Enhancing Shipping Process with Low-Code Automation Platforms
- 1. SPOTLIGHT Sponsored by:WNS Utilizing a Low-Code, No-Code Cognitive Shipping Platform for End-to-End Shipping Process Automation July 2023 Written by: Ali Close, Research Manager, Intelligent Finance and Customer Care Business Process Services Introduction Severaldisruptive forcesarereshapingthewaylogisticsorganizations think abouttechnology,causingadramaticshiftinhowshippingand transportationismanaged.Digital freightbrokeragesand marketplaces have improvedhowsellersandbuyers conductbusiness,sensorshave enabled real-time trackingofgoods,and robotsandautonomous vehicles have takenover freightshipping,tonamea fewexamples. Analreadycomplexshippingenvironmentquicklybecamemore complicatedduringtheCOVID-19pandemic.Shippingcostsand rates skyrocketed,suppliersbecameunpredictable,shipmentsintotheworld's mosthigh-trafficports weredelayed,andend-to-endsupplychainvisibility provedtobeinadequate.Overlaythis withtoday'seconomicuncertainties arounda lingeringrecession,productandlaborshortages,andademand forsustainability,andtheresultisthat anorganization'sabilitytousedata toobtain morereal-timepredictive insightshasbecome crucial tosurviving andthriving. Whilethisindustryhasbeenslower to adoptnewtechnologies,theinnovations havebeensteadfast.Still,many organizations aredependingon antiquatedlegacysystemsthatarenotfullyintegratedand arehinderedbythe manual processingofback/middle/front-officefunctionsacrosstheshippinglife cycle.Accordingto IDCresearch,addressing manualprocesses withautomation isamongthetopdigitalinterventions thatbuyers oflogisticsservicesrequire to improve theirshippingandlogisticsoperations.In fact,39%ofUnitedStates-based organizationssaidtheir largestdigital investmentsby2023willbesoftware/cognitiveautomationand platforms. Taskssuchasorderscheduling,tracking,and monitoringcan alreadybehandled throughsimple roboticprocess automation (RPA),thusleadingto improved customer experiences.RPA canalsobe leveragedtooptimize freightmanagementthrough theautomationofrouteplanning, appointmentscheduling,and loading. However,manyoftheseapplicationsarestillhappeninginsilos. The shipping process can benefit from significant levels of intelligent automation to improve accuracy, planning and routing, and real-time operations analytics. However, it requires specialized communication management, data extraction, customer-specific business rules, and deep integrations. WHAT'S IMPORTANT A fully integrated cognitive shipping automation platform can improve the accuracy of the shipping processes and reduce manual efforts as well as improve load planning/routing and on-time delivery. KEY STATS According to IDC research, 30% of shipping and logistics services buyers want to use a digital platform (i.e., a combination of technologies, such as cloud or SaaS applications, and significant levels of automation) for basic shipping tasks such as requesting quotes and booking shipments. AT A GLANCE
- 2. Page 2 #US51050223 SPOTLIGHT Utilizing a Low-Code, No-Code Cognitive Shipping Platform for End-to-End Shipping Process Automation Cognitive automation isparticularlyripe for shippingprocesses thatarenon-standardized withextensivedocument flows,which can cause inaccuraciesleadingto shippingdelaysand financial losses.Anextremeamountofshipping documents areproduced inshippinggoods,andtheyrequireapprovalbyvariousinternal andexternalparties,from carriers to freightforwarders,consignees,and more.These documents contain vastamounts ofstructured and unstructureddatageneratedbyaplethoraofshippingactivities (e.g.,activities for clientmanagement,vendor management,and transportation management)anddocumenttypes (e.g., customsdeclarations, bill oflading,and invoices).Emailisstillaprimarymeansofcommunication forpreparingashipment, whichalsocontributes to the significantamountofunstructureddataproduced.Thismakesitchallengingforoperators to track,manage,and prioritize tasks.Shippers wantthe flexibilityto communicate via different conversation channelsbeyondsimpleonline portalsandemails,butlegacysystemshinder this. Moreand more,buyers ofthird-partyshippingandlogisticsservices (andallmanagedservices)looktooneservice provider relationship tomanagetheend-to-endexecutionofafunction —whether it'slogisticsandshipping,finance,or procurement.Theyoftenare interested inintegrating these areas.IDCresearchshows 36% ofbuyers oflogisticsservices wantto reduce the totalnumber ofmanaged serviceproviders (outsourcers)and consolidatesome orall.Amongthe mainreasons whyisto establisha deep,collaborativerelationship where themanagedserviceproviderisingrained in thebusinessandhas in-depthknowledgeoftheinsandoutsofthebusiness.From a capabilitystandpoint,organizations wantaservice providerthatcan create andmaintainan ITenvironmentthatishighlyagile(e.g.,make changesquickly), mobile (accessanywhere),andresilient(alwaysavailable).Thisincludesmodular platforms thatconsolidateall interactionsintoasingularplatformand candrivetransformationwith integratedanalytics,data management,intelligent workflows,RPA,and cognitive/artificial intelligence(AI). Benefits of Enterprise-Grade Cognitive Shipping Automation Platforms Leveragingonesingleplatform forall customer-relatedcommunications —with embedded capabilities fromnatural languageprocessing, contextintelligence,middleware,intelligentrouting,businessrules, andanalytics —enables organizations toachieve the following: » Managementand trackingofall customer communication via various channels (e.g.,email,chat,bookingportals, andEDI)in asingleplatform » IntegrationofgenerativeAIcapabilities forimprovedservice qualityandenhancedagentproductivity » Access to real-timedataand operational analyticsviadashboards/BItools,in addition toimproveddataaccuracy » Fastervisibilityofshipmentinformation forimprovedloadplanning, routing,trackingandtracing » Reduction inmanualeffortsacross theend-to-endshippingdocumentationprocess » Reduction indocumentationcosts » Taskprioritization » Scaleup/down tomanage workloadspikesandpayperoutcome/transaction » Improvedaccuracyofshippingdocumentationwith continuouslearningfeedbackloops toidentifybottlenecksin complexprocess flowsand create a cultureofcontinuousimprovement
- 3. Page 3 #US51050223 SPOTLIGHT Utilizing a Low-Code, No-Code Cognitive Shipping Platform for End-to-End Shipping Process Automation Considering WNS Malkom: A Cognitive Shipping Automation Platform WNS Malkomis aproprietary,enterprise-gradecognitiveshippingandautomationplatform thatprocesses 7billion shippingdocumentsannuallyfor freightforwarders,4PLsandshipping, trucking, andairexpresscompaniesacross the globe.Theplatform isenhancedby AIandmachinelearning(ML)toaddressnon-standardized,manual,end-to-end shippingprocesses. Theplatformutilizesasecure,best-in-class,low-code/no-codetechnologystackand apay-per-usemodel withnoup- frontsetuporimplementation costs. Itisa completelymodularplatformthatenables organizationstoaddressawide rangeoftheircustomers across the transportationsegment,notjustwithin theshippingindustry.Itaddressesmultiple modes fromtrucking,3PLs,andnon-vesseloperatingcommon carrier (NVOCC)operators,eachofwhichhas very differentdynamics. Malkomhasbeenparticularlyappealingto European companiesdealingwith trade-and custom- related changesand tothoseorganizations thatdon'thavethetalentpoolorbudgettointegrate with their customers' systems for this typeofdataprocessing.Less-than-truckload(LTL)carriers,3PLs, freightforwarders,andocean carriers have leveragedMalkom toautomate LTLbilling,customsprefiling,andshippingbillofladingcreationand amendment, whichhashelpedimproveproductivitybyupwardof70%,accordingto WNS.Table 1presentsan IDCoverviewofthe more complex case studiesand thebenefitsdeliveredacrossdifferentindustrysegments. TABLE 1: WNSMalkom's Case Studies and Benefits North American LTL Carrier United Kingdom–Based Freight Forwarder Global Ocean Carrier/ Freight Forwarder Process Billoflading Customsdocumentation Accountspayableinvoices Percentageofautomation (%) 60 85 90 Percentageofproductivity improvement(%) 25–30 50–60 50–60 Businessoutcome Reducedinvoicedisputes by20%andimproved on-timedelivery Reducedturntimeby50% andimprovedaccuracy Improvedautomaticmatch percentageandreduced handlingtime Source: WNS, 2023 Malkomusesan emailmanagement platform with embedded generativeAIcapabilities and advanceddatacapture methods,includingartificialintelligence andmachinelearningmodels,toreadand contextualizeunstructured and structureddata fromshippingdataincludingemailsandimages.Usingrules-basedsmart/digital validations,thedata beingcapturedisbackedbymaster tablesand businessrulesspecifictoeach customer to ensuredataquality. When the firstversionofMalkomwaslaunchedbyWNS,itwas abasicdigitizationengine forthe less-than-truckload billingprocess, whichwas hard codedbydesignandenabledbysimpleworkflows.WNS enhancedtheplatformover the followingyear, changingtoaserverlessarchitecturehosted onAWSso thatcustomers could scaleupanddown seamlesslyasdocument volumes fluctuate.WNScompletely enhanced the learningmodule byaddingdeeplearning algorithmsand abusiness rulesengine thatenhancedtheaccuracyofdataextraction,output,and the abilitytoread
- 4. Page 4 #US51050223 SPOTLIGHT Utilizing a Low-Code, No-Code Cognitive Shipping Platform for End-to-End Shipping Process Automation structured andunstructured formats.Inaddition,omni-channel inputs wereaddedbeyond onlineportals, whichwasthe onlychannelsupportedatfirst,so there was greater flexibilityinhowoperators could communicate. To furtherenhanceMalkom's capabilities,WNSpartneredwith theUnitedStates–basedstart-upandmiddleware companyChain.io,whichenableslogistics companies to connecttheirsupplychainsoftwareandtechnologyproviders withprebuiltintegrations.Thismade Malkom more versatile andmodular by integratingwithkeyindustryapplications (e.g.,CargowiseandFlexport)toallow fordocument,freightinvoice,andshipment exchanges.Duringthis iteration/upgrade ofMalkom,WNSalsoexpandedthe typesofusecases thatcouldbesupported,includingbooking, accountspayable, file creation, HouseBillofLadingcreation,airwaybill creation,manifestcreation,customs filing,and proofofdeliveryvalidation. Today, Malkom'sentireworkflowhasbeen replacedbyano-code/low-codeplatformenabledbyplatformssuchas AppianandSalesforceLightening.The entire workflow canbeeasilyconfigured,and customers getmore functionality froma workflowperspective andintegrated email andexceptionsmanagement.Use cases andprocesses thatarenow supportedinclude judgement-orientedprocessessuch asdisputemanagement,claimshandling,classificationof commodities,and customerserviceemailresponses.Table 2highlightsthe keyfeaturesof MalkomincludingAI-enabled data capture capabilities,digital validations,businessrulesengine,and low-code/no-codeworkflow. TABLE 2: WNS Malkom's Key Features Advanced Data Capture Smart Validations and Rules Engine Low-Code/No-Code Workflow Advancedmethods toreadinformation: Deeplearning,algorithms,coordinate based, andglossarybased Automaticdatalookupsfrom mastertables Omni-channelinputs Custommergerprogramtoprioritize themostaccurateoutput Machinepredictionfor improvedaccuracy Emailmanagement, casemanagement, andexceptionhandlingwithSalesforce Easy-to-configure, customer-specific business rules Real-timeagentperformanceand volumemonitoring Referencenumberand commodityvalidations GenerativeAIasanagentcopilot Source: WNS, 2023 WNS isassessingproofsofconceptsto leveragegenerative AItoautomate customerqueries within Malkom.Inshipping andlogistics,manyrequestsstartswith anemail,such asgettingaquote orpreparingforabooking.ChatGPTor generativeAIcapabilities canlookatan emailthatcontainsimportantbookinginformation (e.g.,shipper,consignee, commodity,andportforloading/discharge)to checkifallnecessarycomponentsarethere tocomplete abooking.Ifitis not, ChatGPTor generativeAIcan createa responseandreplyto customers tosaythatmoreinformationis required. Once informationis complete,the generative AIcanhand over the requesttoanother automation thread within Malkomthatcan complete thebookingand respondbackto the customer.
- 5. Page 5 #US51050223 SPOTLIGHT Utilizing a Low-Code, No-Code Cognitive Shipping Platform for End-to-End Shipping Process Automation Challenges WNS will need tobridge the gapbetween antiquated legacysystems and its owndigitalsolutionstosupportcustomers in goingpaperlessin thisdigitization journey.This will include allowingfor interchangeand communicationwith otherkeysolutions,asitdoes with Chain.io,includingAPIsor EDIs. Whilethereare fewdirectcompetitorsto WNSMalkom,end-user organizations could looktoAI-powereddocumentautomationsoftwareproviders asone-off solutions insteadofoptingfor amanagedbusinessprocessservicesorproject- basedengagementwitha third-partybusiness processserviceprovider.Plenty oforganizationshaveexperience with traditionalRPA services andsolutions combined with OCR withhard-codedinstructionsfrom IT/apps where theycan applyautomationinpockets.However,inthoseinstances,suchorganizations wouldbe missingouton thedomain expertise,talent/resources,analytics expertise, anddeep domainknowledgeofaserviceprovidersuchas WNS. Conclusion Shipmentvolumesarenotslowingdownanytimesoonas consumerdemandand ecommerce continueto accelerate the growth oftheshippingindustry.Thismeansthefundamental processesand documentation thatsitbehind the movementofgoodsacrossthesupplychain willremain complex,until thatentireprocess/workflow can getautomated. Shippingandlogisticsproviders can benefitfromleveragingcloud-basedplatforms toautomateshippingdocumentation, butserviceproviderselectionwillbe key. This paperhas talkedextensivelyaboutthetechnologybenefits. However,end- userorganizationsshouldlookfor serviceproviderswith the domainandindustryknowledge,processexpertise, digital andtechnicalexpertise,andtalenttosupportandmaximize this typeofinvestment. WNS'deep expertise in the shipping and logistics industry, coupled with its cutting-edge digital capabilities and continued investments in the Malkom platform, offersa compelling value for enterprise customers.
- 6. Page 6 #US51050223 SPOTLIGHT Utilizing a Low-Code, No-Code Cognitive Shipping Platform for End-to-End Shipping Process Automation About the Analyst Ali Close, ResearchManager,Intelligent Financeand CustomerCare Business ProcessServices AliClosecovers thefinanceandaccounting, customercare/contactcenter,procurement,logistics,and analytics businessprocessoutsourcingservices markets.Aspartofdevelopingresearchforthis program,Ali focusesonresearchrelatedtoIDC's3rdPlatform,particularlyinareasofintelligentautomation, platforms, andbusinessprocess as aservice. MESSAGE FROM THE SPONSOR About WNS WNS isadigital-firstbusiness transformationpartner tomore than 400globalorganizations,including25+ shipping andlogistics companies.Our teamof6,300+ shipping &logisticsspecialistsacross 64delivery centers empower our clients to elevate customerexperience,achievefinancial effectiveness,overcomeorganizationalsilos,convertdata to insights, andimplementdigital.Leveragingdeepdomainexpertise and cutting-edgedigitalsolutionssuch as WNS Malkom,an AI/MLdigitizationplatform,weenable them toaggressivelyand expeditiouslymovetowarddigitalization. Whileour smartautomationand analyticscapabilitieshelpdriveintelligent,resilient,and sustainableoperations acrossthevalue-chain –ensuringtheyarereadyfor the "next"in theshippingandlogisticsindustry. To know moreaboutWNSShippingand Logisticspractice, readhere. The content in this paper was adapted from existing IDC research published on www.idc.com. IDCResearch,Inc. 140 Kendrick Street Building B Needham,MA 02494, USA T 508.872.8200 F 508.935.4015 Twitter @IDC idc-insights-community.com www.idc.com This publication was produced by IDC Custom Solutions. The opinion, analysis, and research results presented hereinare drawn from more detailed researchand analysis independentlyconducted andpublishedby IDC,unless specific vendor sponsorship is noted. IDC Custom Solutions makes IDCcontentavailable ina wide range of formats for distribution byvarious companies. A license to distribute IDC content does not implyendorsementof or opinion about the licensee. External Publication of IDC Information and Data — AnyIDCinformation that is to be used in advertising, press releases, or promotional materials requires prior written approval from the appropriate IDCVice President or Country Manager. A draft of the proposed documentshouldaccompany anysuch request.IDCreserves the right to denyapproval ofexternal usage for anyreason. Copyright2023 IDC. Reproductionwithoutwrittenpermissionis completelyforbidden.