Deutsche Bank is partnering with ocean carrier e-commerce outfit Inttra to provide an electronic invoice presentment and payment (EIPP) service to the $260 billion container shipping industry.
Under the agreement, Inttra will expand its e-commerce services in the 4th Quarter, 2009 to offer carriers the ability to automate inefficient invoicing processes through the use of Deutsche's eBills EIPP platform.
There are an estimated 150 million invoice transactions processed a year for ocean shipping with average costs ranging from $20 - $60 per invoice depending on the processes used. Implementing an electronic solution can cut average transaction processing costs by more than half, say the partners.
Carriers also benefit from accelerated collection of their accounts receivable and improved working capital, making cash available sooner. Shippers and logistics providers meanwhile profit from having a standardised accounts payable process for receiving, processing and paying all of their invoices, improving visibility of their cash liabilities and providing a transparent dispute resolution process.
Additionally, digitisation of the invoices within the ocean freight industry could preserve approximately 75,000 trees per year, says Deutsche Bank.
Ken Bloom, chief executive officer, Inttra, comments: "With more than 260,000 container orders initiated on the Inttra platform each week, representing over 10% of global ocean container trade, we look forward to offering all carriers and their shippers the added benefits of an online electronic invoicing solution."