A robust Transport Management System (TMS) can be an asset for any company that runs an inventory and is involved in transporting goods from one source to another. Even though some companies, principally SMEs might view this as an unnecessary expense, taking into account the vast functions performed by such a system makes it easy to understand how a TMS offers a quick return on investment. The principal functions of a TMS are listed below:
- Carrier selection- Selecting the right carrier for each trip, taking into account factors like the distance to be travelled, the nature and amount of products, etc. is a critical decision which is made simpler with the use of a TMS.
- Carrier scheduling- A delay in the availability of a carrier at the time of transportation can jeopardize the entire process. TMS avoids such incidences by laying out an elaborate schedule for all the carriers, ensuring that it is made clear from the get-go, where and when a particular carrier is needed, and for how long.
- Dispatching- The dispatching process is essentially the first major process involved in the transportation. A single error affects the entire process at times. TMS minimizes, and almost eliminates such errors, by using the latest data to ensure that the orders are dispatched with complete accuracy.
- Document preparation- A key process involved in the transportation process is that of preparing necessary documents at the initial stage of dispatching the load. TMS prepares these documents as per the specifications of each trip, eliminating the possibility of human error, and also making all the important data available.
- Performance measurement- By compiling all the important data involved during the transportation of each load, the TMS serves as a useful database, using which the managers can get ready information about the overall performance, and easily identify any loopholes. This helps to improve the company's bottom line, as well as increase customer satisfaction.
- Shipment planning- The process of shipment planning involves a number of steps like consolidation, routing, rating, scheduling, and tracing, all of which are performed by the TMS.
- Expediting vehicle loading- Finally, the TMS plays a major role in vehicle loading, by optimizing critical factors such as the equipment needed for loading, personnel to be present at the time of loading, costs incurred, route to be followed, unloading schedule etc.
McLane Logistics Technology provides reliable and customized transportation software and transport management system to streamline your supply chain process. For more details visit them at 4001 Central Pointe Parkway, Temple, TX 76504 or call us at 1-800-989-7568.
