What is Logistics Software?

The Merriam-Webster Dictionary defines logistics as, “the handling of the details of an operation.” At the heart of the profitability and overall success of a business is an efficient logistics system. Managing production, parts, inventory, and shipments all fall under the responsibilities of the logistics, or supply chain, management department. Such a large job includes the daunting task of managing the many details associated with logistics. Employing the use of a good logistics company can greatly affect the outcome of the logistical branch of a business. However, hiring a company that specializes in logistics can prove to be very costly to carry out. Therefore, utilizing a logistics software program may be more economical for small to moderate facilities.

When a logistics company is used, it will handle the day to day management of the business. It will have its own trained personnel that can micro-manage every detail of the supply chain. For a large company with big operations, this is a necessity. Trusting such a vital factor to an untrained person could be detrimental to the business. Many manufacturing enterprises will also maintain a logistics manager as well. Large companies will recognize cost-saving benefits that will offset the expense of continued use of a logistics company.

Unlike a large manufacturer, even a small company can benefit from logistics software. Many software makes have designed an extremely easy to use, user-friendly interface. They are fully automated and can come as a suite with many optional applications or individually loaded for specific applications only. Add to the customizable features, that they often offer online and telephone tech support; this software pays for itself in very little time.

One thing that logistic software does is use a database to make and store various records necessary for keeping track of the many processes associated with a supply chain. The software can manage the distribution, warehousing, inventory, transportation details and expenses, and customer-friendly customer service options.

Some software makers also offer global visibility, bar-code scanning, billing administration and automated issue reporting to increase the value of the services that a business gives to their clients.

A business can track how many parts they have on hand and ordered, how much completed merchandise is available, current trucking routes and loads available, and log customer service interactions. Being able to input this information seamlessly and with as little effort as possible, every business that uses logistics software or a logistics company can save money. High inventory levels cost company’s money with the operating cost associated with warehouses. Being able to communicate with a client when a load will be available will increase customer satisfaction levels. And finally being able to log customer problems, a company can identify a trend before it becomes too overwhelming.

There are several services available to manage a company’s logistics department. Without selecting a method to manage a company’s logistical issues, it will loose money and potentially suffer from low customer and employee satisfaction. Using a software or company is very seldom optional. Therefore, the important thing is to find one that best suits the needs of one’s company, at a cost they can afford, and utilizing all its features to develop a business that is well run and sure to be successful.

Vendor Compliance and Truckload Shipping: How Logistics Software Can Help

Is the cost of meeting the vendor compliance standards of large retailers and corporations worth the resulting sales? Perhaps not in the short-term, but in the long-term, complying with complex vendor standards is one of the few ways to turn mediocre product sales into phenomenal sales. Even so, small to midsized manufacturers that aim to meet the standards of large corporations and retailers cam immediately find what seem like insurmountable obstacles in their path, especially concerning standards that regard the shipping process, such as the requirement that companies ship full truckloads-as opposed to less than full truckloads-to a business’s receiving docks.

Vendor Compliance and Truckload Shipping: Can Shipping Logistics Help?

The problem with full truckload shipping-also known as TL shipping-for small to midsized vendors isn’t that they can’t ship less than a full truckload of their products in a full semi trailer; it’s that doing so is cost prohibitive. As a result, small to midsized companies typically turn to less than truckload shipping-also known LTL shipping-in which two or more shippers of partial loads combine their shipments to form a full truckload and split the cost. The general advantage of LTL shipping is its cost effectiveness, while its general disadvantage is its slower delivery time, resulting from numerous pick ups and drop offs.

But LTL can have a more specific drawback concerning vendor compliance and truckload shipping: it could throw a wrench in a business’s well-oiled receiving system, where a full truckload of products comes from a single source and is therefore brings less risk of error during the receiving process. Traditionally, only companies that produce enough goods to fill a full truckload on a regular basis use TL shipping. But today, transportation logistics allows shippers the option of shipping full loads on a schedule more suited to their production output, allowing participation with large buyers of goods.

Method of shipping is one of numerous concerns within a complex set of vendor compliance standards. But it remains one of the toughest standards to meet if you don’t have shipping logistics on your side, a service that companies can secure in one of three ways: by implementing their own logistic department; by contracting with third party logistics (3PL) providers; and by implementing logistics software, which allows you to become your own logistics provider without possessing logistical expertise. Out of the three options, the latter is the least expensive, while still supplying the broad, in-depth approach to logistics a company would receive if it had its own logistic department. To find out more about how logistics software can help your company meet the compliance standards of large corporations and retailers, contact an online provider of logistics software today.

Warehousing Management Software And Getting This Software For Your Warehouse Operations

Any business owner that has to operate a warehouse knows that the process cannot operate efficiently if there isn’t a solid system in place. A solid system enables for every phase of the warehouse operations to be solid as possible.

So all of these warehouses are going to have a system they are using. The only issue is some of them choose not to make upgrades by means of implementing warehousing management software.

Now for smaller businesses, these types of businesses are usually put off by the high cost of having warehousing management software. A lot of them feel it is simply not a wise investment to make.

That might have been the case a long time ago, but now this type of software has been made affordable and easily accessible. Incorporating it into your warehouse management process would not be difficult at all.

Computer technology has advanced greatly over the course of the past few years. This means advanced warehousing management software is available to those who otherwise would not have had access to it before.

Smaller businesses can decide to utilize it by means of very affordable subscription plans. The amount you pay would be dependent on the features you need and or how long you plan on using the software.

Now what would this mean to the average business owner, particularly those who are smaller? This would mean the upfront cost of implementing warehousing management software would be greatly reduced.

This also means a business would not have to worry about hiring someone to help them decipher or implement the software. There will be no need to purchase additional equipment such as computer servers.

And in most cases the warehousing management software you would be utilizing would be completely hosted and maintained by means of the Internet. No need to worry about security or reliability problems either.

The software that is available these days is going to be extremely reliable and is going to be very secure. After all, you would not want to put your warehouse operations in the hands of any product you felt didn’t offer both to the highest degree.

Some of the key advantages to using warehousing management software would include the ability to reduce problems with shipping. Shipping errors cost a lot of money to correct and that can greatly impact the businesses bottom line. The software will give you the ability to greatly increase inventory visibility as well as accuracy.

Whatever carrying costs you have at the moment can be reduced as well. This is going to definitely help you in the long run, particularly in tough economic times.

Warehousing software will also allow you to increase order fulfillment capacity without having to hire additional staff. There are other benefits as well that you can learn about easily since the program can be taught in a relatively short time frame.

This type of logistics software is beneficial, because as a business is trying to grow the software will enable you to make adjustments so that you can scale it to fit your business as it grows.

Whatever requirements you have you do not have to worry about being locked into a specific way of doing things. You can customize certain things in order to meet specific requirements your warehouse operations are going to have moving forward.

Your process for warehousing management might very well be effective, and you can maintain that system. It is just that with using warehousing management software you can integrate the two so things run far more effectively.

If you intend for your business to grow you will need a way to do this no matter what. Start out now and start getting yourself acclimated to using this software for your business.

LTL Software Versus Other Logistics Resources

LTL Software is logistics software that is designed for shippers who need Less than Truck Load (LTL) shipping arrangements. Unlike a Full Truck Load (FTL) shipment, in which a semi trailer contains the freight of one shipper, an LTL shipment combines two or more shipments from different shippers into a semi trailer. This arrangement can benefit shippers that have a small to medium shipping volume in one of two ways:

  • It can be more cost effective than parcel shipping
  • It can be more cost effective than FTL shipping

A potential drawback of LTL shipping is that, depending on the number of times a shipment is sorted and routed during transit, it could take longer to reach its destination than is acceptable. When freight has a wide delivery window, this issue doesn’t pose a problem. When it has a narrow delivery window, delivering it via an LTL airfreight carrier, or combining into a full truckload and transporting it to a break-bulk facility located in the region of its delivery may be better options. After arriving at a break-bulk facility, LTL freight is separated and sent to its destinations.

LTL Softwareand Other Logistics Sources

LTL Software is an alternative to two sources of logistics that can also arrange LTL shipments: an in house logistics department and a freight broker, also known as a Third Party Logistics (3PL) provider. As small and midsized shippers know well, creating an in-house logistics department to oversee a small to medium volume shipping process can be cost prohibitive. But by the same token, not having a logistics resource can make the shipping process unaffordable. Faced with this dilemma, many shippers turn to 3PL providers for logistical expertise.

Today, there are four types of 3PL providers that offer different types of service. Standard 3PL providers offer the most basic shipping services; service developers offer value-added shipping services; Customer adapters manage an already existing shipping process; while customer developers manage an already existing shipping process and propose new shipping solutions.

How does logistics software compare to the services offered by these providers?

It does not manage the shipping process, but it allows shippers to manage it in the same capacity, and with the same resource-based effectiveness, as the 3PL providers above. By using logistics software instead contracting with a 3PL provider, shippers can pay less for shipping, gain control of the shipping process and realize more shipping options. Some 3PL providers arrange shipments using an electronic posting system, where available loads are matched up with available carriers. But logistics software can present options that aren’t available in a posting system.

Conclusion

LTL software is an ideal solution for companies that need an affordable alternative to 3PL or creating an in-house logistics department, one that doesn’t sacrifice the resourcefulness that these options provide. To learn more about how LTL software could benefit your shipping process, and how you can benefit from implementing it on a Software as a Service (SaaS) model, consult a provider of logistics software.