Demurrage Process Flow

Following is the process flow for Demurrage.

 

Tracking Events

Tracking events can be entered via integration or the tracking event manager. Since demurrage charges are time based charges for the extended use of a resource and are typically only considered upon the end of the cycle, you have to first capture the start and end events of the carrier or railroad in order to determine the demurrage start and end times. Using asset tracking or shipment status events sent at different times, OTM will create a single demurrage transaction for a particular resource, location, and SCAC and within specific time period.

Configure OTM to listen to all necessary events (based on status code, reason code, source type and reporting SCAC) which in turn will execute the set of agent actions to match and create or update the demurrage transaction. This demurrage transaction will capture information about the resource, location, start and end times, shipment details etc. When the end event is received, it notes the time to stop the demurrage charges.

The demurrage transaction creation can be initiated by an event or manually. See About Demurrage for details on events. For example:

• Freight Cars -  Events - D, Y, Z
• Constructive Place must also use the destination city (station) to update the start city (station).
• Freight Cars – Manual – Car Order Confirmation, Want Date, Ordered In, Ordered Out
• Intermodal – Events  - AR, UR, NT, OA
• Intermodal – Manual – Reservation, Reservation Date

All subsequent events look for a matching demurrage transaction based on reporting SCAC, equipment initial, number, destination station/state, date range and/or bill of lading and update event details on matched demurrage transaction.

Setup Steps

• Define Status Codes and Reason Codes for tracking events (i.e. status code AR, UR, NT, OA, I, AL) or reuse public status code.
• Define Status Code Profiles, Status Group, Status Group Profile, Responsible Party and Responsibility Party Profile.
• Link Responsibility party profile to tracking event audit action.
• Set up agents for Processing Tracking events. Have a separate agent to listen for each event (i.e. status code AR, UR, NT, OA, I, AL). In order to enable quick and easy understanding towards creation of demurrage transaction based on events, there are some tracking event public agents. By default, these public agents are not active. Copy, create and activate new agents from these public agents. You can modify or create new agent actions based on your needs.

Processing Steps

The demurrage management solution in OTM is driven by shipment status events (for example: - CLM/EDI 322). Upon receiving these tracking events via integration, OTM saves the XML content into the transactions and transmission entities. OTM tracking event processing uses the shipment status XML and saves the transaction into the tracking event entity. This publishes the lifetime tracking event – tracking event created, which in turn triggers the actions. See Tracking Event Public Automation Agents and Tracking Event Agent Actions.

Once the demurrage event is created or updated, it raises demurrage transaction lifetime events.

Note: As part of demurrage, it is possible to raise ordered in and ordered out messages instructing carrier/railroad to move in or out of a particular facility. It is a two step process: a) run the Set Event Status action on a group of demurrage transactions with the appropriate ordered in or ordered out status code and then b) trigger the Send Interface action on a group of demurrage transactions that will send out the XML message to the carrier or railroad.

Match and Propagation

When the tracking event occurs, a demurrage event is created or updated based on the Create or Update Transaction Tracking Event agent action.

Demurrage Transaction Manager

Click here for the Demurrage Transaction manager.

Demurrage Transaction Charges

See the Demurrage Transaction Charges topic for details.

Settlement

See the Demurrage Settlement topic for details on Settlement including interim acrrued charges (liability reports) and monthly settlement reports.