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Background documentationRoute-Based Settlement Locate this document in the navigation structure

Features

You can settle forwarding orders in a route-based settlement if you have a transportation journey with one or more pickups and deliveries. A route-based settlement can accommodate the following business situations:

  • Multiple pickup and single delivery

    Multiple pickups from plants with a single delivery to an end location, such as a warehouse.

  • Single pickup and multiple delivery

    Pickup from a single location such as a distribution center and multiple deliveries to a series of locations such as retail outlets or customer delivery locations.

  • Multiple pickup and multiple delivery

    Multiple pickups from locations such as warehouses and distribution centers followed by deliveries to customer locations or retail outlets.

  • Predefined start and end

    Start from a specified location, pick up or delivery at scheduled locations, and return to the start location, or finish at a specified end location.

The figure below illustrates a multiple pickup and multiple delivery scenario and is followed by an explanation:

This graphic is explained in the accompanying text.

The following table describes the transportation requirements for the 3 forwarding orders:

Forwarding Order

Pickup Location

Delivery Location

FWO1

A

C

FWO2

A

D

FWO3

B

D

The following table describes the planning output. In planning, you consolidate the forwarding orders into freight order FO1. You use a 20-tonne truck.

From Location

To Location

Activity

Depot

A

Pickup FWO1 and FWO2 at location A

A

B

Pickup FWO3 at location B

B

C

Deliver FWO1 at location C

C

D

Deliver FWO2 and FWO3 at location D

You agree to a settlement basis of route-based with your customer. The system charges for the 3 forwarding orders as follows:

Charge Type

Calculation

Charge (USD)

Base charge (as distance traveled times the rate per km)

250 km X USD 1.20

300

Flat charge per truck (based on type of truck)

USD 150 for a 20-tonne truck

150

Stop charge (number of stops times the charge per stop)

2 stops X USD 50 per stop

100

Total freight cost

Not applicable

550

The system uses the information contained in freight order FO1, which executes the 3 forwarding orders, to create the forwarding settlement. On the user interface, the system displays the amount of USD 550 in line 1 of the settlement document for freight order FO1. It displays FWO1, FWO2, and FWO3 in the details screen with the full details for the journey.