Cargosphere has signed up Hapag-Lloyd as the first carrier to use the technology company’s rate-processing platform, which enables the carrier to translate contract rates and conditions onto real-time prices on its routes around the globe.
The platform, called Smart Upload and Diagnostics Solution (eSuds), enables users to replace email, spreadsheet, and other manual methods of analyzing and distributing rates with a system that automatically digitizes the rates and sends them to a customer through a portal, CargoSphere said. “Digital contract management significantly increases accuracy and reduces processing times from several days to just a few hours,” the company said.
CargoSphere said that Hapag-Lloyd, the world’s fifth largest container line, is the first carrier to offer its customers automatic access to their contract rates through the platform, which the company launched in January 2017.
Henning Schleyerbach, senior director, sales and service processes, of Hapag-Lloyd, said the move is part of its commitment to improving the efficiency of its customer service. “This joint Hapag-Lloyd/CargoSphere integration achievement is an important contribution to the industry as it improves timeliness and accuracy,” she said. “We plan to continue differentiating ourselves from our competitors with ongoing innovation.”
CargoSphere, founded in 1999 and headquartered in North Carolina, provides rate management solutions and Rate Mesh to more than 100 customers. The company was acquired by WiseTech Global Limited in September for $9.2 million.
The eSUDS platform establishes an automated data transfer of contract and public tariff rates between an ocean carrier, CargoSphere, and the ocean carrier’s customers. Under the system, a carrier creates a file of new or exported rates that is sent to CargoShere, where the eSUDS system detects the new carrier rate file and initiates the diagnostics process, the company said. The eSUDS system reads the carrier file, converts carrier codes and data structures into standards set by the company’s Rate Mesh, and places them in the cloud for direct distribution to the customer.
“We really believe this can be transformative in ocean container shipping because this is digitalization delivered today,” said Neil Barni, president of CargoSphere, in an interview with JOC.com at 18th Annual TPM. “The value of digitalization in rates is really the efficiency gained in deliverance and time savings … It’s about distributing rates to the shipper customer. That shipper in a matter of seconds can get a fully calculated bottom line cost for any calendar date.”