Logistics ranks as one of the most critical parts of every growing business out there, and the success or otherwise of many companies depends on logistics. Having a streamlined and well-functioning supply chain is crucial for any business that wants to service the uncertain, volatile, ambiguous and complex environment. To achieve functional logistics management, having reliable freight management software is critical.
Such software will help optimize the interaction between the warehouse distribution center system and the order management system. The primary purpose is to closely observe what happens in freight delivery and help with the operations, execution and planning of transportation.
Benefits of good freight management software
Not every Transport Management Software solution comes designed alike, and every company may have different requirements for their software. You, therefore, should know what to search for when hunting for such software. Start by identifying your current resources and look for a software provider whose features align with yours.
Some other critical factors to consider include:
Carrier selection
A good freight management software should be able to determine a more affordable route. This is achieved by using the most efficient routes. It achieves this by using available maps, traffic data, road speeds, modal limitations and fuel costs, saving your gas and time.
Carrier selection
A good TMS will quickly determine which mode option and carriers will better deliver, optimizing your procurement process.
Contract management
An ideal system should help monitor your existing agreement and terms with individual carriers. Some even display the total costs, thereby allowing you to pick the best-performing carrier.
Consolidation of shipment
You may further reduce the cost of shipment by arranging and scheduling shipments in the best efficient sets and, as such, optimizing your load consolidation.
Freight settlements, estimates and payments
A good freight management software should calculate the delivery costs based on the distance, shipping method and cargo weight. Also, it should enable your accounts to work on every invoice, create necessary vouchers and payments, cut down all related errors, and allocate costs.
Yard and warehouse management
Also, a proper warehouse facility with real-time information in the shape of a shipment dispatch ought to be part of your package. With this system, you will be able to closely monitor trailer and truck movements across warehousing, manufacturing and distribution facilities.
Good risk management
Having automated auditing cross-border report generating and auditing capabilities makes it possible to avoid unnecessary international and national shipping risks.
Final thoughts
Transportation and logistics are experiencing quick changes at a swift pace. As you attempt to keep up with such changes, you should work towards getting freight technology that will help you optimize operations. Note that you aren’t only selecting a management system and a partner that will work with you for the long term.
