Streamlining Ocean Shipments by Mastering Exception Management

Supply chain

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    Exceptions are an inevitable part of the supply chain journey (unfortunately). Unplanned delays, disruptions, and deviations from the planned course of action can pose significant challenges for businesses. Exception management is key for effectively handling these unforeseen events and receiving customized ocean alerts to assist in maintaining supply chain efficiency, customer satisfaction, and cost-effectiveness. 

    In this blog post, we’ll explore the intricacies of exception management, how it works, and how leveraging a proactive approach with Windward’s Maritime AI™ platform can greatly enhance  the way you navigate the challenges of ocean freight. 

    What is Exception Management & How Does It Work? 

    Exception management (also called ‘management by exception’) refers to the process of identifying, analyzing, and resolving anomalies that occur during the shipping process.” Exception management enables businesses to proactively identify and address these anomalies in the ocean logistics process. They can’t be fully prevented, but can only be managed to prevent or reduce their impact on supply chains, allowing you to focus on the tasks that really matter.  

    When implementing a Maritime AI™ solution such as Windward Ocean Freight Visibility, sophisticated AI and predictive analytics are used to monitor and analyze vast amounts of maritime data in real-time, providing actionable insights. You can easily apply your own business rules to automatically receive ocean exception alerts, letting you know which exceptions need extra attention, and which don’t. It can either be implemented directly into your existing systems and workflows or you can view it via Windward’s Maritime AI™ platform. Managing by exception enables you to easily streamline your ocean shipments, optimize operations, and boost efficiency, while reducing costs.  

    The Benefits of Exception Management 

    Managing by exception offers several key benefits for businesses in the maritime/ocean industry:

    • Enhanced efficiency: by focusing on managing exceptions, you can prioritize your resources and efforts. This streamlined approach enables more efficient operations, as teams can dedicate their attention to addressing critical issues promptly, rather than getting bogged down in routine tasks.
    • Cost reduction: swiftly identifying and addressing exceptions can help minimize contingency costs and avoid unnecessary expenses associated with delays and disruptions in the supply chain. By managing exceptions proactively, businesses can reduce demurrage fees, detention costs, and other penalties related to non-compliance, or inefficient operations.
    • Improved customer experience: managing exceptions ensures that customers receive timely updates about any deviations in their shipments. This transparency builds trust and enhances customer satisfaction, as clients are kept informed and can plan accordingly for any potential delays or changes in arrival times.
    • Greater control and visibility: real-time updates and comprehensive exception management facilitates enhanced visibility into supply chain operations. This greater control allows for informed decision-making and the ability to respond quickly to changing conditions.
    • Data-driven insights: exception management with advanced analytics provides valuable data-driven insights into the supply chain’s performance and identifies patterns, or recurring issues that require attention. These insights enable continuous improvement and optimization of shipping operations.
    • Strengthened collaboration: incorporating exception management within regular operational workflows fosters better communication and collaboration among all stakeholders involved in the supply chain. Timely updates regarding exceptions and potential delays ensure that relevant parties are informed, which helps build trust and cooperation.
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    Take a Proactive Approach with Maritime AI™

    Windward’s Maritime AI™ platform provides comprehensive exception management from the planning phase, to the arrival at the port of discharge. The platform offers automatic alerts for various types of exceptions, such as planning exceptions, like non-feasible paths and short TSP buffers, vessel-related exceptions encompassing all vessels involved in the shipment route, and voyage milestones, including ETA changes, port calls, and discrepancies between container shipment plans and actual vessel schedules. 

    The platform also utilizes AI-based predictions for ETA mismatches, AIS location deviations, and unfeasible future voyages. Additionally, Windward’s platform handles detention and demurrage exceptions, identifying containers that are not picked up or returned from the port in time. The technology monitors sanctions exceptions, recognizing transfers through Russia due to ad hoc TSPs and rollovers, and effectively identifies sanctioned vessels and companies.

    Sailing Towards Success

    Windward’s innovative integration approach offers you the tools that you’ll need to prioritize exceptional events efficiently, while ensuring the smooth progression of regular operational tasks. By embracing this holistic approach, you can achieve greater control, reduce contingency costs, and enhance collaboration across the supply chain. Embracing exception management is not just a necessity, it’s a strategic advantage that sets businesses apart in today’s competitive maritime landscape.

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