Document Management System for Logistics

A Logistic document management system is a software that helps companies digitally create, manage, retrieve, and store paper-based corporate assets. A DMS is a contemporary solution for companies that face paper-based documentation challenges such as secured storage, retrievability issues, and security concerns.

Companies, whether small or large irrespective of the industry, are finding themselves in need of software that can help them digitize their document archives for better coordination and management. 

The logistics department of the companies also faces these issues, given the complex operations they have to manage. This is the result of the pandemic that forced the companies to improve their transportation and logistics for a better supply chain.

Why are companies switching to a Logistic document management system? 

Management of documentation becomes a significant concern in cross-border logistics where keeping up with customer demands and setting up a more efficient tracking system of supply chain management becomes a challenge which further creates the need for a better administrative system for companies. 

The process of international cross-border logistics involves different stages, such as export haulage, origin handling, ocean/ airway freight, destination handling, and import haulage, along with various documentation steps.

Precisely, logistics departments deal with a lot of scattered documents every day because, at each step of the process, a different document is processed and managed by a different point of communication.

For instance, at the stage of custom clearance, cargo registration documents are handled by the respective authorities in the country of origin; later on, cargo shipping documents, also known as dock receipt, is generated to inform the shipper that the consignment has been received for shipment at the port. 

Similarly, at custom clearance, export declaration documents are also created to specify the shipment’s content and supporting documents that are required. Afterward, when the consignment reaches the import destination, for customs clearance, consignment-related documents must be submitted and processed for further consideration. 

This creates issues since the involvement of different stakeholders in varied geographical location tend to scatter the documents related to the transaction. To streamline the processes, companies are opting for document management systems.

But what are some challenges that a document management system can help these companies with? Let’s see. 

Challenges faced by logistics companies: 

1. Complex paperwork

Paperwork becomes a big challenge that further causes issues at upcoming stages of the process. Manifest, product licenses, and export evidence are a few procedural documentation requirements that logistic departments can not overlook. 

Moreover, these mandatory documents only increase when the industry is either food and beverages, pharma, or similar sectors with even more stringent regulatory requirements. Understanding these complaints in themselves becomes a task for the stakeholders that are involved in the processes since these are internal regulations of different countries that keep changing. 

Keeping up with these regulations becomes even more complicated when documents are not instantly available. This could be because of sudden policy changes or scattered resources. 

2. Logistic and supply chain management

Managing logistics and supply chain within the country’s borders becomes a task given the phases involved in actually procuring the material and sending it across to the final point of sale. Imagine having to do the same cross-border when a number of stakeholders are required for different complaints subject to their locations. 

A supply chain has to be integrated, and all stakeholders involved in the process have to be linked with each other in order to build connectivity throughout the process. In the absence of a centralized supply chain, it becomes difficult to manage the same and keep track of the documents involved in the process. 

3. Hidden costs & penalties 

One of the major concerns of companies involved in cross-border transactions these days is that they often have to bear losses due to hidden costs and penalties. More often than not, shippers have to bear freight issues at border crossings and pay more than what they expected. 

Moreover, minor paperwork issues can cause compliance or non-conformance issues which could levy heavy penalties on them. The amount of these penalties, especially when found in customs, is usually a percentage of the consignment’s value which is mostly a lot. 

4. Shipment delays 

The inability to track paperwork can also lead to shipment delays, costing companies a lot of money. Moreover, misfiling and sudden documentation requirements can lead to delays for even days since processing the same end-to-end can be a task, especially when there is no centralized system in place. 

This could lead to monetary losses for companies involved in the process. Lack of visibility, transparency, and accuracy while managing and creating necessary paperwork causes prolonged delays in the process. 

How can dox2U Logistic document management system help in this situation?

1. Eliminate paperwork

From the processes described above, it’s clear that the logistics department of companies has to manage a lot of paperwork scattered in the hands of different stakeholders in different geographical locations, making it difficult for the employees to look at them whenever required.

When you switch to a document management system that allows you to store all your essential documents in a single repository, you can eliminate the paperwork as required and instead create a more efficient system. Which further helps streamline regular business operations to improve overall operational efficiency.

2. Meet compliances 

Cross-border regulations are complex and dynamic, and keeping up with them is a task in itself when you have an entire team working in that direction dedicatedly. This becomes an even bigger headache when your documentation is not in place and is scattered across different departments. Considering how stringent these regulations got since the pandemic hit, we can not ignore the importance of a document management system.

The software will help you manage your records and comply with the mandatory audits and regulations easily by allowing you to retrieve the documents easily. They will not get lost or tampered with; your records will be safe and presentable.

3. Leverage security technology 

Since documents get scattered in the supply chain at different stages, it becomes difficult for the people involved in the transaction to store them without assistance securely. These documents can quickly get into the wrong hands, further jeopardizing your company’s operations and allowing unauthorized individuals to leverage the information in ways that can harm you. You can save yourself from a mishap with dox2U’s Logistics Document Management System with modern security technologies. Since only those users who you invite can access your workspace, and that too only to a certain level. 

You can revoke access to the documents and even track the version history to see clearly what activities were performed on documents and by whom. 

4. Track and retrieve information 

Tracking and retrieving documents, especially when so many people are involved at different stages, becomes challenging. But sometimes doing so is essential also, given the regulatory compliances of different countries. Doing so manually is not the best option since it becomes a distributed responsibility that no single person can supervise. 

A document management system facilitates the same and eliminates the chaotic process. With its advanced functionalities, you can easily manage, track and retrieve information whenever required. People can scan and upload documents to the workspace and invite users as required for a more streamlined process.

But the question is, where do you find a Logistic document management system with so many advanced functionalities? Well, you are lucky because dox2U has it all and comes with pocket friendly plans.