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An onforwarder is like typically another company who's gonna be handling the delivery for you at some part of its journey. So this happens a lot with our clients who are doing things in Adelaide. The reason is, is that South Australia is a pretty unpopulated state and there's massive distances between places.

So what happens, when you use an onforwarder is that you might have an order from somebody, which is going to a place that you don't go yourself. So you will actually use another company to take it to that location. The complication around this though is that you still have to get the parcel from your warehouse to their warehouse, so they can put it on their truck.

The way that we implemented this in CartonCloud is that consignments or delivery jobs, consignments can actually have up to three addresses. They have a pick up job, which is where you got it from originally. They have a delivery address, which is where it's going at the very end, and they also have an onforwarder address. And what this means is that you're driving those, I gotta take it to this onforwarder, I gotta take it to, I don't know, specialty transport. And then they know from looking at the label, “Oh we need to take it all the way to Port Augusta” or something crazy like that. So that's what an onforwarder is, it's another basically step in the chain that's not necessarily managed by your vehicles.

Now where this becomes a little bit complicated is in pricing. So when you come down to charging for these kinds of jobs there's two different ways that it can happen, and that can be varied depending on the customer. So as the freight company, you might actually charge your customer for getting it all the way from your place, all the way to the end destination. Or you might only charge them to get it to the onforwarder destination. Then in that case we only charge them to get it to the onforwarder destination. The guys who actually deliver that last part they would invoice the customer directly. But in the case where you pay for the whole thing, then the guys that do that section they gonna come back and bill you for doing that work.

So as a result, there's also configuration options and stuff like that within CartonCloud around delivery runs and how they work, because you would have a delivery run which is called Onforwarder and Specialty Transport. And then you have rules on that delivery run to say when you have a job on this delivery run should you charge it based on where it's going at the end, or should you charge it just to get it to that depot? And then all of that sort of stuff flows through to invoicing and everything else like that.


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