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Electronic supply chain manifest systems reduce the amount of time carriers spend processing manifests and transferring loads from one mode to another by more than 50%.

Electronic supply chain manifest systems (ESCM), also known as electronic freight manifest systems, can enhance security and improve operational efficiencies for shippers/receivers, trucking companies, and air cargo carriers. In 2002, the FHWA completed a study that compared the performance of an internet-based electronic supply chain manifest system against traditional manual paper-based systems. The ESCM system was designed to save time and money by automatically tracking cargo security information from one mode to another throughout the supply chain. Enhancements such as biometrics and smart card devices were used to control access to cargo documentation transmitted over the internet.

The project was carried out in three phases with the primary objective being to measure changes in the efficiency of cargo data transfer between manufacturers, truckers, and airline carriers. The effectiveness of the system was evaluated based on approximately one year of operations and eight shipments that were tracked all the way to the receivers (airlines) at two major airports.

Before and after test results showed that the amount of time spent by participants on manifesting and processing load transfers decreased by 57-100% after the ESCM system was deployed. The improved performance was the result of less time spent on paperwork, data entry, arranging and confirming transport, verifying the identities of drivers, and tracking cargo. In a separate report, the FHWA (FHWA, April 2004) estimated the relative cost savings per shipment:

Manufacturers: $1.52
Motor Carriers: $3.61
Airlines: $2.72

Given the volume of shipments that may benefit from such improvements, the potential cost savings are substantial.

Project Status: Currently, the ESCM system is being incorporated into the Electronic Freight Manifest Initiative.

See the related ITS Benefits Database entry for more information.

Past "Benefit of the Month" summaries are also available.

Last Modified: 08/01/2005