Many organizations believe that transportation management systems (TMS’s) are only beneficial to large shippers, however, that is certainly not the case. Manually managing your transportation operations through spreadsheets, e-mails, and phone calls has become a thing of the past as technology continues to play a more prevalent role in the logistics industry. A TMS also doesn’t have to come with a massive price tag or incredibly lengthy implementation process and can ultimately be set up in a way that best suits your business…and without the involvement of your IT department. Here are a few ways in which a TMS can help to save on time and freight costs.
1.) Finds the Best Rates for Specific Movements
If you don’t have a contracted rate for a specific lane, sending quote e-mails out to your carrier base can be a tedious process. With a TMS, you are able to request rates from a larger carrier pool and view responses on one platform rather than manually having to keep track of each e-mail received. The platform also helps to identify the most efficient mode of transportation, whether that be full truckload, LTL, intermodal, etc.
2.) Streamlines the Freight Booking Process
Upon selecting a carrier, you can then automatically dispatch the load and generate BOLs and shipping labels directly from the TMS. This reduces errors and significantly speeds up the entire process. Carrier contacts and shipment history is also saved within the TMS, therefore if you ran this lane previously, you can quickly view who you used.
3.) Improves Communication
A TMS is able to sync your shipment’s location with the carrier’s tracking data so you know where your loads are at all times. Automated load status updates can also be set up (hourly or as requested). This reduces late deliveries and also helps you to more effectively communicate with your end customer, which in turn improves service levels.
Final Thoughts
Change can be intimidating, however implementing a TMS doesn’t eliminate your current shipping processes – it simply provides increased visibility into your operations and saves a significant amount of time. Selecting a TMS that scales with your business is also key, allowing for you to add additional features as needed (i.e. – advanced reporting, API integration, and more). If you’re interested in learning more about Red Technologies’ TMS solution, no matter the size of your business, schedule a demo here.