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ChemLogix and Nistevo to Automate Freight Rating, Accruals and Audit/Settlement for Akzo Nobel Surfactants; Nistevo Network Provides Real-Time Cost Detail for All Planned Charges
Nistevo Corporation, the leading Collaborative Logistics Network(SM) for transportation management, and its supply chain partner ChemLogix, LLC, a leading provider of integrated logistics solutions for the chemical industry, today announced the successful integration and automation of all freight accounting processes for the Surfactants Business Unit of Akzo Nobel. The Surfactants Business Unit of Akzo Nobel, a leading producer of cationic and specialty surfactants, has selected the Nistevo Network to automate its freight rating and audit/settlement.
In this first phase of a two-phase transportation improvement initiative, ChemLogix is using the Nistevo Network, an on-demand transportation management system, to automate shipment rating, prepay-and-add customer billing, freight cost accruals, and freight bill audit/settlement for Akzo Nobel Surfactants. Shipment records are passed in real-time from SAP to ChemLogix where they are rated according to Akzo Nobel's carrier contracts for line haul expense and all planned accessorial charges. These rated costs are passed back to SAP for customer billing and freight cost accruals. ChemLogix then uses the Nistevo Network to automate the audit and settlement of freight invoices.
Additionally, Akzo Nobel Surfactants customer service is now using the web-hosted Nistevo Network to look up freight rates for customer quotes. This helps to ensure that accurate and current freight rates are used throughout the customer delivery process.
"ChemLogix and the Nistevo Network has helped us to automate and streamline a process that was previously touched by many individuals through phone calls and emails," said Janet Crawford, commercial services manager, Akzo Nobel Surfactants. "The new process allows us to keep tight controls over freight accounting, from the point of the quote to the customer to the payment and auditing of freight bills."
According to Mike Skinner, vice president of freight systems for ChemLogix LLC, the Surfactants Business Unit of Akzo Nobel is one of a growing number of companies that appreciates the need to close the gap between freight quotes to customer, freight accruals and actual freight payment.
"Prior to the recent surge in fuel costs, it was common for this gap to represent as much as one to three percent of a shipper's freight expense," said Skinner. "Now with fuel expenses fluctuating so frequently, we are seeing companies with freight allowances, either prepaid or prepay-and-add, that are 10 to 15 percent less than their actual freight costs. This can mean millions of dollars of un-recovered expenses for mid-market shippers."
"Nistevo is pleased to team with ChemLogix within the chemical industry," said Kevin Lynch, president and chief executive officer of Nistevo. "Combining Nistevo's proven technology and ChemLogix's logistics expertise will allow us both to deliver value to customers like Akzo Nobel Surfactants."
In the second phase of this initiative, ChemLogix will deploy the Nistevo on-demand Network to automatically plan, execute and track Akzo's shipments for truckload, bulk and LTL freight.
About Akzo Nobel Surfactants
Akzo Nobel's Surfactants, a business unit of Akzo Nobel's Chemicals Group, is a global producer of cationic, anionic and nonionic surfactants and supplies a multitude of industries with a wide variety of products. Akzo Nobel Surfactants manufactures chemicals which people encounter every day in items such as: agricultural additives, asphalt paving, household and industrial cleaners, fabric softeners and processing aids, mining and mineral coating processing aids, oil / fuel, refining and recovery additives, printing inks, personal care products, lubrication additives, paper pulp, paints and construction products.
About ChemLogix, LLC
ChemLogix, LLC creates economic value for customers through inventory technology, supply chain and logistics optimization. ChemLogix provides industry-leading consulting services, transportation rate optimization, and comprehensive transportation and inventory management services, enabling clients to improve performance and increase profits. For more information, visit www.chemlogix.com.
About Nistevo
Nistevo is the leading Collaborative Logistics Network(SM) for transportation management, a hosted software service that enables manufacturers, retailers, distributors, logistics service providers and carriers to view, plan, execute, settle and report on their shipments. Using the Network, members are managing more than five million shipments annually, resulting in significant cost savings for freight moved. Nistevo's clients include Church & Dwight Co., The Dial Corporation, Tractor Supply, Ocean Spray, Smithfield Foods, Cargill, General Mills, HP Hood and Seneca Foods, among others. For more information, visit www.nistevo.com.