PoD Changes are Essential, But Dirty Data Has Everyone Falling Short

The scale of disruptions at the final leg of the ocean journey can have a significant impact on logistics companies and stakeholders. Although PoD changes affect only 0.1% of all shipments on average, this can be considerable for logistics companies that handle large volumes of cargo monthly. A company that handles 50,000 containers annually, for example, may experience around 50 PoD changes. The consequences of being unprepared can be substantial:

• Customs and taxes: different states or countries mean different customs procedures and taxes, leading to inaccuracies in billing and, in some cases, an inability to bill customers.
• Haulage management: port labor and other resources, such as truck drivers, must be redirected. If the reroute involves larger distances, different groups of workers are required. If teams are not notified in time, additional costs are incurred for the cargo.
• D&D costs: ports have their own detention and demurrage (D&D) fees, leading to varied costs. This can also lead to inaccuracies in billing and, in some cases, an inability to bill customers.
• ETA changes: your shipment’s estimated time of arrival (ETA) changes, affecting schedules and planning.

This problem is acute and costly…so how is it possible that relevant stakeholders are still not being accurately notified about PoD changes until AFTER freight was brought to an unexpected site? Sometimes there are inaccurate/false notifications before a suspected PoD that later fails to materialize. The answer lies within the data (more specifically, the dirty data).

In the logistics ecosystem, data is known to be dirty/messy. That’s why no one has managed to standardize it. False changes are also a major problem. Only 1 out of 50 shipments from reported PoD changes actually happen! 

Let’s see exactly how data chaos looks, based on Windward’s back office log-ins. 

Invalid Exception – Example 1

A shipment was intended for Egypt. The carrier originally indicated the freight was headed towards the port of El-Dekheila in Egypt, but then showed eight consecutive days with the port of Piraeus, which is almost 800 kilometers away, as the PoD. Then El-Dekheila, where the shipment eventually arrived, was again named as the PoD. 

This is a headache, in terms of resources and planning, for freight forwarders without the benefit of Windward’s Maritime AI™ platform and new POD exception. Windward’s Ocean Freight Visibility solution cuts through the confusion to display a single PoD during the process: El-Dekheila.

Windward fetches data from carriers multiple times a day and compares the various data points to detect anomalies based on predefined and dynamic parameters. If an anomaly is found, our algorithm vets it. For example, different locations from the same carrier on the same shipment could mean:

• If the new location input does not match the polygon of the initial location, validation processes are triggered to confirm whether this event is occurring.
• If the locations and polygons are consistent, it means that it’s an invalid exception and the customer won’t be alerted about the PoD change.

Stay ahead with Windward. You’ll: 

• Receive timely alerts to stay ahead of disruptions
• Inform your team and customers about changes in detention and demurrage costs, as each port has different rates
• Ensure your intermodal stakeholders are aware of any reroutes or delays

Exception management helps optimize operations and reduce costs. 

With Windard, you can create customized alerts to receive attention-worthy exceptions, to concentrate on your core business and efficiently handle vast operations. Manage exceptions at any stage of the shipping cycle, from planning to the arrival at the port of discharge, including automatic alerts. 

Windward is continually evolving. We are about to release two more groundbreaking exceptions: Transshipment Port Addition (TSP Addition) and Transshipment Port Change (TSP Change). These new exceptions, based on the data that we have cleaned and standardized, will equip you with timely and accurate insights, empowering you to make more informed decisions and manage your supply chain with greater efficiency and confidence.

All exception alerts will be available on our web application, Shareable Shipment Page, API, webhooks, and emails. All you have to do is meet with one of our experts. 

To learn more about our new features and how they can benefit your operations, book a demo.