Transportation management software (TMS) has been on the market for several years. Indeed, most companies use these systems, but over time they find that the software no longer meets their needs.
Today, many existing TMS systems simply cannot meet the needs of transportation companies, and they are often not easy to update.
Transportation management software plays an important role in helping businesses streamline and optimize their process. But is it the right software for your industry, product offering and distribution strategy?
Cloud-based transportation management systems are essentially TMS software installed on a remote server, whether private or hosted. Cloud computing itself relates to data storage, sharing and security. This allows businesses to enjoy the benefits of TMS software without incurring the costs. Thus, the software provider undertakes to carry out all services relating to the maintenance of the solution, technical support, security and updates.
Software as a Service has several advantages, especially for TMS.
Data centralization
We previously discussed the tasks that TMS software can streamline. Originally, these tasks were manual, carried out by one person or a team. Automating and centralizing your data improves efficiency, gives you greater visibility, and reduces costs for almost everything your business does.
Reduced costs
With a cloud-based TMS, you don't pay for licenses and the entry costs are relatively low. The rise of subscription payment models has also led to versatility. You can choose your payment frequency and the type of functionality you receive. This means you can spend according to your needs.
Plus, you don't have to pay for server maintenance and storage. Nor are you responsible for the maintenance and safe keeping of your own TMS.
Greater visibility
Today, businesses still using traditional systems find they lack real-time visibility. With a modern TMS, you should get real-time data, reports and analytics. You should be able to see exactly where each shipment is at each stage of the process. The analytics gathered by these systems can help you make informed decisions about your business and operate more efficiently. This is a major benefit that reduces time spent on reports and helps you make decisions faster.
Maintenance
With a cloud-based TMS, businesses no longer have to maintain massive servers. They no longer have to perform continuous data backups and power outages do not result in data loss.
Updates and upgrades are managed remotely, ensuring you always have access to the latest software version available. Plus, because your data is in the cloud, you can have unlimited storage potential. You can then access this data from your office or remotely, depending on your system permissions. This allows for greater flexibility and connectivity, as well as the ability to support your customers more effectively, even if you are offsite.
Scalability
Cloud-based TMS solutions allow you to scale your business. They also offer small businesses the same logistical support as larger companies. This levels the playing field at least on the logistics side.
Selecting a Cloud-Based TMS
Transportation software has revolutionized transportation logistics and supply chain management through streamlining processes and reducing the time and costs spent on administration. Thus, allowing you to focus on customers, and the future of your business.
There are a few caveats when selecting TMS software. Before selecting a TMS provider, you should:
- Establish priorities and goals
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- Involve stakeholders in the decision
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- Look for a provider that can grow with you
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- Find a TMS platform that can be easily understood and used by multiple people in the company
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- Find out how long implementation will take
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- Make sure the system can integrate with existing software (ERP integrations)
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- Get a demo
DIGIPARC provides customized cloud-based solutions to optimize transportation and fulfillment processes and support effective supply chain management. Additionally, we will help you plan and optimize tracking, travel records management, orders, invoicing and more to gain a competitive edge in the market.
