Logistics and supply chain management is absolutely crucial to the success (or failure) of a company and its missions. The retail giant Wal-Mart has long been hailed as a logistics juggernaut and its excellent supply chain has been singled out as one of the main reasons behind its successes. Contrarily, the failure and closure of Target’s operations in Canada have been attributed largely in part due to its supply chain problems and poor logistics.
However, it isn’t just large retail chains that these factors affect – it can be any company, big or small, in any industry, especially those concerned with freight movement. It should then follow logically that having the right tools and foundations to support operations and logistics is a determinant in a company’s success down the road. Software is great for that. One such software type is TMS (transportation management software).
A TMS can automate or help you simplify otherwise tedious activities such as dispatch, fleet maintenance, carrier management, creating and organizing: bills, quotes, customers, payroll, A/R, and A/P to just name some of the most helpful features. To see a more exhaustive list of the abilities and benefits it can offer, click here.
Whether you’re the trucker, freight broker, dispatcher, or IT support guy, or president of the company, it is no longer a “nice-to-have”, it is a necessity if you aim to compete while simultaneously making your job easier. For the executives, managers, and accountants, TMS can reduce freight expenses with better carrier selection and information, streamline billing, payroll, payables and receivables, and improve your service levels and supply chain visibility by being able to track and monitor shipments by drivers. An excerpt from Forbes magazine that summarizes the industry research of ARC Advisory Group found that:
“Aside from the market share analysis, the study looks at the trends that are driving and/or inhibiting growth in the TMS market. As simple as it sounds, this year’s study confirms that the ROI achieved from implementing a TMS is the biggest factor in the market’s growth.
When a shipper decides it needs to improve its transportation performance, it typically attempts to achieve this by either buying a transportation management system (TMS) or outsourcing transportation planning and execution to a managed transportation services (MTS) provider.” –Steve Banker, Logistics & Transportation Contributor at Forbes
For truck drivers, in small or big companies, or perhaps you’re an Owner-Operator, TMS makes your job easier, as well as for the other people in the company – an all-around benefit. A TMS is able to offer GPS, vendors, equipment, and fuel tax calculations so that you don’t have to worry about it. In addition, some TMS such as our own at Tailwind Software Holdings Ltd., is now able to offer it as a SaaS aka cloud-based, meaning that you can now access crucial information and reports from any mobile device with an internet connection.
So, if you are involved in any aspect of the transportation and logistics business and carry out any of these functions: dispatch, trucking, payroll, accounts receivables and payables, quotes, invoicing and billing, order management shipment tracking, load planning, fleet maintenance, or carrier management, TMS should be one of the crucial tools as part of your company’s overall game plan to optimize your business.
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