In today’s reality, having reliable and robust software solutions for your transportation management is no longer an option; it is a necessity. Still, many users underestimate the importance of a transportation management system (TMS) for their business. Under the pressure of the pandemic crisis, many companies struggle to cut their budgets, and many are hesitant to invest in coherent TMS if they haven’t yet. The truth is, TMS is an irreplaceable tool for navigating the uncertain times, not to mention it will significantly reduce your transportation spending in the long run.
In the industrial supply chain, automation, and synchronization of all operations is even more vital. Real-time visibility into processes and fast streamline of transactions is imperative for the business. The only way to maintain this transparency and synchronization is by utilizing a TMS system.
The global transportation management system market was valued at $5,467 million in 2019 and is projected to reach $11,367 million by 2027, registering a CAGR of 9.6% from 2020 to 2027. For the upcoming years, the key focus of every business will be keeping control of rising costs and at the same time not compromising customer service. And that’s exactly what TMS is supposed to sustain.
With a consistent and functional TMS, your company can greatly increase operational efficiency and utilize all the available resources to optimize every shipment. Firstly, a TMS lets you easily find freight carriers, required equipment, and lanes. Your company can find and book capacity in advance, documenting every freight shipment and therefore having complete visibility into the transportation process in terms of costs, tracking, and documentation.
Having an organized and multi-functional space for freight shipments, documentation, inventory, and warehouse will greatly enhance the performance of your business. The TMS will not only help you keep track of everything, but also gives you access to hidden business insights. In the long run, the transportation management system allows you to analyze spending, operational gaps, inventory, and much more. Using this information you can make data-driven decisions to improve the cash flow and overall productivity.
TMS is a great way to fill the gaps in supplier communication through better order fulfillment and control over the last steps of the delivery process. The advanced functionality of a TMS helps optimize order fulfillment, messaging, and provides transparent and accessible tracking, and consolidates shipments in the most effective way.
Naturally, improved operational efficiency, data-driven decisions, and enhanced customer service result in significant cost savings. The TMS can also drastically reduce the amount of manual labor, and, therefore, the probability of human error in your transportation department. Investing in an in-house TMS can be a pricey and long process, so your company can use a transportation management system of your 3PL. This will ensure high integration, even more visibility, and supervision of the processes. PLS Logistics has recently rolled out a new-generation TMS PLS PRO 3.0. Check out our new TMS solutions here!