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e-Shipping and Tracking: Digital Transparency Across the Supply Chain
Digitalization does not stop at logistics - electronic transactions with freight forwarders have long been more than just an exchange of data. E-shipping stands for a new type of collaboration along the entire supply chain. DB Schenker shows how modern e-services pave the way to smarter, more sustainable logistics.
Electronic transactions with a transport company are part of a broader digitalization trend, where processes and operations become digital. In electronic transactions, transport orders and data move digitally through the supply chain. This enables, among other things, a higher quality and more accurate transport service and real-time shipment tracking.
What does it mean to do business electronically with a freight forwarder?
E-shipping is more than just digital data exchange. It’s a key driver of broader digital transformation, changing not only how information flows, but also how companies work. Both freight forwarders and their customers – in fact, the entire supply chain – are adapting to this shift.
Digital shipping can also be viewed from the opposite perspective: it is not a paper-based business in which information is recorded manually and carried in physical documents. In e-shipping, no paper or telephone is used to transmit information.
The most familiar form of e-shipping is electronic transport ordering and tracking. Behind the scenes, information flows between the carrier's and the customer's IT systems. Digital shipping links many systems together, making it an integral part of overall supply chain management.
Key Components of Electronic Freight Handling
Modern freight forwarding relies on a range of digital tools and technologies that streamline communication, improve efficiency, and ensure transparency throughout the entire supply chain.
- Electronic transport order: Placed directly into an information system and transmitted via electronic channels, such as the transport company's online service or EDI message.
- Electronic shipment information (Electronic waybill): Contains the same details as a paper waybill form but is sent to the transport company electronically.
- Shipping label: A unique identifier on a package that ensures each package has the correct and complete information for distribution. With standard SSCC bar-coded labels, data is entered correctly on the label only once.
- EDI (Electronic Data Interchange): A standardized technology used by information systems in different organizations to exchange data.
- API (Application Programming Interface): An interface that allows different programs to communicate by making requests and exchanging information.
- Handheld device: A miniature computer and barcode reader that allows drivers to receipt and delivery. In the case of mobile acknowledgment, the recipient uses their own mobile phone to confirm receipt. This data is automatically transferred to the transport management system, supporting shipment tracking.
What are the benefits of e-shipping?
Electronic transactions allow transport company customers to receive better service and, in turn, improve service for their own clients. Key benefits include:
- Improved accuracy and fewer errors: When shipment details are correct, data can flow seamlessly through the transport process. The "broken telephone" effect is eliminated, and manual data entry mistakes are reduced.
- Greater efficiency: Electronic processes reduce manual work and streamline operations, leading to higher-quality service and fewer data-related issues.
- Shipment visibility and innovation: Real-time monitoring of deliveries is possible. Electronic systems also support the development of new services.
- Sustainability: A more efficient supply chain reduces unnecessary transport and emissions, helping customers meet environmental goals.
- Drivers access shipment data: Drivers need digital access to know what they are transporting and where.
What types of common errors occur in electronic transactions?
- Damaged shipping label: When a label is broken or unreadable, the barcode can’t be scanned, and tracking data isn’t updated. The goods may still be moving, but without visibility in the system, the shipment may be delayed or excluded from route planning.
- Incorrect transmission data: One of the most common errors is an incorrect postal code for the recipient. This might result from a typo during order entry. or from incorrect information in the ERP system.
Why is data quality important in e-shipping?
Data quality plays a crucial role in the smooth functioning of electronic processes. Inaccurate shipment data can delay or even stop deliveries. For instance, a single incorrect digit in a postal code could misdirect the shipment.
In a digital environment, data quality is generally better – manual data entry errors are minimized, and the process is more efficient. Ensuring optimal data accuracy is a top priority. Even small corrections can have a big impact on delivery success. Customers are notified when errors are detected, such as incorrect postcodes, so they can be resolved quickly.
What is the current status of e-shipping?
The current focus is on improving data quality to optimize the electronic process. One area of improvement is ensuring customers update electronic data when needed.
In some countries, around 97% of DB Schenker customers already place transport orders electronically, making it the dominant method.
What e-shipping services does DB Schenker offer – and what are the alternatives?
DB Schenker provides a range of digital solutions to support efficient e-shipping. With DB SCHENKER connect, customers can manage both international and domestic shipments – from placing orders and scheduling pickups to tracking and reporting – all within a single e-services portal. For quick assistance, the Betty chatbot is available 24/7 on the website, answering common customer questions. Additionally, web service (API) interfaces allow seamless integration for placing transport orders and tracking shipments directly from a company’s own systems.
For businesses with a high volume of shipments, an EDI (Electronic Data Interchange) connection may be the most efficient alternative. This solution enables direct system-to-system communication, tailored to specific needs – though it does require a one-time technical setup.
What are the most common uses of online services?
- Placing a transport order
- Checking schedules
- Pricing (not available for all transport services)
- Shipment tracking
- Reporting (e.g. quality, KPIs, CO2 emissions/carbon footprint)
How to go online?
When choosing the most suitable way to go digital, it’s a good idea to have an open and constructive conversation with your freight forwarder.
The type of goods being transported can significantly influence the best approach. For example, if the chosen order channel is used for shipping long items, it must support transmitting the item's dimensions. Dangerous goods also require secure, approved digital channels.
If your logistical needs are highly specific, custom system integration may be the best solution. Open online services, on the other hand, can work well for occasional users, but keep in mind that these platforms typically don’t support complex transport needs, such as the shipment of dangerous goods.
What does the future of e-services look like?
E-shipping relies on continuously evolving systems to meet changing customer needs. Electronic data is essential to innovation – for example, it supports growing demands for sustainability and environmental reporting.
Digitalization supports both the development of new services and the improvement of existing ones:
- Ease of use is an essential part of the user experience and is constantly being improved. Users should be able to conduct business quickly and easily without spending extra time on the computer.
- Development work is done in partnership with customers. For instance, enhancing the quality of outbound data enhances the functionality and precision of the entire delivery process.
One-stop access to services makes it easier for customers to find and use the solutions that fit their needs.