A key issue paper producers struggle with is the dynamic nature of order delivery and how that impacts their ability to predict their shipping requirements. These issues can make it difficult for producers to gain the benefits from their Transportation Management Systems (TMS). Transportation Management Systems (TMS) are a key component of a manufacturers Supply Chain Management software tools. TMS help companies optimize the sending and receiving of shipments by utilizing the best transportation modes and shippers available. More and more TMS solutions enable companies to have up to the minute tracking of their shipments, and analytics to help better manage their supply chain and significantly reduce costs.
The Trucker Shortage
As manufacturers ramp-up production to meet the increasing demands of a growing U.S. economy, they are forced to deal with transportation shortages. They are faced with driver and equipment shortages for both long-haul and local deliveries. In addition to these issues, they are also experiencing significant increases in rail delivery lead times. As one of our customers put it, the rail and truck delivery systems are running at maximum capacity. The transportation system is full. Companies across the spectrum including manufacturing, retail, agriculture, and consumer goods must manage increased transportation costs and longer delivery times for both truck and rail shipments.