A transportation management system (TMS) is now an essential tool for a freight company. It provides freight load visibility that many consider standard in the supply chain. A TMS provides tools for planning and executing freight transportation. It can also help automate processes while offering managers greater insights into their trucking operations. Here’s why you should consider using a TMS for digital load tracking.
How does a TMS system work?
A TMS offers real-time visibility to aid in decision-making, route optimization, and information transparency.
Using relevant reports, transportation management companies can make more informed decisions to decrease the number of stops during loads. This helps save time. Plus, it results in shorter, faster, and safer routes, which decreases transportation expenses, reduces turnover, and leads to happier drivers.
Automating processes like dispatching reduces the amount of work your team has to do. Additionally, because the plans are better, they require less oversight during execution.
See where shipments are at any time via shipping updates. Keep staff and other members of the supply chain up-to-date. Provide your logistics manager with better insights into invoicing, customs, and client care data to operate a more successful trucking business.
A TMS system measures what matters using analytics. Regardless of the key performance indicators (KPIs) that most affect you, a TMS can track and report on those data points. See reports in a single dashboard or build custom reports to meet the needs of you and your customers.
5 ways transportation management systems (TMS) can help you find load visibility
Adding a TMS to your freight business offers value for load visibility. Here’s a look at the advantages you’ll gain with one of these systems.
Insights into freight load expenses
Knowing how much a load will cost you to transport can help you quote jobs more accurately and understand the return on investment (ROI) for various customers and lanes. Nailing down your expenses also reduces them, which can help you improve your bottom line through optimization. With more data, you can analyze various factors, including routes, timing, and equipment, to get a better handle on expenses.
Real-time digital truck tracking
See exactly where drivers and goods are located at any given moment. This information can help you calculate delivery time frames and reroute shipments during traffic or weather events. You’ll also know which drivers and routes offer the greatest efficiency to lean on your best resources. Plus, customers will appreciate the added visibility and improved delivery timeline communication. This can ensure greater customer satisfaction.
Ability to monitor on-time freight delivery performance
You’ve made commitments to your customers to deliver goods within a set time frame. Having insights as to when you achieve on-time delivery can help you track performance and share that information with customers. Customers can also view this data independently when using the TMS customer portal. Improved visibility can help you retain customers and work through issues before they harm business relationships. This system can also help show your efficiency and effectiveness to a freight brokerage, securing similar loads while nurturing business relationships.
Integrations with warehouse management systems
When you connect your TMS and warehouse management system (WMS), you have even more powerful insights that can improve efficiency and productivity throughout the logistics process. By connecting your TMS and WMS, you can see data related to orders, where an item is located in the warehouse, transit information, and delivery timelines. This way, you can oversee the process from start to finish in one place while updating customers accordingly.
Tracking truck drivers for supply chain efficiency
Reviewing where a driver is located to compare it with similar load timelines can help you locate inefficiencies. It can also help you coach drivers needing guidance on how to keep deliveries on time. Sharing comparable data with drivers upon their returns can guide them toward future success to ensure every delivery is well-executed.
Greater insights operate more successful freight businesses
The more insights and visibility you have into your freight business, the more successful you will be. Implementing the best technology and tools will help you detect and correct inefficiencies, earn improved customer satisfaction, and build better relationships with third parties, such as freight brokers.
FAQ
A load in freight is the goods or cargo transported by a carrier.
The core features of a TMS include order management, load planning, fleet management, dock scheduling, tendering, shipment rate management, route analysis, and business intelligence.
Enterprise resource planning (ERP) is an overarching software that helps companies of various types oversee all aspects of their operations. TMS is software designed specifically for transportation companies to offer granular details unique to their businesses.
