{"id":44730,"date":"2016-04-29T14:17:00","date_gmt":"2016-04-29T14:17:00","guid":{"rendered":"http:\/\/sticky-highjinx.flywheelsites.com\/?p=44730"},"modified":"2025-03-04T03:28:30","modified_gmt":"2025-03-04T08:28:30","slug":"big-shipper-transportation-management-system-part-2","status":"publish","type":"post","link":"https:\/\/envistacorp.com\/en-au\/2016\/04\/29\/big-shipper-transportation-management-system-part-2\/","title":{"rendered":"How Can Thinking Like A Big Shipper Save Money? (Part 2)"},"content":{"rendered":"Reading Time: <\/span> 3<\/span> minutes<\/span><\/span>\n

Shippers need to do the best they can to move away from using carrier websites. Carrier websites are designed to fit shippers into the box for which that carrier wants you to be in. Small to mid-sized shippers can\u2019t usually afford robust transportation management system (TMS) and so they just rely on the carrier website in order to rate shipments, create bills, schedule pickups, track their shipments and pull down invoices.<\/p>\n\n\n\n

Should shippers use carrier websites to plan and execute shipments?<\/h2>\n\n\n\n

Shippers need to do the best they can to move away from using carrier websites. Carrier websites are designed to fit shippers into the box for which that carrier wants you to be in. Small to mid-sized shippers can\u2019t usually afford robust transportation management system (TMS) and so they just rely on the carrier website in order to rate shipments, create bills, schedule pickups, track their shipments and pull down invoices. Of course we don\u2019t tell a small shipper to implement a transportation management system. What we work with them to do is find maybe a 3PL company or maybe a consulting firm or maybe a smaller software company in order to onboard a transportation management system or maybe a lite TMS. This way they can put all their carriers on one system and don\u2019t have to go to multiple sites and spend a lot of time on the website and go to one system for all their rating, contracting, billing, tracking and invoices.<\/p>\n\n\n\t\t

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\n\t\t\t\n\t\t\t\tTransportation System Strategy & Selection: A Step-by-Step Guide to Mitigate Risk and Drive Success\t\t\t<\/a>\n\t\t<\/h3>\n\t\t\t\t
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Selecting and implementing a new transportation system is a critical decision for organisations facing growth, mergers or expanding services. Gain insight into a step-by-step guide to mitigate risk and drive success.<\/p>\n\t\t<\/div>\n\t\t\n\t\t\n\t\t\tDownload\t\t<\/a>\n\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/article>\n\t\t\t\t<\/div>\n\t\t\n\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t\n\n\n\n

What kind of organisational changes can shippers make to reduce costs?<\/h2>\n\n\n\n

When we look at a small to mid-sized shipper, most of the meat on the bone is with transportation pricing and moving freight differently, but there are ways an organisation can save headcount from restructuring their organisation. We don\u2019t typically have folks reduce headcount, we typically have them focus on how they can use their resources differently.<\/p>\n\n\n\n

We look at whether they have a centralized transportation model or a de-centralized transportation model. You might be able to do all your planning centrally and do your dispatch de-centrally. Where we see folks run into trouble is when they try to do planning and execution in dispatching at the local level and that pulls \u2013 let\u2019s say warehouse folks \u2013 off the warehouse floor and in front of the computer, in a carrier system or on a transportation management system. We like to see those folks spending more time in the warehouse picking, packing and building pallets and less time doing some of the rate shopping and carrier selection and have that function moved to a centralized location. When you move it to a centralized location \u2013 a centre of excellence or just a transportation department \u2013 you can find ways to move freight differently across your network. For example, if you have DC that is are geographically close, or you have vendors near some of your DCs, you can, from a centralized location, have a control tower perspective on your network from an inbound or outbound or drop ship perspective. We really just look at what should be centralized and what should be de-centralized and determine if there are ways to better deploy your resources.<\/p>\n\n\n\n

When does it make sense to bring in third party expertise to help manage contracts? What are the benefits?<\/h2>\n\n\n\n

All the time and any time. There are ways you can look at third parties \u2013 such as consultants, logistics service providers, carriers and software companies \u2013 for assistance. All these folks will come in and help you whether it\u2019s part of their sales cycle to try to win the business or whether it\u2019s just ongoing improvement opportunities that will maybe save you money and save them money through operational efficiencies.<\/p>\n\n\n\n

We\u2019ve talked to some clients before that aren\u2019t happy with their customs broker, for example. They think they could save some money through lower document costs, maybe through classifying their goods with different codes. They\u2019ve brought in a potential service provider to replace the incumbent and those folks will do an analysis of their international shipments to see if there\u2019s a way for them to save money. So, you can bring in third parties all the time, and it doesn\u2019t mean you\u2019re a bad person if you flirt with your service provider\u2019s vendor.<\/p>\n","protected":false},"excerpt":{"rendered":"

Geoff Milsom, director at enVista, continues explaining how small companies save money by thinking like big shippers. Part two of three installments.<\/p>\n","protected":false},"author":22,"featured_media":44721,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","_searchwp_excluded":"","footnotes":"","_links_to":"","_links_to_target":""},"categories":[3475],"tags":[3521,3976],"class_list":["post-44730","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog","tag-transportation","tag-transportation-costs"],"acf":[],"yoast_head":"\nHow Can Thinking Like A Big Shipper Save Money? | enVista<\/title>\n<meta name=\"description\" content=\"Geoff Milsom, director at enVista, continues explaining how small companies save money by thinking like big shippers. 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