While many logistics and transportation operations have been slow to adopt technology to manage their shipping processes, some are now dismissing Transportation Management Systems (TMS) as obsolete. However, the right TMS is not just alive; it's thriving and evolving, becoming an indispensable tool for companies looking to optimize their supply chains and transportation processes.
In today's complex business environment, efficiency and data visibility across all operational areas are critical for success. A study by the American Productivity & Quality Center (APQC) found that organizations excelling in these areas are five times more likely to be top performers.
Particularly for Shippers and 3PLs, the integration of freight execution software with core business systems, including Enterprise Resource Planning (ERP) and Warehouse Management Systems (WMS), emerges as a factor for a competitive advantage.
This integration not only streamlines operations but also enhances decision-making processes. According to a report by MHI and Deloitte, companies that have successfully integrated these systems report up to a 35% increase in operational efficiency, with a significant impact on their bottom line.
When supply chain disruptions occur, many logistics professionals scramble to adjust. Some turn to a multitude of technology providers to deliver services they think they need to adapt. However, many are learning what experienced Shippers and 3PLs already know – the best solution is planning ahead with a one-stop shop technology from a seasoned provider.
In episode 11 of Banyan Technology’s Tire Tracks™ podcast, 3PL Freight Partners Group Founder and CEO Tom Burke discusses where the future of logistics technology is headed and how one-stop-shop technology will make a big impact.
With 90% of the 26-foot box trucks registered in the U.S. independently owned and operated, it is often difficult for Shippers and 3PLs to find carriers that can compete with companies like Amazon or Walmart that offer cost-effective, sometimes even free, 2-day or 24-hour final mile delivery.
However, with the help of advances in technology, one provider is looking to improve final-mile efficiency by embracing the industry’s evolution to same-day delivery in the B2B space.
In episode 10 of Banyan Technology’s Tire Tracks podcast, Aaron Peck, Founder and CEO of Mothership, discusses how his company is using technology to standardize same-day delivery services.
“If you look at the supply chain today, you've noticed that a lot of things have sped up considerably. And I think we owe some gratitude to Amazon for forcing people who want to compete in this world to understand that overnight’s the thing now,” he said. “And not only is going to be 10 times faster, but it's also free.”
