As software vendors targeting the containerized supply chain emphasize, revolutionizing the ocean freight booking system is pivotal for broader supply chain digitization. The consensus suggests that enhancing electronic and standardized booking processes across ocean carriers could significantly improve data utilization throughout the supply chain.
Currently, the booking process is typically executed in isolation. However, a universally accessible electronic booking system would foster improved coordination among shippers, forwarders, and carriers both prior to and following the booking confirmation.
Bryn Heimbeck, president of Trade Tech, notes, “The booking process should initiate with the booking itself and integrate shipping instructions along with details of the shipped items.” He identifies a historical inversion in the industry’s focus—initially on tracking and instructions, with bookings only recently receiving attention, which may have hindered process efficacy.
Trade Tech introduced a new booking platform in May, aimed at providing shippers, carriers, and NVOs (non-vessel-operating common carriers) with centralized data access. Heimbeck criticizes the current fragmented state of booking platforms, emphasizing the inefficiencies of managing bookings across multiple carrier websites.
He asserts that NVOs should spearhead the booking and data management process. Despite the industry’s focus on carrier online bookings, Heimbeck points out that NVOs have not been vocal about their capabilities in online booking, which he sees as a missed opportunity for them to affirm their central role.
The new tool by Trade Tech is designed to enhance the capabilities of NVOs, ensuring they remain central to the booking process by fostering collaboration where data is entered once, simplifying the booking process for their clients.
Downstream, this centralized booking data enables all involved parties—shippers, carriers, and NVOs—to make informed decisions and plan further activities based on the booking data. For example, a shipper might adjust warehouse schedules based on the booking, while an NVO might align transportation logistics accordingly.
Rob Petti, CEO of Prompt, highlights ongoing challenges in linking bookings with actual vessel space and equipment availability. Prompt has been refining its booking process to bridge these gaps more effectively.
The technological advancements in the booking domain aim to streamline the sequence from booking request to confirmation and integration into broader contractual or rate agreements, enhancing overall operational speed and efficiency.
Despite these advancements, challenges remain in managing the complex web of carrier connections necessary for effective booking integrations, as noted by Jaakko Elovaara, CEO of Youredi. The industry’s shift away from traditional platforms like INTTRA, which has seen a decline in market presence, underscores a growing opportunity for other software vendors to leverage bookings as a catalyst for comprehensive digital transformation in freight forwarding.
