By implementing an excellent transportation management system, you could reap rewards that go far beyond money.
Beyond the low transport costs, a transportation management system (TMS) can improve a wide variety of workflows within a transportation company. In fact, one might say that a TMS platform can offer virtually everything a company needs to meet its bottom line.
It’s unfortunate that so many businesses in this industry have yet to migrate to a cloud-hosted TMS solution-- let alone one that is high-quality and very modern. However, through migrating to an excellent TMS platform, businesses can reap a ton of rewards by making the switch. Let’s break down a few key benefits of cloud-hosted TMS solutions that don’t necessarily involve financial gain.
One of the biggest benefits of switching to a cloud-hosted TMS has to be the efficiency increase throughout the supply chain. A TMS will make it possible to easily track drivers, shipments, and a variety of other processes that will help your company increase overall productivity. This can significantly improve how the supply chain operates and reduce hiccups. A good TMS platform will provide total visibility during shipments, which helps stakeholders, management, and customers stay as informed as possible about the nature and timeline of the shipments that take place.
It’s no secret that cyberattacks are a real problem for a vast majority of businesses in a variety of niches and industries. Blockchain technology makes it possible to connect each and every entity involved in a transportation company in a secure fashion. The use of blockchain in TMS platforms makes it possible to record each and every task, action, transaction, and data detail via the cloud. Essentially, it’s a fast and very secure way to ensure high-level transparency within the supply chain with less friction and reduced errors.
Customer service is at the heart of freight transportation, and many businesses are looking for new and innovative ways to improve customer service in ways that their competitors aren’t. A TMS platform can provide improved customer service by offering the ability to manage and monitor performance and timelines. A TMS can arm a transportation company with the ability to pinpoint exactly where shipments are in real time, as well as how far they are from their intended destination. A top-quality TMS will also provide access to an online portal that allows customers (whether individual or B2B) to see precisely where their freight is. This boosts customer service and provides a level of transparency that consumers and businesses demand.
A quality TMS platform will limit access to specific users for individual supply chain operations. This provides an additional layer of very advanced security through data encryption. Cloud-based TMS platforms in particular can provide a high level of data integrity through a variety of channels. Vendors for such systems are the responsible party involved in monitoring, managing, and testing the TMS network to ensure there are no data breached and that data is regularly backed up. Just as well, you can easily develop emergency recovery plans with your vendor to ensure your data is safe and can be recovered in the event of a blackout. Talk to your vendor about their options when it comes to recovery point objectives and recovery time objectives. Most TMS vendors will offer a variety of options to suit your company size, use case, niche, etc.
Every transportation company leader understands that data reporting and excellent analysis are the keys to managing and scaling an excellent transportation business. In fact, data is more important than ever before when it comes to assessing company operations. Data capture is the first point of reference. A cloud TMS application will be able to take on daily reporting needs, but will also be able to capture and analyze the data captured during such operations. Users can gain access to valuable data and effectively perform detailed analyses of that data. Top-tier cloud TMS solutions will have a variety of built-in tools for business intelligence in this scope, without the need for a third-party platform or additional software. In the event that a company needs some additional data management, a TMS platform is designed to be highly integrative and can work well alongside third-party software.
The trucking sector is struggling from record high gasoline prices, which might have far-reaching consequences in the future for a lot of companies in the trucking sector.
Increased use of technology, such as TMS, is overcoming challenges in the trucking industry.