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2023 02 23 Pete Gowanlock of DLT Labs: Real Time Freight Invoice Processing

2023 02 23 Pete Gowanlock of DLT Labs: Real Time Freight Invoice Processing

Oct 19, 2023

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Details

Date: Thursday, February 23, 2023

Time: 10:30pm IST / 6:00pm CET / 5:00pm GMT / 12:00pm EST / 9:00am PST

Meeting link: https://zoom.us/my/hyperledger.community.backup?pwd=dkJKdHRlc3dNZEdKR1JYdW40R2pDUT09

Zoom Meeting ID: 622 333 6701          Passcode: 475869

 

Meeting Recording on YouTube

Upcoming events

  • GS1 Connect 2023: June 5-7, 2023; Denver, CO

  • The next Hyperledger Global Forum is planned for early 2024 (exact date TBD)

Announcements

Discussion

  • Should we move upcoming events to its own page within the wiki? (Alicia)

Presentation

  • Pete Gowanlock, VP of Freight at DLT Labs presents a demo of their end-to-end shipment tracking platform, which uses Hyperledger Fabric.

    • 30+ years experience, crossroads of finance and supply chain.

    • DL Freight - private, permission based supply chain solution

    • Purpose: to process domestic frieght invoiceing for Walmart Canada, inbound and outbound

      • To/from vendors

      • Direct store delivery

      • Full truckload, less than full truckload

      • Audit capabilities on small parcel, delivery

      • Scheduling capabilities

    • Metrics:

      • Walmart's fleet or direct store deliveries from vendors - to reduce backup of loading/unloading

      • >1,000 active users - Walmart Canada staff, dispatch, external auditors

      • Into millions of parcel delivery

      • 132 million IoT process updates

      • Mileage: 575 million miles traveled

      • Dispute resolution processes have gone from >70%annually to <2% annually

        • Walmart and carriers agree to contract info in the platform, carriers have visibility, enable quick response of disputes

    • Turn-key platform. Offers multiple functions:

      • Track & Trace

      • Workflow & supply chain

      • Value transfer & exchange

      • Contract compliance

      • Provenance & authentication

      • Credentials & certifications

      • Records management

      • Privacy & consent

    • Lessons learned:

      • Don't change carrier's processes, other parties' processes. Make the experience work around their existing workflow.

    • Time to onboard a new carrier: 1 hour workshop on how to integrate, then they are connected to a UAT environment, doing straightforward API calls (send query, send message about statues). Is about a 4 week process to onboard one person at a transportation carrier.

      • Many have chosen to only use the portal, not use an API

    • Info in platform:

      • Freight rates agreed by shipper and carrier

      • Weekly fuel rates for trucks, monthly for rail

    • Difference business rules: detention, demurrage, calculation of off-route miles - all agreed upon ahead of time.

    • Freight payment process:

      • Now 5 steps, down from 11 steps in the previous process 

        • 1) Draft invoice is created when tendered.

        • 2)Carrier performs pickup - has gps tracking, how long they are waiting in stores for pickup/delivery

        • 3)System is updated

          • Walmart Canada no longer requires physical paperwork

          • Carrier reviews charges, taxes, etc.

        • 4) Carrier validates and/or adds charges, confirms tax, approves invoice

          • Invoice is ready for delivery by the time the carrier leaves the store - no more audit occurs, they are guaranteed the payment terms

          • This is when the audit starts in most freight terms

        • 5)A/P receive invoice, process payment, provides pay status

    • Dashboard:

      • Carriers see data on # of instances, list of workflow, how many shipments, where each shipment is in the process

      • Master data - has tool kit rates for truckload, less-than-truckload

        • Fuel rates, tax rates, etc.

    • Data is stored in a way that is interoperable with Salesforce, other platforms

    • Business workflow data includes local ID, invoice status, weight, load carrier on & off dates, total, grand total, taxes, discounts/rebates, invoice date, date that carrier submits invoice, date that payment is transferred to the carriers bank account, other data. More than 200 data elements. Columns are all sort-able.

    • DSOs - days sales outstanding. Carriers can choose Quickpay, may still be on 30 or 45 days

      • DSOs have dropped significantly - less than 48 hours from submission to approval on the platform.

      • Resource saving within Walmart - ROI has been close to 5% of annual freight spend (~$550 million annually → ~$30 million in annual savings)

        • One of their carriers had previously said they would not renew their contract because of challenges in getting invoice approvals and payments.

      • for shippers

      • Data usually comes through API. DL will process EDI for some carriers.

      • Integrated with Salesforce for accessorial charges; approval takes seconds.

      • This was a business-driven initiative - Walmart's business team had a challenge that they needed a solution for, this

        • 95+% of info is from the tender.

        • Walmart made the technology a requirement for carriers. Many of them had it already.

          • Many of the carriers are brokers, deliveries may actually be made by third-party mom-and-pop carriers

          • Broker-carriers using the system have requested to use the platform for tracking data with their subcontraction carriers.

Attendees

@Erik Valiquette

@Andrea Frosinini 

@Alicia Noel 

@Tomaz Sedej

Pete Gowanlock

Sophia Brumann

@Jeff Pribich 

@Pranubh Dewan 

Melih Esmer

Vaishali Anand

Dhin

David Beberman

Ramesh M

Srilatha Kavuri

 

Youtube video recording