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by | Jun 19, 2023

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Why a Self-Managed TMS System is Important for Modern Businesses
why-a-self-managed-tms-system-is-important-for-modern-businesses

A fit for purpose TMS is indispensable for todays truck and rail services.

In today’s competitive business environment, businesses that rely on flawless logistics and tracking truck and rail shipments need to have a self-managed transportation management system (TMS) in place. A TMS system can help businesses improve their efficiency, reduce costs, and improve customer satisfaction.

A TMS system is a software application that helps businesses manage all aspects of their transportation operations, including:

  • Freight booking: A TMS system can help businesses book freight with carriers, track shipments, and manage invoices.
  • Rate shopping: A TMS system can help businesses compare rates from different carriers to get the best possible price.
  • Capacity planning: A TMS system can help businesses plan their transportation needs and ensure that they have the capacity to meet customer demand.
  • Fleet management: A TMS system can help businesses manage their own fleet of vehicles, including tracking vehicle location, fuel consumption, and maintenance records.
  • Compliance: A TMS system can help businesses comply with government regulations, such as those related to hours of service and weight limits.

A self-managed TMS system gives businesses the flexibility to customize the system to their specific needs. This can help businesses improve their efficiency and reduce costs. For example, a business can use a TMS system to create custom reports that track the performance of their transportation operations. This information can then be used to identify areas where improvements can be made. Improvements in routes or carriers which can significantly reduce costs and have a bottom-line impact immediately.

A self-managed TMS system can also help businesses improve customer satisfaction. For example, a business can use a TMS system to provide customers with real-time tracking information for their shipments. This can help customers feel confident that their shipments are on track and that they will arrive on time.

Overall, a self-managed TMS system can be a valuable asset for any business that relies on flawless logistics and tracking truck and rail shipments. A TMS system can help businesses improve their efficiency, reduce costs, and improve customer satisfaction.

Benefits of a Self-Managed TMS System

There are many benefits to using a self-managed TMS system. Some of the most common benefits include:

  • Improved efficiency: A TMS system can help businesses improve their efficiency by automating many of the tasks involved in transportation management. This can free up time for employees to focus on other tasks, such as customer service or sales.
  • Reduced costs: A TMS system can help businesses reduce their costs by helping them to find the best rates for freight, track their shipments more efficiently, and improve their overall transportation operations.
  • Improved customer satisfaction: A TMS system can help businesses improve their customer satisfaction by providing them with real-time tracking information for their shipments and by helping to ensure that their shipments arrive on time and in good condition.

How to Choose a Self-Managed TMS System

When choosing a self-managed TMS system, there are a few factors that businesses should consider, such as:

  • The size and complexity of your business: If you have a small business, you may not need a TMS system that is as complex as one that is used by a large enterprise.
    1. Consider your needs. What are your specific needs for a TMS? Do you need a system that can handle a high volume of shipments? Do you need a system that can integrate with your other business systems? Once you know your needs, you can start to narrow down your options.
    2. Consider your budget. TMS systems can range in price from a few thousand dollars to tens of thousands of dollars. It’s important to set a budget before you start shopping so that you don’t overspend.
    3. Read reviews. Once you’ve narrowed down your options, read reviews from other users to get their feedback on the different systems. This can help you make an informed decision about which system is right for you.
    4. Get a demo. Once you’ve found a few systems that you’re interested in, request a demo from the vendor. This will give you a chance to see the system in action and ask the vendor any questions you have.
    5. Compare features. When comparing TMS systems, it’s important to compare features such as:
      • Freight booking: Can the system book freight with carriers?
      • Rate shopping: Can the system compare rates from different carriers?
      • Capacity planning: Can the system help you plan your transportation needs?
      • Fleet management: Can the system help you manage your own fleet of vehicles?
      • Compliance: Can the system help you comply with government regulations?
    6. Choose the right vendor. Once you’ve compared features and prices, you need to choose the right vendor. When choosing a vendor, it’s important to consider factors such as:
      • Reputation: How long has the vendor been in business? What is their reputation for customer service?
      • Support: What kind of support does the vendor offer? Is there 24/7 support available?
      • Scalability: Can the system grow with your business?
  • Your specific needs: Some TMS systems are designed for specific industries, such as manufacturing or retail. Make sure to choose a system that meets your specific needs.
  • Your budget: TMS systems can range in price from a few thousand dollars to tens of thousands of dollars. It is important to choose a system that fits your budget.

A self-managed TMS system can be a valuable asset for any business that relies on flawless logistics and tracking truck and rail shipments. A TMS system can help businesses improve their efficiency, reduce costs, and improve customer satisfaction but the single most important factor when using a TMS is fit for purpose. This means that the TMS you choose must be able to meet your specific needs and requirements.

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