BY BEN AMES, SENIOR EDITOR
TRANSPORTATION MANAGEMENT SYSTEMS
Technology
MOVING FREIGHT IS A COMPLEX BUSINESS, AND
variables like rates, reliability, and capacity can change with
the weather, the season, or the latest retail craze. In an effort
to get the most from their freight transportation dollar,
many companies turn to transportation management systems (TMS).
A good TMS tracks dozens of key performance indicators
(KPIs) so users can weigh the variables and pick the optimal
carrier, rate, and route. But what if a TMS could leverage
the power of big data and ultra-fast processors to remove
humans from the decision-making loop? Such a system
could analyze far more variables than any human could handle, refresh its records with real-time data, quickly calculate
the optimal shipping method, and even act on its findings.
That vision is quickly becoming a reality, thanks to the
power of computer analytics, experts say. Adding embedded
analytics to a TMS platform allows shippers, brokers, and
carriers to make decisions based on the data they’re actually collecting, not just on the trends they think they see,
said Monica Wooden, chief executive officer (CEO) and
co-founder of MercuryGate International Inc., a TMS provider based in Cary, N.C. “We’re seeing this really evolve,”
Wooden said. “More and more every year, it’s getting more
robust and real time. And that allows everybody to benefit.”
RISING DEMAND FOR ANALYTICS
As is so often the case today, the rising interest in advanced
analytics has a lot to do with the e-commerce explosion. Retailers face mounting pressure to meet escalating
demands for next-day delivery and omnichannel fulfillment, both of which carry significant costs, Wooden said.
In response, logistics executives and chief information officers are pushing for greater use of data-driven technologies
like business intelligence and data analytics to help trim
time and cost from their supply chains.
The fast growth of sophisticated inventory-tracking networks has given them the reams of raw data necessary to
achieve that objective. By pulling data from smartphone
Keep calm and let
the TMS decide
Today’s transportation software can help you pick the best carrier, rate, and route. Tomorrow’s
will be able to do it faster and better—and remove humans from the decision-making loop.
