Outbound Logistics

Outbound logistics is where most shipper-controlled transportation activity happens. It starts when a customer order or replenishment request triggers a shipment and continues through load building, carrier tendering, pickup, transit, and delivery. For mid-market shippers managing dozens or hundreds of outbound loads per week, outbound logistics is the daily engine room – and the area where inefficiency is most visible to customers.

The outbound workflow involves several interconnected steps: order release from the ERP or OMS, load consolidation (combining multiple orders into efficient shipments), rate shopping across carriers, tendering the load to the selected carrier, generating shipping documents like BOLs and ASNs, scheduling the pickup appointment, tracking the shipment in transit, and collecting proof of delivery. Each step depends on data from the one before it, and gaps in that chain create delays, errors, and added cost.

Outbound logistics performance is typically measured by OTIF (On-Time In-Full) rates – the percentage of shipments that arrive at the customer's location on time and with the complete order. Major retailers enforce strict OTIF standards with financial penalties for non-compliance, making outbound execution a direct P&L concern for shippers selling into retail channels. Even for DTC brands, delivery reliability shapes customer retention and brand perception.

The highest-leverage improvements in outbound logistics come from automating the load-building-to-tender sequence – reducing the manual work between "order ready" and "carrier dispatched" from hours to minutes. Shippers who still build loads manually in spreadsheets typically spend 2-4 hours per day on work that automation handles in seconds.