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Tag: ltl freight billing

  • How AP/AR Automation Integrates With Your TMS (Without IT Help)

    How AP/AR Automation Integrates With Your TMS (Without IT Help)

    AP and AR automation are no longer a “nice-to-have” for finance teams of brokers and 3PLs; it’s strategic. According to research, 78% of CFOs view AI integration as crucial for accounts payable and receivables to improve efficiency, accuracy, and cash flow management.

    However, despite clear benefits, adoption often lags due to perceived integration challenges with TMS, accounting systems, and payment systems.

    Brokers and 3PLs attempting to modernize backoffice consistently list data quality and integration complexity as top barriers. A Deloitte survey highlights that 62% of organizations cite difficulty integrating automation tools with existing systems as a key challenge, and 55% say lack of skills adds friction to scaling automation.

    For freight brokers, the Transportation Management System (TMS) is the operational backbone that contains load details, rates, accessorials, and billing logic. The fear of disrupting this system through integration work often slows automation projects before they even begin.

    This is where Lighthouz AI changes the equation. 

    Its freight-native platform ensures AP/AR automation integrates with your TMS seamlessly, along with accounting and payment systems—without internal IT lift or workflow disruption. As a result, brokers can deploy automation in days and start seeing measurable business impact within weeks.

    Why Integrations AreSeemingly the Biggest Barrier to Automation

    Accounts payable and receivables automation promises efficiency, reduced errors, and better cash flow. Yet many teams never get past the starting line because technical ownership remains a top challenge.

    For freight brokers and 3PLs, this challenge is intensified. The TMS isn’t just another tool. It’s the system of record that drives rate logic, accessorial calculations, and invoice generation. Disrupting it or requiring custom engineering work to connect new systems can threaten operational stability.

    Gartner research shows that over half of finance organizations are adopting AI, but data quality and integration issues remain major obstacles to scaling automation across finance functions 

    As a result, many brokers’ finance teams adopt only partial automation or delay projects altogether, leaving manual processes in place longer than necessary.

    While many automation tools focus on a single system, real finance transformation requires seamless integration across the TMS, accounting platforms, and payment systems.

    The Modern AP/AR Stack for Freight Brokers

    To grasp how automation should fit in, it helps to visualize the finance and operations tech stack:

    • TMS (Transportation Management System): Source of truth for operational data, including loads, rates, accessorials, billing rules, and settlement logic.
    • Accounting Systems (e.g., QuickBooks): The financial ledger where validated invoices are posted, reconciled, and reported.
    • Payments Platforms (e.g., TriumphPay): Systems that execute carrier payments and manage receivables.
    • Email Inbox: Platform where carriers and factors submit invoices, PoDs, and receipts

    Lighthouz AI acts as the connective layer between these systems, transforming operational data into clean, auditable financial transactions. When integration is seamless, finance teams can reduce manual effort, errors, and cycle times without disrupting the TMS.

    Cloud-native and AI-enabled automation platforms are increasingly used because they support real-time sync, flexible workflows, and easier connectivity compared to legacy on-prem systems. Source: ResearchIntelo

    The-Modern-APAR-Stack-for-Freight-Brokers

    How AP and AR Automation Flows Across Email, TMS, Accounting, and Payments

    AP and AR automation works best when it fits into existing finance and operations workflows, without modifying the workflows. For freight brokers, this means starting at the inbox and connecting every downstream system without manual handoffs.

    Here’s how the end-to-end workflow works in practice:

    1. Invoices arrive via email: Carriers and factors send invoices, PoDs, and receipts directly to the AP inbox.
    2. Lighthouz AI ingests invoices automatically: Emails and attachments are picked up without forwarding or uploading.
    3. Invoice data is extracted and validated: Invoice details are checked against shipment data from the TMS.
    4. TMS is updated, and invoices are generated: Documents are uploaded to the TMS and carrier bill is approved on the TMS, and customer invoices are created.
    5. Accounting and payments are updated: Clean data flows into accounting systems and payment systems, triggering payments and receivables.
    end-to-end-workflow-works

    Behind the Scenes: How Lighthouz AI Is Implemented Without IT Lift

    After understanding the AP and AR workflows, the next question is often:

    How hard is it to implement?

    When AP/AR automation integrates with your TMS, implementation is handled by the Lighthouz AI team within a couple of days, with minimal effort required from the broker’s team. There is no disruption to existing workflows or systems.

    Lighthouz AI is built to work seamlessly with your current stack.

    Step 1: Secure Connections to TMS and Email

    • Lighthouz AI connects securely to the broker’s TMS and AP email inbox.
      • Connection with the TMS requires creation of an API key on the TMS and sharing with the Lighthouz AI team 
      • Email integration is a two-click process or can be set up as an auto-forward
    • No internal development is required by the broker 

    This allows automations to start immediately and safely

    Step 2: Automatic Data Ingestion

    • Once connected, Lighthouz AI pulls data from the email and the TMS automatically:
      • Load details, rates, and accessorials are pulled from the TMS whenever required
      • Invoices and documents from email

    This removes manual exports, spreadsheets, and delays.

    Step 3: AI-Based Validation of Freight Bills 

    • Lighthouz AI cleans and validates data automatically:
      • Classifies emails and document pages 
      • Extracts all information from the freight bill, PoDs, and receipts, even when the documents are in PDF or image format 
      • Checks all charges against the TMS shipment data

    Only accurate, validated data and documents move forward. Any mismatches are flagged as exceptions. 

    Step 4: Continuous Sync Across Systems

    • Throughout the entire process, the system stays in sync automatically:
      • Data flows from emails to TMS 
      • TMS updates flow into accounting and payment systems 
      • Clean freight bills process on their own with zero human touch. Only real exceptions need review. 

    Lighthouz AI connects TMS, accounting, and payments as one continuous workflow, eliminating ongoing IT dependency while allowing automation to scale.

    This model enables best ROI in automation adoption, in which systems allow scaling while reducing manual touchpoints.

    What “No IT Help Required” Really Means

    The phrase “no IT lift needed” is often overhyped, but with Lighthouz AI, it’s operationally real:

    • Lighthouz-managed integration: Lighthouz takes care of the entire integration, from setup to mapping to maintenance.
    • Minimal reliance on internal IT: Brokers don’t need internal developers, API builds, or custom scripts.
    • No disruption to existing workflows: TMS configurations remain unchanged, reducing risk and speeding implementation.
    no-IT-lift-needed

    This Lighthouz-driven approach directly addresses the integration challenges identified by Deloitte, where nearly two-thirds of organizations struggle to connect new automation tools with existing systems.

    This same vendor-managed approach applies across the full financial stack, including the TMS, accounting platforms like QuickBooks, and payment systems, eliminating the need for separate integration projects.

    As a result, brokers can move from decision to deployment faster, without the delays that typically stall automation initiatives.

    How Lighthouz AI Connects Accounting and Payments

    Once TMS data is normalized and validated, Lighthouz AI pushes clean, structured carrier bill approvals and customer invoice approvals into your accounting and payment platforms. This significantly reduces manual data entry work.

    From there, automated payment workflows trigger carrier payouts and customer collections more quickly and with fewer errors, improving cash flow and shortening settlement timelines.

    This seamless financial pipeline is what many organizations aim to achieve when adopting automation, but often fail to realize due to integration complexity. By automating the flow of data from operations to finance and payments, Lighthouz AI delivers clear, measurable business value.

    Common Integration Concerns – And How Lighthouz AI Solves Them

    1. Will it disrupt our TMS usage or TMS workflows?

    No. The integration is scoped and non-invasive and is designed to respect your existing systems and processes.

    2. Our TMS data isn’t perfect.

    No problem. AI-enabled normalization adapts to real-world data inconsistencies without requiring upfront cleanup.

    3. Integration takes too long.

    Lighthouz-managed connectors typically go live within two days, not months, even without internal technical resources.

    4. What happens when our TMS setup changes?

    Lighthouz maintains the integration as systems evolve, adjusting to configuration or data changes to keep workflows running smoothly without added effort from your team.

    5. Will this create ongoing IT dependency?

    No. Lighthouz AI owns integration monitoring, updates, and maintenance, so brokers are not pulled into long-term technical support or troubleshooting.

    6. How are exceptions and edge cases handled?

    The system automatically processes clean invoices and routes only true exceptions for human review, ensuring automation increases control rather than hiding issues.

    The Operational Impact of TMS-First AP/AR Automation

    When AP/AR automation is integrated directly with the TMS, the impact is measurable across finance operations.

    Invoicing customers becomes faster as finance teams spend less time on manual data entry and correcting errors. Costs per invoice decline because automated workflows reduce labor effort and limit exception handling. 

    At the same time, continuous data synchronization improves cash flow visibility, giving teams better insight into forecasting and working capital management.

    Case in Point: NAD Logistics + Lighthouz AI

    In a real-world deployment, NAD Logistics partnered with Lighthouz AI to automate carrier bill audits and streamline finance operations:

    • Average time to invoice customers dropped from ~2.11 days to ~0.47 days – i.e., NAD is now invoicing customers within 12 hours of delivery
    • The accounting team saved an estimated 90–120 minutes of manual work daily.
    • Manual paperwork use declined sharply as automation replaced repetitive tasks. 

    This case underscores how automation integrations, when handled by a vendor with deep domain expertise, can scale operational capacity without adding headcount.

    Together, these capabilities enable end-to-end financial automation, with data flowing from the TMS into accounting and payments without manual handoffs, reducing delays across the procure-to-pay and invoice-to-cash cycle.

    Conclusion – Automation Without Friction

    AP and AR automations do not fail because they lack value. They fail when integration turns into an internal IT project. When automation is seamless, vendor-managed, and aligned with existing operational systems like the TMS, it becomes an accelerant rather than a blocker.

    With Lighthouz AI’s TMS-first, fully-managed integration approach, freight brokers and 3PLs can automate finance workflows without relying on internal IT. 

    This reduces invoice and settlement cycle times while improving cash flow visibility and forecasting accuracy. As a result, finance teams are able to focus on strategic priorities instead of manual, repetitive tasks.

    Integration should be invisible. The results should be unmistakable.

  • The LTL Audit Automation Tool Brokers Needed Is Finally Here

    The LTL Audit Automation Tool Brokers Needed Is Finally Here

    LTL freight bill audits and disputes are one of the biggest headaches for LTL brokerages. LTL brokers already know they need automation. What they haven’t had is a tool that truly handles the complexity of LTL invoices. Until now.

    Traditional accounts payable systems claim to automate AP. But when LTL invoices come in, full of unexpected accessorials, re‑rates, re-classes, and fuel adjustments, those tools fall short. LTL brokers aren’t asking for education anymore. They’re asking for a freight bill audit tool that actually works for LTL.

    This article explains why the existing solutions fail and how Lighthouz AI delivers the first real solution tailored for LTL invoice audit and dispute automation.

    Why LTL Bill Audit Automation Claims Always Fall Short

    Most AP automation platforms were not built for LTL freight billing. They focus on matching totals, but LTL bills are not simple totals. They contain dozens of variable elements that matter:

    • Line‑item accessorials (e.g., detention, liftgate, residential delivery)
    • Class, weight, and route‑based pricing
    • Fuel surcharge nuances
    • Carrier‑specific rules and tariff applications

    These factors demand logic, not just workflow. Industry research shows that a substantial share of freight invoices contain errors that require audit attention. 

    According to a freight invoice audit study that reviewed nearly 250,000 LTL bills, 42.8% of detected exceptions were due to inaccurate accessorial charges (such as liftgate, residential, limited access, etc), and many others stemmed from differences in linehaul, re-classification due to reweights or redimensions- making it critical to look beyond simple total mismatches.

    Freight Invoice Errors in LTL Billing

    Stats source

    In other words, LTL invoicing mistakes are systemic, not occasional, and traditional AP tools don’t have the intelligence to interpret them.

    The Real Sources of LTL Invoice Errors

    1. What Causes Billing Variance?

    Let’s look closer at why LTL invoices are so prone to mismatches:

    A. Accessorial Charge Mistakes

    Extra services such as liftgate, limited access, or residential delivery often get billed incorrectly when shippers rely on memory and don’t  have their systems set up correctly, and brokers don’t have an easy way to validate the charges.

    Fact: In a large LTL invoice dataset, accessorial charges accounted for the largest category of errors.

    B. Misclassifications Errors

    Incorrect NMFC code, freight class, and rates can inflate costs significantly because of reclassification charges by the carrier and higher rates in the reclassed tarriff. 

    C. Reweighs and Reclasses due to changes in weight or dimensions 

    Shippers often ship products with different weights and dimensions compared to their initial request. This leads to reweighs and reclasses, changing the linehaul and fuel charges, and applying an inspection charge penalty. 

    A broader freight audit survey shows that 15–25% of freight invoices contain some form of error, illustrating how common billing discrepancies are across transportation operations. 

    2. Why These Errors Matter for LTL Brokers

    Unlike standard bills, discrepancies in LTL billing:

    • Increase operational overhead
    • Require escalation with carriers and shippers 
    • Delay cash flow
    • Erode margins

    No wonder brokers want automation that does more than route tasks — they want real validation and resolution.

    3. Simply Automating Workflows Isn’t Enough

    Some automation vendors tout features like OCR, rule-based routing, or electronic approvals. Those help reduce data entry, but they do not verify the truth of the invoice against the contract, tariff, or shipment specifics. 

    Most of these systems only check whether the overall invoice amount matches expectations, they do not validate accessorials at a line-item level, and they do not support automated disputes.

    Instead, in LTL, automation must:

    1. Analyze each line item
    2. Validate accessorial charges accurately
    3. Compare against contract and tariff rules
    4. Detect nuanced reweigh, reclass, and rate mismatches
    5. Support efficient and automated dispute creation and workflow

    That’s far more complex than simple invoice total matching, and generic AP platforms weren’t engineered with this in mind.

    Introducing Lighthouz: Built for Real LTL AP Automation

    Now for the real breakthrough: Lighthouz.

    Lighthouz was built with LTL freight billing complexity at its core. Every part of its automation engine understands the nuances of LTL invoices and addresses the real pain points that slow down LTL brokerages: delayed customer invoicing, backlogs, wrong or duplicate payments, and missed invoices. 

    By tackling these issues, Lighthouz helps LTL brokers maintain cash flow, reduce disputes, and operate more efficiently.

    1. How Lighthouz Automates LTL Bill Audits 

    Lighthouz approaches LTL carrier bill audits with LTL-specific logic, handling the LTL complexities that generic AP tools cannot manage.

    A. Accessorial‑Level Validation

    Instead of just checking total dollar amounts, Lighthouz dives into each charge, verifying if each charge is valid:

    • Residential pickup / delivery 
    • Liftgate 
    • Limited access pickup / delivery 

    These accessorials are automatically validated against shipment details, location intelligence, and carrier rules to ensure accuracy before invoices move forward.

    B. Validating reweighs, re-dimensions, and reclass charges 

    When carriers apply reweigh, redimension, or reclass charges, Lighthouz will automatically check if the supporting documents (such as inspection certificates or weight certificates) are present or not. If not, that is grounds for filing disputes to the carrier. 

    C. Contract and Tariff Matching

    Every increase in linehaul charge is checked against the carrier tariff via the internal rating engine, so pricing errors don’t slip through. This is done for non-dynamic pricing. This ensures:

    • Accurate invoicing  to customers
    • Preventing overpayments to carriers 
    • Applicable disputes with carriers

    C. Automated Dispute Creation 

    When an incorrect overcharge or missing documents are found, Lighthouz automatically builds a complete carrier dispute packet, including all evidence, saving hours of manual work. This helps:

    • Submit disputes faster
    • Increase win rates in disputes 
    • Reduce back-and-forth with carriers 
    • Resolve disputes faster 
    • Prevent backlogs

    D. Dispute Filing 

    Once a dispute packet is prepared, Lighthouz doesn’t stop at documentation. It automatically files disputes with carriers through the appropriate channels, ensuring accurate submission without manual intervention. 

    This eliminates time spent logging into portals, formatting submissions, or managing email threads, allowing AP teams to stay focused on exceptions that truly require attention.

    E. Dispute Lifecycle Management

    Dispute handling is fully tracked within the platform, so nothing gets lost in email threads or spreadsheets. This reduces operational risk and ensures all disputes are fully resolved. Human AP team has full visibility into all disputes. 

    This combination transforms LTL audit from a manual, repetitive chore into a scalable, automated process.

    2. How Lighthouz Stands Out for LTL Brokers

    LTL brokerages and small-to-mid size 3PLs often struggle to find a platform that automates their AP process from freight bill audit to dispute resolution. Many other platforms target large truckload brokerages and in LTL, they only handle total invoice amount discrepancy, not line item-level validations.

    Lighthouz solves these gaps.

    Key Differentiators in LTL

    FeatureLighthouzGeneric Large-Broker PlatformBusiness Impact
    Market FocusSmall to mid-size LTL brokers and 3PLsLarge truckload brokers and 3PLsSupports smaller brokers without large AP teams
    Audit DepthAccessorial line-item levelInvoice total $ amount onlyReduces disputes, wrong payments, and skipped invoices
    Platform ScopeLTL audits, variance management, dispute managementPartial manual auditHandles the full AP/AR cycle with minimal human intervention
    AutomationEnd-to-end: TMS entry, dispute filing, reminders, internal communicationMostly manual auditsEliminates backlogs, accelerates cash flow, saves labor
    Variance Management AutomationAutomated variance detection with precise, explainable exception reasonsLimited or manual variance checksFaster exception handling, stronger margin protection
    Dispute AutomationAutomated dispute packet creation + automated carrier filing + lifecycle trackingManual dispute creation and submissionFaster resolutions, fewer backlogs, higher dispute win rates
    AP Headcount RequiredLowHighScales efficiently with fewer staff
    CostLowerHigherMore cost-effective for small-to-mid size brokers

    This clearly demonstrates why Lighthouz is the missing tool LTL brokers have been waiting for.

    3. 91% No‑Touch AP & 5 days earlier customer invoicing: A New Benchmark for LTL Brokerages

    Achieving 91% no-touch AP means that the majority of invoices move through audit, validation, and approval automatically, significantly reducing manual workload and processing delays. 

    At the same time, by eliminating backlogs and accelerating dispute resolution, brokers are able to invoice customers up to 5 days earlier, improving cash flow, strengthening financial predictability, and supporting healthier operational cycles.

    A. What “No‑Touch” Really Means

    The most powerful outcome of true automation is this:

    Most freight bills  are processed automatically with little or no manual intervention.

    Lighthouz achieves this by embedding LTL logic into its audit engine. That’s why many LTL brokerages see  freight bill audit processing rates reach around 91% no‑touch automation, meaning most bills don’t require human review. That kind of reliability changes team dynamics and operational scalability.

    B. Industry Insight on Automation Efficiency

    According to automation data from APQC, organizations that implement high levels of electronic invoicing and automated processing report significantly better efficiency metrics, including faster cycles, fewer errors, and lower cost per invoice.

    In contrast, manual processes or semi‑automated systems leave teams bogged down in exception handling and costly disputes.

    The Business Value Behind True LTL Invoice Automation

    Day‑to‑Day Finance and Operations Impact

    Here’s how brokers benefit from LTL automation when it’s truly designed for the freight world:

    • Faster processing cycles — Invoices move through AP quickly, freeing capital and reducing DPO pressure.
    • Lower operational cost — Automation reduces manual labor and enables leaner finance teams.
    • Higher billing accuracy — Less overpayment and better customer invoicing consistency.
    • Dispute cost reduction — Disputes resolve faster with complete documentation.
    • Scalable workflows — Automation reinforces growth without linear staffing increases.

    Industry research on AP and invoicing automation shows that reducing manual steps and increasing electronic invoice handling correlates with cost and efficiency gains — the kind of improvements that drive profitability in freight operations.

    The Future of LTL Brokerage Operations

    Why This Matters Now

    LTL brokering is more competitive than ever. Brokers who rely on manual auditing and legacy AP systems face:

    • Slower cash collection cycles
    • Higher operational costs
    • Inconsistent margin protection
    • Greater risk of overpayments and disputes

    Automation designed for freight changes the landscape. It gives brokerages a strategic advantage by eliminating needless manual work and ensuring every invoice is verified, corrected, and reconciled with speed and precision.

    The Bottom Line

    Brokers aren’t seeking LTL automation anymore — they’re demanding it. And not just any automation, but tools that were built for the complexity of their world.

    With Lighthouz, that tool finally exists.

    Ready to Transform Your LTL AP Process?

    If you’re ready to automate LTL carrier bill  audits, reduce manual dispute handling, and achieve high no‑touch processing rates, it’s time to see Lighthouz in action.

    Take full control of your LTL finance ops by automating complex invoice audits, safeguard your margins by preventing costly errors, and scale your brokerage efficiently without the need to increase headcount or overload your team.

    Book a demo with Lighthouz today and experience the automation solution your brokerage has been waiting for, finally tailored for LTL realities.