The transportation industry is going through some remarkable changes in present times. These changes are precursors to some long lasting impact which is going to change the way freight moves in the world. Transportation Management Software or TMS solutions are the first ones which need to be improved on the basis of changing trends in supply chain industry. In 2017, we are expecting the transportation industry even more dynamic in terms of movement of shipments. It is because of the advent and adoption of next age solutions such as IOT and omnichannel transportation has leveled up the game.
The transportation industry is slowly realizing that the challenges it has been facing for decades can be overcome by smart use of technology solutions nothing else. With the statistics about driver shortage, Hours of Services (HOS) fines and urgency of shipping faster showing a persistent rise, the transportation industry is set to embrace advanced logistics and supply chain solutions for a rescue.
Cloud-based TMS solutions
The increase in the adoption rate of TMS in small, midsize and big transportation companies is majorly attributed to the availability of the cloud-based TMS solutions. The adoption rate for a new age TMS solution in small to midsize business has risen from 10% earlier to a rate of 15% at present owing to the greater flexibility which comes with cloud-based solutions. Small and midsize businesses are generally skeptical about going for technology transformations which are cost-intensive and needs some permanent changes in their system. Cloud-based TMS solutions skip both of these constraints and are extremely fast in delivering the results.
[bctt tweet=”TMS solutions adoption in small to midsize business has risen from 10% earlier to a rate of 15% at present with cloud based tms coming up” username=”Dreamorbit”]
IOT is on its way
TMS solutions need to work with all aspects of transportation ranging from inventory management to in-transit status updates from carriers. For any TMS, one of the main tasks is to gather the real-time information from all the parties involved in the transportation cycle. With visibility becoming one of the most decisive factors in increasing efficiency of the TMS solutions, gathering information becomes even more crucial. IOT helps here by giving transporters ways to fetch information through self-service portals, automatic updating through the machinery involved, classic EDI & API integration, arranging for manual ways for sending voice and text messages in transit, and apt usage of sensors and RFIDs.
This not only helps the TMS solutions to become more efficient but also helps in generating higher outputs with effective asset utilization. In fact, asset utilization counts for around 25% of the ROI generated by usage of IOT in organizations. This helps in cutting down the operational cost to a great extent.
[bctt tweet=”asset utilization counts for around 25% of the ROI generated by usage of IOT in organizations” username=”Dreamorbit”]
Get ready for TMS solutions with predictive programming & data analysis
If you are using IOT inputs in your TMS for only monitoring and detection purpose then you are barely scratching the surface. The real advantage of the enormous data collected by your system can be seen only in strategizing and future moves. With the years of data and analysis of your business, your TMS can be empowered in taking data based decisions for routing, spot fixing, allotting jobs to drivers and calculation of pricings. Not only this. Predictive programming and data analysis are helping the transportation leaders to access the information of tomorrow. What will be the market scenario after 5, 10 or 15 years, these questions can be answered more correctly nowadays with proper usage of predictive and analytical programming.
TMS solutions adapting to regulatory mandates
With ELD mandate becoming reality by December 2017, TMS solutions need to take into account the changes that will be triggered after inclusion of similar regulatory measures. TMS solutions will be going forward with a holistic approach of delivering basic functionalities of monitoring, predictive alerts, image retrieval systems, in-transit status update systems and rerouting capabilities. These functionalities will not only prove helpful for the carriers to complete their trips with greater access to information and central system, these also makes sure that the safety and monitoring are at par with the national standards.
Omni-Channel is the way to go
“Uberization for transportation” is the buzz for 2017 for all the right reasons. With the transportation industry going forward with an all inclusive omnichannel transportation processes. This needs TMS solutions to deal with a multi-tiered and multi-party system where collaborations and planning become even more complex. Definitely, you need a more comprehensive TMS solution which can add value to the existing system with features of enterprise mobility, real-time status updates, cloud-based systems and greater visibility. Long haul freight which is operating on the uber model are already invested with hundreds of millions in funding and the transporters are surely looking for the TMS solutions which can facilitate this model.
[bctt tweet=”“Uberization for transportation” is the buzz for 2017″ username=”Dreamorbit”]
We are expecting 2017 to be focussed on increasing the visibility and collaborations in logistics with the help of new age technologies. Considering the growing interest of companies to acquire TMS solutions which help them to work in real time and simultaneously on different stages of the supply chain, we are definitely going to see the shift of base platforms in technologies. Last mile deliveries are expected to be the most dynamic segment this year too as the market leaders such as Amazon has already compelled the other players to roll up their sleeves by putting extremely savvy goals in the fray. This level of competitiveness is good but can only be achieved only if we are aiming at going forward with drone delivery, autonomous carriers and effective IOT inclusion in logistics.
With technology becoming a clear winner in the market, it will be interesting to see how innovative logistics companies can become in 2017. TMS solutions are the first and most basic technology support used by any logistics company, but it surely has an impact on every operation of the business. Therefore it becomes even more crucial that we select TMS solutions which are able to accommodate these changing trends.
DreamOrbit is a Logistics and Supply Chain Technology Development company. We have been creating meaningful and reliable software products for the industry which is “Always on the go” for the past half decade. We are highly motivated team aimed at innovation. Our philosophy is to “keep challenging the potential within”. With the support of our happy customers and dedicated team, we strive to provide best possible solutions to industry problems. Visit our website to know more about DreamOrbit.