Transport management system – What is TMS?

A transport management system is a logistics platform that utilizes technology to help companies plan, execute and optimize the real movement of goods, both inbound and outbound and making sure the shipment is in compliance by having the proper documentation accessible. The TMS is typically part of a greater supply chain management system that all integrates to have an efficient process flow from start to end.

Sometimes known as a transport management solution or software, a TMS provides visibility for day-to-day operations, compliance and documentation and guaranteeing that goods are delivered on a timely manner taking into consideration any operational restrictions from daily traffic to custom customer constraints by measuring turnaround times and having flexible route adjustments on route. A TMS also streamlines the shipping procedure and makes it easier for business to oversee and optimize their transportation operations on road.

It is important to have a transport management system because the system plays a pivotal role in supply chains, influencing every part of the process from planning and allocation to logistics management. The investment in a formidable system leads to more economical planning and execution that results in improved customer fulfilment. Improved customer fulfilment leads to more sales and helping the business expand. Its important to have a system that will allow to take in consideration all your operational restrictions and making sure you conform to all trade policies and compliance as each industry has its own complications.

The benefits:

·       Reduced cost for the business and end customer

·       Simplification of supply chain procedures

·       Automation of existing business operations

·       Enhanced visibility of transport and improved security on the road

·       Ability to track freight more successfully

·       Improved customer service and delivery

·       Ability to measure turnaround times at the customer

·       Ability to go paperless with linking handheld devices to create EPOD’s

Lastly, its important to invest in a formidable TMS system that will allow you to measure key performance indicators and make the necessary adjustments to fit your distinctive business. A TMS will allow you to manage your business better, start measuring key performance indicators and improve your overall service delivery.