By Matthew Costello, CEO at Voyager Portal
In today’s fast-paced shipping and logistics industry, the efficiency of demurrage claim processing not only reflects the operational effectiveness of a team but also significantly impacts the financial health of the organization.
This post explains how to measure the total number of claims processed per demurrage analyst each month—a metric that shines a light on whether a team is adequately resourced or if adjustments are needed to handle the workload.
As a Business Leader, VP, or C-suite, tracking and measuring relevant KPIs is a critical first step to understand how your company is performing, specially in demurrage where the interpretation of a certain contract or clause can lead to big financial losses.
In this post, the last one of the series, we’ll be covering Claims Processed per Month:
Understanding the claims processing capacity of the team is critical to understand if more or less resources are needed. An overload of claims can result in missed time bars and delayed payments that can have significant financial consequences.
Steps to improve this metrics
- Start capturing claim documents immediately upon fixture to streamline future calculations
- Leverage AI and automation to reduce manual data entry of Statement of Facts events
- Maintain standard operating procedures and tracking to ensure claims move through the calculation and settlement process
- Drive for standard terms across contracts to simplify calculations and avoid nuance
- Insist on claims from external parties to be presented with all supporting information and documents to reduce counter processing time
What is a good benchmark
- Petrochemicals (CPP etc) and Crude: 75 claims per analyst per month
- Speciality chemicals (Parcels): 40 claims per analyst per month
- Dry cargo/Break Bulk: 30 claims per analyst per month
