How to Avoid the Pitfalls of a Transportation Management System (TMS)

A transportation management system (TMS) automates shipping processes on a single digital platform. The efficiency gains can be enormous, and many modern shippers wouldn’t be without one. However, they do come with pitfalls. Fortunately, those pitfalls can be avoided.

Pitfall #1: Hidden Costs

It can be easy to run up a tab with a TMS. Often there are extra fees for setup, installation, customization, training, and maintenance. There can also be fees for integrating third-party resources such as load boards and data feeds.

Pitfall #2: Maintenance

Because TMS providers charge extra for maintenance, many shippers rely on their own employees for this. But this comes with some risks. The biggest risk, of course, is that a power user leaves. Now the shipper is stuck with a platform it cannot maximize until a replacement is brought up to speed.

Pitfall #3: Complexity

TMS solutions have grown incredibly complex. This complexity can discourage shippers from venturing beyond the most crucial features, even when there is additional value available.

The Managed Services Solution

A managed services solution avoids these pitfalls because it provides both the TMS platform and the experts to operate it on your behalf.

  • Usually the only cost is a predictable monthly fee. A few providers, including UTS, do not charge any fees.
  • The provider employs experts who set up and maintain the TMS for you.
  • Much of the complexity is hidden to you because it is managed internally by the provider rather than externally by the shipper.
  • The provider will help you maximize the value you get from the TMS.

Please contact us if you would like a demonstration of our TMS.

Recent Blogs

Supply Chain Management

Supply Chain Risk Management Software

In today’s world, timely and efficient supply chains are necessary for success. Unfortunately, delays in inbound shipments can give rise …

Read More
Supply Chain Management

Supply Chain Risk Management Strategies

In today’s business landscape, efficient supply chain management is crucial for success. However, outbound delayed shipments can create internal and …

Read More
Supply Chain Management

UTS Can Help with Cargo Theft Prevention

Carrier fraud and theft have become increasingly prevalent issues in the shipping industry. The culprits behind these illicit activities, namely …

Read More