November 7, 2024

Efficiency Through Innovation: Effective Order Consolidation Through Actionable Intelligence

Insights

TMS supply chain management has evolved to have the ability to provide actionable intelligence. Owlery stands at the forefront of this innovation, with algorithms that offer seamless solutions to a myriad of supply chain challenges, including order consolidation, cost control, and carbon emissions reduction.

AllAboutAI calls actionable intelligence a “decision-making superpower” culminating from data gathering, analysis, and interpretation.

“It’s like having really smart helpers that give us important information to make good choices in different areas,” AllAboutAI said. “Imagine these smart helpers collecting and looking at lots of information, figuring out what it means, and then telling us what we should do with it.”

The Challenge of Order Consolidation: A Complex Supply Chain Leaves Shippers Exposed

Supply chains have become increasingly complex. Shipping managers must juggle large volumes of orders while also meeting requirements for delivery times, costs, and sustainability goals. Inefficient shipment consolidation can lead to higher costs, lower truck utilization, increased miles, and a missed carbon emissions goal — and could cost those shipping managers their jobs.

The traditional manual, time-consuming processes of planning shipping routes and order consolidation won’t cut it today. Shippers need innovative processes developed through actionable intelligence for efficient and effective order consolidation. Owlery satisfies that need.

Leveraging Routing Algorithms for Effective Order Consolidation

Owlery’s TMS ingests orders directly from an enterprise resource planning (ERP) system, capturing important details like delivery times, SKU requirements, and pallet-building rules. (Owlery’s TMS seamlessly integrates with ERP systems like Oracle NetSuite, SAP, Microsoft D365, Sage, Katana, Wherefour, Fishbowl, and Cin7.)

Owlery’s system allows for custom configurations, from specific pallet-building rules to the maximum number of stops and targeted number of pallets per truck. Owlery’s algorithms calculate the best routes and order consolidation plans, factoring in real-time pricing, contract rates, and shipping constraints, completing days of work in just seconds.

Our consolidation and optimization engine helped just one customer, a mid-market retailer, reduce the number of trucks it needed each week for order fulfillment by 32%. Here’s how we do it:

  1. We import transfer, sales, and purchase orders that need to move using our prebuilt integrations.
  2. We set up an item master to determine which SKUs can ship together, taking into account such factors as commodity type and temperature requirements.
  3. Our algorithms consider the constraints of the truck to determine the optimal way to fit orders into loads.
  4. We provide shippers with the best plan, ensuring the best price and quality service and meeting delivery date requirements.

Three Ways Owlery Improves Efficient Order Consolidation through Intelligent Routing Algorithms

The benefits of adopting actionable intelligence processes, according to AllAboutAI, include:

  • Decision-making enhancement
  • Operational efficiency
  • Agility and competitiveness
  • Cultivation of a data-driven culture
  • Strategic innovation

Owlery’s TMS customers reap all those rewards and more. But let’s just look at order consolidation as an example of the power of Owlery. There are three key outcomes from our use of intelligent routing algorithms to improve order consolidation.

Real-Time Data and Visibility

Real-time visibility of shipments allows users to make informed, on-the-fly adjustments for optimal routing and consolidation. Owlery’s TMS platform also manages configurable, real-time exceptions. When an exception occurs, automated alerts are triggered, allowing teams to respond immediately.  

Automated Efficiency

Automated consolidation workflows reduce manual intervention and improve the efficiency of order fulfillment and truck utilization. Order fulfillment is also automated through Owlery’s integrated quoting and tendering for any carrier and mode, as well as centralized tracking data.

Measurable Results

Detailed reporting on truck utilization, cost per unit, and carbon footprint enables companies to clearly see their return on investment (ROI) and implement continuous efficiency improvements. Owlery also offers prebuilt shareable scorecards and centralizes bills of lading and receipts. Users can create and customize reports and dashboards that reflect the key performance metrics and insights they need to operate their businesses efficiently.

Owlery Innovations Increase Efficiency Throughout the Supply Chain

Actionable intelligence “goes beyond just raw data or information; it involves synthesizing data into meaningful insights that can drive strategic actions within global supply chains, enhancing efficiency and responsiveness,” the study guide fiveable said.

Owlery is a master synthesizer. With our supply chain synchronization from order to cash, users have all the data they need to increase their businesses’ efficiency, save costs, and improve decision-making.

Owlery’s TMS supply chain management platform is designed to handle every aspect of shipping. Our software enables shippers to monitor real-time market rates on lanes, set up contract rates and routing guides, benchmark pricing analyses for contract and spot freight, audit freight bills for duplicate charges, run expert RFPs, and ensure accurate accessorial calculations.  

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