Sustaining an effective workflow is essential for success in every industry in the fast-paced world of today. Automated processes are prevalent in a variety of industries, including retail, manufacturing, logistics, and many more.

However, automation has a lot to offer the supply chain industry. Transportation and management of goods in an effective manner is the focus of logistics and supply chain respectively, one of the largest industries in the world.

Logistics professionals coordinate transportation modes, plan routes, manage warehouses, track inventory and ensure timely delivery to customers. They are vital to supply chain operations making sure goods reach their destinations promptly and cost-effectively. 

The supply chain sector could see a substantial transformation with automation. One of the biggest industries in the world, supply chain management and logistics, depend heavily on efficient commodities transportation.

Logistics experts are responsible for organizing modes of transportation, organizing schedules, overseeing storage facilities, monitoring stock levels, and guaranteeing timely delivery. They are essential to supply chain operations because they ensure the timely and economical delivery of goods. These procedures can be made even better by incorporating the latest data extraction technology, which will maximize document management and raise overall operational efficiency.

Let's get into the specifics and look at 10 essential logistical documents that can greatly benefit from Intelligent Document Processing . These enhancements can help address long-standing problems in the industry and bring in a more efficient and error-free logistics management process.

Top 10 Logistics Documents to Automate with IDP

1. Bills of lading (BOL):

When a product is shipped from the vendor to a client using a carrier, it requires a document known as a bill of lading (BoL). This document is crucial because it acts as a legally binding agreement, giving both the shipper and the carrier all the essential details needed to handle the shipment.

Efficient management of these documents is crucial for Third-Party Logistics (3PL) providers to ensure fast and accurate processing and streamline operations. Once the data from the BoL is extracted, the information must be integrated into the 3PL's system for further processing.

The bill of lading includes a detailed list of the items being shipped where they come from and their final destination. This document confirms the contract of carriage once the package is delivered, and it can also function as a formal receipt license, confirming that the consignee has received the goods.

IDP Solutions:

• It automates extraction, comparison and processing of crucial information like consignee details, shipment descriptions, delivery instructions and many more as necessary.
• It reduces the time required to handle the documents by minimising the human errors during extraction and validation.
• It helps to store and organize BOLs making them easily accessible.

2. Freight Invoices:

Freight forwarding involves numerous essential activities like transportation, warehousing, packaging, documentation and insurance. These services offer a vital link in the supply chain guaranteeing seamless and effective operation.

In the global field of freight forwarding one of the most important documents is the freight invoice also referred to as the freight bill. Whether billing the shipper or the recipient in accordance with the conditions of the contract the accounting team depends on these invoices.

 The vast amount of information in these bills might lead to mistakes and delays in the handling of freight invoices. Freight invoice automation helps streamline organizational processes and save expensive mistakes.

IDP solutions:

• It automates freight invoices like shipment details, pricing and carrier information reducing the manual errors
• Utilizing OCR and ML, IDP ensures high accuracy and better financial management
• It speeds up the entire invoice processing workflow

Read more about it in Cozentus success story of Freight Audit automation here.

3. Proofs of Delivery:

Every shipment comes with a bunch of paperwork, and the proof of delivery (POD) is one of the most important documents in that stack. It confirms that the client has received the product, which boosts the supplier’s credibility. These slips allow providers to assess delays and plan future delivery schedules more efficiently. Without proofs of delivery, invoices can't be raised.

No matter if logistics documents are digital document or on paper, errors can creep in when humans are involved in manual data entry at any stage of the process. By automating proof of delivery, we begin by automatically capturing document data in a format that machines can easily read.

IDP solutions:

• By utilizing ML and AI, IDP increases the reliability of POD records minimizing errors and discrepancies
• It allows immediate confirmation of delivery improving efficiency
• With IDP POD documents are digitized and organized in a centralized searchable database

4. Shipping Labels:

Shipping labels are like a goldmine of data. They contain crucial information like sender/receiver details, tracking numbers, dimensions, and weight. Automating their extraction and analysis can provide invaluable insights for optimizing logistics operations, improving delivery accuracy, and reducing costs.

IDP Solutions:

• Automatically extract critical data from shipping labels (sender, receiver, tracking number, dimensions, weight) for efficient data management and analysis.
• Minimize human error in data entry, ensuring accuracy in shipping information and reducing costly mistakes.
• Streamline shipping label processing, reducing manual effort and accelerating overall order fulfillment.

5. Freight Forwarder/Cargo Insurance Forms & Certificates

The logistics insurance industry deals with a massive amount of paperwork daily. Whether it's forms for annuity accounts, disability claims or beneficiary designations there's always documentation to fill out and process. These documents, which include both structured and unstructured information play a crucial role in determining various insurance parameters such as premiums, risk selection and underwriting.

 AI technology has enormous potential in the insurance industry as it gets closer to replicating human intellect. As per global logistics market, in the US a large number of insurance claim related tasks will be automated by 2030.  This change will mostly depend on AI technology that integrates IDP to improve and streamline the process.

IDP solutions:

• Allows freight forwarders to manage large volumes of documents in less time improving operational efficiency.
• Seamlessly integrating AI powered automation within the existing systems.

6. Custom Documents:

Important elements including the nation of origin, the description of the products, the cost, insurance and freight (CIF) information and the customs classification numbers are included in these documents. Customs declaration form processing can be made more efficient with the use of IDP systems. They gather the required data classify it properly and perform any necessary processing.

• IDP systems can automatically recognize and gather facts from declaration forms by utilizing ML and OCR .
• Businesses benefit from increased productivity and lower labor expenses because to automation.

7. Lists for packing

Delivery dockets often known as packing lists are essential documents for international trade. Together with thorough descriptions of the goods being sent they offer important information about the exporter, the freight forwarder and the recipient. The process of extracting data from these packing slips can be quite helpful in analyzing the inventory and overall performance of a company.

IDP Solutions:

• Packing slips can be effectively used by IDP systems to extract all the relevant information .
• Logistics organizations may guarantee correct delivery information and timely completion of all required documentation by automating the processing of delivery receipts.
• It helps maintaining smooth operations and improves efficiency across the board.

8. Dangerous Goods Declaration

Using a Dangerous Goods Declaration (DGD) is essential when exporting hazardous goods by road, rail, air or sea such as flammable materials, corrosive chemicals or health risks. This form points to the shipment's compliance with all applicable labeling and packing laws in the sender's and recipient's locations.

IDP Solutions:

• Information extraction from DGD forms can be streamlined by using AI-driven document automation
• This reduces the possibility of human error while also doing away with tedious data extraction procedures

9. Purchase Orders

In commercial agreements a purchase order or PO is an important document. It demands a buyer to buy products or services from a provider or seller under law. In the three-way matching procedure the PO is essential in making sure that invoices correspond with delivery receipts and POs. Initiating payments and finalizing transactions require this procedure.

IDP Solutions:

• IDP solutions shorten turnaround times by streamlining document processing – reading, extraction and comparisons of documents
• They expedite approval processes by enabling three-way matches

10. Ocean Cargo manifest:

A detailed document that lists every item being shipped on a cargo ship or container is called a cargo shipping manifest. It's an extensive list that contains information about the type of goods, the quantity of packages, their weight and volume and the names of the shipper and the recipient.

As was previously stated, every detail specified in the bills of lading must be precisely replicated in the manifest. Upon completion of loading the agent in charge of creating the manifest will forward all pertinent information to the shipowner who will then forward it to the agents of the several ports of discharge.

IDP Solutions:

• AI and ML are being used to automate the extraction and processing of data from ocean cargo manifests.
• By cross-referencing the extracted data with other relevant documents, such purchase orders and bills of lading, automated data validation verifies that the information is accurate.
• IDP provides better cargo visibility which enables real-time tracking and status updates.

Conclusion:

The logistics and transportation industry is being revolutionized by Intelligent Document Processing (IDP). Document processing can be automated to reduce expenses increase productivity and provide real-time insights.

Cozentus AI-driven IDP solutions empower logistics firms to optimize operations and lead in a dynamic market. In essence, we are experts at transforming unstructured data into actionable insights, giving real-time shipments updates, guaranteeing regulatory compliance and expediting customs procedures.

Do you need an automated system for your logistics domain?

Learn more about our IDP application and services offered for additional information.