VRL Logistics Ltd. is the largest logistics and transportation company in India. Founded in 1976, VRL has a fleet of nearly 4000 transport trucks, over 400 tour buses, and nearly 1000 branches and franchises across India. VRL Logistics Ltd offers courier services, priority cargo, parcel service, air charter services, and warehousing solutions. Transportation and logistics is a complex business. Beyond the normal challenges of managing their tremendous fleet of vehicles, they were facing an even greater challenge with one of the most mundane parts of transportation: paying and accounting for tolls.
Manual reconciling bank statements with toll payments
The VRL logistics Ltd. finance department had a challenge reconciling bank statements with the automatic tolls their vehicles were automatically charged on the roads. There was no automatic reconciliation between what the bank said was paid and what was charged. For VRL Logistics Ltd, this meant that employees had to manually check bank statements against toll charges to make sure the company wasn’t being overcharged for highway tolls. The process was labor intensive and prone to mistakes.
Virtual long number for receiving payment details over SMS
VRL Logistics’ IT department created a custom component in their ERP system to automatically reconcile the bank statements with toll charges as they came in all enabled with SMS. After the new component was implemented, every time a vehicle was automatically charged on the highway, within a few seconds VRL Logistics Ltd receives an SMS message with all the payment details. The message is triggered by Electronic Toll Collection system the moment the vehicle exits the highway. SMS message is sent via a Virtual Long Number (VLN), containing payment details, exit time, and toll name. The ERP system receives the SMS and can automatically match that payment with their bank statements.
Automated Billing Reconciliation
Before automating billing reconciliation, VRL Logistics Ltd needed 15 people from the finance department to manually compare bank statements with the information about when and where tolls were paid. Now with the new ERP component, bank statements and toll charges are reconciled automatically, all with data sent via SMS, which is an important improvement in their internal processes, facilitating their operations and growth.
Infobip made a vast improvement to our internal communications. By fully automating one of the most cumbersome aspects of our billing process, the platform enabled us to operate with maximum efficiency.