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Transportation Tendering Through Freight Exchange 

Use

Freight exchanges provide their members (who include both shippers and forwarding agents) with the service of being able to negotiate prices and shipping conditions on an interactive basis. The shipper and the forwarding agent receive information on the price and conditions, and, just like in the real marketplace, they can reach an agreeement. As soon as the shipment is confirmed, the freight exchange issues an invoice to the shipper and pays the forwarding agent.

Transportation planners can use this service in the freight exchange primarily for smaller shipments to be able to find a forwarding agent who can include the shipment in a load that is not full up ( Less than Truck Load (LTF) and thus demands a cheaper price for the service. Shippers can work together in an SAP system and a freight exchange through the Internet. In this way, the transportation planner can use his capacity to the full, reduce the shipping costs overall, and always has an automatic update of the shipment status.

Effects on Data Transfer

SAP system data and functions that use IDocs or BAPIs are available to all partners through XML documents.