What is forwarding agreement in SAP TM - Transportation Management?

SAP Term: forwarding agreement

• Component: TM

• Component Name: Transportation Management

• Description: A long-term contract that represents the contractual relationship with a customer to whom you are selling transportation services.

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• Key Concepts: 
  A forwarding agreement is a contract between a shipper and a freight forwarder in SAP Transportation Management (TM). It defines the terms and conditions of the transportation services provided by the freight forwarder, such as the cost, delivery time, and other details. The agreement also includes the freight forwarder's responsibilities, such as providing tracking information and ensuring that the shipment is delivered on time. 
  
  How to use it: 
  In SAP TM, forwarding agreements are created in the Forwarding Agreement Management (FAM) module. The shipper can define the terms of the agreement, such as the cost, delivery time, and other details. Once the agreement is created, it can be used to create shipments and track them in real-time. 
  
  Tips & Tricks: 
  When creating a forwarding agreement in SAP TM, it is important to ensure that all of the details are accurate and up-to-date. This will help to ensure that shipments are delivered on time and that all of the terms of the agreement are met. 
  
  Related Information: 
  For more information about forwarding agreements in SAP TM, please refer to the SAP Help Portal or contact your local SAP representative.