The ROI on a TMS

For manufacturers and distributors having a transportation management system, is now not a luxury but a necessity. Transportation providers freight charges have differentials exceeding 15% in many cases. Using the low-cost provider has proven to save on shipping costs by at least 8% and in some cases much more.

The average annual freight spend in the United States for manufacturers is 11% of annual sales and this will vary between industry segments. If you’re a small to mid-sized business with sales of for instance, the $30MM ranges that means your freight spend is likely over $3MM annually. A savings of 8% is $240,000. Today’s powerful, cloud-based shipping software systems would generally provide a 10-1 ROI on a TMS. Try getting that type of ROI anywhere else.

There is more to shipping software than comparative rates from trucking companies. There is labeling, printing bills of lading, tracking and advance notice of shipment delays or others exceptions. If you have truckload you need a system that can also compare rates of truckload shipments and provide tracking from even the most unsophisticated trucking companies.

Having the ability to import shipment data from an ERP through data integration or simply having the ability to import from a CSV file is a must for today’s transportation management software. ShippersEdge can link to anything from SAP, Oracle, Microsoft Dynamics, Microsoft Nav and even Quickbooks. Getting your data into shipping software should be easy, not hard. Besides there is less chance of data entry mistakes.

Compare LTL rates from multiple carriers. Does your transportation management system compare parcel to LTL rates? It should, the difference could be substantial. Do you use the spot market? Your TMS should be able to automatically get quotes from spot market providers so you can compare. What about tracking shipments in the spot market? Ingenuity has delivered an automated way to track shipments moving in the spot market with independent truckers, we have the solution.

Does your shipping software optimize multi-stop loads? ShippersEdge has built in optimizing you can even use for optimizing your private fleet routing. ShippersEdge will link to any mileage program like PC Miler and others. Saving you the trouble of planning out routes. ShippersEdge will print a master bill of lading and individual bills of lading and a trip manifest.

ShippersEdge is mobile friendly scaling nicely to smartphones and tablets.

Do you audit freight bills? What if you only had to look at freight charges that exceeded estimated costs? ShippersEdge allows you to see exceptions and let non-exception freight invoices pass through to accounting. This saves time and money. ShippersEdge provides your transportation vendors a way to electronically transmit freight invoices and upload documents so you don’t have to. ShippersEdge will store your freight documents online if you want at no extra cost. Data is cheap, labor and floor space for filing cabinets is expensive. If you are still using spreadsheets and sticky notes to manage shipping, it is time to graduate from 1985 to 2017.