In today’s faced-paced and interconnected business landscape, transportation management holds paramount importance for organizations to gain a competitive edge. Digitization is revolutionizing industries and is a must for businesses to survive and thrive. The advantages of integrating a Transport Management System (TMS) into your organization’s digitization strategy are clear: from providing end-to-end visibility and introducing data-driven decision-making to streamlining processes, improving customer service, and supporting sustainability efforts. Let's explore why a fully connected TMS is a game changer in the digital era.
The Power of TMS Digitization
By embracing the digital revolution and taking a deep dive into its transportation processes, businesses investing in a fully connected TMS (one integrated with carriers and forwarders) will have a powerful tool in place. It will help them to efficiently enhance visibility and control over their supply chain, provide data-driven insights and empower them to drive operational excellence. Such a TMS needs to be directly connected with all carriers and forwarders in order to realize its potential.
Automized Processes & Reduced Errors
With the implementation of a connected TMS, organizations will be able to streamline one’s transportation processes. Automating processes such as carrier selection, booking, invoicing, and freight auditing, eliminates many manual and time-consuming tasks that were prone to human errors. As a result, organizations can streamline their transportation processes, save time, and allocate resources more effectively, ultimately increasing their overall productivity.
Enhanced Visibility & Control
Manual transportation management processes are vulnerable to errors, delays, and most likely lack of real-time information. Adopting a connected TMS will provide organizations with improved visibility, meaning they are properly equipped to proactively identify potential bottlenecks and anticipate delays (e.g. incidents in the Suez Canal) while maintaining a smooth flow of goods and/or services within the supply chain. Having more profound control over the supply chain allows for improved coordination with carriers, suppliers, and customers.
Data-Driven Insights and Decision Making
A connected TMS receiving data from all carriers and forwarders unlocks the real power of data analytics, providing businesses with accurate data and trends to gain actionable insights for better strategic planning. It enables advanced reporting capabilities to help businesses analyze various KPIs, identify potential trends, and make strategic decisions driven by the data gained. Organizations can uncover potential cost savings, optimize their transportation processes and negotiate better contracts with carriers. By leveraging historical and real-time data, one can enhance forecasting accuracy, inventory management, and overall supply chain optimization.
A connected Transportation Management System (TMS) can uncover potential efficiencies and drive success. With enhanced visibility, steady control over streamlined processes, improved collaboration, and data-driven insights, organizations can uplift their operational flows, reduce costs and improve their customer service. Stepping into the digital era and embracing the power of automation through a connected TMS will empower businesses to stay ahead in a rapidly evolving global market segment.
INDUSTRY WHITEPAPER
2023 Global Transportation Management Benchmark Report
Descartes conducts annual benchmark research among global transportation professionals. The 2023 study reveals that higher (fuel) costs and a shortage of drivers pose challenges, while investments in visibility present opportunities.