| If you've investigated a transportation management | | | | it? If you don't have a TMS system, you probably |
| system, you know they can cost hundreds of | | | | don't. A good TMS system will track pick up |
| thousands of dollars when you take into account | | | | performance as well as, delivery performance. |
| hardware and software, training and implementation | | | | - Vendor Management - So you know that |
| costs. There is a simple way to get one for free | | | | sometimes you don't get your raw materials on time |
| with almost no start up costs or long implementation | | | | and it causes havoc in your organization. Was it that |
| time. | | | | the carrier was late? Or, was it that the vendor didn't |
| What a TMS can do for you | | | | ship on time? With a TMS you have visibility and can |
| - Visibility of shipments - this allows you to coordinate | | | | take appropriate action. |
| and consolidate shipments to save money. It also | | | | As the size of your business grows at TMS system |
| allows you to allocate resources effectively in your | | | | is essential to remain competitive, "but the cost is |
| shipping/receiving departments. | | | | just too much to justify"; is what I hear from many |
| - Cost Visibility - Wouldn't you like to know if one | | | | clients. Well, what if I told you you could have one |
| customer has changed their ordering patterns and | | | | for free. |
| instead of ordering 3/4 truckloads is now ordering | | | | Hire a 3PL |
| only 1/4 truckloads and by doing so has just | | | | Many 3PL's have TMS systems that can provide you |
| increased your costs significantly? If you know about | | | | with all the data you need to better manage your |
| this, you can take corrective action like increasing | | | | transportation costs. 3PL's include this as part of their |
| your customers price or collaborating with them to | | | | service. At my company, not only do we have a |
| order in larger quantities. | | | | TMS system for our customers, but it's also web |
| - Expedited Freight Visibility - The customer is king. | | | | based, so there's no installation required by our |
| These days many companies are paying huge | | | | customers. We also employ a team of staff |
| expedited freight charges and don't even know | | | | programmers to customize our system to collect and |
| about it. It's just lumped into their general freight | | | | display data in any way our customers want to see |
| charges. Wouldn't you like to know which customers | | | | it. |
| are expedited the most? Wouldn't you like to | | | | An additional benefit of a TMS with a 3PL |
| investigate why? | | | | A 3PL will also find and book the trucks for you while |
| - Inbound visibility -If most of your raw materials are | | | | routing the shipments through their TMS. You might |
| being shipped in "prepaid" you really are paying for | | | | be thinking... then what would I do! You can focus |
| the freight. It's not free. It's included in your purchase | | | | your time where the real savings are in |
| price. The cost of the freight and the suppliers | | | | transportation: Reducing expedite shipments, |
| margin on that freight is also included. For most | | | | consolidations, vendor management, inventory |
| companies this can be a huge source of cost savings | | | | management, working with customers to reduce |
| if they take control of their inbound freight. But who | | | | costs, etc. When you're not spending your time |
| has time? With a TMS system you can get visibility | | | | looking for trucks and fighting fires, it's amazing what |
| and take control. If you track it, you can manage it. | | | | you can accomplish. |
| - On-time Visibility- How do you know if your logistics | | | | I would strongly recommend if you're a growing |
| function is servicing your customer effectively? It | | | | business to contact a 3PL today to help stream line |
| might have got off your dock on time, but how do | | | | your logistics systems. |
| you know your customer got it when they needed | | | | |