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Improve Your Transportation Management

Your 6-step guide to optimizing SAP Transportation Management
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Improve Your Transportation Management
Challenges (12) Goals (11) 6 Steps Preview Outcomes Data FAQs (5)

Optimize SAP Transportation Management for Faster, Cheaper Deliveries

Delays and unexpected costs can hinder efficient logistics operations. Our platform helps you pinpoint bottlenecks, identify root causes of inefficiencies, and optimize your entire shipment process. By understanding process variations, you can uncover hidden opportunities to reduce costs and boost customer satisfaction.

Download our pre-configured data template and address common challenges to reach your efficiency goals. Follow our six-step improvement plan and consult the Data Template Guide to transform your operations.

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Why Optimizing Your Transportation Management Process is Critical

In today's fast-paced global economy, efficient Transportation Management is not merely a logistical function, but a strategic imperative. Organizations leveraging SAP Transportation Management face constant pressure to reduce costs, accelerate delivery times, and enhance customer satisfaction, all while navigating complex supply chains and unexpected disruptions. Inefficient transportation processes can lead to significant financial drains, including increased freight costs, penalties for late deliveries, and elevated inventory holding costs. Beyond direct expenses, slow or unreliable deliveries directly impact customer trust and can damage your brand reputation. Gaining granular visibility into the true performance of your transportation operations, from the initial request to final delivery and payment, is essential for maintaining a competitive edge and ensuring sustained business growth.

How Process Mining Delivers Unprecedented Transparency

Process mining offers a revolutionary approach to understanding and improving your Transportation Management process within SAP Transportation Management. Instead of relying on assumptions or anecdotal evidence, process mining utilizes event logs from your SAP system to reconstruct the actual end-to-end flow of every shipment. This provides a digital twin of your process, visualizing every step, deviation, and delay a shipment experiences. By focusing on the 'Shipment' as the core case identifier, you can precisely track activities like "Transportation Request Received," "Shipment Planned," "Carrier Selected," "Shipment In Transit," "Customs Cleared," "Goods Delivered," and "Payment Processed." This detailed, objective view allows you to pinpoint where bottlenecks truly occur, identify non-compliant process paths, and reveal hidden reworks that prolong transportation cycle time and inflate costs. It goes beyond what standard reporting tools can provide, showing you the real journey of your goods.

Key Areas for Improvement in Your SAP Transportation Management

Leveraging process mining insights empowers you to target specific areas for process optimization within your SAP Transportation Management landscape:

  • Optimize Carrier Performance: Analyze the actual performance of different carriers, identifying which ones consistently cause delays, incur extra costs, or deviate from planned routes. This allows for data-driven carrier selection and negotiation.
  • Streamline Planning and Booking: Uncover inefficiencies in the "Shipment Planned" and "Shipment Booked" phases, reducing the time from request to confirmed shipment. This directly contributes to reducing overall transportation cycle time.
  • Accelerate Customs Clearance: Identify common hold-ups in the "Customs Cleared" activity, understanding root causes such as missing documentation or procedural delays, to speed up international shipments.
  • Enhance Delivery Reliability: Monitor the "Shipment In Transit" and "Delivery Scheduled" activities to proactively address potential delays and ensure goods arrive on time, improving customer satisfaction.
  • Improve Freight Bill Accuracy: Analyze the "Freight Bill Audited" and "Payment Processed" steps to uncover discrepancies, reduce errors, and accelerate the financial settlement of transportation services.
  • Reduce Transportation Cycle Time: Gain a holistic view of the entire process, identifying cumulative delays across multiple activities that extend the end-to-end transportation cycle time.

Measurable Outcomes for Your Business

Implementing process optimization strategies based on process mining insights in SAP Transportation Management yields tangible and measurable benefits:

  • Significant Cost Reduction: By optimizing carrier selection, eliminating reworks, and improving billing accuracy, you can achieve substantial savings in freight costs and operational expenditures.
  • Increased Operational Efficiency: Streamlined processes lead to faster planning, booking, and delivery, reducing the overall transportation cycle time and improving resource utilization.
  • Enhanced Customer Satisfaction: More reliable and timely deliveries, combined with better communication, directly translate into higher customer loyalty and improved brand perception.
  • Improved Compliance and Risk Management: Better visibility into deviations helps ensure adherence to regulatory requirements and internal policies, reducing compliance risks.
  • Data-Driven Strategic Decisions: Move beyond intuition to make informed decisions about your logistics network, carrier partnerships, and operational strategies, ensuring continuous process improvement.

Getting Started with Your Transportation Management Optimization Journey

Embarking on your journey to optimize Transportation Management with process mining in SAP Transportation Management is more accessible than ever. This guide provides you with a structured approach, allowing you to leverage powerful analytical capabilities without needing prior process mining expertise. By focusing on your shipments and their complete journey, you can quickly uncover actionable insights and transform your logistics operations into a competitive advantage. Discover how to identify and resolve critical bottlenecks, reduce costs, and deliver an exceptional customer experience. Your path to a more efficient and cost-effective Transportation Management process begins here.

Transportation Management Logistics Optimization Supply Chain Efficiency Freight Management Carrier Performance Delivery Delays Shipping Operations Cost Reduction

Common Problems & Challenges

Identify which challenges are impacting you

Delays in the initial planning phase, from request to booking, prolong the overall lead time. This impacts delivery schedules, customer satisfaction, and can lead to increased last-minute expedited shipping costs in SAP Transportation Management. Such inefficiencies are often hidden within complex workflows.
ProcessMind visualizes the exact duration of each planning sub-activity, highlighting bottlenecks and variations in the planning process. It allows organizations to streamline workflows, identify root causes of delays, and optimize resource allocation for faster, more efficient shipment planning in Transportation Management.

Shipments frequently fail to meet their requested delivery dates, leading to customer dissatisfaction, potential penalties, and reputational damage. Identifying the exact points of delay within the complex Transportation Management process, especially within SAP Transportation Management, is challenging without clear insights.
ProcessMind maps the end-to-end journey of every shipment, comparing actual delivery times against requested dates. It pinpoints specific activities, carriers, or routes causing delays, providing actionable insights to improve on-time delivery performance and customer trust.

Choosing the wrong carrier, perhaps not the most cost-effective or reliable for a given route and mode of transport, directly inflates freight costs and can contribute to service issues. Manual selection processes or reliance on outdated data within SAP Transportation Management are common culprits.
ProcessMind analyzes historical shipment data, correlating carrier performance, costs, and delivery times with specific attributes like origin, destination, and mode. This data-driven approach helps optimize carrier selection strategies within Transportation Management, ensuring better cost efficiency and service quality.

Delays at customs, often due to incomplete documentation or procedural inefficiencies, can cause significant hold-ups for international shipments. This results in longer transit times, increased costs, and frustrated customers who rely on timely delivery within your global Transportation Management operations.
ProcessMind tracks the duration of the 'Customs Cleared' activity and identifies preceding activities or specific attributes linked to prolonged clearance times. It helps uncover process deviations or data gaps that lead to customs bottlenecks, allowing for proactive adjustments in your SAP Transportation Management processes.

Discrepancies between planned freight charges and actual audited freight bills are a common source of financial leakage and administrative overhead. Manually reconciling these differences is time-consuming and prone to errors, particularly with high volumes in Transportation Management.
ProcessMind analyzes the 'Freight Bill Audited' and 'Payment Processed' activities alongside shipment attributes to identify where and why discrepancies arise. It highlights patterns in billing errors, allowing for more accurate cost management and smoother financial operations within SAP Transportation Management.

The delay in receiving and processing Proof of Delivery, POD, documents directly impacts the subsequent invoicing and payment cycles. This extends cash conversion cycles and can lead to financial strain and customer service issues across Transportation Management operations.
ProcessMind maps the time taken from 'Goods Delivered' to 'Proof of Delivery Received' and 'Payment Processed'. It identifies the steps or departments causing delays in POD confirmation, enabling process redesigns to accelerate financial closure and improve cash flow in SAP Transportation Management.

Constantly having to re-plan or re-route shipments post-booking incurs additional costs, impacts resource utilization, and disrupts downstream processes. Identifying the triggers for these changes is crucial for operational stability in Transportation Management.
ProcessMind visualizes process deviations, highlighting cases where 'Shipment Planned' or 'Shipment Booked' activities are followed by unexpected re-planning loops. It identifies common root causes like last-minute order changes or capacity issues, helping to stabilize your SAP Transportation Management operations.

Carriers consistently underperforming on promised delivery times, service quality, or pickup schedules lead to frustrated customers and internal operational disruptions. Without clear data, managing and negotiating with carriers in Transportation Management is challenging.
ProcessMind tracks specific carrier performance metrics across numerous shipments, comparing actual activity durations, like 'Goods Picked Up' and 'Shipment In Transit', against planned benchmarks. This provides objective data to manage carrier relationships and identify underperforming partners in your SAP Transportation Management system.

Shipments not being picked up on schedule creates a cascading effect, leading to late deliveries, increased storage costs, and strained relationships with consignees and internal stakeholders. Pinpointing the cause of these delays in Transportation Management is often difficult.
ProcessMind analyzes the gap between 'Pickup Scheduled' and 'Goods Picked Up' activities, identifying patterns by carrier, origin location, or time of day. This insight helps address operational inefficiencies, improve scheduling, and optimize pickup processes in SAP Transportation Management.

Expedited shipping, while sometimes necessary, is frequently used as a reactive measure to compensate for earlier process inefficiencies. This significantly inflates transportation costs without a clear understanding of its root cause across your Transportation Management operations.
ProcessMind identifies shipments that used expedited modes and traces back their process journey to uncover the delays or deviations that necessitated premium freight. It allows for proactive intervention to prevent these costly situations within SAP Transportation Management.

Without comprehensive, real-time visibility into shipment status, organizations struggle to react promptly to exceptions, provide accurate customer updates, or make informed decisions about logistics adjustments in Transportation Management.
ProcessMind reconstructs the entire shipment journey, providing a granular view of each activity and its timestamp, effectively revealing where visibility gaps exist. It allows for monitoring progress, identifying stalled shipments, and enhancing transparency throughout your SAP Transportation Management process.

A high volume of claims for damaged or lost goods during transit not only leads to financial losses but also damages customer trust and requires extensive administrative effort for resolution within Transportation Management.
ProcessMind can identify deviations in the 'Shipment In Transit' and 'Goods Delivered' activities, correlating them with 'Delay Reason' attributes or specific carriers, modes, or routes that frequently precede such claims. This helps highlight problematic segments in the transportation chain in SAP Transportation Management.

Typical Goals

Define what success looks like

This goal focuses on cutting down the time from a transportation request being received to a shipment being fully planned and booked. Efficient planning is crucial for optimizing resource allocation, meeting customer delivery expectations, and reducing operational overhead in Transportation Management. Accelerating this phase directly contributes to overall supply chain responsiveness and customer satisfaction.ProcessMind leverages event log data from SAP Transportation Management to visualize the complete planning process, identifying specific activities or handoffs that cause delays. By analyzing cycle times and variations across shipments, ProcessMind can pinpoint bottlenecks, suggest process reconfigurations, and quantify potential time savings, enabling organizations to reduce planning cycle times by up to 20-30%.

Achieving this goal means consistently delivering goods by the requested delivery date, minimizing delays that can harm customer relationships and incur penalties. High on-time delivery rates are a cornerstone of effective Transportation Management, directly impacting customer loyalty, brand reputation, and overall supply chain reliability. It helps ensure operational excellence and predictability.ProcessMind analyzes the end-to-end shipment journey, comparing actual delivery dates against requested ones and identifying root causes of delays, such as specific carriers, routes, or customs hold-ups. By uncovering non-compliant process paths and variation, ProcessMind provides actionable insights to improve on-time delivery rates, allowing businesses to target an improvement of 10-25% in their SAP Transportation Management operations.

This objective aims to significantly lower the financial outlay associated with moving goods, without compromising service quality. Optimizing transportation costs involves scrutinizing carrier selection, route efficiency, and freight negotiation, which is vital for profitability and competitive pricing in Transportation Management. Achieving this goal directly impacts the bottom line and improves financial performance.ProcessMind can identify instances of suboptimal carrier selection, analyze the actual cost implications of different transport modes, and highlight opportunities for freight consolidation or negotiation. By mapping cost-driving process variants within SAP Transportation Management, ProcessMind helps uncover inefficient spending patterns, enabling targeted interventions to achieve significant cost reductions, often exceeding 15%.

This goal targets streamlining the customs declaration and approval phases for international shipments, thereby reducing overall transit times and avoiding demurrage charges. Faster customs clearance is essential for global supply chain efficiency, ensuring compliance, and preventing delays that can impact delivery schedules and customer satisfaction in international Transportation Management.ProcessMind analyzes the sequence and duration of activities related to customs clearance within the SAP Transportation Management process, identifying common roadblocks, documentation errors, or specific customs offices causing delays. It visualizes the flow to pinpoint compliance gaps and areas for automation, allowing organizations to reduce customs clearance times by 20-40% through data-driven process improvements.

The aim here is to achieve 100% accuracy in freight invoices, eradicating discrepancies that lead to disputes, payment delays, and reconciliation efforts. Accurate freight billing is critical for financial integrity, efficient payment processing, and maintaining positive relationships with carriers in Transportation Management. This goal minimizes administrative burden and improves cash flow.ProcessMind compares the planned and actual shipment data, including agreed-upon rates, actual weights, and services rendered, against received freight bills. It uncovers process deviations that lead to billing errors, such as incorrect data entry or unapproved service changes in SAP Transportation Management. ProcessMind helps identify the root causes of discrepancies, enabling a reduction in billing error rates by over 90%.

This goal focuses on significantly reducing the time it takes to obtain and process proof of delivery documents after goods are received. Prompt capture of POD is crucial for triggering timely invoicing, resolving delivery disputes efficiently, and ensuring revenue recognition in Transportation Management. Accelerating this process improves cash flow and operational fluidity.ProcessMind visualizes the post-delivery process flow, tracking the latency between actual goods delivery and the receipt of POD. It identifies specific handoffs, manual steps, or system limitations that prolong this critical phase within SAP Transportation Management. By analyzing these delays, ProcessMind enables organizations to streamline workflows and reduce POD capture times by 25-50%, leading to faster invoicing.

This objective aims to reduce the frequency of last-minute changes to shipment routes or destinations, which often lead to increased costs, delays, and operational inefficiencies. Minimizing unplanned reroutes enhances predictability, reduces expenditure on emergency logistics, and improves resource utilization across the Transportation Management process.ProcessMind analyzes shipment event logs to identify patterns and root causes behind unplanned reroutes, such as late order changes, inaccurate initial planning, or unexpected capacity issues. By mapping these deviations from the ideal process in SAP Transportation Management, ProcessMind helps pinpoint intervention points, allowing businesses to decrease reroute occurrences by 15-30% and improve planning accuracy.

This goal seeks to ensure consistent and reliable performance across all chosen carriers, meeting predefined service agreements and quality benchmarks. Standardizing carrier service levels reduces variability in delivery times, minimizes transit damage, and enhances overall supply chain predictability within Transportation Management. It builds trust and ensures consistent customer experience.ProcessMind provides a comprehensive view of individual carrier performance by analyzing delivery adherence, delay reasons, and compliance with contractual terms from SAP Transportation Management data. It highlights variations in service levels across different carriers, enabling organizations to identify underperforming partners and implement targeted strategies to standardize service quality by up to 20%.

This goal focuses on reducing delays in the initial pickup of goods, a critical first step in the shipment process that can cause ripple effects throughout the supply chain. Improving pickup timeliness ensures that subsequent activities, such as in-transit and delivery, can proceed as scheduled, crucial for overall efficiency in Transportation Management.ProcessMind analyzes the lead time from pickup scheduling to actual goods pickup, identifying patterns of delay associated with specific locations, carriers, or time slots within SAP Transportation Management. By mapping these variances and their root causes, ProcessMind provides actionable insights to streamline scheduling and execution, allowing businesses to improve pickup timeliness by 10-25%.

This objective aims to significantly decrease the use of expedited or emergency shipping services, which are typically much more expensive than standard freight. Reducing premium freight expenses requires proactive planning and efficient execution to avoid situations necessitating urgent shipments, thereby directly impacting cost savings in Transportation Management.ProcessMind identifies all instances where premium freight was used, then traces back to the preceding activities in the SAP Transportation Management process that led to the urgent requirement. By analyzing the root causes, such as planning errors, production delays, or unforeseen bottlenecks, ProcessMind helps eliminate the need for premium freight, potentially reducing these costs by 20-40%.

This goal focuses on minimizing the number and value of claims filed for goods damaged or lost during transit. Reducing such claims improves product integrity, enhances customer satisfaction, and lowers financial losses and administrative overhead associated with replacements and investigations in Transportation Management.ProcessMind can analyze event data associated with claims, correlating them with specific carriers, routes, packaging types, or handling activities within the SAP Transportation Management process. By identifying common points of failure or high-risk segments in the shipment journey, ProcessMind provides insights to implement preventative measures, aiming to decrease damaged goods claims by 15-30%.

The 6-Step Improvement Path for Transportation Management

1

Download the Template
2

Export Your SAP TM Data
3

Upload Your Dataset
4

Analyze Your TM Process
5

Implement Improvements
6

Monitor Your Progress
1

Download the Template

What to do

Obtain the specialized Excel template designed for SAP Transportation Management data. This template provides the correct structure for your process mining analysis.

View Data Template Guide Download Template
Why it matters

Starting with the right data format ensures compatibility and accurate analysis, laying a solid foundation for your improvement journey.

Expected outcome

A structured Excel template ready for populating with your SAP TM process data.

WHAT YOU WILL GET

Pinpoint SAP TM Bottlenecks, Boost Efficiency

ProcessMind reveals the true state of your SAP Transportation Management processes through powerful visualizations. Instantly identify bottlenecks, uncover cost-saving opportunities, and enhance customer satisfaction.
  • Visualize your entire SAP TM process flow
  • Identify shipment delays and bottlenecks
  • Uncover hidden cost reduction opportunities
  • Improve logistics efficiency and satisfaction
Discover your actual process flow
Discover your actual process flow
Identify bottlenecks and delays
Identify bottlenecks and delays
Analyze process variants
Analyze process variants
Design your optimized process
Design your optimized process

TYPICAL OUTCOMES

Tangible Results with SAP Transportation Management

By leveraging process intelligence, organizations using SAP Transportation Management can identify critical inefficiencies within their shipment processes. These insights drive data-backed decisions, leading to measurable enhancements in logistics operations.

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Faster Planning Cycle

Reduce average shipment planning time

Streamline your logistics operations by identifying and removing bottlenecks in the shipment planning phase, leading to quicker preparation and dispatch of goods. This efficiency translates to faster order fulfillment and improved supply chain responsiveness.
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Boost On-Time Deliveries

Increase percentage of successful deliveries

Enhance customer satisfaction and trust by consistently meeting delivery commitments. Process mining helps pinpoint the root causes of delays, enabling targeted interventions to improve your overall delivery performance.
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Cut Premium Freight Spend

Decrease unnecessary expedited shipping

Gain full visibility into your premium freight usage and identify opportunities to switch to more cost-effective standard shipping options. Optimizing freight choices directly impacts your bottom line, leading to significant cost savings.
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Expedite Customs Clearance

Reduce average clearance duration

Minimize delays at border crossings by optimizing customs clearance activities. Faster processing reduces waiting times, improves throughput, and ensures goods reach their destination sooner, enhancing global supply chain fluidity.
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Minimize Billing Errors

Lower freight billing discrepancy rate

Improve financial accuracy and reduce costly disputes by identifying and correcting sources of freight billing discrepancies. This leads to smoother payment processes and stronger relationships with carriers.
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Lower Damaged Claims

Reduce claims for damaged shipments

Improve cargo handling and transit quality by pinpointing the stages in the shipment process where damage most frequently occurs. A reduction in damaged goods claims directly saves costs and enhances customer trust.

Results vary based on process complexity and data quality. These figures represent typical improvements observed across implementations.

FAQs

Frequently asked questions

Process mining uses event data from your SAP TM system to visualize the actual flow of shipments, revealing bottlenecks, inefficiencies, and compliance gaps. It helps identify deviations from standard processes and uncovers the root causes of common problems like delays or cost overruns.

To perform process mining, we need event logs that include a case identifier, typically the Shipment ID, an activity or status change, and a precise timestamp for each event. This data is usually extracted from relevant SAP TM tables tracking freight orders, freight units, and their lifecycle statuses.

Initial process visualizations and high-level insights can typically be generated within a few weeks after successful data extraction and initial model setup. Deeper analysis, root cause identification, and actionable recommendations usually follow within two to three months, leading to measurable improvements.

Yes, absolutely. By analyzing the actual execution paths and timestamps, process mining identifies the exact points in the process where delays originate, leading to premium freight usage or missed delivery dates. This data-driven insight helps pinpoint causes like late planning, suboptimal carrier choices, or inefficient handovers.

The primary technical requirement is secure access to your SAP Transportation Management system for data extraction. This typically involves leveraging existing SAP tools or connectors to pull event logs. A suitable process mining platform, either on-premise or cloud-based, is also necessary for analysis.

Not at all. Process mining provides significant value regardless of the size or complexity of your transportation network. Even smaller, seemingly straightforward processes often harbor hidden inefficiencies that can be uncovered and optimized through data analysis, leading to substantial gains.

While high-quality data is beneficial, process mining can still be highly effective and even help identify data quality issues. Inconsistent data often manifests as process deviations, highlighting areas where data capture or system usage needs improvement. Initial analysis can provide value and guide data enhancement efforts.

Yes, process mining goes beyond mere visualization. It quantifies performance bottlenecks, identifies conformance gaps against ideal processes, and reveals the root causes of inefficiencies. These insights lead directly to data-backed, actionable recommendations for process optimization, automation opportunities, and training needs.

Successful process mining projects typically involve collaboration among several key teams. This includes business experts from transportation and logistics operations, IT specialists for data extraction and system access, and dedicated process improvement or analytics teams for interpreting results and driving change.

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