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7 Key Factors: How to Choose Logistics Software

What if you could access autonomous control and insight into all the logistics-related information of your supply chain? If you combined control and insight, you could have the capacity to outline, organize and develop your supply chain, enabling you to cash in on profit chances while remaining flexible enough to meet ever-changing economic and business needs.

Besides giving you unprecedented power, a robust logistics system enables you to virtually streamline and automate time, workforce needs, and resource-intensive tasks such as:

  • Finding the best rates
  • Monitoring shipment status
  • Managing inbound and outbound shipping schedules

Meticulously designed to offer predictive analytics, logistics software helps you to make logical decisions, thus dramatically lowering your freight expenses.However, finding a high-quality solution can be challenging as there are dozens of options available in the market. So, if you are looking for the perfect logistics management software for your organization, this guide is specially drafted for you. Let’s outline the essential factors you must consider before choosing a logistics tool.

 

 

Part 1
What Is Logistics Software?

Logistics management software is a business tool designed to streamline the production process by enabling you to oversee various multifunctional production processes easily.

This program involves the virtual combination of vital business aspects like:

  • Information
  • Transportation
  • Inventory
  • Warehouses
  • Material handling
  • Product packaging and security

By doing so, logistics software creates an optimal utility that adds the value of time and place.

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This solution employs the management and scheduling of posting, shipment, and tracking of packages, letters, equipment, and much more. Rather than doing it classically, a logistics management program disregards conventional paperwork and spreadsheets and embraces new and more efficient transportation management perspectives.Functioning like a supply chain management tool, logistics management software handles a wide scope of processes including:

  • Handling customer requests
  • Managing inventory
  • Controlling suppliers
  • Overseeing sales and distribution
  • Processing purchase orders

Part 2
Types of Logistics Software: Which Solution Does your Business Need?

There are three main types of logistics management software. They include:

  1. Enterprise Resource Planning

    A meticulously designed program, this type enables you to automate various back-office functions like clearances, maintaining records, settlements, accounting, regulatory compliance, and IT services.

  2. Integrated SCM Suites

    This model deals with managing information about raw materials brought into your organization from external suppliers.

  3. Warehouse Management System

    With this version, you can easily administer and direct various warehouse procedures from the moment materials or goods enter your warehouse until they are moved out.

How Will Logistics Software Transform Your Business?

Now you know what we mean by the term logistics software and the various models available in the market. However, as an inquisitive entrepreneur, you must be wondering how this must-have platform will transform your organization. To understand this, we will dig deeper and look at some of the advantages of using this tool.

Part 3
Benefits of Logistics Software

  1. Refined Transportation

    Above everything, shipping and transportation are crucial aspects of logistics. With the unpredictable cost fluctuations of fuel, labor, energy, shipping charges, and tolls, moving your products from point A to B can be a real challenge, especially if you are doing it manually.
    Perfectly designed, logistics management software helps automate and oversee various shipment procedures. Engineered with superior data analyzing functionalities, this state of the art software gives you data leverage, thus helping you make insightful decisions which maximize your organization’s efficiency.

  2. Faster Delivery

    Logistics involves a linear stream of goods and services across various situations affecting delivery that can result in delays. With a logistics solution, you can significantly streamline the production cycle and choose efficient transportation services that reduce delays, thus ensuring faster delivery.

  3. Minimized Human Errors

    Designed with complex logarithms and cutting-edge technology, logistics software offers remarkably accurate data analysis reports. Handling large volumes of raw data can be tedious for a typical human brain. Due to fatigue and boredom, making a mistake is common.
    However, with this intelligent tool, you can process enormous amounts of error-free data in an incredibly short time.

  4. System Automation

    With a fully automated system, logistics management software provides excellent automated functionalities like creating shipment routes, tendering of loads to carriers, and load planning. Moreover, this platform also eliminates paperwork, which adds to the efficiency of your organization.

Part 4
Key Functionalities to Consider in Logistics Management Software

  1. Efficient Freight Management

    Excellent logistics software should be able to manage transportation costs. To cater to your customer’s welfare, it is essential for the freight cost to be as low as possible without compromising on the quality of the delivery services.
    Your logistics system should provide customers with a clear suggestion on the best way to handle freight challenges regarding the various parameters available.

  2. Faster Physical Delivery

    Besides being quick, your software should also assure package security. A good logistics solution should be designed with strong and powerful physical flow systems to guarantee customers a timely delivery without any additional cost.

  3. Flexible Billing Options

    Despite the logistics program that you select, it is crucial for it to have a flexible billing option that allows you to bill either on a weekly, monthly, or yearly basis. Also, your software should be designed with a robust database to store all vital and relevant billing documents like shipment documents, sales orders, invoices, or purchase orders.

  4. Modular Architecture

    Of course, you have other business programs already existing in your enterprise. System integration is crucial to ensure smooth syncing of all your business operations. Regulating the delivery of products to customers and the flow of raw materials into your organization, logistics is one of the most important elements of your organization.
    However, alone without other business tools, the true power of logistics software may not be felt as there will some hindrance when it comes to relaying information. For seamless integration with other platforms, consider software with a modular design. This functionality provides a cost-effective method to interconnect various tasks virtually, and you can select only those modules you need.

  5. Multi-Client Architecture

    Of course, you are looking for software that can handle more than one customer concurrently. A multi-client feature is an invaluable feature to consider. With this capability, you can efficiently handle multiple customers at the same time.

  6. Costing and Invoicing Control

    Whether you choose an integrated or stand-alone logistics management tool, it is paramount for it to have precise inventory tracking capabilities. This feature enables you to easily and quickly formulate the process and apply various service contract rules. So, consider logistics software designed with robust costing and invoicing features.

  7. Client Web Portals

    Considered invaluable in most third-party logistics organizations, client web portals give full inventory control to your business even when you are offline.

Additional Features to Consider Include:

  • Parcel carriers
  • Driver’s log records at your fingertips
  • Vehicle and driver tracking on-the-go
  • Automatic order dispatch tasks
  • Live delivery stats from your merchants
  • Apps with multi-lingual support for drivers
  • Real-time in-app chats with your drivers 
daily status update

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weekly project status report issues resources scope

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weekly status updateon track at risk off track

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equipment control

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equipment log

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mileage log

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operations logbook

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general log

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