The GST Regime has changed India in more ways than what meet the eye. We can go so far as to say that GST has turned India into a single integrated market rather than fragmented, state wise market places. This can be explained quite simply – before GST the taxation system was disintegrated. It was largely based on manual compliance hence it was a tedious and time taking process. Companies had to manage their supply chain keeping in mind the state borders instead of the consumer belt. It was hindersome for both the companies and the government. Things have changed now. The GST taxation system with help of e-way bill has redefined transportation and logistics. We shall see how.
The problems faced by the logistics department pre-GST
When it comes to transportation of goods time can literally be translated into money. Considering that, 30-40 hours wasted at interstate check posts could prove to be destructive for companies. This happened mostly due to manual efforts and dependency on paper work. The e-way bill accommodates all relevant details and transfers all relevant data to a common portal. Not only does it drastically reduce the time spent at check posts, it also makes vigilance easier for the government.
The e-way bill
While talking about the current state of logistics in India one must dedicate some space to the e-way bill. It is a document that is electronically generated on the NIC portal by the consignor or the consignee and has to be carried by the person in charge of a vehicle. This applies only to the consignments worth more than Rs 50,000 for inter-state and varies for intra-state from 50,000 to 1,00,000 and beyond.
Automation plays a vital part in successful implementation of the e-way bill. The generation, updation and cancellation of E-Way bills usually occur through advanced e-way bill software and if you can do all this from within your ERP it would make business run seamlessly. These allow you to streamline supply chain management and to keep track of the cost while making sure that the business is fully-compliant.
Why companies need process automation
With companies having to supply and distribute large volumes of goods from different parts of the country in least amount of time it is important that you embrace technological advancement to improve efficiency either to stay ahead of your competitors or to do business at optimal speed. It is not an option but the demand of the situation. Study from the world bank confirms that Indian companies that have successfully implemented the e-way bill, saved 30-40% on transportation and non-compliance penalties.
Evolve with the market or lose it
The evolved market demands that you evolve with it. All it takes to drop out of business is a few delayed deliveries and a tainted reputation. The generation and updation of e-way bills have become very easy thanks to the multiple advanced software that help you navigate through the processes. All you need to do is choose a right platform and start streamlining the processes.
The consumers today have changed. Things get in and out of fashion within days. The last thing one can afford is technological obsolesce. Speed is of the essence and companies need to gear up for it.
