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Expected Benefits of a Transportation Management System
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“Through the implementation of TMS, companies on average can expect to lower freight budgets by 5 percent to as high as 25 percent in first year depending on mode mix and existing adherence to best practices.” - Global Logistics & Supply Chain Strategies

Efficiency and productivity in daily operations

  • TMS systems enable companies to centralize the logistics function, providing support across their entire organization. This aggregation can increase purchasing power and contract negotiations with carriers.        

  • Adhering to and enforcing business rules and processes to ensure proper execution.

  • Order processing is automated through the point of load costing, carrier selection, tendering, carrier acceptance and shipment visibility.

  • TMS systems improve carrier communications through EDI, Internet portals, and the use of email.

  • Access to data through standard reports and additional report writers for customized reporting and tracking of data such as  Freight accruals, fuel surcharge, and accessorial charges.  

  • Automated electronic reconciliation improves the speed and accuracy of freight bill audit and payment.

Reduced costs through carrier selection compliance and optimization

  • Automated carrier rating and selection of lowest cost carrier and tracking of service levels.

  • Monitoring carrier performance, contracts, and balancing load distribution.

  • Visibility to loads for load planning and consolidations increases savings potential YIELDS of 5 to 15%.

Improved customer service levels through consistent and expected delivery.

  • Improve customer service levels by monitoring on time performance

  • Tracking of shipments and identifying service failures, thus improving overall supply chain visibility.