Just a few decades ago, every part of the transportation industry relied on disconnected systems and manual tasks to keep freight moving. Finding rates, securing capacity and managing bookings required time consuming days full of phone calls, emails and data entry – often leading to errors like incorrect entries, duplicate orders and outdated information.
Technology and connectivity changed everything.
What Is Connectivity in Freight Shipping?
In freight transportation, connectivity refers to the ability of shippers, carriers and transportation management systems (TMS) to exchange information electronically. This type of secure communication allows systems to share shipment data automatically rather than relying on manual work.
Two of the most common methods used to keep systems connected are:
Application Programming Interfaces (APIs): Real-time connections that allow systems to instantly exchange information.
Electronic Data Interchange (EDI): A standardized method for transmitting business documents and shipment information electronically.
From the first quote through final delivery, connectivity and automation tools help improve efficiency, visibility and collaboration throughout each stage of the shipment cycle.
Improve Shipment Bookings
Connectivity streamlines the booking process by automating and simplifying communication between shippers, carriers and TMS platforms. Reducing manual data entry helps eliminate back-and-forth communication and helps ensure all information is accurate and up to date.
Transportation systems use API and EDI integrations to exchange information like:
- Real-time freight rates
- Available capacity
- Estimated transit and delivery times
- Shipment details and booking information
By enabling data to flow directly between systems, connectivity can make the booking process faster, more accurate and easier to manage.
Gain Visibility into Your Supply Chain
Connectivity significantly improves freight visibility by providing access to critical shipment data.
API and EDI integrations enable shippers to track and search for important information like:
- Shipment tracking
- Delivery progress and status updates
- Delays and disruptions
This visibility empowers shippers to make more informed decisions, helping mitigate disruptions and maximize efficiency across loads.
Navigate Freight Management with Ease
Connectivity plays a crucial role in both the delivery and payments phase of freight shipping by ensuring seamless communication and data exchange between systems.
Commercial APIs allow for easy uploading and retrieval of digital documents like:
- Bills of lading
- Proof of delivery
- Shipment records
For payment and invoicing processes, EDI integration helps automate tasks and reduce manual entry and document processing to:
- Improve invoice accuracy
- Reduce administrative work
- Minimize processing errors
- Accelerate payment workflow
Simplify Appointment Scheduling
In addition to using different systems to create and store information, shippers, carriers and TMS providers often use varying data formats, terminology and scheduling requirements. These differences can make it difficult for systems to interpret and process information consistently, making appointment scheduling especially challenging.
The Scheduling Standards Consortium (SSC) – now part of the Digital Standards Development Council (DSDC) – is working to help solve this issue. The council's vision is to standardize approaches to appointment scheduling and data exchange, creating "a freight industry where systems speak a common language."
Combined with connectivity solutions like APIs and EDI, standardized scheduling practices can help transportation systems exchange information more effectively, improving coordination and reducing friction across the shipment lifecycle.
The Power of Connectivity
The strongest transportation platforms combine multiple connectivity capabilities into a single solution, helping businesses manage data and workflows more efficiently.
Consider these connectivity features when evaluating platform options:
- Access to multimodal transportation options
- Real-time tracking and shipment visibility
- Rate comparison tools
- Automated notifications and alerts
- Integrated document management
- Connections with major TMS providers
More efficient supply chain operations start with connectivity. When data and processes are centralized in one place, businesses can improve visibility, simplify communication and support more efficient supply chain operations from start to finish.