modes of transport.

- System driven process, routing requests automatically to authorized person(s)

- Approval hierarchy based system

- Easy to use structure for both the shipper and the carrier

- Structured reporting on Spot rates

- Global usage functions and time zone setting

- Fraud proof structure (Segregation of roles)

- Easy integration with shippers TMS

- Low touch communication flow between shipper and carrier

The ideal process flow for spot shipments:

1. Shipper creates a bid with open/close time

2. Carrier enters or declines a bid

3. After bid closing, responses are automatically shortlisted

4. A second person awards the bid

5. Carriers are automatically notified

Feel free to contact us via info@controlpay.com and share your spot shipment / spot rate management issues with us. We are happy to share our experience in this field. For more information regarding our web-based spot shipment solution, please take a closer look at the following presentation. This service is offered in cooperation with a specialized partner who procures yearly over € 200 million in Freight in Europe alone. Combined with ControlPay's advanced benchmarking technology, ControlPay ensures a smooth and efficient tender process that selects the best carriers at the best price.

ControlPay Spot Shipment Solution

More ControlPay freight management content

Specific tools and features we offer: - ControlPay - Global Processing of Transport Data solutions

More ControlPay Freight Audit and Payment content

Freight audit and payment strategy for global companies How Freight Audit data drives sourcing & procurement Transportation Audit: the good, the bad and the ugly

This website uses cookies

ControlPay and our partners place cookies on this web site and use non-sensitive information from your device in order to improve our products and personalize ads and other website contents. Because we respect your right to privacy you can choose not to allow some types of cookies. However, blocking some types of cookies may impact your experience on the site and the services we are able to offer. For more information about cookies, please refer to the below content:

You can make a choice here and change your preferences at any time in our Privacy Policy on this website.

Decline All Accept
Necessary cookies

These cookies are necessary for the website to function and cannot be switched off in our systems. They are usually only set in response to actions made by you which amount to a request for services, such as setting your privacy preferences, logging in or filling in forms. You can change your browser settings to disable these cookies, but it may affect your ability to access and use the site. These cookies do not store any personally identifiable information.

Used cookie

User experience
Description
Stores authorization of users who log in admin panel
Host
controlpay.com
Duration
Expires in one day
Type
http
Analytics cookies

These cookies allow us to count visits and traffic sources, so we can measure and improve the performance of our site. They help us know which pages are the most and least popular and see how visitors move around the site. All information these cookies collect is aggregated and therefore anonymous. If you do not allow these cookies, we will not know when you have visited our site.

Used cookie

Google Analytics
Description
Google Analytics cookie which is used to identify stream of visitors to our website
Host
controlpay.com
Duration
Expires after 2 years
Type
http
Marketing cookies

Marketing cookies are used to track visitors across websites. The intention is to display ads that are relevant and engaging for the individual user and thereby more valuable for publishers and third party advertisers.

Used cookie

perk0mean.com
Description
Tracks the individual sessions on the website, allowing the website to compile statistical data from multiple visits. This data can also be used to create leads for marketing purposes
Host
secure.perk0mean.com
Duration
Expires after 3517 days
Type
http
youtube.com
Description
Youtube cookie
Host
youtube.com
Duration
Expires after 1 year
Type
http
This website uses cookies

We use cookies to optimize the website functionality and give you the best possible experience. You can make your choice here and change your preferences or decline all cookies at any time in our Privacy Policy on this website.