It is possible to gain full control of transport invoices and hard-to-calculate transport costs. It is possible to save money on simpler administration and to save even more by rapidly detecting every occasion when something goes wrong in invoicing. Elektroskandia is one of the companies that has gained full control of its transport costs by using Primelog Freight Spend Management.
Elektroskandia saw the opportunity to simplify its administration
Elektroskandia saw the opportunity to simplify its administration and saw the benefits of being able manage deviations in invoicing. Consequently, the company decided to do away with traditional paper invoices and to transition to Primelog Freight Spend Management.
”The deviations that arise are made clearly visible. Overall, we have better control of our transport costs.”
Elektroskandia began to implement the system in 2008 and to use it to monitor one of its largest transport suppliers, and from there, it went on to add more. Today, Elektroskandia uses Freight Spend Management for approximately 85 percent of the transport invoices in its system. This involves about 45,000 dispatches a month.
Improved control and monitoring
With Primelog Freight Spend Management, Elektroskandia now has full control of its transport costs by freight auditing. All deviations in invoicing become quickly visible. Most of the deviations involve price discrepancies that are often due to the transport provider having applied incorrect pricing – such errors include volume differences, prices based on the wrong agreements, and double invoicing of individual transports.
“Pricing in the transport sector is complex and difficult to grasp, and managing transport invoices is time-consuming,” says Magnus Hansson, Logistics Developer at Elektroskandia. “Primelog Freight Spend Management has made our freight costs visible at the dispatch level. The deviations that arise are made clearly visible. Overall, we have better control of our transport costs today.”
”Primelog takes care of the information transmitted to the various transport suppliers and converts it to suit their different systems.”
Electronic communications have been made simpler
“With the overview that Primelog provides, errors are easily and quickly detected, minor and major deviations can be distinguished, and they can be more quickly dealt with in the right order. Electronic communications with transport suppliers have also been made simpler. Primelog takes care of the information transmitted to the various transport suppliers and converts it to suit their different systems.”
“A positive side effect has been that we transitioned to electronic communications with our transport suppliers sooner than we would have otherwise. It’s a journey we would have had to make sooner or later and this is one of Primelog’s core areas of expertise.”
Elektroskandia is Sweden’s leading electrotechnology wholesaler, marketing and selling electrical goods and systems in the areas of power/automation, telecom- munications/data/security, lighting, household appliances and industrial supplies. The business generates annual sales of SEK 5,200 million (2011) and employs 750 people in 48 locations around Sweden. Logistics play an important role in linking 2,500 suppliers with 13,000 customers and each day the logistics center in Örebro handles 600 tonnes of electrical goods.