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Logistics Software | Transportation Management Program

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Logistics Software | Transportation Management Program

Posted By Femag Jills     June 28, 2022    

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It's difficult to think of an area of business that hasn't benefited from SaaS offerings. And if you own a manufacturing company or plan on starting one, you may be familiar with truckload transportation management software, a form of logistics software that is available on both a SaaS model and as an internal software solution.

 

The value of logistics software is typically discussed in relation to third-party logistics, with its main benefit being that it offers logistics solutions at a significantly lower price than 3PL while offering more shipping options. If you are looking for logistics software development services, then I would recommend visiting this website https://inveritasoft.com/industries/logistics for more information.  

 

Own Logistics Providers

 

When shipping companies get large enough, they usually purchase their own shipping fleet and hire a team of logistics professionals to oversee it. But for small to midsize shipping companies, the financial necessity of outsourcing logistics means that they have to maintain a relationship with a 3PL that 3PL clients regularly characterize as being distant and disconnected, and it's easy to see why.

 

Comprehensive Logistical Approach

 

There are four types of 3PL providers standard 3PL providers, service developers, customer adapters, and customer developers. But only customer developers offer a comprehensive approach that results in new shipping solutions. The problem? Cost-wise, hiring a customer developer is essentially like hiring your own team of logistics professionals.

 

And if you can't afford that, then hiring a customer developer is a bad decision as well. Companies hire standard 3PL providers and service developers when they have a specific need, but not when they when want the best systematic shipping process; and customer adapters are hired by companies that simply want their shipping process managed.

 

Significantly Reduce their Annual Shipping Costs

 

Research shows that companies that implement logistics software can reduce their annual shipping costs by 10 percent at the end of the first year. With the aid of logistics software, shippers typically pay more than they need to in freight transportation and a variety of other costs commonly associated with the shipping process, including but not limited to. TMS software costs, annual software maintenance costs, gain shares, freight margins, and common rate-based licensing costs.

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