How a SaaS-Based TMS Aids the Supply Chain During Disruption

SaaS-Based TMS

In early February, Steve Banker of Forbes described the issue of the novel coronavirus, now officially known as COVID-19, as a major supply chain disruptor. His words indicated companies could hope to contain and avoid such disruption. China had already implemented lockdowns in Wuhan and enacted travel restrictions. As we now know, the virus has quickly spread around the globe and is contributing to what is on track to become the biggest economic disaster of the century. With that in mind, a better transportation management system (TMS) and dedicated architecture system, in times like these, can provide stability during times of uncertainty. Implementing or boosting your supply chain through a software-as-a-service (SaaS) platform—a SaaS-based TMS—can mean the difference between successful mitigation of supply chain disruption and complete disaster.

The Various Causes of Supply Chain Disruption

Causes of disruption vary widely. The most prevalent disruption of 2020 will undoubtedly be the effects of COVID-19, but supply chain disruptions are nothing new. Supply chain disruption risk was at its highest rate in three years in 2018, reports Material Handling & Logistics. And, while recent effects of COVID-19 continue to unfold, the global supply chain has entered a new era of disruption.

Disruption in COVID-19 derives from the massive retraction of production in China. The U.S. is experiencing a severe cutback in the volume of imports, and the major airlines, including American Airlines and United, have recently switched to cargo-only flights between the U.S. and Europe to meet the sudden spike of demand in the U.S. for necessities and increasing e-commerce orders. Disruptions also include the effect of tariffs that were levied throughout 2018 and 2019, which was already putting a strain on the global supply chain. The whole situation continues to evolve, and in the U.S., individual states and counties have already enacted major regulatory changes to help companies move more freight and meet such demand.

Additional Benefits of SaaS-Based TMS That Mitigate Disruptions

The use of a SaaS-based TMS also provides benefits that help streamline operations, including:
  • Custom user portals alleviate stress on your workforce.
  • Cross-device mobility, bringing the same information together across all devices in real-time, keeps your supply chain working together.
  • Integrated payment management functions keep costs under control.
  • Connected load planning and multimodal optimization promote short-term and long-term freight rate stability.
  • Claims management processes handle the problems with delivery exceptions, challenges in getting to customers, and more.
  • Any mode shipping options and end-to-end rate visibility with a strong supply chain control tower that’s paired with a world-class freight rate index, guarantee stronger ROI and supply chain continuity.

Deploy a SaaS-Based Transportation Management Platform

While COVID-19 is the most recent disruption, the next disruption is around the corner. The effects of COVID-19 are actively teaching companies how to improve operations and enable business continuity throughout times of disaster and unforeseen problems in the supply chain. Learn how a SaaS-based TMS can aid your supply chain in remaining ready for any disruption.

Request an online demo of the MercuryGate Transportation Management platform today.

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