FAQs about Transport Management System (TMS)

FAQs about Transport Management System (TMS)

Transportation Management System plays the most consequential part in a company’s supply chain operations. Delivering on time in full (OTIF) with minimal cost has become crucial and TMS does just that. Exceeding the expectations of the end-users while demand sits at the top of the peak and to handle the pressure which comes along is no easy task. TMS astonishingly makes it easier to handle the challenges at this moment and induces efficacy while the revenue is bound to scale up.

The following are a few frequently asked questions about Transport Management System.

What are the key functionalities of TMS?

TMS anchorages the process of moving products from one point to another efficiently and as cost-effective as possible. To achieve this goal, an effective TMS provides end-to-end visibility across the entire multi-party network as well as multi-modal, container, pallet, and parcel support. Exceptions should be addressed and effectively managed to maintain consistency in deliveries.

Planning efficient transport is vital and often not paid much-needed attention. TMS is required to automate key concerns such as efficient and cost-effective sourcing, best routing and carrier selection based on each individual’s order service requirement so that the whole system reaches optimization.

Financial and analytical functions are also important to control cost and continuous improvement. A robust TMS will offer rate and invoice management which allows us to set and track performance KPIs.

Why TMS and why not ERP?

A typical ERP is confined to storing and sending information between suppliers, warehouses and carriers. It doesn’t have the capability to process, analyze and optimize the data. Such static systems are not enough to handle the complex demands and challenges of a modern supply chain.

On the other hand, TMS helps businesses process their data and make more cost-effective planning and make smarter decisions to improve operations. A fine example is to provide real-time visibility into flows and sending alerts to track and trace the orders and quickly resolve the exceptions as they occur.

An effective Transport Management System is a critical factor to attain end-to-end supply chain visibility.

How a TMS does reduce cost and increases revenue?

The transport management system takes a pragmatic approach to control costs and generate good revenue while the transportation costs are a major supply chain expense. Automating transport planning and execution processes such as cost-effective sourcing, best routing and carrier selection improves optimization and a dip in the cost.

A highly flexible TMS empowers companies to innovate and expand their service and solutions offered to the end-users, boosting revenue and driving competitive advantage.

What makes fruiSCE TMS unique?

fruiSCE TMS is a fastidious and comprehensive solution that covers all the business processes involved in a TMS that one can think of.