06 Feb The integration challenge holding back global EXIM operations
In the bustling world of global trade, where export-import (EXIM) operations connect nations, companies frequently face a significant challenge: effectively integrating their workflows. A study involving 313 companies revealed troubling integration gaps that hindered operational efficiency and compliance, leading to bottlenecks and confusion that cost precious time and resources. As the findings circulated, industry leaders recognised the urgent need to address these issues for survival in a competitive market. Inspired to innovate, companies began to harmonise their operations, transforming challenges into collective strengths. Ultimately, the LCCT Market Study sparked a wave of change, enabling businesses to navigate the complexities of global trade with clarity and purpose, paving the way for a brighter future in EXIM operations.
Integration Gaps: The Core Issue
One major challenge is the disconnect between ERP systems, such as SAP and Oracle, and logistics partners, including freight forwarders and customs brokers. These external partners often use specialised systems that misalign with existing ERP data structures, resulting in inconsistent shipment status updates, duplicate entries, and missing critical information. This further complicates compliance efforts.
Fragmented Data Standards
Companies frequently encounter multiple data formats, including CSV, EDI, PDFs, and emails. The absence of a unified standard makes integrations time-consuming and costly, as teams must engage in frequent manual interventions to correct errors. This fragmentation delays projects and depletes resources.
API Fragility and Invoice Integration
API fragility poses a significant concern, with disruptions occurring during ERP updates that lead to automation breakdowns costing time and money. Additionally, vendor invoice integration often suffers from inconsistent rate tables and validation issues.
Real-Time Data Updates and Control Towers
A lack of real-time data can breach turnaround times (TAT), forcing teams to rely on outdated information. Adopting a Control Tower approach can help tackle these integration challenges by providing real-time visibility and facilitating seamless data flow across platforms.
Moving Toward Zero-Fragility Integrations
As global supply chains evolve toward real-time visibility, the need for integration must transition from project-based work to continuous, automated alignment. The LCCT framework enables standardised data and connections among all stakeholders, significantly reducing integration downtime. This evolution leads us closer to a future where EXIM processes operate without interruption, driving better compliance and operational efficiency.