One of the most important parts of any business that has one is the shipping department, and it’s often one of the most costly and has the greatest direct effect on customer satisfaction. Part of having an efficient and accurate shipping department is good management, which can be done with transportation management software, which is commonly referred to as a TMS. Here are three of the main benefits of using one.
Reduce Freight Costs
Every shipper knows that one of the best things you can do to start saving more money on shipping is to start shopping for the best freight rate. Every shipper also knows that this is an incredibly time consuming process. It takes time, but since about 80% of shippers pay more than they have to for shipping for the simple fact that they don’t compare carriers and service levels, it’s really important to do. The good news is that a TMS can do it for you, and give you the cheapest option.
Another benefit of using a TMS is that it’s going to make your shipping department and related operations much more efficient. Having everything in an integrated transportation management system means that everything will be in the same place and well coordinated. TMSs usually have the capability to track shipments, create bills of lading, and other essential parts of the supply chain process.
What using a TMS really comes down to is increasing customer satisfaction. Since you’ll be able to reduce freight prices that you’re paying, those shipping savings could pass down to the customer. Additionally, a more efficient and accurate shipping department will be able to get the right product to the right customer in the right condition and at the right time, which is quality logistics.
Do you have any experience using an integrated transportation management system? Feel free to share with us in the comments section below. Links like this.