In this week’s blog, we’re exploring the challenges businesses encounter over the Christmas period and highlighting the indispensable role of a Transportation Management System (TMS).
The challenges of peak season
- Increased demand: The surge in holiday orders creates a strain on logistics resources, resulting in tight capacity and higher freight rates. Carriers struggle to meet demand, leading to delays and customer dissatisfaction – the entire supply chain must therefore work harmoniously to pull everything together.
- Last minute orders: Unpredictable shifts in consumer preferences during the holidays often lead to last-minute orders. Meeting short deadlines becomes a challenge, especially when carriers are already constrained.
- Security and risks: With increased shipments come higher risks of theft, fraud and other security issues. Adequate security measures must be put in place to safeguard valuable consignments during this vulnerable period.
- Rising costs and resource mismanagement: High demand elevates prices – forcing logistics companies to hire temporary staff or add more vehicles to their fleet, therefore increasing costs. Effectively managing resources becomes crucial amid the chaos.
- Strikes and unforeseen events: In the current cost of living crisis, strikes have become commonplace – affecting almost every industry. These unforeseen events can disrupt the supply chain, impact customers and cause further complications.
The role of a TMS
With so many variables during peak season, improvising your operation is far from advisable. Using the latest technology, you can minimise the extra workload and increase your opportunities. A TMS system isn’t a luxury but a necessity with a plethora of benefits:
- Increased efficiency: A TMS enhances visibility and communication, unwrapping opportunities and increasing overall efficiency.
- Improved visibility: A best-in-class TMS also serves as a single platform for shippers, carriers and 3PLs. With integrated tracking and management of shipments helping aid real-time planning and strategic adjustments.
- Cost savings: The software solution allows businesses to explore various opportunities, identifying carriers with return load opportunities and other ways to save on shipments.
- Cross-collaboration: A TMS can also facilitate collaboration among shipping stakeholders – ensuring effective consignment tracking and coordination for arrivals as well as departures.
- Automated processes and efficiency gains: Leveraging predictive analytics, a modern TMS streamlines and automates the various processes – saving time and money.
- Improved communication and collaboration: The real-time communication and data sharing among stakeholders offered by a digital transport solution creates informed decision-making. This reduces delays and ensures timely delivery.
- Enhanced security: With robust encryption and user authentication, a best-in-class TMS ensures total data security, mitigating the risks associated with increased peak shipping season. TrackTrans software suite is infused with the highest level of cyber security, being fully compliant with ISO 9001 & 27001.
TMS solutions aren’t always costly – in fact, TrackTrans offers a modern, pay-as-you-go system that is helping transform transport management and logistics. Our cloud-based, fully integrated solution provides flexibility and efficiency, making it the preferred choice for renowned brands in logistics.
Embrace the spirit of the season and infuse your business with a touch of Christmas magic. Try our free demo and experience the benefits of TrackTrans first-hand.