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How a freight forwarder monetize and improve service level from Omni-Channels enablement?

Introduction

Our survey to freight forwarders suggests that self-service model is on the top of the COO and CIO’s agenda to achieve service excellence under cost-reduction initiative. Among 26 executives within the global freight forwarding business who have experience implementing self-service solutions interviewed,

  • 38% of them are satisfied with the implementation outcomes,

  • only 30% of them are optimistic about the outcomes but still yet to capture its benefit,

  • 15% of them are uncertain about the performance mostly during the implementation journey.

Below are the top three challenges encountered by the operation.

  • The return on investment of running multiple communication channels in a coordinated manner is low

  • The capability and the architecture to extract insights from the conversation is insufficient and expensive respectively

  • The service personalization is yet to meet business expectation

When the company further drills down to see the root causes of the top three problems, different factors weigh-in and are indicated as insufficient along the transformation lifecycle

  • Selection of self-service solution: Addressing the business pain points

  • Capability building for the operation: Knowledge transfer; Knowledge database development

This article illustrates how a global freight forwarder leverages omni-channel service cloud as part of the self-service model transition program to monetize and improve service level in the freight booking to customer support area.


Transformation journey and the success factors

Selection of self-service solution

Aligning business pain points among implementation team members is essential to generate directives for the leader to follow. It is vital to conduct a 360 degree review of the existing operation. A top-down issue tree is illustrated for the team and it enables the project team to map to respective features of the omni-channel solution. Below is part of the issue tree.

…Part of the issue tree is shown…

Tools

  • Outgoing engagement is not customer centric

    • Communication engagement is based on non-unified customer profile data and knowledge

      • Channels are not integrating with the customer data sources

  • Insight extraction

    • Lacking feature in the existing solution to synthesize conversations across channels

Resources

  • Human resources

    • Handling enquiries at the same time in 4+ channels is not practical

      • Switching from one application to the others is clumsy

      • Coordinating multiple channels for the same customer or the same case is tedious

      • 30% of the enquiries are repetitive and are considered frequently asked questions that can be easily handled via other available channels

    • Conversation history is lost when there is employee turnover

…Part of the issue tree is shown…

With the fact that omni-channel becomes a hurdle to transit from conventional servicing to self-servicing, it is good to consider from a pool of omni-channel enablement solutions as the phase one self-service transition program.

Tools

  • Outgoing engagement

    • Communication engagement is based on non-unified customer profile data and knowledge

      • Channels are not integrating with the customer data sources

Feature: Omni-channel integrated to the customer relationship management system/ customer profile

  • Insight extraction

    • Lacking feature in the existing solution to synthesize conversations across channels

Feature: Built-in analytics/ customized dashboard for business to synthesize customer sentiment, extract key context and measure operational indicators to explore upcoming opportunities and improve existing service level

Resources

  • Human resources

    • Handling enquiries in 4+ channels is not practical

      • Switching from one application to the others is clumsy

Feature: One solution on single device capable to handle multiple channels enquiries

  • Coordinating multiple channels for the same customer or the same case is tedious

Feature: Consolidated conversation thread from multiple channels to have a full glance of the customer’s interaction

  • 30% of the enquiries are repetitive and are considered frequently asked questions (FAQ) that can be easily handled via other available channels

Feature: Provide pre-chat, auto triage and chatbot features to handle 30% of the FAQ

  • Conversation history is lost when there is employee turnover

Feature: Hotline dedication to customer and conversation history will be stored as part of the company asset

Figure 1 is the high level process framework for the freight forwarder.

KY & Company: case management for freight forwarder

Figure 1. Service cloud process framework

  • Capability building for the operation

Knowledge management is a continuous process. Knowledge transfer is essentially embedded in the operation and becomes the standard operating procedure to create, update, distribute and archive respective knowledge articles. The knowledge articles serve four main objective:

  • Gear up skill for the new staffs as part of the onboarding process

  • Distribute the knowledge when there is SOP and local regulatory changes

  • Strengthen and remind service & sales agents on certain topics

  • Map under different business contexts and show to the service and sales agent for each case

Considering the business complexity, cases are embedded with relevant knowledge articles and are routed to preferred agents and escalated to the supervisor when certain conditions are met.

By implementing the omni-channel solution, the freight forwarder is able to capture below benefits

  • 25% more leads for the freight business with automatic opportunities detection and chat-to-book during the freight rate comparison journey

  • Improve customer resolution time within 2 hours fulment rate from 97% to 98.5% for certain key process scenarios including custom clearance

  • Maintain current service and sales agent headcounts after the deployment of the omni-channel solution

Undoubtedly, There are other success factors for the implementation of self-service solutions including but not limited to implementation approach, customer selection and many others. The factors are worth reviewing and are differ case by case.

 

ABOUT THE AUTHOR(S)

Dan Howard is a Senior Consultant, Supply Chain in the Hong Kong office; Mike Kwok is the managing director in the Hong Kong Office


For more information, please contact info@kyand.co

 

KY & Company

February 2023

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