Build Supply Chain Resiliency with Digital Transformation
Q: How has the pandemic revealed shortcomings in supply chains?
A: The pandemic highlighted the need for a resilient supply chain. The companies that best weathered this crisis were able to make informed decisions and collaborate across their supply chain to minimize the impact of the disruption.
It's clear that adopting an integrated transportation management system delivers consistent ROI and helps create a resilient supply chain.
Q: What are shippers missing out on by not using an integrated TMS solution?
A: Companies that still use outdated, siloed systems for operations, transportation, and warehousing management lag behind in decision-making. It takes too long to gather data and respond appropriately. Shipments can't be tracked and diverted as necessary, regardless of the mode. In addition to basic shipment visibility, they're missing out on the benefits of advanced analytics and business intelligence.
They're also spending more on their transportation than they should. Rate data may be hiding in spreadsheets, so the freight doesn't move by the lowest-cost carrier option. They may be paying for the wrong freight class or excess accessorial charges. They could be missing out on load consolidation opportunities or using inefficient routing. It's more challenging to capture payment errors through freight auditing without easily accessible invoicing data.
Q: How does a TMS deliver value?
A: A reliable TMS is one piece of a broader intelligent supply chain—one that leverages big data, cloud technologies, and machine learning to unlock optimizations never before available to shippers.
With an integrated TMS, shippers can build incremental value via cost reductions of 0.5% here or 1% there through efficient operations. A TMS helps achieve those savings.
Q: What factors should shippers look for in an integrated TMS?
A: An end-to-end solution that manages everything from inbound purchase orders to outbound shipment execution and self-invoicing will make the most significant impact. A full-package solution like our IMPACT TMS takes over vendor compliance through the order book, contractual term compliance and benchmarking, auto-rating, auto-tendering, exception management, tender rejections, spot auctioning, and freight approval.
Look for a TMS with a business intelligence tool that tracks loads from pickup to final delivery and analyzes load cost by lane. IMPACT TMS has an automated spot auction tool that allows the customer to obtain the lowest rate on shipments and secure capacity in a timed environment.
In these unprecedented times, the need for freight optimization is crystal clear. Enterprise shippers need to understand the role a robust TMS plays in transportation management and freight auditing to drive new levels of efficiency and reduced freight spend.