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Cloud-based TMS system for transportation management

Cloud-based TMS system for transportation management

Nowadays technologies are developing so drastically that continuous search of transportation management systems’ improvement ways became the norm. World tendencies demonstrate that most modern TMS software is based on cloud computing.

This fact is explained by availability and easy utilization of cloud-based solutions; moreover, upfront costs are minimized. As a result, we obtain almost immediate return of investments owing to the improved routes planning and modernized logistics system management. Besides, TMS solutions give the companies deep and consistent understanding of their supply chain that allows to apply each decision in individual order.

Eventually, TMS software gives organizations a plenty of detailed and valuable information that being effectively applied to all transportation stages, can lead to the powerful business analysis and increase financial and operational efficiency. Many companies, apparently, understand it. If we ask a question about how important are reports on carrier’s work for the organization, three quarters from all will answer that they are “important” or “extremely important”, in spite of the fact that many companies even have no opportunity to provide such reports.

Why do the companies hesitate with implementation of transportation management programs, considering the high level of understanding their value? The biggest obstacle for the majority is lack of technical resources and opportunities to maintain the system work adequately. Besides, delivery problems in a chain tend to take last places in the priority list for optimization. The companies often assume that transportation management system implementation is extremely expensive and labor-consuming. However, at present time, this is an unreasonable concern. Cloud-based model of logistics management systems has significantly facilitated implementation and support processes. Cloud-based solutions for transportation logistics management that are present on market today, allow the companies to:

  • create a reliable information base and automate data flow.
  • provide transparency and permanent control of order load and status.
  • eliminate passive stay time in a warehouse.
  • provide simplified communication between carriers and suppliers.
  • store information of clients’ addresses and locations, operating time, time at the client’s site, restrictions and contacts.
  • use a wide set of various online reports on orders, clients and expenses to enable the logistician see additional opportunities for savings.

Transportation management systems based on cloud-computing provide the companies with stronger economic arguments for implementation. They offer fast payback, minimum capital investments, and price, which is much less than brought savings.

Transportation logistics system implementation will have positive impact on the main supply chain processes after a couple weeks of use.

You can learn everything about opportunities, technologies and transportation logistics optimization effects for your company by watching ABM Cloud webinars!