Transport Management: 5 Reasons to think Cloud

07 January 2020

Today’s transport supply chains are complicated enough.  Therefore why be locked into an annual licence fee for Transport Management Solutions (TMS) when you need all the flexibility you can get? We suggest 5 reasons why Cloud-based TMS holds the answer.

Cloud Transport Management

On the Horizon for Haulage

The UK haulage industry is hugely significant.  It is the fifth largest employer in the country and worth £124 billion Gross Value Added (GVA) to the economy1.  It is also highly competitive with low-margin and is constantly at the mercy of fluctuating customer demand.  All this uncertainty is hampered by the ongoing gridlock of Brexit.  Tens of thousands of UK hauliers responsible for the supply chain between the UK and the rest of Europe are still in the dark and unable to plan properly for the future2.

Given so much unpredictability, organisations can at least rely on the automation of today’s transport management solutions (TMS).  By taking away the paperwork and with powerful data analytics embedded in their DNA, new solutions are changing the way companies manage their transport supply chains.  While providing valuable cost-saving opportunities, they offer the flexibility necessary to scale up and down to accommodate changing customer requirements and industry conditions.

Cloud security

Flexibility not penalties

Can the same be said about the way you pay for transport management technology?  Too many companies are still locked into a fixed, annual licence that bears no relation to the flexibility they need to run their business. Surely, there is another way?

5 reasons to think Cloud for TMS

The answer lies in the technology itself.  Why pay more than you have to when modern Cloud-based solutions can use their naturally high levels of functional flexibility to offer equally flexible payment options?  Let’s take a closer look at the benefits:

1. Transparency

Cloud-based TMS solutions are an all-in-one platform that provides complete visibility of every stage of your delivery network. Nothing is hidden as users can access the solution at any time of the day or night to gain a real-time view of supply chain activities.  The same level of fairness and transparency can be replicated when it comes to payment.  Smarter vendors offer their customers the benefit of a transparent, monthly cost that is flexible enough to accommodate changes in the business.  What you see is what you get!

2. Simplicity at the fraction of the cost

All you need to be up and running with a Cloud-based TMS is an Internet browser and mobile devices. This means total flexibility, no specialised hardware, no complex set up or a team of expensive IT gurus working behind the scenes.  In addition back-ups are taken remotely across multiple data centres which means if the worst happens it is business as usual.

3. Flexible business tool

The automation provided by Cloud technology makes light work of scaling up and down to meet sudden or steep fluctuations in consignment numbers, such as seasonal demand and changing SLAs. Automation also provides great opportunities to grow and expand the business without the need for additional overheads or headcount.

4. Level playing field

Historically, TMS solutions were out of reach for all but the largest companies. The Cloud has changed all that, giving everyone a fair chance to compete at the best rates. This also has a positive impact on other costs such as adding freight insurance and consolidating freight and intermodal shipments. All these can now be realised at far lower costs than ever before.

5. Tighter cybersecurity

Security is among the top priorities for businesses operating in virtual environments because a single shipment may contain enough information for those with malicious intent to discredit your company and become nightmares for your customers. The beauty of Cloud-based TMS solutions is that the provider’s cyber security measures are top priority while regular testing ensures the Cloud remains secure to even the most advanced of hackers.

Maybe it’s time to think about a Cloud-based TMS with a monthly cost that can scale with your business. Other benefits include faster communication with customers and drivers, single data entry and no more spreadsheets.  What’s not to love?

For more information, visit our TMS page.

1 https://www.rha.uk.net/policy-campaigning/top-industry-issues/haulage-industry

2 https://www.rha.uk.net/news/press-releases/2019-03-march/poor-government-engagement-hampers-business-brexit-planning