Role of Transport Management System in Growth of Logistics Business

The (TMS) is the backbone of today’s supply chain and logistics operations. TMS is a particularly built program that aids in the planning, execution, and optimization of shipments. TMS has 3 functions:

  • Make a list of shippers and compare their prices.
  • Shipments at the most affordable prices
  • Follow the shipment’s progress.

TMS gives you real-time visibility into your supply chain, increases shipping efficiency, and lowers costs. You can greatly improve customer service and increase the efficiency of the entire shipping operation.

Need for Transport Management System in Logistics

The modern customer does not like to be kept waiting. You must align your company with the desires of your customers. The logistics and supply chain industry is experiencing a surge in demand.

Between 2017 and 2021, parcel deliveries are predicted to rise by 17 percent to 21 percent every year. Same-day shipments will boost logistical expenses by 50% as a percentage of revenue.

You can use a Transport Management System, just like the majority of shipping companies, to overcome the obstacles. Shippers, carriers, and logistics providers can all benefit from TMS, as can other firms such as-

  • e-Commerce
  • Manufacturing
  • Wholesales
  • Retailers
  • Third-party logistics providers

TMS has established itself as a global trade and logistics facilitator, assisting your company’s growth.

Function of TMS Software

Freight Management

Logistics and supply chain organisations place a high priority on freight management. Through technology like automation, successfully managing freight lowers waste, wasteful expenses, and speeds up your entire business.

A transportation management system can also help to automate workflow and cut down on paperwork. Load tendering, order management, and other advanced capabilities are also available.


You may make real-time bookings and execute important freight management operations. The TMS software also provides you with real-time insight and the ability to trace your cargo at any moment.

You may also communicate with drivers and track time and distance from afar using this solution. The dashboard provides you with a comprehensive view of your activities, allowing you to make well-informed business decisions.


One of the key purposes of transportation management software is to optimise the shipping process. Your TMS will provide all of the data and analytics you need to optimise your shipping operation and deliver items quickly and at a low cost.

For in-depth study, TMS analytics can be connected with business intelligence systems. The data will assist you in delving deeper into your logistics operation and identifying crucial trends and patterns.


The administration functions in your TMS allow you to efficiently manage the transport and logistics management workflow. You can also use the data provided by your TMS to estimate client demand.

Settlement is also handled by advanced transport management systems, which certify freight milestones such as collection, delivery, and transit time.

Benefits of TMS

Expenses for freight are reduced

A transportation management system can help you save money on freight in a variety of ways. You can shop around for the greatest deals and save a lot of money.

TMS improves freight management and workflow, resulting in cost reductions. Implementing TMS and automating labor-intensive operations can help you save a lot of money.

Real-Time Tracking of Deliveries

TMS allows you to keep track of your fleet in real time. You can see each driver’s exact location on a GPS-enabled map, as well as the routes they’ve taken, delivery locations etc.

With complete visibility into your fleet, you can manage it more effectively, which boosts productivity. Driver tracking aids in the optimization of routes and the creation of more efficient timetables.

You can also find available drivers and give tasks to them. You can evaluate your driver’s performance and provide feedback as needed using tracking.

Customer satisfaction should be improved

TMS aids in the seamless operation of your supply chain, allowing you to make on-time deliveries. Customers may track delivery and receive updates on their status.

TMS also connects order management and warehouse management, ensuring that the entire process runs smoothly. You can even combine client orders to find the best shipping rates.

Boost warehouse productivity and efficiency

You can track the status of your orders and delivery in real time with TMS. Based on this data, you may develop precise estimates, increasing the transparency of your supply chain network.

You can have a well-organized warehouse with the help of a transportation management system. It makes warehouse management software and tracking of commodities easier.

You may even improve shipment accuracy by reducing the need for human data entry with a TMS. The software also removes paper-based operations, resulting in a more efficient workflow.

Increase the efficiency of your supply chain

With modern transportation management software, you can get a bird’s eye perspective of the whole supply chain. The solution also gives you real-time data and complete visibility into your activities.

Helps you save time

TMS’s features can help you save valuable personnel hours. You can automate time-consuming tasks and eliminate paperwork. Shippers can get the correct information at the right time to keep consumers informed and updated.

The app also saves time by allowing users to compare rates and shippers from a single platform. You don’t have to scroll through countless spreadsheet pages any longer!

New Capabilities for Delivery

TMS can help your organisation obtain additional delivery capabilities by optimising the way it ships. To boost efficiency and cut expenses, you might set up innovative shipping systems like point distribution.

Creating inbound programmes amongst your company’s numerous locations is another example. A TMS makes it simple to establish a master bill of lading.

Individual logins at numerous sites can then be used to control everything from a single location.  Also read: Guide to Design a Professional Business Card


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