The logistics industry work is growing dynamically. As a logistics service provider, you must be active in different fields within the logistics department. You might be handling multiple fields with multiple software.
If so, what if you get a chance to manage all these different activities in just one particular software? Now, that would be quite efficient, right? That’s where 3PL Dynamics come into the picture. It brings up the possibility of capturing all logistics activities into one software solution.
From warehousing to transportation and freight forwarding, businesses can integrate every branch of every separate model into the central invoicing system. However, by leveraging this, you can support your entire finance division with 3PL Dynamics.
Let’s discuss how central invoicing works in the logistics industry-
Invoicing with logistics software
3PL Dynamics includes different modules – Billing and Invoicing, Booking Management, Route Optimization, Barcode Scanning, Inventory Management, and more. Along with the logistics industry work modules, you can integrate the marketing or finance model or any in your software as per your requirement.
In the Marketing or Finance modules, you can automatically send your invoices to your respective customers through email. You can also attach order specifications or PODs before hitting the mail button.
Secondly, you can easily tap incoming invoices automatically and directly link them to the correct supplier. During this procedure, lines are automatically synced with the logistic document inclusive of cost lines. That’s how the admin department will get a more controlling function.
Get the entire financial administration in just one consolidated application
Do you maintain your books of records in 3PL Dynamics?
The consolidation of entire activities into one system often simplifies your work. All you have to do is register all the costs which will be automatically reserved in your financial administration. Such entries will be booked automatically in the right period.
Moreover, when the reservations are not booked automatically through an incoming invoice, the administration is always in control. You can drop them just with a quick and simple process.
Furthermore, the finance module has WIP functionality. It confirms results only when the file is fully ready. This is exclusively useful during sea freight. Also, such workflows process automatically through status templates.
Recharging between different departments & different companies
When your organization has different departments, internal recharging is bound to happen regularly. So, when you introduce automation in logistics activities, the documents and entries accordingly get ruled as per the cost and revenue rules of the other department via a status process.
Central invoicing
As discussed earlier, the functionality of central invoicing runs smoothly within the same financial company.
But what will be the case when the logistic activities are held in various companies?
So, will you still have to split the modules company-wise?
Or will your employee (who are working in different departments) have to switch between applications more often?
And if your employee has to switch between the apps then that would decrease the significance of invoicing which you won’t agree upon.
That’s where 3PL Dynamics offers an incredible solution for dividing operations into different companies. Central invoicing leverages a central layer module that easily integrates all the master data from all across different companies in a specially created master data company or in one of those companies.
The 3PL Billing Process
The overview of the 3PL Billing Process includes –
Signing a Contract
Firstly, set up a billing agreement with the customer and include all the important details like – rates and quantity, method of payment, frequency of billing, rendered services, and special conditions if any. You can consult Section 7 of the Uniform Commercial Code for legal rights and obligations and abide by their industry standards pertaining to contracting and billing activities.
Collecting Transactional Data
After providing the services or product mentioned in the contract, collect information related to operations performed for customers like- work orders, order shipment reports, time and labor reports, material reports, and more. You can include value-added services if provided.
Making calculations
Make calculations for the services mentioned in the contract and calculate the amount charged for them. In a few cases, charges will be levied on monthly bases or per item basis like storage facilities, picking, and packaging of products.
Generating invoices
Duly check all the charges included in the invoice. Download and email it to the respective customer.
How do billing and invoicing work differently with Central Layer?
The invoicing with the central layer works in the following ways-
Firstly, you have to create a purchase or sales invoice. You will get a partner code that forms an integral part of the central layer integration. So, when you book an invoice, your bill number will get reserved and retrieved for that partner. After that, the entire booked invoice will get posted in the financial administration of that particular company.
Your invoice will be further sent from the central operating company to the individual companies for payment. The central operating company will configure all your logistics operations.
Moreover, during the booking process, you will receive the correct number from the decentralized company. This happens so that the booking series work in sync with the expectations of tax authorities. In the case of a decentralized financial company, you can remind, pay and settle the items.
The Final Words
Central Invoicing is a deliberative way of integrating all the logistics industry work activities into one consolidated software. From tracking all your activities to streamlining your shipment procedures, central invoicing ease out the billing and invoicing process at the helm.
Hire PL Solutions now to learn more about sending invoices from a central layer!
