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How a Transportation Management System (TMS) Can Benefit a Business of Any Size

News Supply Chain 20/20 Technology TMS

A Transportation Management System (TMS) helps companies streamline their logistics processes so that they are as efficient and connected as possible. Instead of manually managing logistics operations over the phone and email, companies can use technology to save money, reduce processing time, scale operations and improve accuracy. At their core, TMSs help companies rate, book and track shipments. Additional functionality like reports and dashboards, integrations, yard management, financial management and spot services can be added to increase the value companies realize from their TMS.

Many organizations incorrectly believe that TMSs are only for large, enterprise organizations. This notion may have been true once when the time and monetary expense limited the implementation of technology to only the largest companies. Now, however, technology has advanced and companies like Kuebix have democratized the booking for freight with plans for every size company.

According to Inbound Logistics magazine, “most Tier 1 shippers – those that spend $100 million+ annually on freight – already use TMS solutions.” These companies say that a TMS contributes to critical business drivers, such as complexity, scale, customer experience and freight cost savings.*

Smaller firms still use manual approaches to manage their freight, relying on in-house expertise using spreadsheets, fax, phone and email, often resulting in excess admin time, errors and duplicated efforts.

However, with globalization and the growth of e-commerce opening up new markets and reaching customers around the world, the time has come for smaller firms to take advantage of TMS solutions that can bring better customer service, lower freight spend, improve performance and more.

To get up and running quickly, small to medium-sized businesses can adopt cloud-based TMS solutions – getting rates, booking and tracking shipments and communicating with carriers and shippers in real-time – all on a single platform. Because of the cloud, these systems offer a much lower total cost of ownership, are simpler to implement and require no internal IT support.

 

Using a TMS, compared to manual approaches, can help your business to:

• Optimize and consolidate shipments

• Improve service levels, giving customers a great first impression

Save on freight costs

• Lower admin costs and reduce errors

• Access a large carrier pool

• Address all shipping options and modes, all on one platform

• Monitor shipments in real-time

• Quickly evaluate carrier performance through historical reports

• Increase visibility into what is happening within your transport operations

• Communicate shipment status to customers

• Get much-needed carrier capacity in a tightened market

 

What if you need more functionality? Choose a TMS that is flexible enough to grow as your business grows, allowing you to add features in a modular fashion as needed. Kuebix TMS lets you begin rating, booking and managing your LTL, TL, parcel, rail, ocean and air freight in minutes. For more complex supply chains, Kuebix can be configured with Premier Applications and Integrations to meet the needs of even the largest enterprise.

Check out our free Kuebix Shipper TMS for unlimited rating, calculating freight cost, booking, and tracking!

*Primary Research in Evaluating the Business Case and Approval Process for Supply Chain Execution Systems Acquisition – Jim Hendrickson, Professor, Fisher College of Business, The Ohio State University.

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