What is a Transport Management System (TMS)?
Have you found that as your business grows, you have less and less time to focus on the daily operations of your transport company? Are decisions being made without the proper time needed to review the situation? You’re not alone.
The transportation industry is fast-paced, with very little room for error. Due to these constraints, and the need to keep up with daily logistical issues, assistance in the form of a Transport Management System (TMS) offers a lifeline for businesses.
A transport management system (TMS) is a software platform that assists in planning and executing transportation. Successful supply chains require transportation management systems. They benefit from their planning, purchasing, transportation, and performance monitoring.
Is it time for your business to take a load off?
Challenges faced in the transport industry
The transportation industry is complex. Here are three challenges without the right systems.
Organisation issues
Organising multiple loads or jobs takes time and effort. Details can easily be missed, or passed on incorrectly, resulting in severe and costly consequences.
Tracking freight
It’s not uncommon for many shipments to be in transit at the same time around the country. It can be difficult and time-consuming if you have to track all of this freight manually.
Lack of data to gather insights
Transporters and haulers need up-to-date industry data to offer optimal services. By accessing this data, it’s possible to gain insights to improve company processes and customer satisfaction.
8 ways a TMS helps maximise profits
The time-saving benefits of transport management adoption are vast. This can translate into saving your company money and maximising profits. Here are some examples of how this is achievable.
Increases revenue
Using your TMS system in tracking trucking revenue per kilometre helps you stay on top of your company’s finances. Using this vital tool allows your company to highlight aspects that can be adjusted to increase revenue in this specific area.
Effective tracking
By being more aware of how the vehicles are operated and their routes. A GPS tracking system within a TMS, or the ability to integrate with your TMS, will ensure that savings can be made on fuel consumption and vehicle wear on every journey.
Aids in customer services
Your company will provide the best possible customer service through transport management adoption. The transparency of your operation is shown to everyone in the process from your customers having the ability to book jobs, and keeping your customers in the loop with delivery confirmations, proof of delivery (POD), and maintaining a good working relationship.
Better efficiency in warehouse processes
If you use a warehouse as part of your transport business, you’ll know they can fill up in no time. A TMS can assist with keeping track of and managing the flow of products.
Better cash flow
Your company will be far more efficient. More savings will be generated, with the operation more streamlined. This efficiency will also resolve cashflow management errors and allow more precise forecasting, freeing up funds that will be needed at certain times.
Reduces expenses and costs
Planning for general business costs using a TMS is vital to increasing profits. Planning and, more crucially, carrying out a consistent maintenance schedule results in a more organised operation, which translates to lower costs.
Helps in data analysis and forecasting
Using a reliable TMS can help you monitor the performance of your company’s internal and external resources. Utilising the TMS gives a better view of the entire process, and early action can be taken when necessary.
Effective fuel management
By planning routes more efficiently with a TMS system, you can ensure drivers travel fewer kms, and avoid trips with empty loads. Doing so will reduce trucking costs through better fuel management and boost your profit margins.
Benefits of a Transport Management System
In choosing a Transport Management system such as MyTrucking, your company will have access to many of the benefits mentioned in this article. However, your company will also benefit from aspects of the software, such as integrated invoicing, which allows all your jobs to move seamlessly to your accounts department.
In addition, MyTrucking’s custom report service has been a game-changer for smaller businesses, allowing them to export custom reports to their client base.
By adopting a transport management system from My Trucking, your company will be able to continue providing excellent service, with the added benefit of having more time and savings to grow your business.
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