Choosing the right 3PL billing software can have a monumental impact on an operation’s bottom line. It’s critical for providers to find the right 3PL warehouse management system (WMS) in order to enable flexibility to meet the invoicing needs of each client, capture any and all billable events to limit leaky labor and project tracking, and automate the billing process to reduce errors and headache for your team.
What is 3PL Billing Software and Why is it Valuable?
When 3PLs bill manually, there’s very little data available to help them capture what they’ve earned and make smarter business decisions down the road. A 3PL billing system is critical functionality of a 3PL warehouse management system, because it automates the billing process and can help provide end-to-end visibility into work delivered and KPIs that matter.
Here are a few key features to look for when choosing the best WMS and 3PL billing software for your business.
3PL Billing Software Feature #1: Billing Methods
Choose a 3PL WMS that offers a wide variety of billing methods and considers labor, storage, value-added services and other unique requirements.
- Quantity: Billing by quantity can be associated with almost any Unit of Measure (UOM) such as Eaches, Cases, Layers, Pallets, Cubic Inches, and weight, including catch weight.
- Pallet Count: Billing by pallet count considers the total number of pallets received or stored without concern for actual quantity in a stack.
- Quantity Modulus: Billing by quantity modulus applies a different rate for each picking activity such as picking by Eaches, Cases, Layers or Pallets to account for the varying levels of labor required.
- Cubic Feet: Picking by cubic feet can be used for inbound or storage calculations on an item-by-item basis.
3PL Billing Software Feature #2: Business Events and Triggers
The right 3PL billing software makes sure specific activities trigger a calculation allowing charges to be automatically captured for review.
- Receipt Close: Calculations occur when receiving for an inbound trailer/container is completed and the order is closed.
- Ship Close: Calculations occur when the shipping of an outbound load is completed and the order is closed.
- Renewal: Calculations are performed for storage charges at a set time during the month and supports anniversary date storage.
- Pick Tour Complete: Calculations occur when the order has completed picking which is useful for capturing value-added services.
3PL Billing Software Feature #3: Rate Groups
Find a solution that allows users to create and contain rates that are applicable to specific item types. This is particularly useful for customers that have items with various handling needs, such as Case, Drums, Super Sacks, Pails, etc.
3PL Billing Software Feature #4: Automation
Make sure rates can be set to calculate automatically when a business event has occurred or manually if a user needs to input quantity. Customers can have a setting that automatically approves charges which clears them for billing. Charges can be reviewed at any point in the process.
3PL Billing Software Feature #5: Advanced Functions for E-Commerce
Find a WMS that enables you to take advantage of growing e-commerce fulfillment opportunities with added flexibility and automation.
- Quality Control and Product Inspection: Route select merchandise to predefined locations during receiving for quality control and inspection.
- Pick and Pack Plus: Support both D2C and B2B customers with features like order-specific packing instructions, order-specific documents and labels, forced confirmation of carton picking accuracy, and route cartons/orders to weighing and manifesting stations for consolidation and shipping.
- Reverse Logistics: Produce customizable “return to vendor” status code; route products for inspection, quality control, rework, repacking, etc. Manage salvageable goods according to various statuses including regular, rework, and more
If you’re considering 3PL billing software, you may benefit from working with a WMS consultant or 3PL consultant to ensure you get the right software for your business.
Made4net solutions provide real-time inventory visibility, labor management, and equipment productivity with performance analytics that drive faster, more accurate order fulfillment and improved throughput. For more than 20 years, Made4Net’s best-in-class 3PL WMS, Synapse 3PL Expert, has been serving the needs of 3PLs, operating dozens of facilities, managing hundreds of users, maintaining every popular 3PL integration, and processing thousands of orders — all on a unified, private instance of software. In addition to Synapse 3PL Expert, the company offers extended supply chain execution solutions, including yard management, dynamic route management, proof of delivery, and warehouse automation solutions that deliver true supply chain convergence. Ready to learn more. Chat with an expert here.
You might also like our answer to the question, “What is a 3PL warehouse management system?” here.
