Transportation management system (TMS) is an integral part of a supply chain. Today, efficient transportation systems have a very important role to play in successful supply chain management.
A successful supply chain operation requires optimization across all modes of transport such as air, land and water. This is where a transportation management system (TMS) comes into the picture.
A transport management system will have the below mentioned features:
Real time tracking of the consignment from pickup to delivery is a must for staying informed and making relevant decisions to deliver the consignment on time. This involves tracking the vehicle carrying the consignment, the route taken and the time required for delivery. On the basis of the same the route can be optimised to ensure a faster delivery. Also performance evaluation can be done on the basis of the information available. It also helps to maximize output which in turn helps to increase profit.
A TMS is always equipped with a comprehensive planning facility which optimizes & manages the delivery schedules. It also has a dashboard which delivers instant information on the location and status of the vehicle fleet and assigned tasks.
A TMS enables smooth and seamless management of both domestic as well as international consignments as they go through various stages in the supply chain. Land transport can be integrated with forwarding, customs, freight, transit and contract warehousing by automated billing & handover along with data sharing & complete visibility. Invoices are generated and sent automatically so that you can focus on winning new customers.
Drivers carrying the consignment are equipped with real time information and support via hand held devices. This helps to communicate with drivers as well as with the fleet on the move. Thus customers can be provided real time information on the status of their consignments which helps to improve customer service.
Once the consignments are received, the route is optimized & scheduled such that fuel, fleet & driver expenses are brought down. A TMS plans, allocates, optimizes & schedules the routes while the fleet is on the move. It also checks for unexpected events like traffic, accidents & route changes as and when they occur. This increases adaptability, productivity and cost effectiveness.