SAP LBN Freight Collaboration Order Tracking vs SAP GTT based Tracking

A persistent question encountered from customers in presales, solution servicing, and during the build phase of an SAP Transportation Management project is related to Track and Trace. "What is the exact difference between SAP LBN Freight Collaboration Order Tracking and SAP LBN Global Track and Trace based tracking? Which one should we use?

In this blog, we've tried to precisely answer the above question through an experience-based point of view on LBN related track and trace options. But before we delve into the topic, let's understand what SAP Logistics Business Network is and how does it aid businesses.

What is SAP LBN?

SAP LBN is an open, secure multi-capability and multi-modal network connecting business partners for inter-company logistics collaboration. It allows companies to jointly manage logistics transactions and gain insights across the supply chain.

As supply chains deal with disruptions, only robust logistics networks can help businesses mitigate risks and prepare for unprecedented challenges. The current supply chain challenges need relevant strategies that ensure supply chain visibility, agility, risk mitigation & management, and supply chain resilience. Businesses must shift from a company-centric to a network-centric approach to gain a competitive edge in the industry. 'McKinsey Digital: How do companies create value from digital ecosystems? ' states that by 2025 the integrated network economy could represent $60 Trillion in Global Revenue.

Therefore, SAP LBN is the cloud solution your business needs to manage current logistics challenges & future-proof operations. SAP LBN helps connect instantly with business partners across the supply chain and aid informed & swift decision-making, achieve high supply chain visibility, and minimize integration costs through seamless collaboration.

SAP LBN and its Core Capabilities

SAP LBN has four core capabilities. Each capability is sold and licensed separately.

• Freight Collaboration (FC)
• Global Track & Trace (GTT)
• Material Traceability
• Intelligent Insights

We will not discuss 3. Material Traceability and 4. Intelligent Insights capabilities in this blog as our primary focus will be understanding SAP LBN FC and SAP LBN GTT functionalities.

1. Freight Collaboration (FC) has further functionalities that include:

- Freight Collaboration: Tendering, Confirmation, Settlement etc.

- Dock Appointment Scheduling

- Freight Order Tracking

Learn more about SAP LBN Freight Collaboration in our detailed Buyer’s Guide. Download now! 

2. As the name suggests, Global Track and Trace (GTT) provides tracking functionalities. Now, we address the questions: 'Is this tracking different from the one provided under FC-Freight Order Tracking?' Do these different LBN capabilities have overlapping functionalities? Should we select FC-based tracking or GTT-based tracking?

The selection of an appropriate solution depends on multiple factors

• Transportation scenarios
• Required tracking level and granularity
• Milestone complexity
• Process automation and workflow requirements

We’ve written an extensive Buyer’s Guide on SAP LBN Global Track and Trace. To learn more, download a complimentary copy now!

What is the difference between SAP LBN Freight Collaboration Order Tracking & GTT-based tracking?

Now addressing the question of the main differences between SAP LBN Freight Collaboration Order Tracking and Global Track and Trace based tracking, here’s a comparison of both: Download the differences between SAP LBN Freight Collaboration Order Tracking & GTT-based tracking here.

LBN-FC: Order Tracking	LBN-Global Track & Trace
SAP TM Freight Orders (also Bookings from Q1 2022) are tracked based on a fixed set of standard milestones, e.g., Departure, Arrival, along with current geolocation and ETA information. Milestones are reported: By carriers using the LBN FC Carrier portal Posted automatically with out-of-the-box visibility provider integration, e.g., project44, Fourkites etc Using project-based API/EDI connectivity Milestone tracking only for SAP TM execution documents. Adding project-specific milestones is on the SAP LBN FC roadmap.	Generic tool available for SAP TM Freight Order/Booking or Freight unit-level tracking. Standard and template apps are provided with a pre-configured, extensible set of milestones. Pre-configured App Name: Track Shipments Apart from SAP TM, GTT also supports the other SAP/non-SAP application systems, e.g., SAP ECC, S/4HANA, LE-TRA, EWM. This means that GTT is a generic Track and Trace tool that can be used for transportation milestone tracking as well as process tracking. (Similar capability as SAP Event Management) e.g., for Purchase Order tracking, SAP provides a preconfigured model/app which can track the entire procurement process starting from PO creation to payment along with inbound transportation tracking. SAP GTT provided apps/templates include: Track Shipments (for TM FO/FB, LE-Shipment) Track PO Fulfillment Track SO Fulfilment These templates can be further enhanced to add custom process and transportation milestones, making GTT a more generic and comprehensive track and trace tool.
Supports only basic and advanced SAP TM (FO and FB)	Generic Track & Trace Solution Supports SAP TM (basic and advanced) SAP ECC S/4HANA LE-TRA SAP EWM
Public Cloud Service Standard mode-specific milestones Departure Arrival ETA Non-extensible (as of Q1 2022)	Owner Managed space in Cloud Ready to use tracking app templates Configurable and extensible setup Add custom milestones Transportation Milestone tracking Transportation milestone tracking Purchase Order fulfillment tracking Sales Order fulfillment tracking
Multimodal with standard transportation milestones	Multimodal with extensive and extendable internal and external milestones Note for external: Visibility provider milestones may differ from provider to provider. Refer buyers guide to know more on which typical milestones are supported from visibility provider to GTT. Eg. project44 to GTT Ocean Freight Updates with a set frequency.
Milestone Reporting - By carriers using the portal - With out-of-the-box visibility provider integration e.g.p44 With API/EDI project implementation	Milestone Reporting With out-of-the-box visibility provider integration e.g.p44 With API/EDI project implementation Manually by employee
Stakeholder notification set up with a configuration	Stakeholder notification set up with a configuration
Process Automation & Workflow Not possible to implement any logic Logic needs to be implemented only in the source SAP TM system	Process Automation & Workflow Logic can be implemented
Set-up Complexity – Simple	Set-up Complexity – Medium
Carrier Coverage & Onboarding on Network Administered by SAP	Carrier Coverage & Onboarding on Network Administered by SAP
Statuses & Map View with Current Location Supported	Statuses & Map View with Current Location Supported Comprehensive status and map overviews
Status Updates in Source System TM FO/FB gets updates	Status Updates in Source System TM FO/FB gets updates Not supported for ERP Shipment
Intelligent Insights App Supported	Intelligent Insights App Supported
Other Non-Tracking Functionalities Freight collaboration Tendering, confirmation Settlement Dock appointment scheduling	Other Non-Tracking Functionalities Not applicable

e.g., GTT Sales Order Fulfilment

• Granular tracking level – SO/Delivery item
• Process tracking e.g., SO created, Delivery created, PGI
• Transportation tracking e.g., Departure, ETA, Arrival

Note: Shipment can be SAP TM FO/FB or LE-TRA Shipment

Refer to Buyer’s Guide on SAP LBN Global Track and Trace for more details.

Conclusion

As seen from the above-detailed comparison, both SAP LBN Freight Collaboration Order Tracking and SAP LBN GTT have their uses and significance depending on different scenarios and business needs. To understand what suits you best where, here’s our conclusive understanding of both.

SAP LBN Freight Collaboration (FC) Tracking

SAP LBN FC based tracking is best suited:

• For SAP TM FO/FB standard transportation milestone tracking.
• If you do not have any internal process tracking requirements, e.g., Orders created or booked.
• If you do not need very granular milestone tracking, rather need basic statuses.
• If you are looking for a public could-based solution with minimum setup time.
• - If you are looking for out of the box LBN integration with SAP TM and want to leverage visibility provider connectivity e.g., project44
• Most importantly, if you are already investing in or considering LBN FC for Freight Collaboration (tendering, confirmation, settlement), dock appointment functionalities, and your Track & Trace basic requirements are covered (refer to above considerations) then it’s advisable to leverage the LBN FC implementation for tracking requirements as well.

SAP LBN Global Track and Trace (GTT)

SAP LBN Global Track and Trace based tracking are best suited:

• If you are looking for more comprehensive milestone tracking of SAP TM Ocean, Road, Airfreight transportation
• If you are looking for the entire business process (ECC) and transportation milestone tracking (TM/LE-TRA), e.g., Sales order fulfillment
• If you are looking for more granular statuses and detailed map views.
• If your milestone tracking requirements are more granular.
• If you are looking for an extensible and configurable cloud solution with your own managed space.
• If you want to track processes right from a sales order or purchase order item to the freight documents level.
• If you are looking for a common solution for SAP TM as well as SAP ERP shipment tracking.

It is also a valid business case to use both capabilities

• LBN FC for Collaboration requirements
• LBN GTT for comprehensive Track & Trace Requirements

The Novigo Expertise

Novigo has worked closely with SAP to empower some of the world’s leading enterprises in their digital transformation journey. We are the first SAP partner to implement SAP Global Track and Trace and complete an industry-leading number of SAP Supply Chain Execution/TM Implementation Projects. We leverage best practices and our comprehensive domain expertise to identify opportunities that give a digital facelift to your business, backing your strategy for an intelligent, sustainable, and resilient supply chain. With our systematic approach of conducting discovery workshops, we help you build a business case, provide an in-depth ROI analysis and solution demo. Furthermore, our demo system landscapes allow you to visualize basic and advanced scenarios to make an informed decision. Please feel free to speak to us and explore further if SAP Logistics Business Network Freight Collaboration or Global Track & Trace would fit your business needs.