Challenges
Frederic Schad faced several operational challenges in its customs and ground transport processes:
- Time-Consuming Data Entry: Manual data entry for customer invoices and customs documents was a major bottleneck, requiring extensive clerical effort and slowing down operations.
- High Labor Costs: The need for multiple clerks to process large volumes of documents, particularly in ground transport, resulted in high labor costs.
- Limited Scalability: The existing processes limited the company’s ability to scale operations without adding headcount, a challenge given the physical space constraints.
- Accuracy Requirements: Ensuring high accuracy in customs documentation, particularly in HS code assignments, was critical to avoid costly errors and delays.
Solution
Frederic Schad partnered with Reform to automate key aspects of its operations. The Reform platform was integrated into their existing systems, focusing on two primary areas: customs and ground transport.
- Customs Operations: Reform automated the processing of customs invoices, particularly those with complex line items. The AI-powered solution reduced the manual effort required, allowing the team to handle more clients without increasing headcount.
- Ground Transport Operations: By implementing Reform, Frederic Schad streamlined its ground transport invoice processing. The automation reduced the number of clerks needed from five to two, with the other three being reallocated to customer service roles.
Results
Since implementing Reform, Frederic Schad has experienced significant operational improvements:
- 75% of clerks reallocated to customer service roles, resulting in improved customer support, faster response times and increased customer satisfaction.
- Customs filing processing was reduced by 10 minutes per invoice, while ground transport invoices saw savings of 5,000 minutes daily.
- Reform's AI enhanced data accuracy to 98%, minimizing errors and related penalties.
- Frederic Schad is projected to achieve a 600% return on investment within the first year of implementing Reform. This substantial ROI is attributed to the significant reduction in labor costs and increased operational efficiency.
Looking Ahead
Frederic Schad plans to explore additional use cases for Reform, including potential applications in warehousing and accounts payable. By continuing to leverage AI-powered automation, the company aims to further optimize its operations, reduce costs, and improve service delivery.