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Data Analytics

Revenue Leakage Detection

National Freight & Logistics Provider — top 20 US 3PL, $2.8B annual freight spend.

2025

+$40M
Recovered Annually
100%
Audit Coverage
14.7x
Discrepancy ID
94%
Audit Accuracy

The challenge

What we found.

A national logistics company managing $2.8B in annual freight spend discovered they had no systematic way to verify they were being billed correctly. Their contracts contained complex terms including volume-based tier discounts, fuel surcharge caps, and accessorial charge limits.

Manual audits caught obvious errors but missed sophisticated discrepancies. Industry benchmarks suggested they were likely losing 2–4% of freight spend ($56M–$112M) to billing errors and missed contract terms.

The approach

How we built it.

PRR built an AI-powered Contract Compliance & Revenue Recovery system:

  • Used NLP to extract terms from 340+ contracts into structured, queryable data formats
  • Real-time comparison of every invoice line item against applicable contract terms
  • ML models identifying unusual patterns suggesting billing errors (anomaly detection)
  • Automated dispute generation workflow with supporting documentation for identified errors
Recovery Engine
  1. 01
    Digitize
    Contract NLP extraction
  2. 02
    Match
    Invoice vs. contract terms
  3. 03
    Recover
    Automated dispute filing

The outcome

The impact.

MetricBeforeAfterImprovement
Invoice audit coverage12% (sampling)100%Full coverage
Identified discrepancies$3.2M/year$47M/year14.7× increase
Successfully recovered$0.8M/year$41M/year+$40.2M
Time to identify issues45–60 daysReal-timeImmediate
ROI: System paid for itself in 6 weeks

Stack

Tools used.

Azure AI Document IntelligenceAzure OpenAI (Contract Parsing)Custom Anomaly DetectionPower AutomateSAP Integration

Stop leaving money on the table.

Automated contract compliance can recover millions in lost revenue. Let's audit your leakages.