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One of the biggest concerns shippers have when considering the implementation of a TMS is whether it will provide a significant return on investment (ROI). The answer is simple; a TMS does provide verifiable results that will benefit your operation. These TMS results are substantial and affect every process and activity within your organization, ranging from order tendering to labor-management and beyond, not to mention the applications of robotics in logistics, notes Supply Chain CIO Review. Shippers need to understand these results and what they will mean for their businesses.

More Visibility Is Top of the Line in TMS Results

The benefits of more visibility in your supply chain and transportation network are clear. As something goes wrong, shippers can look through the TMS and the various communication alerts to determine what went wrong, why it happened, and how to correct it, which is the basic premise of all customer service interactions.

Addressing a problem and correcting it will build brand value in your organization. Furthermore, more visibility helps managers make informed decisions, ensuring adequate resources are planned for each day, as well as conducting audits and much more.

The State of Transportation Management Systems, Current Trends, & Key Benefits of a TMS

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TMS Results Also Serve to Reduce Freight Costs

What shipper has not thought about how to reduce freight costs? The answer to that question is “no one.” All shippers want to minimize freight costs; fewer freight costs amount to better resource management and planning. Instead of diverting resources to putting out fires in logistics management, shippers can finally gain the control they need over their activities, including better dock planning, yard management, transportation tracking, compliance with vendors and users, adherence to regulations and any other process that may occur. Furthermore, implementation of TMS help shippers take advantage of freight consolidation and deconsolidation, allowing shippers to tap into the value of full truckload when they do not have the current capacity to ship all freight via full truckload or break down at a DC after LTL from the factory to DC to then ship parcel. Shippers who use a TMS have much more flexibility.

Fewer Errors Result in Lower Overhead Costs of Management

When a mistake occurs, it adds to freight spend. This basic premise is behind all customer service interactions, especially negative customer interactions. However, every positive or negative interaction can be improved upon, and shippers can use the information within TMS platforms to help customers get the peace of mind they deserve. Fewer errors within freight tendering will also help shippers meet carrier expectations, which may improve eligibility for “Shipper of Choice” status.

“Shipper of Choice” status is awarded to shippers that take advantage of available technology and resources to reduce the workload and burden on carriers. One of the most critical aspects of carrier freight tendering is ensuring accuracy and accountability in all documentation. Failure to maintain proper documentation is tantamount to inadequate freight quoting, as well as potential delays for freight pickup and delivery. Eliminating these mistakes effectively means the carrier knows what they will need to do to fulfill their terms of the agreement with a shipper, recognizing their immediate profitability and avoiding the headache of problems.

A Stabilized Operation Is Another Factor to Consider after TMS Implementation

Since shippers that implement a TMS have increased visibility and traceability within their organization, they can reduce the headache and worry of managing problems building a basic level of stability into the operation, reducing employee turnover and building brand value simultaneously.

Greater Enterprise Control Is Excellent for Shareholders

Enterprise control is a critical component of every supply chain function today. More organizations are looking to merge and work with more substantial conglomerates to reap a better advantage and avoid unnecessary costs. In a sense, this is the foundation for why more companies are trying to build blockchain platforms, working together to create a more efficient and productive industry. While competition still exists, economies of scale mean the entire industry will benefit from continuous improvement, reducing total cost of ownership too.

Listen to “Transportation Management Technologys Role in Giving Control back to the Shipper” on Spreaker.

Take Advantage of the TMS Results with a Dedicated System Now

The value and power of TMS results will always remain out of reach until your organization takes steps to implement a modern, dedicated TMS, like the Cerasis Rater. A dedicated TMS should leverage the latest technologies, including cloud-computing capabilities and devices connected to the Internet of Things, to collect, manage, analyze, and apply data. If you’re in the market for a TMS and want a demo of the Cerasis Rater, request one by going here.


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Cerasis Rater – TMS

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