Benefits of Modern TMS Solutions That Work
According to the DAT Broker Benchmark Report, TMS use among both freight brokers and 3PLs have been associated with a 16% increase compared to 2017. Of course, exceptions exist, but overall profitability looks to surpass original predictions for the year. Additional benefits of modern TMS solutions for distributors also include the benefits afforded to shippers, such as:
- Reduced lead time through faster, enhanced load planning and scheduling.
- Taking full advantage of all over-the-road cargo through reduced deadhead.
- Faster dock loading and unloading from better yard management, lowering dwell time.
- Cost savings through fewer assessments of dwell charges.
- Improved cycle times for on-hand inventory, reducing carrying costs.
- Access to consolidation/deconsolidation programs to ship less freight in volume to unlock discounts.
- Review of past invoices (auditing) to identify and recapture billing errors.
- Access to a broader carrier network.
- A path forward for taking advantage of cross-docking and drop-shipping for shippers—leading to more activity among wholesalers.
- Automated notifications for both delivery, refusal, and returns, if applicable.
Countless additional benefits exist, and they vary based on the level of digital transformation in your organization. For example, connected devices may work with ELDs to track more data about drivers and their performance. Data is power, and in this world, those with the most meaningful data apply it through TMS solutions.