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Why is it Important to have a Transport Management System?

“We don’t need a TMS, it is expensive & exclusive to large-sized companies…” 

It is a common misconception in the logistics industry and one that can restrict a company’s growth. If you are tired of getting bad freight and losing valuable time & money, you might find this blog quite useful and get a chance to explore some transport management system benefits.

A good transport management system (TMS) not only enhances customer experience but also instills organization into a company. It empowers you to grow through necessary tools and helps you scale to the growth more efficiently.

Interesting stats 

The global logistics automation industry is estimated to reach a staggering $88.9 billion by 2026 and the main drivers will be IoT, progress in robotics, and workforce safety. (Source: PRNewswire)

These days, if you see a logistics company constantly adding new vehicles to their fleet and vigorously expanding, chances are they are powered by some sort of a TMS. Transport management system benefits not only come in the form of customer experience but also time-effectiveness. The time saved can be utilized to perform other important business operations, increasing productivity and opening doors for expansion.

Benefits of a Transport Management System

To learn about transport management system benefits, let’s begin by considering your customers’ position, who are mainly shippers & brokers. Let’s explore some advantages of incorporating a TMS in your daily state of affairs.

Without a TMS, a phone call has to be made to the brokers to check the availability of the freight and negotiate a deal. The traditional process is time-consuming, heavy on the pocket, and more often than not, unsuccessful in delivering the desired results. 

You might also want to read: 4 Advantages of Business Process Outsourcing 

With good enterprise software, you can get more work done in less time and get more business. It shares information regarding the availability of trucks with multiple customers in one go, instead of contacting them individually. With this seemingly simple step, you save valuable time and resources for the customer and yourself. These transport management system benefits pave way for better relationships and return customers.

What exactly are the Customers looking for?


In today’s technology-driven era, customers (shippers in our case) seek automation, just like every other industry. They are most likely operating via a TMS and would prefer working with a carrier that is automated as well. Therefore, if you want to stay in the game, going automatic is a no-brainer.

How can you save money using a Transport Management System?

You must be wondering where do the saving & profits come from when using a transport management system? Here’s are a few aspects where it can deliver monetary benefits:

Getting Rates & Quotes



These need to be processed digitally and not via emails or phone calls. To make sure this process runs smoothly and the correct rates are provided, you need to have a TMS. 

This allows the customers’ transport management system to communicate with yours and save extra costs. Moreover, you will have a loyal client, and chances are, they will knock on your door again for your services.

Transferring valuable information



Once the rates & quotes have been decided and they’ve chosen you as a carrier, the low tender information has to be shared electronically and secretly. With secure TMS software, this information is sent via EDI and API, which ensures information safety. Thus giving customers peace of mind and saving them extra time and resources that might’ve been required to share this information.

Freight Tracking



Imagine placing an order on Amazon and then not being able to track it. It will be frustrating, right? Now, think about a scenario where the freight is worth millions of dollars and has to be shipped across the continent, the need for a tracking system becomes inevitable.

Without a TMS, customers will have to spend extra on calls, just to locate the shipment. With dedicated software, they have eyes on the freight 24/7 and most importantly, peace of mind.

The fact of the matter is that TMS is not exclusive to large companies. Small and Medium-sized organizations can reap the benefits of transport management system as well. In order to grow and provide customers with the best logistics experience, every company needs to be a part of the TMS network because this is what the industry is calling for.

However, deciding to integrate a transport management system into your business is one thing but developing one is a separate story. If you are a large business looking to update your TMS or a startup seeking custom software development, get in touch with Intagleo Systems today and turn your business into a highly profitable one.

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