Transportation Management Systems (TMS software) are among the must-haves for today’s logistic industry, because of the demand on integrating technologies into each area possible. These innovations have completely transformed the logistics business, with the main goal of lowering costs at every stage of the supply chain process. And as the year 2022 has arrived, you should assess if your existing transport software can keep up with the adjustments on the market that are prone to come in a post-pandemic reality.
Thus, whether you’re a forwarder or a logistics company, good TMS software may help you improve the organization’s performance, client service, and, eventually, your end result. Freight forwarders can constrain human resources, eliminate additional carrying expenses, and generate greater benefits via mechanization. The same may be said for transportation systems and technology: freight shipping scheduling, order management, delivery charging, and parcel tracking are all automated, resulting in a better service.
The cost of linked devices has reduced dramatically as a result of technological advancements. Businesses across a variety of sectors use their TMS to improve multimodal transportation and freight procedures. A modern TMS has a number of capabilities that allow firms to measure performance and details about the orders. And undoubtedly these indicators are the main to focus on. Even Frederick W. Smith, founder and CEO of FedEx, once said: “The information about the package is as important as the delivery of the package itself.” So, the internal processes before the shipment and during it, should be updated and improved as time goes on.
Now, that you understand how useful a TMS software could be for your business, we need to overview future innovations that might be applicable to such a system. Surely, there is no need to create an outdated TMS, apparently, it won’t bring as many advantages as it can. Hence, let’s outlook the upcoming trends for the supply chain process within TMS software.
Machine Learning & AI
The application of machine learning and AI might elaborate on the supply chain process, by establishing a set of algorithms for drilling into all available possibilities. With AI a TMS software has a significantly higher precision when it comes to predicting transportation time. They can also strategically build potential, detect any mistakes in deliveries, such as commodities due to expiration, and so on. Stronger AI will also allow logistics personnel to optimize alternative options during excessive flow, and generate better routes.
The other supply chain process that will benefit from AI is statistical analysis. Machine learning can deliver a few types of freight analytics, which are going to cover the process elements from each angle: descriptive, diagnostic, predictive, and prescriptive analytics. Machine learning and AI are on pace to inject a new way of conducting the supply chain processes by combining such analysis.
Generally said, Machine learning and AI integration will automate the full cycle of workflow under the shipments, and simplify the process for the freight forwarders. But, furthermore, it will build the strong analytics needed for further improvements.
Cloud-Based TMS software
Cloud-based systems could be a great replacement for the TMS software on-premises since it is significantly less expensive to establish and maintain. However, the high deployment expenses are the main reasons why most small and mid-level logistics organizations decided to slow down on the implementation of a TMS solution based on the Cloud.
Clearly, thanks to these types of solutions there is no longer needed to invest in costly architecture, servers, or dedicated staff. A TMS solution may be accessed from any place with an internet connection, making real-time data and rapid decisions easier. Furthermore, once compared to an on-premise solution, a cloud-based TMS software streamlines IT support by reducing the need for VPN tunnels and remote desktop connections. And this influences the staff’s functionality.
Such an approach offers extensive availability and ease of use, as well as a reduction in upfront expenses. As a result of the better route planning and modernized logistics system administration, we see an almost immediate ROI (return on investment). Furthermore, TMS software provides businesses with a comprehensive and systematic view of their supply chain process, allowing them to implement each choice in a unique way.
Learn more about Cloud API: Use Cases for Google Drive, Dropbox, OneDrive API
Sophisticated interfaces between freight forwarders, shippers, clients, and shipping companies are built using blockchain technology. Several technologies, including cognitive track and trace, improve efficiency and delivery traceability throughout the supply chain. They also ensure that accurate and secure data is transferred.
Simple to explain, blockchain methods depend on the completion of a sequence of procedures that generate data that is then locked into individual units. The data could be openly exchanged across the chain, and the decentralized blockchain minimizes the chance of fraud by placing identical reports at the end of each user’s production process.
The variety of combinations of blockchain and TMS are numerous. Companies employing API systems will be pushed to set standards because the technology relies on data uniformity. So, the blockchain and TMS will provide line-item information to transactions and make trucking data more permanent.
Genuine SaaS, an architecture in which all users function from a single software, is becoming increasingly popular among industry leaders. This centralized software is extremely safe and has a number of advantages compared to on-premise software. To make the optimal TMS option, you must first understand all of the benefits of a real SaaS platform.
A SaaS TMS software is a cloud-based solution that is supplied as a service and offers its users various types of payment methods (per month/week/year etc.). It is hosted on a vendor’s servers, and the updates are coming regularly in order to comply with adjustments from different areas.
One of the key advantages of a SaaS TMS system is that it is designed to be simple to use even without a complex setup, and the vendor takes care of upgrades and maintenance. This contributes to system security, cheaper IT expenses, and protects it from breakdowns.
Today’s TMS software in the combination of SaaS enables for the recording and dissemination of all previous information, providing for accurate reporting and insight into logistical operations, especially the real-time link could be made, and the delivery output might be improved.
Check more information about the application of SaaS solutions into Logistics: What are the options?
To include TMS visibility and big data into the decision-making process, developers are already experimenting with “meta intelligence.” The goal is to link the TMS software to other departments such as sales, marketing, manufacturing, and customer support.
Shippers and freight brokers will know the exact environmental and financial costs of every load in every lane based on business intelligence collected from the transportation network. They’ll be able to foresee and respond to capacity problems as well. They will also be ready to make the most of their facilities by handling both inbound and outbound bookings.
In the supply chain, more data equals greater value. Raw data, on the other hand, is meaningless if it is scattered over several systems and is unable to be effectively understood. So to make data full-fledged and comprehensive appears meta-intelligence. The meta-intelligence idea is being introduced into the TMS by market participants in order to increase company performance and provide business insight. Businesses are incorporating IoT into the TMS in order to have complete insight into the business process and establish an efficient decision-making process.
Numerous TMS comes with extensive freight, route, and order management functionality which were out of the box. In addition, IoT devices and sensors, such as in-transit visibility of routes, driving conditions, and assets, are making real-time inventory monitoring a common occurrence. GPS trackers, 3D printers, big data, artificial intelligence, and machine learning, among other TMS systems and technologies in the logistics industry, are converging to allow transportation management to be done in new and more effective ways than ever before. The use of digital assistants (chatbots) allows for fast conversational replies to any shipping information, resulting in improved customer service and satisfaction.
The complement of different equipment and tools by the companies that provide freight shipping, might expand the functionality of the TMS software, can save money on maintenance, minimize delays, and improve driver safety.
With an adaptive, greatest transportation management system, businesses of all sizes can encompass the future of freight shipping management. All of the mentioned improvements whether combined altogether or separately will extend the possibilities already given by automatization, and let you even go beyond. Increasing the efficiency of freight shipping is the major goal of logistic companies since it will lead to cost reduction, faster deliveries, and better communication between freight forwarders. TMS software unifies complicated operations into a simplified environment, allowing your team to work more efficiently in the background, eliminate mistakes, and complete essential planning activities.
Hence, if you are planning on the expansion of your company’s delivery services, consider developing an upgraded TMS software to receive all the mentioned benefits above. And as Incora is a unique blend of experience and creativity, we will make sure your company will scale new heights with ease. Leave your contact details in the contact form below, and let’s get started.