What is a Freight Transportation Management System?
A Transportation Management System or (TMS) is a technology platform used in logistics to help businesses plan, manage, and execute their physical shipments’ incoming and outgoing movement. A freight TMS is essential to streamline transportation operations for businesses that frequently send shipments.
Who Uses a Freight TMS?
A TMS is primarily utilized by businesses to ship and receive cargo regularly from manufacturers, distributors, retail businesses, and eCommerce companies.
What Are the Capabilities of a Transport Management System?
Functions of a TMS transportation management system in logistics include:
- Freight Planning: provides route optimization, modal options, carrier options, and more to help you effectively plan your shipment.
- Freight Execution: book your shipment, make payments, invoice, and schedule pick-up.
- Freight Tracking: always know your shipment status for shipments placed with various carriers all in one place.
- Actionable Reporting: get KPIs in carriers and analytics to optimize your shipping.
These TMS capabilities benefit the end-user by allowing shippers to quickly sift through complex data and options to find the most favorable option, thereby saving time and money.
What are the Benefits of a Freight TMS?
Transportation management systems are a crucial part of a supply chain and provide businesses with the following benefits:
- Save money: quickly identify the most affordable shipping options with our vast carrier network.
- Save time: eliminate the need to navigate website to website to get quotes, file claims, or get tracking information.
- Select the best carrier: not all shipments are created equal, and there are times when you may need special delivery options, temperature-controlled freight, or expedited delivery, and a TMS finds the best carrier choice for your situation.
- Gain valuable insights: rely on factual data to make business decisions on your freight shipping.
How to Implement a Transport Management System for My Business?
Implementing a transportation management system requires an action plan, and a 3PL like Unishippers can help set your business up for success.
Here are some tips for implementing our freight TMS:
- Assign a dedicated employee or committee to oversee the implementation of the TMS
- Define business processes and rules for shipments
- Document standard operating procedures for your team to follow
- Automate repetitive shipments using our commodity list
- Utilize our implementation experts to help integrate the TMS with your business