Ok, let’s be honest here- shipping is kind of boring. But as simple and tedious as the task can sometimes be, shipping remains one of the most important reports to track using your ERP system. Here are some of the most important aspects of shipping to track with ERP.
Know when your shipments arrive. Nothing will annoy customers more than receiving orders late, or worse, not receiving them at all. It’s important to track what the promised delivery date for the shipment was, versus when it actually arrived. This is a report that should be monitored daily.
It’s also essential to determine what caused the late delivery. Was it the fault of the carrier? The company? The warehouse? Procedures can be changed quickly if there is a systematic issue that is causing problems. If it’s an internal mistake, businesses should consider switching to a different carrier.
Items damaged while being shipped are a waste of money- plain and simple. Not only do you have to refund the item, you’ve wasted money shipping the item, using packaging materials, and spending time getting a replacement to the customer. Unfortunately, this problem can’t always be avoided. Changing carriers might help, but more often than not, the issue is packaging. ERP Reports should track who packed the order, the type of packaging used, the type of padding used, and the product number.
Past Shipping Cost per Item
Calculate the shipping cost per item, and compare this with other products. Compare this cost between multiple carriers, as well. This is also a report that should be monitored daily.
Future Shipping Cost per Item
Compare your shipping cost from last year with the cost of next year’s shipping. Be sure to track how much shipping costs have changed in the areas you ship to most commonly. This will help in negotiating shipping contracts. This will also help you anticipate the costs of shipping in the future, as well as changes in forecasts and demand.