Case Study:
Multi-National
Retail Chain

AFS SERVICES:

HIGHLIGHTS

$400,000

In Savings

87 MILLION

Parcel Shippments

ABOUT THE CUSTOMER

Our client, a large multi-national retail chain with an expanding e-commerce business, began experiencing billing inaccuracies early in their calendar year. Due to the extremely high volume of shipments and invoices, identifying and resolving these inaccuracies was both labor intensive and time consuming. AFS discovered cost, price and shipment data inaccuracies as well as service level agreement failures. AFS solutions delivered over $400,000 in savings for this client.

CHALLENGES

  • Our client ships over 87 million parcel shipments a year, this massive volume made uncovering rate inaccuracies only possible through the AFS automated audit system.
  • Due to the nature of shared carrier information, gaining a consolidated look at stores versus e-commerce shipment data wasn’t an option, which made pinpointing the source of the billing inaccuracies more difficult.
  • AFS identified 125,000 shipments that did not have the correct contract pricing applied.
  • Our client’s reporting methods were time consuming and overly complicated, leading to convoluted data and an inability to accurately measure profit and loss.

SOLUTIONS

  • The account suffering from billing inaccuracies triggered an audit failure through the automated audit system, leading to an investigation by AFS.
  • AFS acted as a liaison between the client and carrier to pursue a payment resolution once the carrier had confirmed our client’s contract pricing wasn’t being applied to shipments under that account.

RESULTS

  • The carrier agreed to a short-pay resolution, leading to our client saving over $400,000 annually for this account.
  • AFS also secured almost $6,000 in extra savings by identifying inaccurate Guaranteed Service charges for this account and by initiating an automatic credit request from the carrier when the bill was not delivered on time.
  • In addition to fiscal savings, AFS created a custom-coded, weekly pay file automation process that lowered the time spent on reporting from over 4 hours a week to minutes by automating the majority of the manual processes, enhancing data integrity and accuracy.

ATTENTION

AFS is directing carriers and customers to direct all inbound invoices to [email protected] or via established electronic submission, such as EDI or eSubmit to avoid processing delays due to the impacts of the COVID-19 countermeasures and service interruptions at the United States Postal Service.

Carriers should contact Carrier Support via email at [email protected] in lieu of calls. We have added additional resources and later hours to assist you and email will serve as the method for fastest response. Please send an aging report with your inquiry so that we may provide you the most current status.

Thank you!