Transport Management Software is crucial for any business in today’s logistic industry as it has become essential for integrating technologies into every area possible. There have been significant innovations that have occurred and transformed the logistics businesses. We will look at some of the emerging TMS trends you should look for.
TMS Benefits
Transport Management System (TMS) is a game-changer for businesses in the logistics industry and different intermodal modes. We will look at the additional benefits of TMS.
1. Enhanced customer service
One of the most important things that customers look for is lightning-fast deliveries, choosing their delivery times and making last-minute adjustments to their deliveries. It can be challenging for businesses to meet all these customer expectations, but fortunately, TMS can assist in matching customer expectations. TMS also enables you to link the systems responsible for managing orders and warehouses. Integrating systems makes it easier to consolidate customer orders and choose the most cost-effective carrier.
2. Improved warehouse productivity
TMS assists with warehouse efficiency as the more you use the system, the less time you will spend managing your freight, saving you time and focusing on other tasks. Another benefit of TMS is that you can incorporate it into other systems such as ERP, which will reduce the time you spend fixing mistakes caused by entry errors.
3. Inventory management
Businesses can track their orders and shipping lifecycles using a reliable TMS solution. This allows them to predict their inventory more accurately, enhancing supply chain transparency and accountability. A TMS solution will also offer peace of mind as you know that all your clients will receive their goods on time due to the tracking features that the solution provides.
4. Supply chain visibility
TMS solutions provide transparency throughout the whole supply chain. Seeing and accessing data from other integrated systems in real-time is a great advantage. Logistical managers can recognize and act promptly and effectively if any challenges occur. This ensures that the client’s needs are maintained, and you do not have to sacrifice efficiency and performance.
TMS Trends
1. Cloud-based TMS software
Cloud-based systems could be an adequate replacement for on-premises TMS solutions as it is significantly less expensive to establish and maintain. Some small and mid-level logistics companies decide to slow down on implementing a TMS solution based on the Cloud because of the high deployment expenses.
Fortunately, cloud-based TMS software does not require investing in costly architecture, dedicated staff or servers. You can easily access the TMS solution from any place as it only requires an internet connection, allowing you to gain real-time data and make more rapid decisions. Compared to on-premise solutions, cloud-based TMS software can streamline IT support by reducing the need for VPN tunnels and remote desktop connections, which influences the staff’s functionality.
2. Machine learning & AI
Applying machine learning and AI is beneficial for the supply chain as it elaborates the processes and establishes a set of algorithms drilled into all available possibilities. Incorporating AI with TMS software will increase precision for predicting transportation time. It will also strategically build potential and detect mistakes in deliveries. Stronger AI will also enable logistics personnel to optimize alternative options and generate better routes.
Machine learning will assist in delivering freight analytics covering the process elements from every angle like diagnostic, predictive, descriptive and prescriptive analytics. AI and Machine learning are also set to inject a new way of conducting supply chain processes by combining these analytics.
3. Blockchain
Some sophisticated interfaces are built using blockchain technology, such as freight forwarders, clients, shippers, and shipping companies. Blockchain methods rely on the completion of a sequence of procedures that generate data locked into individual units. The technology includes cognitive track and trace, delivery traceability and improve efficiency throughout the supply chain. It also ensures that secure and accurate data is transferred.
There are numerous combinations of blockchain and TMS. Businesses that rely on API systems will be forced to set standards as the technology depends on data uniformity. Therefore, the blockchain and TMS will offer line-item information to transactions and make trucking data more permanent.
4. Meta Intelligence
To add TMS visibility and big data into decision-making processes, developers have started experimenting with “meta intelligence”. The aim is to link the TMS software with other departments like manufacturing, marketing, sales, and customer support. This will be based on business intelligence collected from the transportation network. Freight brokers and shippers will know the exact financial and environmental costs of each load in each lane. This will enable businesses to foresee and respond to capacity problems. Companies will also be ready to make the most of their facilities due to them handling their outbound and inbound bookings.
5. SaaS models
SaaS is a centralized software that enables users to conduct their work from a single software, which has become more popular amongst industry leaders. SaaS is also safer and offers more advantages than on-premise software.
A SaaS TMS solution is a cloud-based solution that is offered as a service and provides its users with various payment methods. The solution is hosted on a vendor’s servers, and updates occur regularly to comply with adjustments from different areas.
A significant benefit of SaaS TMS is that it is designed to be easy to use and does not have a complex setup, as the vendor is mainly responsible for the upgrades and maintenance. This ensures cheaper IT expenses and system security and protects the system from breakdowns.