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Transport Management System TMS

A transport management system - often referred to as TMS - is a system that has played an indispensable role in logistics automation for years. A TMS can be used for order processing, planning, invoicing, navigation, communication and fleet management, among other things. But what exactly does a transport management system entail?

TMS for file administration

TMS is a broad concept. In the past, a transport management system was mainly used for file administration. In this section, transport orders are recorded, rates are determined and invoices are made. The transport management system was comparable to an ERP system at this time, but then specially adapted to the logistics industry. Nowadays, the software can be used much more widely and the available systems contain much more functionalities.

Automation logistics processes

A good transport management system nowadays contains all the functionalities that are necessary to organize and manage the logistical processes of an organization as optimally as possible. Depending on the complexity of the type of transport, the transport management system becomes more extensive and complex. This includes functionalities such as customer registration, personnel registration, order processing, planning, invoicing, navigation, communication, linking with accounting systems and fleet management. Moreover, good TMS software is open and flexible, so that it's easy to link to external systems from clients, subcontractors and other software within your own organization. The software takes things off your hands that used to take a lot of time and manpower, so that you can act faster and more efficiently.

Trip planning and route planning

Planning and dispatching are an important part of a transport management system. The software takes care of the trip planning and route planning in this section, while taking into account the availability of your fleet and staff. In addition, the system calculates which transport orders can best be bundled into efficient journeys and which loading and unloading order is optimal. There are of course transport management systems that contain integrated route planning. This automatically calculates the most efficient route for transport.

Mobile transport management system

A transport management system is a part of business automation for organizations. It must therefore be easy to link the system to software used in other areas within a company. It must also be possible to easily link the transport management system to mobile devices and on-board computers. This way, trip administration, fuel consumption, mileage and delivery times can be communicated directly with the software. Nowadays, on-board computers are no longer necessary, and mobile devices such as tablets and smartphones are used much more often.

Types of TMS software

Nowadays there are many software suppliers with their own transport management system. Two types of TMS software can generally be distinguished. A system that focuses primarily on managing flows of goods. Such software is widely used with shippers for compiling loads, outsourcing transports, organizing a bid process and with carrier selection. On the other hand, there is a transport management system that focuses more on implementation, which is mainly used by transporters and logistics service providers. Issues such as loading and unloading, documentation, management of costs and charters and other operational matters are essential.

On-board computers

There are various software suppliers that offer a transport management system. The software is ideal for the automation of various logistics processes that every organization in the logistics industry encounters, such as order processing, planning, invoicing, navigation, communication and fleet management. A transport management system can often be linked with internal and external software and with on-board computers and mobile devices. This allows all kinds of processes that used to take a lot of time to be communicated directly with the system. This allows organizations to act faster and more efficiently.

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