If you were to ask a group of transportation analysts where freight rates are heading, most would say higher. That’s not surprising, considering we’re riding one the “best global growth rates in seven years,” according to Logistics Management magazine. Many carriers, shippers and industry analysts associate increased costs with the driver shortage, ELD mandate and external factors that are out of one’s control. However, there are ways for shippers to control costs despite the dynamic market and rate volatility.
Digitizing core logistics operations is one of the most effective methods for driving overall cost savings and efficiency. A recent JOC.com article discussed one component of the digital transformation in logistics noting the transition from paper to electronic BOLs has a, “far-reaching impact” on controlling LTL costs, yet the LTL industry still handles about, “75 percent of shipments using paper.”
The key to digitizing core logistics operations, like adopting electronic BOLs, is effectively integrating your business systems with carriers and logistics service providers.
4 Ways Integration Drives Cost Savings
Advanced Integration Without IT Resources
When people hear “advanced integration,” many assume it also comes with high cost and extensive IT resources. Fortunately for shippers, TMS vendors, like GlobalTranz, are providing advanced integration and custom development resources so any size business, even without in-house IT resources, can integrate their systems and digitize their supply chain. And all at a price point that’s affordable for any company.
Learn more about how you can integrate your entire supply chain without a budget or IT Team. Call 866-275-1407 or connect with an expert.
The competition for freight brokers and independent freight agents is fierce. There is a constant pressure to add value for clients and show them consistent improvement of their freight operations and spend. At the same time, freight broker agents need to dedicate time to finding new clients and growing their business.
Technology is a perfect enabler to take a freight business to the next level. The right TMS platform will help a freight broker agent solve their clients’ logistics challenges, find new revenue sources, and increase their efficiency to free-up more time to grow their business.
Here’s a breakdown of a TMS’s top five benefits for independent freight agents and brokers:
TMS software can harness the power of big data, which helps you discover insights about your business. You can use this data to make faster and smarter decisions that solve complex logistics problems for your customers. These tools will help you win more business and grow faster.
From fees and tariffs to damage claims, freight agents must deal with scores of data points for each shipment. A TMS with advanced AI (artificial intelligence) capabilities will optimize carrier selection, rating, routing and help you choose the most efficient and cost-effective routes for your customers. You won’t waste time manually inputting data and updating shippers on shipment status as a TMS will automate manual processes. The result: you’ll reduce overhead and increase net profits. Additionally, by providing your customers a TMS like GlobalTranz’s GTZship™, you’ll empower them with full control and transparency into their shipments.
Some freight agents outsource the financial management functions of their business to a third party rather than risk mismanaging their financials. However, with the right TMS software, you can manage your own financial functions. The right software, such as GlobalTranz’s GTZcommand™, will help you invoice shippers, pay carriers and process insurance claims all yourself. You can accomplish it all through a single interface while producing informative, detailed reports to share with your customers.
When you provide consistent, excellent service, customer retention improves sharply. Customer churn is expensive, and a robust TMS will help you drive efficiency into your customers’ supply chains and overall cost savings. GlobalTranz’s TMS, for instance, helps you surpass your customers’ expectations with total control tower visibility. Your customers get real-time carrier capacity, rate information and tracking which results in the right carriers being paired with your customers’ loads every time.
Author Alan Lakein famously said, “Failing to plan is planning to fail.” And whether you’re a solo freight agent or run a business with other employees, you need to plan. The good news is a TMS can provide you with all the data you need to forecast, plan and grow your freight business. Harness the information that’s in the system to help you better manage your agency, quarter-to-quarter, year-to-year.
Learn how a TMS can help your freight business grow and attract new customers. Get a demo of our industry-leading GTZcommand™ TMS for freight agents, brokers and 3PLs.